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Transcript AMBB-GO Bonds 2015 Series ThreeALASKA MUNICIPAL BONDBANK $96,210,000 GENERAL OBLIGATION BONDS,2015SERIESTHREE DatedandDelivered:September 16,2015 TABLEOF CONTENTS BANK PROCEEDINGS 1.CertificateofLieutenant Governor astoLegislationwithRespecttotheBankand asto Appointment ofMembersoftheBankBoardofDirectors 2.GeneralCertificateoftheBank 3.CertifiedUnofficialMinutesoftheMeetingoftheBankBoardofDirectorsheldon August 11,2015,showingadoptionofSeriesResolutionNo.2015-04(S) authorizingtheissuanceofGeneralObligationBonds,2015SeriesThree 4.Copiesof: a.CertifiedCopyofGeneralObligationBondResolution b.CertifiedCopyofSeriesResolution2015-04(S) c.PreliminaryOfficial Statement d.OfficialStatement e.Loan Agreement withtheUniversityofAlaska f.Loan Agreement withtheCityofKingCove,Alaska g.Loan Agreement withtheHainesBorough,Alaska h.Loan Agreement withtheKodiakIslandBorough,Alaska AMBB/General Obligation Bonds,2015SeriesThree Table of Contents 1:\Docs\37421742\TOC.Docx Page1 5.SuretyBondDocumentation a.Copyof Commitment fromNationalPublicFinanceGuaranteeCorporation ("National")fortheIssuanceofaDebtServiceReserveSuretyBond b.CopyofFinancial Guaranty Agreement c.CopyofSuretyPolicyNo.NP1401270issuedbyNational d.CertificateofNational e.TaxCertificate f.OpinionsofCounseltoNational NEWMONEYPROCEEDINGS 6.UniversityofAlaska a.CertifiedCopyofBoardofRegentsBondResolution b.CertifiedCopyofEighteenthSupplementalIndenture c.FederalTaxCertificate d.NoLitigationCertificateofCounseltoUniversity e.SignatureCertificate f.CertificateofDeliveryandPayment,withReceiptfortheBond g.CertificateRegardingCompliancewithRule15c2-12 h.SpecimenBond i.FinalApprovingOpinionofWohlforth,Brecht &Cartledge j.IRSForm8038-G AMBB/General Obligation Bonds,2015 Series Three Table of Contents 1:\Docs\37421742\TOC.Docx Page2 7.CityofKingCove,Alaska a.CertifiedCopyofBondResolutionNo.14-04 b.CertifiedCopyofSeriesResolutionNo.14-05 c.Tax-Exemption andNonarbitrageCertificate d.Payment,DeliveryandApplicationofProceeds Certificate e.SignatureCertificate f.NoLitigationCertificateofCity Attorney g.CertificateRegarding Compliance withRule15c2-12 h.SpecimenBond i.FinalApprovingOpinionofFosterPepperPLLC j.FinalApprovingOpinionofLevesqueLawGroup,LLC k.IRSForm8038-G 8.HainesBorough,Alaska a.CertifiedCopyofResolutionNo.15-08-639 b.FederalTaxCertificate c.CertificateofPaymentandDelivery d.SignatureIdentificationCertificate e.NoLitigationCertificateofBorough Attorney f.CertificateRegarding Compliance withRule15c2-12 g.SpecimenBond AMBB/General Obligation Bonds,2015SeriesThree Table of Contents 1:\Docs\37421742\TOC.Docx Page3 h.FinalApprovingOpinionofK&LGatesLLP i.IRSForm8038-G 9.KodiakIslandBorough,Alaska a.CertifiedCopyofResolutionNo.FY2016-05 b.CertifiedCopyofResolutionNo.FY2016-06 c.TaxExemptionandNonarbitrageCertificate d.SignatureCertificates e.NoLitigationCertificatesofBorough Attorney f.ContinuingDisclosureCertificate g.Payment,DeliveryandApplicationofProceedsCertificates h.SpecimenBonds i.FinalApprovingOpinionsofFosterPepperPLLC j.FinalApprovingOpinionsofLevesqueLawGroup,LLC k.IRSForm8038-G CLOSING DOCUMENTS 10.BondPurchaseContract 11.RequisitionandCertificateoftheAlaskaMunicipalBondBankPursuantto Section502(B)oftheGeneralBondResolution 12.WrittenOrdertoTrusteeastoDeliveryoftheBondsunderSection202ofthe GeneralBondResolution 13.CertificateastoSignatures,ExecutionofBondsandSpecimenBonds AMBB/General Obligation Bonds,2015SeriesThree Table of Contents 1:\Docs\37421742\TOC.Docx Page4 14.EvidenceofTrustee's Authority toAcceptTrustandTrustee'sOfficers'Authority toAct a.Trustee'sCertificateasRequiredbySection7(c)(x)oftheBondPurchase Contract 15.Trustee'sCertificateof Authentication andReceiptofDocumentsandFunds 16.CertificateofExecutiveDirectorastoDeliveryandPaymentfortheBondsand Underwriter'sReceiptoftheBonds 17.CertificateofExecutiveDirectorConcerningLitigation,OfficialStatementand OtherMatters 18.ContinuingDisclosureCertificate-AlaskaMunicipalBondBank 19.CopyofContinuingDisclosureCertificates-KenaiPeninsulaBorough,Alaska a.2011,SeriesThree b.2013,SeriesOne c.2013,SeriesThree d.2014,SeriesOne e.2015,SeriesTwo 20.CopyofContinuingDisclosureCertificates-CityandBoroughofSitka,Alaska a.2010,SeriesFour b.2011,SeriesTwo c.2012,SeriesTwo d.2013,SeriesOne e.2013,SeriesThree 21.CopyofContinuingDisclosureCertificates-CityandBoroughofJuneau,Alaska a.2012,SeriesOne b.2012,SeriesTwo c.2012,SeriesThree d.2013,SeriesOne e.2013,SeriesThree f.2014,SeriesOne g.2015,SeriesTwo 22.CopyofContinuingDisclosureCertificates-KodiakIslandBorough,Alaska a.2014,SeriesOne AMBB/General Obligation Bonds,2015SeriesThree Table of Contents 1:\Docs\37421742\TOC.Docx Page5 23.CopyofContinuingDisclosureCertificates-CityofKetchikan,Alaska a.2014,SeriesTwo 24.FederalTaxCertificate 25.CertificateofFinancial Advisor 26.Underwriter Representations 27.Opinions: a.FinalApprovingOpinion ofWohlforth,Brecht &Cartledge b.TrustOpinionofWohlforth,Brecht &Cartledge c.SupplementalOpinionofWohlforth,Brecht &Cartledge d.RelianceOpiniontoNational e.Attorney General'sCertificate f.OpinionofFosterPepperPLLC 28.RatingAgencyLetters 29.BlueSkyMemorandum 30.DTCLetterofRepresentations 31.IRSForm8038-GandProofofMailing 32.ClosingMemorandum 33.PricingInformation AMBB/General Obligation Bonds,2015SeriesThree Table of Contents 1:lDocs\37421742\TOC.Docx Page6 Transcripts DeliveredFollowing Closing To: Alaska Municipal BondBank (1 original,1CD) University ofAlaska(1CD) City of KingCove,Alaska (1CD) Haines Borough,Alaska (1 CD) KodiakIslandBorough,Alaska (1 CD) TheBankofNewYorkMellon Trust Company,N.A.(2CD) Foster Pepper PLLC(1CD) K&LGatesLLP(1CD) Levesque LawGroupLLC(1CD) RBCCapitalMarkets,LLC(1CD) Bankof America MerrillLynch(1CD) Goldman,Sachs&Co.(1 CD) First Southwest Company (1CD) Western Financial Group(1CD) NationalPublic Finance Guarantee Corporation (1CD) Wohlforth,Brecht &Cartledge (1original,1CD) AMBB/General ObligationBonds,2015SeriesThree Table of Contents 1:\Docs\37421742\TOC.Docx Page 7 STATE OF ALASKA LIEUTENANT GOVERNOR JUNEAU CERTIFICATE I,BYRONMALLOTT,LIEUTENANTGOVERNORFORTHESTATEOFALASKA,HEREBY CERTIFYTHAT: Each of thefollowingpersonswasappointedbytheGovernor of theState of Alaskaasamember of the Board of Directors of theAlaskaMunicipalBondBankAuthorityonthedateshown opposite hisorhername below,andisqualifiedin accordance withtheprovisions of AS44.85(formerlyAS44.58)foraterm of office commencingonthedatesetforthbelowand continuing as of thedate ofthis certificate: Date of Date of Name Appointment Reappointment Expiration LukeWelles OS/21/08 07/16/11 07/15/15 MarkE.Pfeffer 10/1 0/01 10/04/1307/15/17 GregoryJ.Gursey 06/22/09 07/15/1407/15/18 1.RandallHoffbeckwasdulyappointed Commissioner of the Department of Revenue,State of Alaska, onDecember16,2014,andpursuanttoChapter85,Title44,AlaskaStatutes(the"Act"),isadulynamed, qualifiedandactingmember of theBoard of Directors of theBank.PamLearyandJerryBurnetthavebeenduly appointed asdesigneesinMr.Hoffbeck's absence. 2.ChrisH1adickwasdulyappointed Commissioner of the Department of Commerce,Communityand EconomicDevelopment,State of Alaska,effectiveMarch16,2015,andpursuanttotheAct,isadulynamed, qualifiedandactingmember of theBoard of Directors of theBank.MichaelLambandJonBittnerareduly appointed designeesinMr.Hladick's absence. I,BYRONMALLOTT,LIEUTENANT GOVERNOR FORTHESTATEOFALASKA,ALSOHEREBY CERTIFYTHATAlaskaStatutes 44.85.005-44.85.420 arepublishedbytheAlaskaLegislativeCounciland annotatedandprintedby LexisNexis (the"AlaskaMunicipalBondBankAuthorityStatutes");thatthecurrent version of theAlaskaMunicipalBondBankAuthorityStatutesissetoutinVolume9 of the November 2014 publication of theAlaskaStatutes. IN TESTIMONY WHEREOF,I have hereunto set my hand and affixed hereto the Seal of the State of Alaska,at Juneau,the Capital, This •••J9th.day of ••••~e.p.t~rp..b~r , A.D. UEUTENANTGOVERNOR GENERAL CERTIFICATE I,DEVENJ.MITCHELL,Executive Director of the Alaska Municipal BondBank (the"Bank"),HEREBY CERTIFY asfollows: 1.Iamtheduly appointed,qualified andacting Executive Director of the Bank authorized todoand perform allthingsand execute all documents inthenameof theBank necessary and convenient totheissuanceoftheBank's $96,210,000 General Obligation Bonds,2015 Series Three. 2.Randall Hoffbeck wasduly appointed Commissioner ofthe Department of Revenue,StateofAlaska,on December 16,2014,and pursuant to Chapter 85,Title44, Alaska Statutes (the"Act"),isadulynamed,qualified andacting member oftheBoard of Directors oftheBank.PamelaLearyand Jerry Burnett aretheduly appointed designees inMr.Hoffbeck's absence. 3.Chris Hladick wasduly appointed Commissioner ofthe Department of Commerce,Community and Economic Development,StateofAlaska,effective March16,2015,and pursuant totheAct,wasadulynamed,qualified andacting member oftheBoardof Directors oftheBank.MichaelLambandJon Bittner arethe duly appointed designees inMr.Hladick's absence. 4.Thefollowing named personswereduly appointed bythe Governor of the Stateof Alaska as members oftheBoardof Directors oftheBank pursuant totheAct andarenow,andatall times sincethe commencement of their most recent terms of officesetforthbelowhavebeen,duly qualified andacting members of saidBoard,and the date of commencement and expiration of their mostrecent respective terms ofoffice areassetforthbelow: Name MarkE.Pfeffer Luke Welles Gregory J.Gursey Dateof Appointment 10/10/01 OS/21/08 06/22/09 Reappointed 07/27/05, 09/04/09 and 10/04/13 07/16/11 12/01/10 and 07/15/14 Expiration ofTerm 7/15/2017 07/15/15 07/15/18 5.Allthe members and officers oftheBankhave executed anddo maintain inforcesurety bonds in compliance withthe provisions of AS 44.85 and,before entering their duties,have subscribed toanoathin accordance withAS 44.85.030. 6.AsofAugust1,2015,theoutstandingindebtednessoftheBankunderthe Bank's2005GeneralObligationBondResolutionwas$924,725,000. 7.TheAlaskaStatutes 44.85.005-44.85.420 arepublishedbytheAlaska LegislativeCouncilandannotatedandprintedbyLexisNexis(the"AlaskaMunicipal BondBankAuthorityStatutes");thecurrentversionoftheAlaskaMunicipalBondBank AuthorityStatutesisinVolume9oftheNovember2014publicationoftheAlaska Statutes. 8.Noauthorityorproceedingsfortheauthorization,execution,issuanceor deliveryoftheBondshasorhavebeenrepealed,rescindedorrevokedandnofurther approvalorconsentsfromanyothergovernmentbodyoragencyarerequiredin connectiontherewith. 9.AttachedasExhibitAheretoisatrue,completeandcorrectcopyofthe Administrative RegulationsoftheBankamendedtothedate hereof andnowineffect. 10.AttachedasExhibitBheretoisatrue,completeandcorrectcopyofthe bylawsoftheBankasamendedtothedatehereofandnowineffect. 11.AttachedasExhibitCheretoisatrue,correctandcompletecopyofthe noticeofthemeetingoftheBankof August 11,2015,aspostedontheStateofAlaska website"OnlinePublicNotices"onJuly13,2015. INWITNESSWHEREOF,Ihavehereuntosetmyhandthis16thdayof September 2015. AMBB/General ObligationBonds,2015SeriesThree General Certificate r:\Docs\37421742\General Certificate.Docx Page2 EXHIBIT A CHAPTER 144 MUNICIPAL BONDBANK AUTHORITY 15AAC144.010 SCOPE OF REGULAnONS. This chapter applies toall applications bya municipality foraloanfromtheAlaska Municipal Bond Bank Authority through the purchase bythe authority of municipal bonds of the municipality underAS 44.85. History - Err.4/1/76,Register 58;am 10119/94,Register 132 Authority - AS 44.85.080 AS 44.85.095 15 AAC 144.020 ELIGmILITY. (a)The authority will,inits discretion,approve aloantoa municipality only if the loanmeetsthe following criteria: (1)the authority determines the municipality tobe creditworthy after evaluating the municipality's loan application andany other information the authority considers relevant;and (2)the authority determines,onthebasis ofthe completed application and other information,that the municipality wouldhavetopay unnecessarily high borrowing costs inan offering of its municipal bonds to investors because of oneor more of the following factors: (A)the municipality hasnot issued municipal bonds orthe municipality haslittle outstanding debt; (B)investors are unfamiliar with the municipality because ithasbeen newly incorporated or has experienced recent rapid growth; Page1of8 EXHIBITA (C)the distance of the state fromcapital markets makesthe municipality's bonds less attractive than bonds of a comparable municipality elsewhere inthe United States;Dr (D)investors consider the municipality's bondsto have an element of risk because of apprehension of possible temporary economic dislocation duetotheloss or prospective loss of a major employer inthe municipality. (b)The authority will,inits discretion,approvealoannot eligible under(a)of this section if the authority determines thattheloanwill improve the marketability of authority bondsissuedtomakeloansunder(a)of this section. History- Eff.4/1/76,Register 58;am10/19/94,Register 132 Authority - AS 44.85.005 AS 44.85.080 AS 44.85.095 15AAC144.030 PREFERRED PURPOSES. The authority will consider the following capital improvements,listedin order of preference,as preferred purposes forloansto municipalities: (1)schoolfacilities; (2)waste water treatment facilities; (3)fire protection and public safety facilities; (4)deleted; (5)public health facilities; (6)public transportation facilities; (7)other capital improvements. Page2of8 EXHIBIT A History - Eff.411/76,Register58;am 10/19/94,Register 132 Authority - AS44.85.080 AS44.85.095 AS44.85.180 Editor's Notes- Effective Register 132,January 1994,the regulations attorney consolidated IS AAC 144.030(4)inISAAC144.030(3)toconformtoAS 44.85.J80(d).IS AAC 144.030(4)was deleted to reflect thatchange. 15AAC144.040 APPLICATION. Each applicationbya municipality foraloanfromtheauthorityshallbeinaform approved bythe authority,andmustinclude: (I)evidence of the municipality's eligibility under15AAC144.020; (2)acomplete description of the purposes of theloan; (3)unlesswaivedbythe authority baseduponafindingthata substantially reliable financial statement hasbeen prepared,afinancial statement certifiedbyan independent certified public accountant forthelastfiscalyear of themunicipality; (4)identification of the amount and sources of allfinancingrequiredto complete theproject;and (5)anyadditional information or documentation requested bythe executive director todeterminethe municipality's eligibility underthis chapter orAS44.85. History - Eft:4/1/76,Register 58;am 10/19/94,Register 132 Authority - Page3of8 EXHIBIT A AS 44.85.080 AS 44.85.095 15 AAC 144.050 ACCEPTANCE OF COMPLETED APPLICATIONS. When the information required by15 AAC 144.040 is received bythe executive director,the application is completed.The completed application willbe evaluated by the executive director to determine whether the eligibility criteria set out in15 AAC 144.020have been met. History - Eft:4/1176,Register 58;am 10/19/94,Register 132 Authority - AS 44.85.080 AS 44.85.095 15 AAC 144.060 BOARD REVIEW. (a)The completed application along withthe recommendation of the executive director andany other relevant information shallbe transmitted tothe board of directors forits review. (b)Theboardwill,inits discretion,request that the executive director obtain additional information and postpone immediate action onthe application. (c)The authority will approve a loan application fora project whose completion requires financing in addition totheloanfromtheauthority,only uponthe condition that before the authority issues bonds or disburses fundsfortheloan,the municipality demonstrates tothe authority's satisfaction thatall financing required to complete the project hasbeen committed. (d)The authority may not approve aloan application froma municipality with an obligation in default unless (1)the municipality has undertaken to cure the default ina manner approved by all parties tothe obligation;and Page4of8 EXHIBIT A (2)the authority findsthatapproval ofthe loan application willnothavean adverse effect onthe authority's credit rating. (e)[fthe board approves an application,the board will instruct the executive director to enter intoaloan agreement to purchase the municipal bonds of the municipality atthe time or times the authority isabletosellitsown bonds in amounts,atrates of interest,andon other terms and conditions that would enable the authority to purchase the municipal bonds.The loan agreement must require,as a condition ofclosing theloan,evidence satisfactory tothe authority thatthe municipality has authorized the borrowing. History - Eff.4/1176,Register 58;am 10/19/94,Register 132 Authority - AS 44.85.080 AS 44.85.095 15 AAC 144.070 EFFECT OF LETTER OF COMMITMENT Repealed or Renumbered Repealed. History - Eff.4/1176,Register 58;repealed 10/19/94,Register 132 15 AAC 144.075 METHOD OF BOND SALE. The board of directors of the authority shall determine the method of salefor each bond issue.In its report oneachloan application,the authority's financial advisor shall recommend,based onthefactors set out in (I)-(7)of this section,the method by which the authority should sell bonds to finance theloan.The authority will sell bonds at competitive sale unless the board determines that a negotiated sale isinthe interest of the authority andthe borrowing municipalities.In determining the method of sale,the board shall consider the following factors: Page5of8 EXHIBIT A (l)size of theauthority'sbondissue; (2)scheduleforissuance of the authority's bonds; (3)market conditions,including interestratevolatility; (4)marketfamiliarity with bond structure; (5)whethertheissueisanew money orarefundingissue; (6)expectedcreditrating of theissue;and (7)preference of a borrowing municipality fora particular method of sale,and the municipality's reasonsforthat preference,asstatedinitsloan application. History - EtT.10/19/94,Register 132 Authority- AS 44.85.080 AS44.85.095 AS 44.85.200 15AAC144.080 CONDITIONS. (a)A municipality that submits aloan application shallmakeitsbooksand records availablefor inspection bytheauthorityoritsagentsuponthe receipt of a reasonable requestto inspect them. (b)The authority will,inits discretion,request thatthe municipality payin advance forthedirectcost of evaluating its application andno application wiIIbe considered untilthe requested payment hasbeenmade. (c)The authority will,inits discretion,requirethattheapplicantagreethatinthe event ofa postponement of the date ofpurchase of municipalbonds,the applicant willholdthe authority harmless fromanyliabilityarisingout of reliancebythe applicant oranythird party upon approval of theloanapplication. (d)Theauthoritywill,in its discretion,requirethattheloan agreement tobe Page6of8 EXHIBIT A entered intoprovideterms,conditions and limitations with respect tothe amount of bonds thatthe municipality may issue after execution of the agreement,the pledging of municipal revenues tothe municipal bonds purchased bytheauthority,and otherwise asinthe opinion of the authority are proper forthe purposes and security of theauthorityandthe holders of its bonds andnotes. History - Eft:4/1/76,Register 58;am 10/19/94,Register 132 Authority - AS 44.85.080 AS 44.85.095 AS 44.85.170 15 AAe 144.090 DEFINITIONS. In this chapter (1)"authority"meansthe Alaska Municipal Bond Bank Authority created byAS44.85; (2)"executive director"means the executive secretary forthe authority appointed underAS 44.85.070 ; (3)"creditworthy"means that,inthe opinion ofthe authority,the current financial position of a municipality is such thatthe municipality willbeableto service its authorized and outstanding municipal bonds without expectation of subsidy from state money not currently available under state lawand without imposing financial burdens uponits residents that would create the expectation thatits ability to service its municipal bonds inthe future willbe impaired,andthatthereisno other reasonto expect thatinthe future the municipality willnotbeableto meet its debt service obligations as they become due; (4)"municipal bond"means municipal bond asthat term is defined inAS 44.85.410; (5)"facilities"means capital improvements,including both realand personal property. Page7of8 EXHIBIT A History - Eff.4/1/76,Register 58;am 10/19/94,Register 132 Authority - AS 44.85.010 AS 44.85.080 AS44.85.095 AS 44.85.410 Page8of8 EXHIBIT B Adopted April 22.1976 As Amended through May 20,1998 ALASKA MUNICIPAL BOND BANK AUTHORITY BY·LAWS ARTICLE I-DEFINITIONS Authority means the Alaska Municipal Bond Bank Authority. Board means theBoardof Directors of the Alaska Municipal Bond Bank Authority. Chairman means the Chairman of the Board of Directors ofthe Alaska Municipal Bond Bank Authority. Executive Secretary meansthe Executive Secretary oftheAlaska Municipal Bond Bank Authority. ARTICLE II-IDENTIFICATION AND OFFICES Section 1.The name ofthe Authority is Alaska Municipal Bond Bank Authority (hereinafter calledthe "Authority"). Section 2.Theseal of the Authority shallbe circular informand mounted uponametal disk suitable for impressing thesame upon paper.The design ofthesealshallbeas set forthin Exhibit Ato these bylaws. Section 3.Thefiscalyear of the Authority shallbethesameasthefiscal year ofthe State of Alaska. Section 4.Offices.The principal office of the Authority shallbe located in the Municipality of Anchorage,Alaska or the Cityand Borough of Juneau.Alaska.The Authority may have such other offices asthe Board of Directors may designate oras the business of the Authority mayrequirefromtimetotime. ARTICLE III-BOARD OF DIRECTORS Section 1.The Board of Directors shall manage the business affairs of the Authority. l:\Docs\J74200011Amenc!ed8yfCMS...WPS.WJ)d Page1of4 Page1 EXHIBIT B Seclion 2.Number of Directors,tenureand qualifications.The board shallconsistof the following five directors:The Commissioner of Revenue,the Commissioner of Community &Regional Affairs,whoshallbe Directors ex-officio withvotingprivileges, andthree directors appointed bythe governor.The appointment of each Directorother thanthe Commissioner of Revenue andthe Commissioner of Community &Regional Affairs is subject to confirmation by the legislature.If otherwise authorized bylaw,in the absence of the Commissioner of Revenue or the Commissioner of Community & Regional Affairs,their deputies or other authority toactin that capacity shallserveas members of the Board ex-officio.They must be residents of the State andqualified votersatthetime of appointment andshall comply withthe requirements ofAS 39.50. The Directors first appointed shallhave terms of two,three,and four years respectively. Each Director shallhold office for the terms ofhis appointment anduntilhis successor hasbeen appointed and qualified.A Director is eligible for reappointment.A vacancy inthe directorship occurring other thanby expiration of termshallbefilledinthe same manner asthe original but for the unexpired termonly.Each Director before entering uponhis duties shall take and subscribe toanoathto perform the duties of his office faithfully,impartially and justly to the best of hisability.Arecord of theoathshallbe filedinthe office ofthe governor. Section 3.Officers and quorum.Duringthefirst meeting occurring after July 15 of eachyear,the Directors shall elect one of their members as Chairman,oneoftheir members as Vice-Chairman,anda secretary anda treasurer.Thesecretaryand treasurer need not be directors,andthe same person may be elected toserveasboth secretary and treasurer.Other offices maybe established by resolution of theBoard. An officer of the Authority serve untilthe first Board meeting occurring after thenext July 15,oruntila successor hasbeen elected and qualified,unless otherwise fixedby resolution of the Board.The powers of the Authority are vested intheDirectors,and three Directors of the Authority constitute a quorum.Action may betakenand motions and resolutions adopted bythe Authority atany meeting bythe affirmative voteofat least three directors.A vacancy inthe directorship of the Authority does notimpairthe rightofa quorum to exercise allthepowersand perform all the duties of theAuthority. The Directors and the treasurer ofthe Authority shall execute surety bondsin accordance with the provisions of AS 44.85.050. Section 4.Voting.Each member ofthe Board in attendance shallhavetherightto cast onevoteonany question votedupondUringthe course of a meeting.Only those members present may vote.Novoteona question of approvinq ordenyingan application foraloanshallbetakeninaclosed session. Section 5.Manner of acting.Theact of a majority of the Directors present ata meeting at which a quorum is present shallbetheact of the Board of Directors. Section 6.All votes shallberecordedina manner which reflects how each director votes unless the Chair determines thatany particular vote may be taken by unanimous I:\OocsU'l4200a1~K1BylBWS.WP5.wpcI Page2 of4 Page 2 EXHIBIT B consent.Byrollcallvote,a majority ofthe members ofthe Authority may overrule a determination of the Chair under thisSection. ARTICLE IV-MEETINGS Section 1.Meetings.The Board shallholdmeetingsatatimeandplacetobe established bythe Chairperson of theBoard. Section 2.Special meetings.Special meetings maybecalledupon request of the Chairman or upon request of any two members oftheBoard.Notice of special meetings shallbe given at least fivedaysin advance of thedate of the meeting.The notice shallbein writing andshall contain thetimeandplace of the meeting aswellas theproposed agenda forthe meeting. Section 3.Waiver of notice.The requirement of notice of aspecialmeetingmaybe waivedby unanimous consent of the members of theBoard.Each member's consent should be communicated tothe Executive Secretary inwriting before thestart of the meeting orreadintothe minutes atthestartofthemeetingbythose members in attendance. Section 4.Publication of notice of meetings.Reasonable public notice shallbegiven for all meetings of the Authority asprovidedbyAlaskaStatute 44.62.310(e). Section 5.Executive sessions.Executive sessions maybeheldin accordance withthe procedures andwith respect tothe excepted subjects assetforth,andin accordance with,AS 44.62.310. ARTICLE V-ORDER OF BUSINESS The order of business ata meeting of theBoardshallbe determined bytheChairman. ARTICLE VI-EXECUTIVE SECRETARY The executive secretary shallbetheprincipal operating officer ofthe Authority and subject tothe control of theBoard of Directors,shallingeneral supervise andcontrol all ofthe business and affairs ofthe corporation.The executive secretary mayalsobe elected secretary-treasurer.The secretary oftheBoardshallkeepthe minutes of the meeting ofthe Board of Directors andretain custody of such other recordsasthe Authority shall obtain.The treasurer shallhavecharge of the custody andbe responsible for all funds and securities of the corporation.The Executive Secretary may function under thetitleof Executive Director. ':\Oocs\3742aOO1\Amend~ytaws.WP5_wpd Page3 of 4 Page3 EXHIBIT B ARTICLE VII-CONTRACTS,LOANS,CHECKS,AND DEPOSITS Section1.Contracts.TheBoardmay authorize theExecutive Secretary to enter into any contractor execute and delivery any instrument inthe name andon behalf ofthe Authority,andhis authority todosomaybegeneralor confined to specific instances. Section 2.Loans.Noloansshallbe contracted on behalf ofthe Authority andno evidence of indebtedness shallbeissuedinitsnameunless authorized bya resolution of theBoard.Such authority maybegeneral or confinedto specific instances. Section3.Checks,drafts,etc.Allchecks,or other orders for the payment of money, notes,or other evidences of indebtedness issuedinthename of the Authority shallbe signedbythe Executive Secretary oragentsofthe Authority. Section4.Deposits.Allfundsofthe Authority not otherwise employed shallbe deposited fromtimetotimetothecreditofthe corporation insuch financial institutions astheBoardmay select or invested astheBoardmayselect. ARTICLE VIII-AMENDMENTS Theseby-lawsmaybealtered,orrepealedandnewby-laws adopted bytheBoardat any regular or special meeting of theBoard. ARTICLE IX -PROCEDURES Section1.Unless otherwise expressly providedinthesebylaws,questions regarding internal procedures ofthe Authority shallbe determined byruling of the Chair which maybe overturned bya majority voteoftheBoardof Directors present atthe meeting. t\~\37420OQ1VurendedSyfa...s.WPS.wpcI Page4 of4 Page4 EXHIBITC The Alaska Municipal Bond Bank AuthorityMeeting TheAlaskaMunicipalBondBank Authority Meeting TheAlaskaMunicipalBondBank Authority willholda meeting intheOffices ofWohlforth,Brecht,&Cartledge, 900 West 5 th Avenue,5uite 600, Anchorage,Alaska, onAugust11,2015 at9:30AMADT. The meeting willinclude,butisnotlimitedto,the followingagendaitems: Haines Borough -Loan Application and Analysis CityofKlawock-Loan Application and Analysis KodiakIsland Borough -Loan Application and Analysis City of King Cove -Summary Review of Project -Previous AMBBA Authorization Resolution 2015-04 -Authorizing the Issuance of the 2015 Series Three Bonds Executive Director's Report Thepublicisinvitedto attend.Individualswhomay need special modifications to participate should call(907)465-3750 prior to the meeting. Dated July13,2015 DevenMitchell,Executive Director Attachments,History,Details Attachments None Revision History Created 7/13/2015 11:09:02 AMby pmbaker Details Department: Category: Sub-Category: Location(s): Project/Regulation #: PublishDate: ArchiveDate: Events/Deadlines: Page1of1 Revenue Agency Meetings Statewide 7/13/2015 8/12/2015 CERTIFICATE I,DEVEN J.MITCHELL,ExecutiveDirectoroftheAlaskaMunicipalBondBank (the"Bank"),HEREBYCERTIFYthatthedocumentattachedisatrue,complete,and correctcopyofanexcerptoftheunofficialminutesofameetingoftheBoardof DirectorsoftheBankdulycalledandheldon August 11,2015.Noticeofthemeeting wasdulygivenbyposting,ontheStateofAlaskawebsite"OnlinePublicNotices,"as evidencedbyTranscriptItem2,timelyonthedatestatedthereon. INWITNESSWHEREOF,Ihavehereuntosetmyhandthis16thdayof September2015. AMBB/General ObligationBonds,2015SeriesThree Certificate of Minutes 1:\Docs\37421742\CertificateOfMinutes Of Mtg8-11-15.Docx 333 Willoughby Avenue,11th floor P.O.Box 110405 Juneau,Alaska 99811-0405 Tel(907)465-2388 FAX(907)465-2902 E-mail:ambba@revenue.slale.ak.us UNOFFICIAL MINUTES for the BOARD OF DIRECTORS MEETING ALASKA MUNICIPAL BOND BANK AUTHORITY August 11,2015 I.CALLTOORDER Mark Pfeffer called the meeting to order at9:34AM,Alaska Daylight Time. Members participated at the Officesof Wohlforth,Brecht,and Cartledge,900 West 5th Avenue,Suite 600,Anchorage,Alaska,and by telephone. II.ROLLCALL Mark Pfeffer Michael Lamb Luke Welles Pam Leary Greg Gursey OTHERSIN ATTENDANCE Deven Mitchell,Executive Director,Alaska Municipal Bond Bank Ryan Williams,Finance Director,Alaska Municipal Bond Bank Cindy Cartledge,Bond Counsel,Wohlforth,Brecht &Cartledge Chip Pierce,Financial Advisor,Western Financial Group Karl Short,Finance Director,Kodiak Island Borough LeslieIsaacs,City Administrator,Cityof Klawock Gary Hennigh,Finance Director,CityofKing Cove Marc Greenough,Bond Counsel,Foster Pepper,PLLC Laura Janke,Vice President,RBC Capital Markets AMBBA Minutes UNOFFICIAL Meeting:August 11,2015 Page2 III.PUBLIC MEETING NOTICE A copy of the Online Public Notice concerning the date,location,and purpose of the meeting was reviewed for the record.The public notice was officially published on7/13/2015 on the official Alaska Online Public Notice website. IV.ELECTIONOFOFFICERS This meeting represents the first meeting offiscal year 2016for the Bond Bank. The Board reviewed previous officers of the Bond Bank,and held a new election ofofficers.The board approved Mark Pfefferas Chair without objection.The board approved Greg Gursey as Co-Chair /Vice President without objection.The board approved Deven Mitchell as Deputy Treasurer without objection.The board revised the position of Secretary Deputy Treasurer from Pam Leary to Ryan Williams.It was discussed that Pam now sits directly on the Board,and Ryan has more constant day-to-day interaction with the Bond Bank's trustee and custodian banks.Ryan Williams still reports directly to Deven Mitchell as Deputy Treasurer onall financial matters.The board approved Ryan Williams as Secretary Deputy Treasurer without objection. V.APPROVAL OF AGENDA The agenda was reviewed by the board and approved without objection. VI.MINUTES of the Tune 15,2015 Board of Directors Meeting The June IS,2015 minutes were reviewed by the board.Michael Lamb moved to approve the June IS,2015 minutes as written,and Luke Welles seconded the motion.The minutes were approved as written with no objections. VII.GENERALBUISNESS City of Klawock -Discussion Mr.Pierce provided a general description of the application received from the City of Klawock.Mr.Pfeffer asked for clarification asto whether the Board is looked upon to take action on the application.Mr.Mitchell explained that the loan application has been provided for discussion purposes,and that there AMBBAMinutes UNOFFICIAL Meeting:August 11,2015 Page3 would be no need for Board action at this time;however,if the underlying project were to reach certain milestones in the near future,an upcoming board meeting would need tobe considered.Mr.Pierce outlined that the City of Klawock is requesting a20 year loan to fund improvements toacity owned building that was previously leased to the Alaska State Troopers,and needs renovations to potentially house the Alaska Court System.The City of Klawock's negotiations arein the final states with the Court System on a15 year lease at approximately $6,000a month.Other tenants in the building include the local police department.The lease,in current negotiations,would bea State subject to appropriation credit.Leslie Isaacs,City Administrator,was asked to further describe the project.Leslie explained that housing the Alaska Court System,along with their local police department creates a great synergy for the City of Klawock,as well as increased employment and economic activity in the community,as well as long-term use and capitalization of their city owned building.Thecityis expecting bids mid-October 2015,but is looking for financial commitment before signing the lease contract to make sure that work canbe completed to accommodate the Court System.The current application has a bond purchase request of$1.2 million,with plans to retire existing USDA debt of approximately $200,000 with an interest rate of4.75%and a final maturity in 2033.Leslie mentioned that to decrease costs,city staff shall conduct some work on renovations.Mr.Mitchell explained that he would keep in contact with Leslie Isaacs,and bring the matter tothe board as the project progresses. HainesBorough -Loan Application and Analysis Mr.Pierce presented an evaluation of the Haines Borough's loan request for $1,375,000for mechanical upgrades to the vocational education building as well as replacement ofair handling units at the Haines High School.The Borough has received voter authorization for both projects atan election held on October 7, 2014for this General Obligation Bond Loan request.The requested term of the loan is20 years,and the security for the loan comes from property taxes of the Borough.The loan is subject to State debt service reimbursement ata rate of 70%.With the Borough's most recent state-shared revenues of$42.5 million,and total Bond Bank debt service of$1.9 million,coverage for the Bond Bankis calculated at approximately 22.3 times.Estimated borrower savings are$122,000 gross,and $87,000 on a present value basis.Mr.Pierce noted that the no litigation letter has been received,subsequent to sending the credit review.Mr. Pierce stated the Haines Borough's general fund derives its revenues primarily from ad valorem property taxes at36.7%,state-shared revenues at24.3%,and AMBBAMinutes UNOFFICIAL Meeting:August 11,2015 Page4 sales taxat20.1%in2014,showing a relatively stable revenue distribution,which has remained steady over the past fivefiscal years.The property tax rate was increased 0.23 mils inFY2016in order to allow the Borough to maintain a fund balance of just less than 6 months operating reserve.Over the past 5 years the Borough has maintained the general fund balance in the range from $4.2 million to$5.1 million -the balance atfiscal year-end 2014 was $4.5 million,$2.4 million of which was unassigned.Mr.Pierce mentioned the Borough also maintains a permanent fund,representing the cumulative net proceeds from the saleof municipal lands less construction of public improvements within local improvement districts.The principal balance cannot be spent,and is held in trust for future residents.Only income may be spent,and the Borough Assembly provides for principal protection through inflation proofing.A chart depicted the ending permanent fund balance atfiscal year-end 2014of above $8 million. Borough staff reports that there are no current plans for capital projects that will require a bond issuance,and a voter rejected high school roof project was subsequently funded in part by a grant from the State.Based on the sufficient security offered by the Borough,through demonstrated health of the general fund,and state-shared revenues,Mr.Pierce recommended approval of the Borough's loan application.Mr.Pfeffer opened the floor for additional questions. Ms.Leary revisited the State-Aid intercept table for clarification on which fiscal year these values represent.Mr.Mitchell responded that these areasofFY2015, and current data is being collected asit becomes available to update to2016.It was estimated that the matching grants would diminish over time as projects complete,but the 2016 value should becloseto the 2015 values presented in the table.Mr.Lamb requested an expansion of the credit review summary to touch on operating budgets of communities with a reasonable look back,plus a breakout of general fund components to show the unassigned value available within the general fund.Mr.Pierce acknowledged the request,and would look to incorporate additional details with feedback on how to structure.Mr.Welles made a motion to approve the loan application from the Haines Borough for $1,375,000,and Mr.Lamb seconded the motion.Mr.Mitchell conducted a roll call vote,and the motion passed unanimously with fiveyes votes. KodiakIslandBorough -Loan Application and Analysis Mr.Pierce presented an evaluation of the Kodiak Island Borough's loan request, a total of$10,000,000for two separate school related projects:multi-year renovation and expansion of Kodiak High School (KHS)authorized in2009,and renewal and replacement projects at several schools around the Borough authorized by voters in2014.The loan forKHSisa request for$8 million,and AMBBA Minutes UNOFFICIAL Meeting:August 11,2015 Page5 the loan for renewal and replacements projects isa request for$2 million,both general obligations with property tax revenues pledged.The requested term of the loan is20 years fortheKHS project,and 10 years for the renewal and replacement projects.The loans are subject to State debt service reimbursement ata rate of not less than 60%.With the Borough's most recent state-shared revenues of$44.8 million,and total Bond Bank debt service of$8.1 million, coverage for the Bond Bankis calculated at approximately 5.6 times.Estimated borrower savings are$601,000 gross,and $441,000 on a present value basis.Mr. Pierce stated that the no litigation letter has been received.Mr.Pierce noted the Borough's general fund derives its revenues primarily from ad valorem property taxes at63.4%,with fund balances remaining relatively stable over the last 5 years.Current mil rate is10.75,unchanged since 2012,with growth in assessed valuation of real property.Mr.Pierce mentioned asoffiscal year end 2014 the balance in the general fund was $3.5 million,almost allof which is unassigned. The borough also maintains a Facilities Fund,with a balance of$39.5 resulting from the sale of Shuyak Island to the State,of which the Borough plans to apply investment earnings toward payment of debt service on itsGO bonds,including Bond Bank loans.Mr.Pierce mentioned the remaining voter authorization related to Kodiak High School and school renewal and replacement bond measure are $10.3 million and $8.2 million respectively.Mr.Pierce recommended approval of the Borough's loan application.Mr.Welles made a motion to approve the loan application from the Kodiak Island Borough fora total of$10,000,000,and Mr.Lamb seconded the motion.Mr.Mitchell conducted a roll call vote,and the motion passed unanimously with five yes votes. CityofKing Cove -Summary Mr.Pierce presented an evaluation of the King Cove's previously approved authorization for Revenue Bond Loans totaling approximately $3.1 million for improvements to the City's hydroelectric generating system at Waterfall creek, adjacent to their Delta Creek Facility.The total completed project is expected to cost$6.8 million and produce approximately 1.0 MW of annual energy.Project funding isa partnership between the State of Alaska,Aleutians East Borough, and the City,with anticipated need for final funding in mid-2016.Thecity currently requested $1.5 million of their authorization for this issue,with a potential to downsize the loan amount.The City's electric enterprise system services approximately 150 residential and 150 commercial customers,with current total demand of5.2MW,60%of which is generated by hydro power. With the completion of Waterfall creek,the city expects 75%hydro generation, with the difference coming from diesel.Mr.Pierce noted that approximately AMBBA Minutes UNOFFICIAL Meeting:August 11,2015 Page6 53.1%of enterprise revenues are derived from residential and commercial customers,28%city-owned electric revenues (charges to other departments), 11.9%harbor,and finance charges and other making up the remainder.Based on 2015 unaudited results,the enterprise fund produced net revenues equal to1.34 times estimated debt service on the Bond Bank's 2014 and 2015 hydro loans. FY13 and FY14 audited results reflect coverage ofless than 1.0 times due to technical issues,and reliance on diesel in unforeseen circumstances,these fuel expenditures have decreased significantly in the most recent unaudited results. The City pledges net revenues from its electric enterprise system,with a requirement for1.25 times coverage on debt service.The Bond Bank has the ability to intercept state-shared revenues that will otherwise flow to the city,with coverage of4.52 times including 2015 loan debt service.Savings to the City asa result of borrowing through the Bond Bank are estimated at approximately $520,000 gross,or$331,000 on a present value basis.Mr.Pierce recommended approval of the Borough's loan application contingent upon receipt of the no litigation letter from the City.Mr.Pfeffer opened the floorto questions.Mr. Gursey asked what the complications were regarding the switch to diesel generation in the past.Mr.Hennigh fielded the question,describing continual maintenance that has tobe completed on the hydro projects,as they are susceptible to volcanic sediment,earthquakes,and other natural occurrences. Thecityis now well prepared for continued up-keep of each generation facility with constant monitoring.Mr.Welles asked if there was regulation on rates by the RCA.Mr.Hennigh responded that the electric enterprise has full authority to lift rates to increase net revenue.Mr.Lamb made a motion to approve the continuation of King Cove's original authorization contingent upon receipt of the no litigation letter,and Mr.Gursey seconded the motion.Mr.Mitchell conducted arollcall vote,and the motion passed unanimously with five yes votes. Resolution 2015-04 authorizing the issuance of GeneralObligationand Refunding Bonds,2015SeriesThree,of the Alaska Municipal BondBank Ms.Catledge introduced resolution 2015-04,authorizing the issuance ofa principal amount not to exceed One Hundred Seventy Million Dollars ($170,000,000)in General Obligation and Refunding Bonds.Ms.Cartledge noted that a supplemental resolution was distributed to the board that includes the name of surety provider,and the board packet contains the form of loan agreement,the form of amendatory loan agreement,and a copy ofthe preliminary official statement.Ms.Cartledge noted that the 2015 Series Three AMBBAMinutes UNOFFICIAL Meeting:August11,2015 Page? bonds will provide for the following purposes:1)a loan to the University of Alaska,inthe principal amount not to exceed $87.5 million tobe used to finance improvements to the University's New Combined Heat and Power Plant;2)a loan to the City of King Cove,Alaska,inthe principal amount not to exceed $1.5 million tobe used to finance electric utility improvements,3)a loan to the Haines Borough,in the principal amount not to exceed $1.375 million tobe used to finance educational capital improvements,and 4)a loan to the Kodiak Island Borough,Alaska,in the principal amount not to exceed $10 million tobe used to finance educational capital improvements.Certain proceeds ofthe2015 Series Three Bonds shall be used to refund or purchase direct,non-callable obligations of the USA,sufficient and available to pay when due the principal of the Refunded Bonds,specifically the 2005 One (current refunding),the2008 One, and 2008 Series Two Bonds.Additionally to fund the reserve of the 2015 Series Three through a credit enhancement agreement through National Public Finance Guarantee Corporation,including its successors or assigns further described in Exhibit C,Form of Credit Enhancement Agreement.The Chairman or the Executive director shall determine whether itisin the best interest of the Bond Bank to use,in addition toa Credit Enhancement,available cash,proceeds and Credit Enhancement,to satisfy the Reserve Fund Requirement upon delivery of the 2015 Series Three bonds.The bonds will be sold on a negotiated basis,and the true interest cost on the 2015 Series Three bonds shall not exceed four and three-quarters percent (4.75%).Mr.Leary questioned the reasoning behind the choice to use a credit enhancement for this transaction,and if this would bea more common feature.Mr.Pierce yielded to the question,explaining that there is significant negative arbitrage when issuing reserve obligations,and cash funding of the reserve with use of the Custodian account may not bean option moving into the future.There's future potential to take out certain reserve obligations by releasing cash from the reserve through use ofa surety policy to satisfy the 2005 reserve requirement.Mr.Welles moved to approve Resolution 2015-04,and Mr.Gursey seconded the motion.Mr.Mitchell conducted a roll call vote,and the motion passed unanimously with five yes votes. Budget Discussion FY2015 &FY2016 Mr.Williams went over a summary of the direct expenses incurred by the Bond Bank's custodian account forFY15,as well as expenses paid through cost-of- issuance accounts associated with individual series of bonds forFY15.Mr. Williams estimated the total remaining expenses forFY15 close-out -invoicing through the State of Alaska had not yet been completed.When considering direct expenses of the custodian account,combined with expense activity through cost AMBBAMinutes UNOFFICIAL Meeting:August 11,2015 Page8 of issuance accounts,the Bond Bank's expenses are well over $900,000.However, with refunding transactions throughout FY15,and the structure in place to recoup fees associated with community based expenses,The Bond Bank was able keep its share of expenses under authorization.Mr.Williams explained that moving forward,management would need to keep aclose eye on expenses,especially with active issuing and the unknown amount of refunding that may occur ina single fiscal year.Mr.Pfeffer asked to include these snap-shot summaries on a regular basis for Board Meetings,as well asa one to two page summary showing historical investment earnings of funds to keep the Board apprised of broad ranging fund activity.These summary reports will now be made part of the meeting format. Executive Director'sReport Mr.Mitchell,Executive Director,reported the following items to the Board: Underwriting Pool -Based on the evaluation committee's review of proposals the firmsofRBC Capital,Bank of America Merrill Lynch,JP Morgan,and Goldman Sachs were selected to the Bond Bank's underwriter pool. The application for Regional Health Corporations has been created and initially distributed to interested parties.Tanana Chiefs Conference is considering a refinancing of their Fairbanks health center and Yukon Kuskokwim Health Corporation is working on the financing of hospital expansion in Bethel. I have been working with the Yukon Kuskokwim Health Corporation's finance working group over the last month and have been asked to participate ina trip to Washington DC with USDA and YKHC representatives potentially in late August. The quarterly ethics disclosure filings have been made for the second quarter of 2015. On June 17,2015BDO,the Bond Bank's auditor provided the attached agreement to provide services and letter to the Board of Directors in preparation for the upcoming FY2015 audit. On June 19,2015I sent the attached letter to the Bank of New York letting them know of the Bond Bank's intent to terminate their contract to provide trustee/paying agent services to the Bond Bank.This action was taken due to repeated failures to perform and complaints from communities on the quality of service. AMSSA Minutes UNOFFICIAL Meeting:August 11,2015 Page9 Mr.Welles commented on the application for regional health organizations, supplying additional ideas for relevant background information.General items of interest include ownership of land /land transfer rights and needing warranty deed,GASB not FASB done by IHSis critical,IHS compact agreement,and standardized language for agreement forall entities.The Board isin consideration ofa working group for financing regional health organization transactions. VIII.PUBLIC COMMENTS There were none. IX.BOARD COMMENTS There were none. X.ADJOURNMENT Mr.Pfeffer adjourned the meeting without objection at12:02 p.m. Mark Pfeffer,Chairman CERTIFICATE I,DEVENJ.MITCHELL,ExecutiveDirectoroftheAlaskaMunicipalBondBank (the"Bank"),HEREBYCERTIFYthattheGeneralObligationBondResolutionadopted July13,2005,asamended,bytheBoardofDirectors(the"Board")oftheBankhasnot beensupersededorrepealed,butisinfullforceandeffectasofthedatehereof. TheBoardapprovedcertainmodificationstotheGeneralBondResolution(by ResolutionNo.2014-03),effectiveonthedatewhenallbondsissuedunderthetermsof theGeneralBondResolution,priortoFebruary19,2013,ceasetobeoutstanding. INWITNESSWHEREOF,Ihavehereuntosetmyhandthis16thdayof September 2015. AMBB/General ObligationBonds,2015SeriesThree Certificate of Bond Resolution 1:\Docs\37421742\Certificate OfBond Resolution.Docx GENERALOBLIGATION BOND RESOLUTION ALASKA MUNICIPAL BONDBANK Adopted July 13,2005 TABLE OF CONTENTS ARTICLE I STATUTORY AUTHORITY AND DEFINITIONS Section101-Authority forThis Resolution 1 Section102-Resolution Constitutes Contract ............................1 Section103-Definitions.............................................1 ARTICLE II AUTHORIZATION AND ISSUANCE OFBONDS Section201-Authorization ofBondsand Interest Rate Exchange Agreements 15 Section202-Issuance andDeliveryofBonds...........................16 Section203-Provisionsfor Issuance ofBonds..........................16 Section204-Provisions for Refunding Bonds...........................19 ARTICLE III GENERAL TERMS AND PROVISIONS OFBONDS Section301-DescriptionofBonds;Payment 21 Section302-Legends ..................................23 Section303-Executionand Authentication .............................23 Section304-Interchangeability ofBonds 24 Section305 ~Negotiability,Transfer andRegistry ........................24 Section306-Regulations with Respect to Exchanges and Transfers .........25 Section307-BondsMutilated,Destroyed,Stolenor Lost..................25 Section308-Preparation of Definitive Bonds;Temporary Bonds............26 Section309-Cancellation and Destruction ofBonds 27 ARTICLE IV REDEMPTION OFBONDS Section401-Redemption Provisions..................................28 Section402-Noticeof Redemption ...................................28 Section403-PartiallyRedeemedFullyRegisteredBonds 30 ARTICLE V CUSTODY AND APPLICATION OFCERTAIN PROCEEDS OFBONDS Section501-Application ofCertain Proceeds .....:.....................31 Section502-Loans ....................................31 Section503-Retentionand Inspection of Documents 32 ARTICLE VI ESTABLISHMENT OFFUNDSAND ACCOUNTS AND APPLICATION THEREOF Section601-Pledge 33 Section602-Establishment ofFundsand Accounts ......................33 ALASKA MUNICIPAL BOND BANK Table of Contents (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page1 Section603-ReserveFund.........................................34 Section604-Interest Account,Principal Account and Redemption Account ...36 Section605-Rebate Fund..........................................39 Section606-Operating Fund 41 Section607-Reduction ofRequiredDebtServiceReserve 42 Section608-Trustee's Maintenance ofRecordson Payment ofBonds.......42 Section609-Obtaining Credit Enhancements and Interest Rate Exchange Agreements ..........................................42 Section610-Creation of Additional Funds,Accounts and Subaccounts;Separate Credit Enhancement Funds;PledgewithRespectto Credit Enhancements and Interest Rate Exchange Agreements 43 ARTICLE VII SECURITY FOR DEPOSITS AND INVESTMENT OFFUNDS Section701-Security for Deposits 44 Section702-Investment ofFundsand Accounts Heldbythe Trustee 44 Section703-Liabilityof Trustee for Investments.........................46 ARTICLE VIII THE TRUSTEE ANDTHEPAYING AGENTS Section801-Appointment and Acceptance ofDutiesof Trustee 46 Section802-Appointment and Acceptance ofDutiesofPaying Agents .......46 Section803-Responsibilities of Fiduciaries 47 Section804-Evidence onWhich Fiduciaries MayAct 49 Section805-Compensation 50 Section806-PermittedActsand Functions.............................50 Section807-Resignation of Trustee ..................................50 Section808-Removalof Trustee 51 Section809-Appointment of Successor Trustee 51 Section810-Transfer ofRightsandPropertyto Successor Trustee 52 Section811-Merger or Consolidation .................................52 Section812-Resignation orRemovalofthePaying Agents and Appointment of Successors .....................53 Section813-Evidence of Signatures of Bondholders and Ownership of Bonds.53 ARTICLE IX COVENANTS OFTHEBANK Section901-Payment ofBonds 55 Section902-Extension of Payment ofBonds...........................55 Section903-Offices forServicingBonds 55 Section904-Further Assurances 56 Section905-PowertoIssueBondsandMakePledges 56 Section906-General Covenants oftheBank...........................57 ALASKA MUNICIPALBOND BANK Table of Contents (Amended) 1:\Docs\37420001\Resolulions\2005 General Obligation Bond Resolution.wpd Page2 Section907-Accounts andReports 58 Section908-PersonnelandServicingofPrograms 59 Section909-Waiver ofLaws........................................59 Section910-FeesandCharges 59 Section911-Administration ofReserveFund...........................60 Section912-Issuance of Additional Obligations.........................61 Section913-Loan Agreement Provisions..............................62 Section914-Modification ofLoan Agreement Terms.....................64 Section915-Saleof Municipal BondsbyBank 65 Section916-Disposition oftheProceedsofSaleor Redemption of Municipal Bonds 65 Section917-Enforcement ofMunicipalBonds 65 Section918-Continuing Disclosure;Bankruptcy.........................66 Section919-Tax Covenants 66 ARTICLE X SERIES RESOLUTION AND SUPPLEMENTAL RESOLUTIONS Section1001-Modification and Amendment without Consent 67 Section1002-Supplemental Resolutions Effectivewith Consent of Bondholders 68 Section1003-GeneralProvisionsRelatingtoSeries Resolutions and Supplemental Resolutions 68 ARTICLE XI AMENDMENTS Section1101-Powersof Amendment.................................69 Section1102-Consent of Bondholders................................70 Section1103-Modifications by Unanimous Consent 72 Section1104-Mailingand Publication.................................72 Section1105-ExclusionofBonds....................................72 Section1106-NotationonBonds 73 ARTICLE XII DEFAULTS AND REMEDIES Section1201-Trustee toExercisePowersof Statutory Trustee.............73 Section1202-EventsofDefault 73 Section1203-Remedies...........................................74 Section1204-PriorityofPayments After Default 76 Section1205-Termination of Proceedings .............................78 Section1206-Bondholders'Directionof Proceedings.....................78 Section1207-LimitationonRightsof Bondholders.......................79 Section1208-Possession ofBondsby Trustee NotRequired 80 Section1209-Remedies Not Exclusive................................80 ALASKAMUNICIPALBONDBANK Table of Contents (Amended) 1:\Docs\37420001\Resolulions\2005 General Obligation Bond Resolulion.wpd Page3 Section1210-No Waiver ofDefault 80 Section1211-NoticeofEventof Default...............................80 ARTICLE XIII DEFEASANCE Section1301-Defeasance 81 ARTICLE XIV MISCELLANEOUS Section1401-Preservation and Inspection of Documents 84 Section1402-Partiesof Interest ,84 Section1403-No Recourse UnderResolutionoronBonds................84 Section1404-Severability ..........................................85 Section1405-Headings 85 Section1406-Conflict ,85 Section1407-Governing Law ,85 Section1408-EffectiveDate........................................85 ALASKA MUNICIPAL BOND BANK Table of Contents (Amended) I:\Docs\37420001\Resclutions\2005 General Obligation Bond Resolution.wpd Page4 GENERAL OBLIGATION BOND RESOLUTION A RESOLUTION CREATING AND ESTABLISHING AN ISSUEOFBONDSOFTHE ALASKA MUNICIPAL BOND BANK;PROVIDING FORTHE ISSUANCE FROMTIME TOTIMEOFSAIDBONDS;PROVIDING FORTHE PAYMENT OF PRINCIPAL OFAND INTEREST ONSAID BONDS;AND PROVIDING FORTHERIGHTSOFTHE HOLDERS THEREOF. BEIT RESOLVED bytheBoardofDirectorsoftheAlaska Municipal BondBank asfollows: ARTICLE I STATUTORY AUTHORITY AND DEFINITIONS Section101-Authority forThisResolution.This Resolution isadopted pursuant tothe provisions oftheAct. Section102-Resolution Constitutes Contract.In consideration ofthe purchase and acceptance oftheBondsby those whoshallholdthesamefromtimetotime,the provisions ofthisResolutionshallbeapartofthecontractoftheBankwiththeHolders ofBondsandshallbe deemed tobeandshall constitute a contract betweentheBank, the Trustee andtheHoldersfromtimetotimeoftheBonds.Thepledge hereof andthe provisions,covenants and agreements hereinsetforthtobe performed byoron behalf oftheBankshallbeforthebenefit,protection and security ofthe Holders ofanyand allofsuchBonds.EachBond,Credit Enhancement facility,and Interest Rate Exchange Agreement,regardless ofthetimeortimesofitsissueormaturity,shallbe ofequalrank without preference,priority ordistinctionoverany other Bond,Credit Enhancement facility,or Interest Rate Exchange Agreement except as expressly providedinthisResolution. Section103-Definitions.Thefollowingtermsshall,forall purposes ofthis Resolution,havethefollowing meanings unlessthe context shallclearly indicate some other meaning: "Accountant's Certificate"shallmeana certificate signedbyan independent certifiedpublic accountant orafirmof independent certified public accountants selected bytheBank. "AccretedAmount"shallmean,withrespecttoCapital Appreciation ofBondsof anySeriesandasofthedateofcalculation,theamountestablished pursuant tothe SeriesResolutionauthorizingsuchCapitalAppreciationBondsastheamount representingtheinitialpublicofferingprice,plusthe accumulated andcompounded principalandinterestonsuchBonds. "Act"shallmeantheAlaskaMunicipalBondBank Authority Act,constituting Chapter85,Title44,oftheAlaskaStatutes,asamendedtothedateofadoptionofthis Resolution. "Administrative Expenses"shallmeantheBank's expenses ofcarryingoutand administeringitspowers,dutiesandfunctions,asauthorizedbytheAct,andshall include,withoutlimitingthe generality oftheforegoing:administrative andoperating expenses,legal,accountingandconsultant'sservicesandexpenses,paymentsto pension,retirement,healthandhospitalizationfunds,andany other expensesrequired orpermittedtobepaidbytheBankundertheprovisionsoftheActorthisResolution orotherwise. "AggregateDebtService"foranyperiodshallmean,asofanydateofcalculation andwithrespecttoallBonds,thesumoftheamountsofDebtServiceforsuchperiod. "AnnualDebtService"shallmeanthetotalamountofDebtServiceforany OutstandingBondsinanyFiscalYear. "Authorized Denominations"withrespecttoanySeriesofBondsissued hereunder,hasthemeaningspecifiedintherelatedSeriesResolution. "AuthorizedOfficer"shallmeantheChairman,ViceChairman,Executive Secretary,orExecutiveDirectoroftheBankandanyotherdirector,officer oremployee oftheBankauthorizedbyresolutionoftheBanktoperformsuchactordischargesuch debt. "Bank"shallmeantheAlaskaMunicipalBondBank,apublicbodycorporateand politicconstitutedasapubliccorporationand instrumentality oftheStateofAlaska withintheDepartmentofRevenuebuthavingalegalexistence independent ofand separatefromtheStateexercisingpublicandessential governmental functionsand ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page2 created bytheAct,oranybody,agency or instrumentality of theStatewhichshall hereafter succeed tothepowers,duties and functions of theBank. "Beneficial Owner"shallmeanthe person in whose name aBondis recorded as the beneficial owner of suchBondbythe respective systems of DTCandtheDTC Participants orthe Holder oftheBondiftheBondisnotthenheldin book-entry form. "Bond"or "Bonds"shallmeanany Alaska Municipal BondBankBondorBonds, or Alaska Municipal BondBank Authority BondorBonds,asthecase may be, authenticated and delivered under this Resolution pursuant toa Series Resolution. "Bondholder"or "Holder"or words of similar import,whenusedwith reference toaBondorBonds,shallmeanany person who shallbethe registered owner of any Outstanding BondorBondsissuedinfully registered formorthe bearer ofanyBond orBondsissuedin bearer formor registered tobearer.When all Bonds ofa Series are heldbya securities depository,"Bondholder"or "Holder"shallmeanthe beneficial owner oftheSeriesin question determined under therulesof that securities depository; otherwise "Bondholder"or "Holder"means owner of recordonthebond register maintained bythePaying Agent.Tothe extent thatthefull payment ofthe interest on and principal of Bonds of a Series is secured by Credit Enhancement,the Credit Enhancement Agency shallbe considered tobethe "Bondholder"or "Holder"ofallthe Bondsofthat Series for purposes of exercising anyrightswith respect to supplements and amendments tothis Resolution ifthe Credit EnhancementAgreement so provides. "Bond Year"shall mean each one-year periodthatendsonan anniversary ofthe date of issue oftheBonds. "Book-Entry System"shall mean the system inwhichthe Bonds (represented byoneBond certificate for each maturity of the Bonds)are delivered intothe possession ofDTCandareissuedand fully-registered asto principal and interest inthe nameofCede&Co.,and whereby beneficial interests intheBondsare purchased by investors throughDTCParticipants,such interests shownand transfers thereof effected only through the records maintained bythe respective DTC Participants from whom eachsuch investor acquired such beneficial interest. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1;\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page3 "Business Day"shallmeananydayotherthanaSaturdayorSundayorany otherdayonwhichbanksinNewYork,Alaska,orthestateorstatesinwhichany Trusteeappointed hereunder performsitsdutieshereunderareauthorizedorrequired tobeclosedorareclosed. "CapitalAppreciationBonds"shallmeanBonds,theinterestonwhich(a)is compoundedandaccumulatedattheratesandonthedatessetforthintheSeries ResolutionauthorizingtheissuanceofsuchBondsanddesignatingthemasCapital AppreciationBonds,and(b)ispayableuponmaturityorredemptionofsuchBonds. "ContinuingDisclosureCertificate"shallmean,foreachSeries,thecontinuing disclosurecertificateexecutedbytheBankforthepurposeofsatisfyingthecontinuing disclosurerequirementsofRule15c2-12oftheSecuritiesandExchangeCommission withrespecttosuchSeries,assuchcontinuingdisclosure certificate isoriginally executedandasitmaybeamendedfromtimetotimeinaccordancewithitsterms. "Counsel'sOpinion"shallmeananopinionsignedbyan attorney orfirmof attorneysofnationallyrecognized standing inthefieldoflawrelatingtostateand municipalfinancing(whomaybecounseltotheBank)selectedbytheBankand acceptabletotheTrustee. "Credit Enhancement"shallmeanaletterofcredit,alineofcredit,acredit facility,asuretybond,bondinsurance,oranyother instrument or arrangement obtainedinconnectionwiththeissuanceofaSeriesofBondstofurthersecurethe paymentoftheBondsofsuchSeriesortosatisfytheReserveFundRequirement. "Credit Enhancement Agency"shallmeananybankorotherinstitutionthat providesCreditEnhancement. "CurrentInterestBonds"shallmeanBondsnotconstitutingCapital Appreciation Bonds.InterestonCurrentInterestBondsshallbepayableperiodicallyontheInterest PaymentDatesprovided therefor inaSeriesResolution. "DebtService"shallmeanforanySeriesofBondsOutstanding,anamount equaltothesumof(a)all interest payableduringsuchperiodofcalculation,plus(b) ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 GeneralObligation Bond Resolution.wpd Page4 the Principal Installments,ifany,payable duringsuchperiod of calculation onsuch Series ofBonds. "Executive Director"shallmeanthe Executive Director or Acting Executive Director of theBank. "Fees and Charges"shallmeanallfeesand charges authorized tobe charged bytheBank pursuant tosection 44.85.080(8),(15)and(16)ofthe Act and charged by the Bank to Governmental Units pursuant tothe terms and provisions of Loan Agreements. "Fiduciary"or "Fiduciaries"shallmeanthe Trustee,andPaying Agent,oranyor allofthem,as may be appropriate. "Fiscal Year"shallmeanany twelve (12)consecutive calendar months commencing withthefirstday of Julyand ending onthelastday of the following June orsuch other date asis authorized by statute and/or selected bytheBank. "Fitch"shallmeanFitchRatings,organized and existing under thelaws of the State of Delaware,its successors and their assigns,and,ifsuch organization shallbe dissolved or liquidated orshallno longer perform the functions ofa securities rating agency,"Fitch"shallbe deemed torefertoany other nationally recognized securities rating agency (other than Standard &Poor's or Moody's)designated bythe Authorized Officer. "Government Obligations"shallmean direct obligations of,or obligations of the payment of and interest onwhichare unconditionally guaranteed by,theUnited States of America. "Governmental Unit"shallmeana municipality orsuch other entity ofwhichthe Bank is authorized bylawto purchase its revenue bonds,general obligation bonds, notes,or other forms of indebtedness andwhich otherwise satisfies conditions found hereinandintheLoan Agreement. "Governmental Unit's Allocable Proportion"shallmeanthe proportionate amount ofthetotal requirement in respect of whichthetermisused determined bytheratio that ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolulions\2005 General Obligation Bond Resolution.wpd Page5 theLoanthen outstanding tosuch Governmental Unit bears tothetotal of allLoans then outstanding toall Governmental Units. "Interest Account"shallmeanthe account by that name established by Section 602. "Interest Payment Date"shallmeanany date upon which interest onany Bonds is payable in accordance withthe terms thereof. "Interest Rate Exchange Agreement"shallmeanan agreement entered intoby the Bank orthe Trustee,on behalf oftheBank,providing for an interest ratecap,floor orswapwith respect toany Bonds or Municipal Bonds. "Investment Securities"shallmeanthe following tothe extent permitted bythe Act andthelaws of the State of Alaska: (1)Governmental Obligations; (2)Bonds,debentures,notes or other evidence of indebtedness issuedor guaranteed byanyofthe following federal agencies and provided such obligations are backed bythefullfaithand credit ofthe United States of America (stripped securities areonly permitted if they have been stripped bythe agency itself); (a)FarmersHome Administration ("FmHA")Certificates of Ownership; (b)FederalHousing Administration ("FHA")Debentures; (c)General Services Administration Participation certificates; (d)Government National Mortgage Association ("GNMA"or "Ginnie Mae")GNMA-guaranteed mortgage-backed bonds or GNMA- guaranteed pass-through obligations (participation certificates); (e)UnitedStatesMaritime Administration Guaranteed Title XI financing; (f)UnitedStates Department of Housing andUrban Development ("HUD'J Project Notes Local Authority Bonds; ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page6 (3)Bonds,debentures,notesorotherevidenceofindebtedness issuedorguaranteedbyanyofthefollowing government agencies(stripped securitiesareonlypermittediftheyhavebeenstrippedbytheagencyitself); (a)Federal Home Loan Bank System.Seniordebtobligations (Consolidateddebtobligations); (b)Federal Home Loan Mortgage Corporation.("FHLMC"or "FreddieMac")ratedAAAbyStandard&Poor'sandAaabyMoody's ParticipationCertificates (Mortgage-backed securities)Seniordebt obligations; (c)Federal National Mortgage Association.("FNMA"or"Fannie Mae")ratedAAAbyStandard&Poor'sandAaabyMoody's Mortgage-backedsecuritiesandseniordebtobligations(excludedare strippedmortgagesecuritieswhicharevaluedgreaterthanparonthe portionofunpaidprincipal); (d)Student Loan Market Association.("SLMA"or"SallieMae") Seniordebtobligations; (e)Resolution Funding Corp.("REFCORP")Onlytheinterest component ofREFCORPstripswhichhavebeenstrippedbyrequestof theFederalReserveBankofNewYorkinbook-entryformare acceptable;and (f)Farm Credit System.Consolidatedsystemwidebonds. (4)MoneymarketfundsregisteredundertheFederalInvestment CompanyActof1940,whosesharesareregisteredundertheFederalSecurities Actof1933,andhavingaratingbyS&Pof"AAAm-G,""AAAm"or"AAm"orby Moody'sof"Aaa"includingfundsfromwhichtheTrusteeoritsaffiliatesreceive feesfor investment advisoryorotherservicestosuchfund; (5)CertificatesofDeposit("CD")securedatalltimesbycollateral describedin(a)and/or (b)above.CD'smusthaveaone-yearorlessmaturity. Suchcertificatesmustbeissuedbycommercialbanks,savingsandloan ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1;\Docs\37420001\Resolulions\2005 General Obligation Bond Resolution.wpd Page7 associationsormutualsavingsbankswhoseshort-termobligationsarerated "A-I+"orbetterbyS&P,and"Prime-1"orbetterbyMoody's.Thecollateralmust beheldbyathirdpartyandthethirdpartymusthaveaperfectedfirstsecurity interestinthecollateral; (6)Certificatesofdeposit,savingsaccounts,depositaccountsor moneymarketdepositswhicharefullyinsuredbytheFederalDepositInsurance Corporation("FDIC"),includingBankInsuranceFund("BIF")andSavings Association InsuranceFund("SAIF"); (7)Commercialpaperrated"Prime-1"byMoody'sand"A-1+"orbetter byS&Pandwhichmaturesnotmorethan270daysafterthedateofpurchase; (8)Bondsornotesissuedbyanystateor municipality whicharerated byMoody'sandS&Pinthehighestlong-termratingcategoryassignedbysuch agencies; (9)Federalfundsorbankers acceptances withamaximumtermof oneyearofanybankwhichhasanunsecured,uninsuredandunguaranteed obligationratingof"Prime-1"byMoody'sand"A-1+"byS&P; (10)Repurchaseagreementsprovidingforthe transfer ofsecurities fromadealerbankorsecuritiesfirm(seller/borrower)toamunicipalentity (buyer/lender),andthe transfer ofcashfromamunicipalentitytothe dealer bankorsecuritiesfirmwithanagreementthatthedealerbankorsecuritiesfirm willrepaythecashplusayieldtothemunicipalentityinexchangeforthe securities ata specifieddate;provided,however,thatthe repurchase agreement mustsatisfycertaincriteriaarticulatedinwritingtotheBankbytheRating Agenciesandsuchagreementmustbeapprovedinwriting priorto itsacquisition byeachbondinsurertheninsuringanySeriesofBonds;and (11)Investmentcontractswithprovidersthelongterm,unsecureddebt obligationsofwhichareratedatleast"Aaa"bytheRatingAgencies. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\200S General Obligation Bond Resolulion.wpd Page8 "Loan"shallmeanaloanheretoforeor hereafter madebytheBanktoa GovernmentalUnitpursuanttotheActandmoreparticularlydescribedintheapplicable SeriesResolution. "LoanAgreement"shallmeananagreement,andany amendments thereto, heretoforeorhereafterenteredintobetweentheBankanda Governmental Unitsetting forththetermsandconditionsofaLoan. "LoanObligation"shallmeanthatamountofBondsandtheBondsthemselves issuedbytheBankforthepurchaseofMunicipalBondsofa Governmental Unit. "MaximumAnnualDebtService"shallmean,withrespecttoanyOutstanding SeriesofBonds,thehighestremainingAnnualDebtServiceforsuchSeriesofBonds. "Moody's"shallmeanMoody'sInvestorsService,Inc.,acorporationduly organizedandexistingunderandbyvirtueofthelawsoftheStateofDelaware,and itssuccessorsandassigns,exceptthatifsuchcorporationshallbedissolvedor liquidatedorshallnolongerperformthefunctionsofasecuritiesratingagency,then theterm"Moody's"shallbedeemedtorefertoanyother nationally recognized securitiesratingagency(otherthanFitchorStandard &Poor's)designatedbythe AuthorizedOfficer. "MunicipalBonds"shallmeangeneralobligationbonds,revenuebonds,notes orotherevidencesofdebtissuedbyanyGovernmentalUnitasnowor hereafter definedintheActwhichhaveheretoforebeenorwill hereafter beacquiredbytheBank asevidenceofaLoantotheGovernmentalUnitpursuanttotheAct. "MunicipalBondsInterestPayment"shallmeanthatportionofaMunicipal BondsPaymentmadeorrequiredtobemadebyaGovernmentalUnittotheBank whichrepresentstheinterestdueortobecomedueonthe Governmental Unit's MunicipalBonds. "MunicipalBondsPayment"shallmeantheamountspaidorrequiredtobepaid, fromtimetotime,forprincipalandinterestbyaGovernmentalUnittotheBankonthe GovernmentalUnit'sMunicipalBonds. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) I:\Docs\37420001\Resolutions\2005 GeneralObligationBond Resotution.wpd Page9 "MunicipalBondsPrincipal Payment"shallmeanthatportionofa Municipal Bonds Payment madeorrequiredtobemadebya Governmental UnittotheBank whichrepresentstheprincipaldueortobecomedueonthe Governmental Unit's MunicipalBonds. "Notes"shallmeanany obligations referredtohereinissuedbytheBank other thanBonds. "Operating Fund"shallmeanthefundbythatname established bySection602. "Outstanding"whenusedwith reference toBonds,otherthanBondsreferredto inSection1105hereof,shallmean,asofanydate,allBonds theretofore or thereupon being authenticated and delivered under thisResolutionexcept: (1)AnyBondscanceledbytheBankorthe Trustee atorpriortosuchdate; (2)Bondsforthe transfer or exchange oforinlieuoforin substitution for whichotherBondsshallhavebeen authenticated anddelivered pursuant tothis Resolution;and (3)Bonds deemed tohavebeenpaidasprovidedin subsection (B)of Section1301. "Paying Agent"fortheBondsofanySeriesshallmeanthebankortrust company andits successor or successors,whichmayincludetheTrustee,designated bytheBankasPaying Agent pursuant tothe provisions ofthis Resolution andaSeries ResolutionoranyotherresolutionoftheBank adopted priorto authentication and delivery ofBondsforwhichsuchPaying Agent orPaying Agents shallbeso appointed. "Principal Account"shallmeanthe account bythatname established bySection 602. "Principal Installment"shallmean,asofanydateof calculation andwith respect tothe Outstanding BondsofanySeries,(i)theprincipal amount ofsuchBondswhich aredueonacertainfuturedate,reducedbythe aggregate principal amount ofsuch Bondswhichwouldberetiredbyreasonofthe payment whendueand application in accordance withthis Resolution ofSinkingFundPaymentspayablebeforesuchfuture dateforthe retirement ofsuchBondsor(ii)the unsatisfied balance ofanySinkingFund ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page10 Payment dueona certain future date for suchBonds,plusthe aggregate amount ofthe premiums,ifany,which would be applicable onsuch future dateuponthe redemption ofsuchBondsby application of such Sinking Fund Payments ina principal amount equaltosaid unsatisfied balance or(iii)ifsuch future dates coincide asto different Bonds of suchSeries,thesumofsuch principal amount ofBonds,unsatisfied balance and applicable premiums,ifanyor(iv)forany particular Series of Bonds the amount specified inthe Supplemental Resolution authorizing such Series ofBonds. "Put Bond"shallmeananyBondthatispartofa Series of Bonds subject to mandatory purchase bytheBank,its agent orathirdpartyfromthe Owner of theBond pursuant to provisions ofthe Series Resolution authorizing the issuance oftheBond. "Rating Agencies"shallmean Moody's,Standard &Poor'sandFitchor their respective successors and assigns and/or such other securities rating agency selected bytheBankto provide aratingwith respect toa Series ofBonds,orany portion thereof, whichRating Agency,as of the applicable date,shallhave assigned aratingtoany Series of Bondsorany portion thereof. "Rebate Calculation Date"shallmean,withrespecttoeach Series ofBonds,the interest payment date next preceding thefifth anniversary oftheissue date ofsuch Series of Bonds,eachfifth anniversary of theinitial Rebate Calculation Dateforsuch Series of Bonds,andthedateof retirement ofthelastbondforsuchSeries. "Rebate Fund"shallmeanthefundbythat name established by Section 602. "Rebate Requirement"shall mean the amount of arbitrage profits earned from the investment ofgross proceeds of the Bonds in nonpurpose investments described in Section 148(f)(2)of theCodeand defined as "Rebate Amount"in Section 1 .148-3 ofthe Treasury Regulations,whichare payable totheUnited States atthe times and inthe amounts specified in Section 148(0)(3)oftheCodeand Section 1.148-3 ofthe Treasury Regulations. "Record Date"shallhavethe meaning setforthinthe Series Resolution authorizing the particular Series ofBonds. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resorution.wpd Page11 "Redemption Account"shallmeantheaccountbythatnameestablishedby Section602. "Redemption Price"shallmean,withrespecttoanyBond,theprincipalamount thereof,plustheapplicablepremium,ofany,payableuponredemption thereof pursuant totheprovisionsofsuchBond,thisResolutionandtheSeriesResolution pursuanttowhichthesamewasissued. "RefundingBonds"shallmeanallBonds,whetherissuedinoneormoreseries, authenticated anddeliveredonoriginalissuanceforthepurposeofrefundingBonds orotherobligationsoftheBankandallBonds thereafter authenticatedanddelivered uponthe transfer orexchangeoforinlieuoforinsubstitutionforsuchBond pursuant tothisResolution. "Regular RecordDate"shallmean,unlessotherwiseprovidedinaSeries Resolution,withrespecttotheBonds,thefifteenth(15th)day immediately preceding eachInterestPaymentDate(ortheBusinessDayimmediatelyprecedingsuchfifteenth (15th)day,ifsuchfifteenth(15th)dayisnotaBusinessDay). "RequiredDebtServiceReserve"shallmeanasofanydateofcalculation,the amountrequiredtobeondepositintheReserveFundwhichamountshallbeatleast equaltotheReserveFundRequirement. "ReserveFund"shallmeanthe2005GeneralObligationBondResolution ReserveAccountestablishedbySection602withintheAlaskaMunicipalBondBank ReserveFundcreatedbySection 44.85.270 oftheAct. "ReserveFundObligations"shallmeantheamountofBondsissuedbytheBank toobtainfundsdepositedintheReserveFund. "ReserveFundRequirement"shallmeantheleastof (i)MaximumAnnualDebt ServicewithrespecttoallBondsOutstanding;(ii)125%ofAverageAnnualDebt ServicewithrespecttoallBondsOutstanding;(iii)10%oftheinitialprincipalamount ofeachSeriesofBondsthenOutstanding,or(iv)suchloweramountasmaybe requiredbylaw.TheReserveFundRequirementmaybesatisfiedentirely,orinpart, byCredit Enhancement asprovidedforherein;provided,however,anyCredit ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) r:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolulion.wpd Page12 Enhancement satisfyingalloranypartoftheReserveFund Requirement aftertheinitial issuanceofBondsorissuedinsubstitutionforanypriorCredit Enhancement previously issuedshallnot,byitself,causeawithdrawaloradownwardrevisionoftheratings maintainedbyanyRatingAgencywithrespecttotheBonds. "Resolution"shallmeanthisGeneralObligationBondResolutionasfromtime totimeamendedorsupplementedbySupplementalResolutionsorSeriesResolutions inaccordancewiththetermsandprovisionshereof. "SecurityInstrument"shallmeanan instrument orotherdeviceissuedbya SecurityInstrumentIssuertopay,ortoprovidesecurityorliquidityfor,aSeriesof Bonds.Theterm"SecurityInstrument"includes,bywayofexampleandnotof limitation,lettersofcredit,bondinsurancepolicies,standbybondpurchase agreements,linesofcreditandothersecurityinstrumentsandcredit enhancement or liquiditydevices;provided,however,thatnosuchdeviceor instrument shallbea "SecurityInstrument"forpurposesofthisResolutionunless specifically sodesignated inaSeriesResolutionauthorizingtheuseofsuchdeviceorinstrument. "SecurityInstrument Agreement"shallmeananyagreemententeredintobythe BankandaSecurityInstrumentIssuer pursuant toaSeriesResolutionand/orthe applicableportionsofaSeriesResolutionprovidingfortheissuancebysuchSecurity InstrumentIssuerofaSecurityInstrument. "SecurityInstrumentCosts"shallmean,withrespecttoanySecurityInstrument, allfees,premiums,expensesandsimilarcosts,otherthanSecurity Instrument RepaymentObligations,requiredtobepaidtoaSecurity Instrument Issuerpursuant toaSecurityInstrument Agreement ortheSeriesResolutionauthorizingtheuseof suchSecurityInstrument.SuchSecurity Instrument Agreement orSeriesResolution shallspecifyanyfees,premiums,expensesandcostsconstitutingSecurity Instrument Costs. "Security Instrument Issuer"shallmeananybankorotherfinancialinstitution, insurancecompany,suretycompanyorotherinstitutionissuingaSecurityInstrument. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolulions\2005 General Obligation Bond Resolution.wpd Page13 "Security Instrument RepaymentObligations"shallmean,asofanydateof calculationandwithrespecttoanySecurity Instrument Agreement,anyoutstanding amountspayablebytheBankundertheSecurityInstrument Agreement ortheSeries ResolutionauthorizingtheuseofsuchSecurityInstrumenttorepaytheSecurity InstrumentIssuerforpaymentspreviouslyorconcurrentlymadebytheSecurity InstrumentIssuerpursuanttoaSecurityInstrument.Thereshallnotbeincludedinthe calculationoftheamountofSecurityInstrumentRepaymentObligationsanySecurity InstrumentCosts.EachSecurity Instrument Agreement ortheSeriesResolution authorizingtheuseofsuchSecurityInstrumentshallspecifyanyamountspayable underitwhich,whenoutstanding,shallconstituteSecurityInstrumentRepayment Obligationsandshallspecifytheportionsofanysuchamountsthatareallocableas principalofandasinterestonsuchSecurityInstrumentRepaymentObligations. "SeriesofBonds"or"BondsofaSeries"orwordsofsimilarmeaningshallmean theSeriesofBondsauthorizedbyaSeriesResolution. "SeriesResolution"shallmean.aresolution ofthe Bankauthorizingtheissuance ofaSeriesofBondsinaccordancewiththetermsandprovisions hereof andadopted inaccordancewithArticleX. "SinkingFundInstallment"shallmean,asofanyparticulardateofcalculation andwithrespecttotheOutstandingBondsofanySeries,theamountrequiredtobe paidatalleventsbytheBankonasinglefuturedatefortheretirementofBondsof suchSerieswhichmatureaftersaidfuturedate,butdoesnotincludeanyamount payablebytheBankbyreasononlyofthematurityofaBond. "Standard &Poor's"shallmeanStandard &Poor'sRatingsServices,aDivision ofTheMcGraw-HiliCompanies,Inc.,anditssuccessorsandassigns,exceptthatif suchcorporationordivisionshallbedissolvedorliquidatedorshallnolongerperform thefunctionsofasecuritiesratingagency,thentheterm"Standard &Poor's"shallbe deemedtorefertoanyothernationallyrecognizedsecuritiesratingagency(otherthan Moody'sorFitch)designatedbytheAuthorizedOfficer. "State"shallmeantheStateofAlaska. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page14 "Supplemental Resolution"shallmeanaresolution supplemental toor amendatory ofthisResolution,(otherthanaSeriesResolution)adoptedbytheBank inaccordancewithArticleX. "Trustee"shallmeanthebankortrustcompanyappointedpursuanttoSection 801toactastrusteehereunder,anditssuccessororsuccessorsandanyotherbank ortrustcompanyatanytimesubstitutedinitsplacepursuanttothisResolution. "VariableRateBonds"shallmean,asofanydateofcalculation,Bondsthe termsofwhichonsuchdateofcalculationaresuchthatinterestthereonforanyfuture periodoftimeisexpressedtobecalculatedataratewhichisnot susceptible toa precise determination. Wordsofthemasculinegendershallbedeemedandconstruedtoinclude correlativewordsofthefeminineandneutergenders.Unlessthe context shall otherwiseindicate,wordsimportingthesingularnumbershallincludetheplural number andviceversa,andwordsimportingpersonsshallinclude corporations and associations,includingpublicbodies,aswellasnaturalpersons. Theterms"hereby,""hereof,""hereto,""herein,""hereunder,"andanysimilar terms,asusedinthisResolution,refertothisResolution. ARTICLEII AUTHORIZATION ANDISSUANCEOFBONDS Section201-AuthorizationofBondsandInterestRateExchangeAgreements. (A)Bondsareherebyauthorizedforissuance hereunder bytheBank.TheBondsmay beissuedinoneormoreSeriespursuanttooneormoreSeriesResolutionswhich shallstatethepurposeorpurposesforwhicheachSeriesofBondsisbeingissuedas hereinafter providedwithoutlimitationastoamountexceptasprovidedinthis Resolutionorasmaybelimitedbylaw.InterestRateExchange Agreements mayonly beexecutedanddeliveredbytheBankinconnectionwiththeissuanceanddeliveryof aSeriesofBondshereunderorinconnectionwiththerenewal,substitutionor extensionofanInterestRateExchangeAgreement. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) I:\Docs\37420001\Resolu!ions\2005 General Obligation BondResolution.wpd Page15 (B)ThereisherebycreatedbythisResolution,inthe manner andtotheextent providedherein,a continuing pledgeandlientosecurethefullandfinal payment ofthe principalor Redemption Priceof,interest onandSinkingFund Installments for,allof theBondsissued pursuant tothisResolution.TheBondsshallbegeneral obligations oftheBankpayableastoprincipalor Redemption Priceof,interest on,andSinking Fund Installments fortheBondssolelyfromthesourcesprovidedinthisResolutionand anySeriesResolution.TheStateshallnotbeliableontheBondsandtheBondsshall notbea debt orliability,or constitute a pledge orloanofthefaithandcredit,ofthe State.TheBondsshallcontainontheface thereof a statement tothe effect thatthe Bankisobligatedtopaytheprincipalor Redemption Price,ifany,oftheBondsandthe interest thereononlyfromrevenuesorfundsoftheBankandthattheStateisnot obligatedtopaysuchprincipalor Redemption Price,ifany,or interest andthat neither thefaithandcreditnorthetaxing power oftheStateispledgedtothe payment ofthe principalor Redemption Price,ifany,of,orthe interest on,theBonds. Section202-Issuance andDelivervofBonds.After their authorization bya SeriesResolution,BondsofaSeriesmaybeexecutedbyoron behalf oftheBankand delivered tothe Trustee for authentication and,upon compliance bytheBankwiththe requirements,ifany,setforthinsuchSeriesResolutionandwiththe requirements of Section203or,inthecaseof Refunding Bonds,Section204,the Trustee shall thereupon authenticate and deliver suchBondstooruponthe order oftheBank. Section203-Provisions for Issuance ofBonds.(A)The issuance oftheBonds shallbeauthorizedbyaSeriesResolutionorSeries Resolutions oftheBankadopted subsequent heretoandtheBondsmaybeissuedinoneormoreSeries.TheBonds ofeachSeries,includingRefundingBonds,shall,inadditiontothetitle "Alaska MunicipalBondBankGeneral Obligation Bonds,"containsuch further appropriate particular designations addedtosuchtitleandthe appropriate Series designation as theBankmay determine insuchSeriesResolution.EachBondshall bear uponitsface the designations so determined fortheSeriestowhichitbelongs. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\ResoluUons\2005 General Obligation Bond Resolution.wpd Page16 (B)Each Series Resolution authorizing the issuance ofa Series of Bonds shall specify: (1)The authorized principal amount of said Series of Bonds; (2)The purposes for which such Series of Bonds isbeingissued,whichshall beoneor more ofthe following:(i)making Loans to Governmental Units,(ii)making payments intothe Reserve Fund,(iii)the funding ofNotes theretofore issued bythe Bank for any purposes for which Bonds may havebeen issued,(iv)the refunding of Bonds andrelated purposes,as provided in Section 204,and(v)any other purpose authorized bylaw; (3)The date andthe maturity date or dates and amounts ofeach maturity of the Bonds of said Series orthe method of determining thesame; (4)(i)The interest rateorrates(ifany)or maximum interest rateofthe Bonds ofsuchSeries,orthe method of determining suchrateorrates(whichmaybe determinable atoneor more specified times setforthinthe Series Resolution,which may accrete or compound withsuch frequencies orinsuch manner asshallbe specified insuch Series Resolution andwhichshallbeas otherwise specified inthe Series Resolution),andthe Interest Payment Datesand Record Dates therefor and(ii) a manner of calculating accreted value or compounded principal value during allor any part ofthe term ofthe Series of Bonds being authorized,if interest isnot payable currently andthe Bank determines that itis necessary or appropriate; (5)The denomination or denominations of,andthe manner of numbering and lettering,the Bonds ofsuchSeries,provided that each Bondshallbeofthe denomination of $5,000 ora multiple thereof,not exceeding the aggregate principal amount ofthe Bonds of such Series maturing inthe year of maturity of theBond for which the denomination istobe specified unless otherwise provided inthe Series Resolution authorizing the issuance ofsuchBonds; (6)ThePaying Agent or Paying Agents andthe place or places of payment of the principal and Redemption Price,ifany,ofand interest onthe Bonds ofsuch Series orthe manner of appointing and designating thesame; ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolulions\2005 General Obligation Band Resolulion.wpd Page17 (7)TheRedemptionPriceorPrices,ifany,and,subjecttotheprovisionsof ArticleIV,theredemptiontermsfortheBondsofsuchSeriesorthemethodof determiningthesame; (8)TheamountandduedateofeachSinkingFundInstallment,ifany,for BondsoflikematurityofsuchSeries,orthemethodofdeterminingsuchSinkingFund Installment; (9)TheformorformsoftheBondsofsuchSeriesandofthe Trustee's certificateofauthentication; (10)ThemannerofexecutionoftheBondsofsuchSeries; (11)If,atthetimeofissuanceoftheBondsofsuchSeries,anInterestRate Exchange Agreement willapplytosuchBondsorsuchBondsaretobesecuredby Credit Enhancement,theformofCredit Enhancement orInterestRateExchange Agreement tobeobtained,theidentityoftheCredit Enhancement Agencyorofthe counterparty totheInterestRateExchangeAgreement,andthesubstantialformofthe significant documents relatingtotheCredit Enhancement orInterestRateExchange Agreement; (12)IfBondsofsuchSeriesaretocontainanytenderorputoptionsorthelike, whethersuchBondsaretoberemarketedand,ifso,theidentityofanyremarketing agentandthesubstantialformofanyremarketing agreement relatingtosuchBonds; and (13)AnyotherprovisionsdeemedadvisablebytheBank,notinconflictwiththe provisionsofthisResolution. AllBondsofeachSeriesoflikematurityshallbeidenticalinallrespects,except astodenominations,interestrate,andnumbersandletters. (C)All(butnotlessthanall)theBondsofeachSeriesshallbeexecutedbythe BankforissuanceundertheResolutionanddeliveredtothe Trustee andthereupon shallbeauthenticatedbytheTrusteeandbyitdeliveredtotheBankortosuchother partyasmaybespecifiedinawrittenorderoftheBank,butonlyuponthereceiptby theTrusteeof: ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) I:\Docs\37420001\Resolulions\2005 General Obligation Bond Resolution.wpd Page18 (1)ACounsel'sOpiniontotheeffectthat(i)theBankhastherightandpower toexecuteanddeliverthisResolutionandtheSeriesResolutionauthorizingsuch SeriesundertheActasamendedtothedateofsuchOpinion;(ii)thisResolutionand suchSeriesResolutionhasbeendulyandlawfullyexecutedanddeliveredbytheBank, isinfullforceandeffectandisvalidandbindingupontheBankand enforceable in accordance withitsterms(subject,asto enforcement ofremedies,toapplicable bankruptcy,reorganization,insolvency,moratorium,orotherlawsaffectingcreditors' rightsgenerallyfromtimetotimeineffect);(iii)thisResolutionandsuchSeries Resolutioncreatesthevalidpledgeand assignment whichitpurportstocreateofthe MunicipalBonds,subjecttothe application thereof tothepurposesandonthe conditionspermittedbythisResolution;(iv)theBondsofsuchSeriesarevalidand bindinggeneralobligationsoftheBank,enforceable inaccordancewiththeirtermsand thetermsofthisResolutionandsuchSeriesResolution;and(v)theBondsofsuch Serieshavebeendulyandvalidlyauthorizedandissuedin accordance withthe constitutionandstatutesoftheState,includingtheActasamendedtothedateofsuch Opinion,andinaccordancewiththisResolution; (2)AwrittenorderastothedeliveryofsuchBonds,signedbyan Authorized Officer; (3)Eitheranoriginal ofthe SeriesResolutionauthorizingsuchSeriesoracopy thereof certifiedbyanAuthorizedOfficer; (4)ExceptinthecaseofRefundingBonds,acertificateofanAuthorizedOfficer statingthattheBankisnotindefaultintheperformanceofanyofthecovenants, conditions,agreementsorprovisionscontainedintheResolution; (5)Such further documents,moneysandsecuritiesasarerequiredbythe provisionsofthisSection203,andSection204,orArticleX,oranySeriesResolution or Supplemental ResolutionadoptedpursuanttoArticleX. Section204-ProvisionsforRefundingBonds.(A)Alloranypartofoneor moreSeriesofRefundingBondsmaybeauthenticatedanddeliveredtorefundall OutstandingBondsoranypartofoneormoreSeriesofOutstandingBonds.Refunding ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Oocs\37420001\Resolutians\2005 General Obligation Bond Resorution.wpd Page19 Bondsshallbeissuedinaprincipalamountsufficient,together withothermoneys available therefor,toaccomplishsuchrefundingandtomakesuchdepositsasare requiredbytheprovisionsoftheAct,thisSectionandoftheSeriesResolution authorizingsaidSeriesofRefundingBonds. (B)ASeriesofRefundingBondsmaybeauthenticatedanddeliveredonlyupon receiptbytheTrustee(inadditiontothereceiptbyitofthe documents requiredby Section203)of: (1)InstructionstotheTrusteetogiveduenoticeofredemption(whichnotice, inthecaseofanoptionalredemption,shallstatethattheredemptionisconditionedby theTrusteeonthereceiptof sufficient fundsforredemption)ofalltheBondstobe refundedontheredemptiondatespecifiedinsuchinstructions; (2)Either(i)moneys(whichmayincludealloraportionoftheproceedsofthe RefundingBondstobeissued)inanamountsufficienttoeffectpaymentatthe applicableRedemptionPriceoftheBondsorotherobligationstoberefunded,together withaccruedinterestonsuchBondsorotherobligationstotheredemptiondate,or(ii) directobligationsof(including obligations issuedorheldin book-entry formonthe booksof)theDepartmentofthe Treasury oftheUnitedStatesofAmericawhicharenot subjecttoredemptionpriortothedatesonwhichamountswillbeneededtomake paymentsontheBondsorother obligations toberefundedandtheprincipalofand interest onwhichwhendue,together withthemoneys(whichmayincludeallora portionoftheproceedsoftheRefundingBondstobeissued),ifany, contemporaneously depositedwiththeTrustee,willbesufficienttopaywhenduethe applicableRedemptionPriceoftheBondsorotherobligationstoberefunded,together withaccruedinterestonsuchBondsorotherobligationstotheredemptiondate,which moneysorInvestmentSecuritiesshallbeheldbytheTrusteeor anyone ormoreofthe PayingAgentsoranescrowagentortrusteeforotherobligationsinaseparateaccount irrevocably intrustforandassignedtotherespectiveHoldersoftheBondsorother obligationstoberefunded;and ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolulions\200S General Obligation Bond Resorution.wpd Page20 (3)AcertificateofanAuthorized Officer containingsuchadditionalstatements asmaybereasonablynecessarytoshowcompliancewiththerequirementsof subsection(A)andthissubsection(B)ofthisSection204. (C)FromandafterthedeliveryoftheRefundingBondsofaSeries,theTrustee shallmakeappropriate adjustment betweentheInterestAccountandPrincipalAccount whendisbursingandapplyingMunicipalBondsPaymentsdepositedintheDebtService Fundpursuanttothe provisions ofSection604totheendthatsuchportionofthe MunicipalBondsPaymentasshallrepresentMunicipalBondsInterestPaymentnot requiredfordepositintheInterest Account forthepurposeofpayinginterestaccruing upontheBondsshallbedepositedinthePrincipalAccount.Anysurpluswhichmight resultuponandaftersuchdepositshallbedisposedofinthemannerspecifiedinthe SeriesResolutionauthorizingsuchSeries. (D)NeitherInvestmentSecuritiesnormoneysdepositedwiththeTrusteeoran escrowagentortrusteeforotherobligationspursuanttoparagraph(B)(2)ofthis SectionnorprincipalorinterestpaymentsonanysuchInvestmentSecuritiesshallbe withdrawnorusedforanypurposeotherthan,andshallbeheldintrustfor,the paymentofthe applicable Redemption PriceoftheBondsorotherobligationstobe refunded,together withaccrued interest onsuchBondsorotherobligationstothe redemptiondate,andanycashreceivedfromsuchprincipalorinterestpayments,ifnot thenneededforsuchpurpose,shall,totheextentpracticable,bereinvestedinsuch Investment Securitiesasaredescribedinclause(ii)ofsaidparagraphmaturingat timesandinamounts sufficient topaywhenduetheapplicableRedemptionPriceof suchBondsorotherobligations,together withsuchaccruedinterest. ARTICLEIII GENERALTERMSANDPROVISIONSOFBONDS Section301-DescriptionofBonds;Payment.(A)TheBondsofeachSeries issuedundertheprovisions hereof maybeissuedonlyasregisteredbondsandsubject toSection303hereof,eachBondshallbeentitled"GeneralObligationBonds"and shallbearsuchadditionalletterornumberseriesdesignationasshallbedetermined ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resorutions\2005 General Obligation Bond Resolution.wpd Page21 intheSeries Resolution authorizingtheBondsoftheSeriesofwhichsuchBondisone. Unless otherwise specified intheSeries Resolution authorizing suchSeriesofBonds, BondsofeachSeriesshallbein Authorized Denominations eachorany integral multiplethereof,shallbenumbered consecutively from1upwardsandshallbear interest payable on Interest Payment Dates. (B)TheBondsofeachSeriesissued hereunder shallbedatedasofandbear interest fromthedatespecifiedintheSeries Resolution that authorized suchSeries, whichdatemaybe contemporaneous withorpriortoorafterthedateof issuance of suchBonds. (C)Boththeprincipalofandthe interest ontheBondsshallbepayableinany coinor currency oftheUnitedStatesofAmerica,asattherespectivetimeof payment shallbelegal tender for payment ofpublicandprivatedebts.Payment ofthe interest onanyBondshallbemadetotheperson appearing ontheBond registration booksof theBankkeptforsuch purpose bytheTrustee,the registrar hereinafter providedforas the Holder thereof,bycheckordraftmailedtotheHolderatherorhis address asit appears onsuch registration booksorto owners of$1,000,000ormorein aggregate principal amount ofBondsbywire transfer toabank account designated bytheHolder inwritten instructions furnishedtotheTrustee.The interest onBondssopayable,and punctually paidordulyprovidedfor,onany Interest Payment Datewillbepaidtothe personwhoisthe Holder thereof atthecloseof business onthe applicable Record Dateforsuchinterest.Theprincipalofandpremium,ifany,onBondsare payable upon presentation and surrender thereof attheprincipal corporate trustofficeofthe Trustee,aspayingagent,except as otherwise providedbySeriesResolution.Allsuch payments shallbevalidand effectual to satisfy and discharge theliabilityuponsuch Bondtothe extent ofthesumorsumssopaid. (D)TheBondsofeachSeriesmaycontainorhave endorsed thereon such provisions,specifications and descriptive wordsnot inconsistent withthe provisions hereof asmaybe necessary or desirable to comply withcustom,therulesofany ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Oacs\37420001\Reso[utions\2005 General Obligation Bond Resolution.wpd Page22 securities exchangeorcommissionorbrokerageboardorotherwise,asmaybe specifiedintheSeriesResolutionauthorizingsuchSeriesofBonds. Section302-Legends.TheBondsofeachSeriesshallcontainorhave endorsedthereona statement totheeffectthattheStateshallnotbeliablethereonand thatsuchBondshallnotbeadebtoftheStateandmaycontainorhaveendorsed thereonsuchprovisions,specificationsand descriptive wordsnotinconsistentwiththe provisionsofthisResolutionasmaybenecessaryordesirabletocomplywithcustom, orotherwise,asmaybedeterminedbytheBankpriortothedelivery thereof tothe Bondholder. Section303-ExecutionandAuthentication.(A)TheBondsshallbeexecuted inthenameoftheBankbythemanualorfacsimilesignatureofitsChairmanorVice- Chairmananditscorporateseal(orafacsimilethereof)shallbe thereunto affixed, imprinted,engravedorotherwisereproduced,andattestedbythemanualorfacsimile signatureofitsSecretaryorsuchofficeroremployeeoftheBankasshallbedirected bytheSeriesResolutionauthorizingtheissuancethereof,orinsuchother manner as mayberequiredbylaw.Incase anyone ormoreoftheofficersoremployeeswho shallhavesignedorsealedanyoftheBondsshallceasetobesuch officer or employeebeforetheBondssosignedandsealedshallhavebeenactually authenticatedanddeliveredbytheTrustee,suchBondsmay,nevertheless,be authenticatedanddeliveredashereinprovided,andmaybeissuedasifthepersons whosignedorsealedsuchBondshadnotceasedtoholdsuchofficesorbeso employed.AnyBondsofaSeriesmaybesignedandsealedon behalf oftheBankby suchpersonsasattheactualtimeoftheexecutionofsuchBondshallbeduly authorizedorholdtheproperofficeinor employment bytheBank,althoughatthedate oftheBondsofsuchSeriessuchpersonsmaynothavebeensoauthorizedorhave heldsuchofficeoremployment. (B)TheBondsofeachSeriesshallbearthereonacertificateofauthentication, intheformsetforthintheSeriesResolutionauthorizingsuchBonds,executed manuallybytheTrustee.OnlysuchBondsasshallbearthereonsuchcertificateof ALASKAMUNICIPALBOND BANK General Obligation Bond Resolution (Amended) l:\Docs\37420001\Resolutions\200S General Obligation Bond Resolution.wpd Page23 authentication shallbeentitledtoanyrightor benefit under the Resolution andnoBond shallbevalidor obligatory forany purpose untilsuch certificate of authentication shall havebeenduly executed bytheTrustee.Such certificate ofthe Trustee uponany Bond executed on behalf oftheBankshallbe conclusive evidence thattheBondso authenticated hasbeenduly authenticated anddeliveredunderthe Resolution andthat theHolder thereof isentitledtothebenefitsoftheResolution. Section304-Interchangeability ofBonds.Bonds,upon surrender thereof atthe corporate trustofficeofthe Trustee withawritten instrument of transfer satisfactory to theTrustee,duly executed bytheregisteredownerortheir attorney duly authorized in writing,may,attheoptionoftheregisteredownerthereof,be exchanged foranequal aggregate principal amount ofregisteredBondsofthesameSeries,maturity,and interest rateasthe surrendered Bond. Section305-Negotiability,Transfer andRegistry.AlltheBondsissued under thisResolutionshallbe negotiable asprovidedintheAct,subject tothe provisions for registration and transfer contained inthisResolutionandintheBonds.Solongasany oftheBondsshallremain Outstanding,theBankshallmaintainandkeep,atthe corporate trust office ofthe Trustee,booksfortheregistrationand transfer ofBonds; and,upon presentation thereof forsuchpurposeatsaidoffice,theBankshallregister orcausetoberegisteredtherein,andpermittobe transferred thereon,under such reasonable regulations asitorthe Trustee mayprescribe,anyBondentitledto registrationortransfer.SolongasanyoftheBondsremain Outstanding,theBank shallmakeall necessary provisions topermitthe exchange ofBondsatthe corporate trustofficeoftheTrustee. TheBankandeach Fiduciary maydeemand treat thepersoninwhosename anyBondshallberegistereduponthebooksoftheBankasthe absolute owner ofsuch Bond,whether suchBondshallbe overdue ornot,forthe purpose ofreceiving payment of,oron account of,theprincipaland Redemption Price,ifany,ofand interest onsuch Bondandforall other purposes,andallsuch payments somadetoanysuchregistered owner oruponhis order shallbevalidand effectual to satisfy and discharge the liability ALASKA MUNICIPAL BONDBANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page24 uponsuchBondtothe extent ofthesumorsumssopaid,and neither theBanknorany Fiduciary shallbe affected byanynoticetothecontrary.TheBankagreesto indemnify andsaveeach Fiduciary harmless fromand against anyandallloss,cost,charge, expense judgment orliabilityincurredbyit,actingingoodfaithand without negligence under thisResolution,insotreatinganysuchregisteredowner. Section306-Regulations withRespectto Exchanges andTransfers.Inall casesinwhichtheprivilegeof exchanging Bondsor transferring Bondsisexercised, theBankshall execute andthe Trustee shall authenticate and deliver Bondsin accordance withthe provisions ofthisResolution.AllBonds surrendered inanysuch exchanges or transfers shall forthwith becancelledbytheTrustee.Foreverysuch exchange or transfer ofBonds,whether temporary ordefinitive,theBankorthe Trustee may,asacondition precedent totheprivilegeofmakingsuch exchange ortransfer, makeacharge sufficient to reimburse itforanytax,feeor other governmental charge requiredtobepaidwith respect tosuch exchange or transfer.Notwithstanding any other provisionofthis Resolution thecostofpreparingeachregisteredBonduponeach exchange ortransfer,andany other expenses oftheBankorthe Trustee incurredin connection therewith (except any applicable tax,feeorother governmental charge) shallbepaidbytheBankasan Administrative Expense.Neither theBankorthe Trustee shallberequired(i)tomakeanyexchangeor transfer ofBondsofanySeries duringtheten(10)days(orsuch other periodoftimeasmaybe specified intheSeries Resolution authorizing suchSeries)nextprecedingan interest payment dateonthe BondsofsuchSeriesorprecedinganyselectionofBondofsuchSeriestobe redeemedor(ii)to transfer or exchange anyBonds previously calledforredemption. Section307-Bonds Mutilated,Destroyed,StolenorLost.IncaseanyBond shall become mutilatedorbe destroyed,stolenorlost,theBankshall execute andthe Trustee shall authenticate and deliver anewBondoflikeSeries,maturity andprincipal amount astheBondsomutilated,destroyed,stolenorlost,in exchange and substitution forsuch mutilated Bond,upon surrender and cancellation ofsuchmutilated Bondorinlieuofand substitution fortheBonddestroyed,stolenorlost,uponfilingwith ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page25 theBankevidence satisfactory totheBankandtheTrusteethatsuchBondhavebeen destroyed,stolenorlostand proof ofownershipthereof,anduponfurnishingtheBank andtheTrusteewithindemnity satisfactory tothemandcomplyingwithsuchother reasonableregulationsastheBankandtheTrusteemayprescribeandpayingsuch expensesastheBankandtheTrusteemayincurinconnectiontherewith.AllBonds sosurrenderedtotheTrusteeshallbecancelledbyitandevidenceofsuch cancellationshallbegiventotheBank.AnysuchnewBondsissuedpursuanttothis sectioninsubstitutionforBondsallegedtobedestroyed,stolenorlostshallconstitute originaladditionalcontractualobligationsonthepartoftheBank,regardlessofwhether theBondssoallegedtobedestroyed,stolenorlostbeatanytime enforceable by anyone,andshallbeequallysecuredbyandentitledtoequalandproportionate benefitswithallotherBondsissuedunderthisResolution,inanymoneysorsecurities heldbytheBankortheFiduciariesforthebenefitoftheBondholders.IfaBondholder satisfiestheconditionssetforthinthissectionforthereplacementofamutilatedBond oraBondallegedtobedestroyed,stolen,orlostandsuchBondhasmaturedorall principal thereof andinterestthereonshallbecomedueforanyotherreason,thenthe TrusteemaypaysuchprincipalofandinterestonsuchBondwithoutissuinga replacementBond. Section308-PreparationofDefinitiveBonds;Temporarv Bonds.Untilthe definitiveBondsofanySeriesareprepared,theBankmayexecute,inthesame mannerasisprovidedinSection303,andupontherequestoftheBank,theTrustee shallauthenticateanddeliver,inlieuofdefinitiveBonds,butsubjecttothesame provisions,limitationsandconditionsasthe definitive Bonds,exceptastothe denominations thereof andasto exchangeability forregisteredBonds,oneormore temporaryBonds,substantially ofthetenorofthedefinitiveBondsinlieuofwhichsuch temporaryBondorBondsareissuedinsuch denominations asmaybeauthorizedby theBank,andwithsuchomissions,insertionsandvariationsasmaybeappropriateto temporaryBonds.TheBankatitsownexpenseshallprepareandexecuteand,upon the surrender thereof ofsuch temporary BondstotheTrustee.TheTrusteeshall ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resorutions\200S General Obligation Bond Resclutlon.wpd Page26 authenticate and,withoutchargetotheholderthereof,deliverinexchange therefor definitiveBondsofthesameaggregateprincipalamountandSeriesandmaturityas the temporary Bondssurrendered.Untilsoexchanged,the temporary Bondsshallin allrespectsbeentitledtothesamebenefitsandsecurityasdefinitiveBonds authenticatedandissuedpursuanttothisResolution. IftheBankshallauthorizetheissuanceof temporary Bondsinmorethanone denomination,theholderofany temporary BondorBondsmay,athisoption,surrender thesametotheTrusteeinexchangeforanothertemporaryBondorBondsoflike aggregateprincipalamount,Seriesandmaturityofanyotherauthorizeddenomination or denominations,andthereupontheBankshallexecuteandtheTrusteeshall authenticate and,inexchangeforthe temporary BondorBondssosurrenderedand uponpaymentofthetaxes,feesandchargesprovidedforinSection306,shalldeliver a temporary BondorBondsoflikeaggregateprincipalamount,Seriesandmaturityin suchotherauthorized denomination or denominations asshallberequestedbysuch holder. All temporary Bondssurrenderedinexchange eitherfor another temporary Bond orBondsorforadefinitiveBondorBondsshallbeforthwithcancelledbytheTrustee. Section309-CancellationandDestructionofBonds.AllBondspaidor redeemed,eitheratorbeforematurity,shallbedeliveredtothe Trustee whensuch paymentorredemptionismade,andsuchBonds,together withallBondspurchased bytheTrustee,shallthereuponbepromptlycancelled.Bondssocancelledmay,atany time,becrematedorotherwisedestroyedbytheTrustee,whoshallexecutea Certificateofcremationordestructioninduplicatebythesignatureofoneofits authorizedofficersdescribingtheBondssocrematedorotherwisedestroyed,andone executedCertificateshallbefiledwiththeBankandtheotherexecutedCertificateshall beretainedbytheTrustee. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) r:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page27 ARTICLEIV REDEMPTIONOFBONDS Section401-RedemptionProvisions.TheBondsofeachSeriesmaybesubject toredemptionpriortomaturityatsuchtimesanduponsuchtermsasshallbefixedby therelatedSeriesResolution.IflessthanalloftheBondsof anyone maturityofa Seriesshallbecalledforredemption,theparticularunitsofBonds,as determined in accordancewithSection403herein,toberedeemedshallbeselectedbylotbythe Trustee,orinany manner astheTrustee,initssolediscretion,maydeemappropriate andfair. Section402-NoticeofRedemption.(A)IntheeventanyoftheBondsareto beredeemed,theRegistrarshallcausenoticetobegivenasprovidedinthisSection 402.UnlessotherwisespecifiedintheSeriesResolutionauthorizingtheissuanceof the applicable SeriesofBonds,noticeofredemption(i)shallbefiledwiththepaying agentdesignatedfortheBondsbeingredeemedand(ii)shallbemailedbyfirstclass mail,postageprepaid,toall Bondholder ofBondstoberedeemedattheir addresses astheyappearontheregistrationbooksoftheTrustee,atleastthirty(30)daysbutnot morethansixty(60)dayspriortothedatefixedforredemption.Suchnoticeshallstate thefollowinginformation: (1)thecompleteofficialnameoftheBonds,includingSeries, toberedeemed,theidentificationnumbersofBondsandtheCUSIP numbers,ifany,oftheBondsbeingredeemed,providedthatanysuch noticeshallstatethatnorepresentationismadeastothecorrectnessof CUSIPnumbers either asprintedonsuchBondsorascontainedinthe noticeofredemptionandthatreliancemaybeplacedonlyonthe identificationnumberscontainedinthenoticeorprintedonsuchBonds; (2)anyotherdescriptiveinformationneededtoidentify accurately theBondsbeingredeemed,including,butnotlimitedto,the originalissuedateordateddateofandinterestrateonsuchBonds; ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation BondResoJulion.wpd Page28 (3)inthecaseofpartialredemptionofanyBonds,the respectiveprincipalamounts thereof toberedeemed; (4)thedateofmailingofredemptionnoticesandthe redemptiondate; (5)theredemptionprice; (6)thatontheredemptiondatetheredemptionpricewill becomedueandpayableuponeachsuchBondorportion thereof called forredemption,andthatinterestthereonshallceasetoaccruefromand aftersaiddate;and (7)theplacewheresuchBondsaretobesurrenderedfor paymentoftheredemptionprice,designatingthenameandaddressof theredemptionagentwiththenameofacontactpersonandtelephone number. (B)Inadditiontotheforegoing,furthernoticeofanyredemptionofBonds hereunder shallbegivenbytheTrustee,atleasttwo(2)BusinessDaysinadvanceof themailednoticetoBondholders,byregisteredorcertifiedmailorovernightdelivery service,toallregisteredsecuritiesdepositoriestheninthebusinessofholding substantialamounts(asreasonablydeterminedbytheBondholders)ofobligationsof typescomprisingtheBondsandtoatleasttwonationalinformationservicesthat disseminate noticesofredemptionofobligationssuchastheBonds.Suchfurther noticeshallcontaintheinformationrequiredinclause(a)above.Failuretogiveallor anyportionofsuchfurthernoticeshallnotinany manner defeat the effectiveness of acallforredemption. (C)UponthepaymentoftheredemptionpriceofBondsbeingredeemed,each checkorother transfer offundsissuedforsuchpurposeshallbeartheCUSIP number identifying,byissueandmaturity,theBondsbeingredeemedwiththeproceedsofsuch checkorothertransfer. (D)Ifatthetimeofmailingofanynoticeofredemptionthereshallnotbeon depositwiththeTrusteemoneys sufficient toredeemalltheBondscalledfor ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 GeneralObligationBond Resolulion.wpd Page29 redemption,suchnoticeshallstatethatsuchredemptionissubjecttothedepositofthe redemptionmoneyswiththeTrusteenotlaterthantheredemptiondateandthatsuch noticeshallbeofnoeffectunlesssuchmoneysaresodeposited. (E)Asecondnoticeofredemptionshallbegiven,notlaterthanninety(90)days subsequent totheredemptiondate,toBondholdersofBondsorportions thereof redeemedbutwhofailedtodeliverBondsforredemptionpriortothe60thdayfollowing suchredemptiondate.Anynoticemailedshallbeconclusivelypresumedtohavebeen dulygiven,whether ornottheownerofsuchBondsreceivesthenotice.Receiptofsuch noticeshallnotbeaconditionprecedenttosuchredemption,andfailuresotoreceive anysuchnoticebyanyofsuch Bondholders shallnotaffectthevalidityofthe proceedingsfortheredemptionoftheBonds. (F)IncaseanyBondistoberedeemedinpartonly,thenoticeofredemption whichrelatestosuchBondshallstatealsothatonoraftertheredemptiondate,upon surrender ofsuchBond,anewBondinprincipalamountequaltotheunredeemed portionofsuchBondwillbeissued. Section403-PartiallyRedeemedFullyRegisteredBonds.Unlessotherwise specifiedintheSeriesResolutionauthorizingtheissuanceoftheapplicableSeriesof Bonds,incaseanyregisteredBondshallberedeemedinpartonly,uponthe presentationofsuchBondforsuchpartialredemption,theBankshallexecuteandthe Trusteeshall authenticate andshall deliver orcausetobedeliveredtooruponthe writtenorderoftheHolderthereof,attheexpenseoftheBank,aBondorBondsofthe sameSeries,interestrateandmaturity,inaggregateprincipalamountequaltothe unredeemedportionofsuchregisteredBond.UnlessotherwiseprovidedbySeries Resolution,aportionofanyBondofadenominationofmorethantheminimum AuthorizedDenominationtoberedeemedwillbeintheprincipalamountofthe minimumAuthorizedDenominationoranintegralmultiplethereof,andinselecting portionsofsuchBondsforredemption,theTrusteewilltreateachsuchBondas representingthat number ofBondsoftheminimumAuthorizedDenominationwhichis ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resorutions\2005 General Obligation Bond Resolulion.wpd Page30 obtainedby dividing theprincipal amount ofsuchBondsbythe minimum Authorized Denomination. ARTICLE V CUSTODY AND APPLICATION OFCERTAIN PROCEEDS OFBONDS Section501-Application ofCertain Proceeds.(A)EachSeries Resolution authorizing the issuance ofaSeriesofBonds,aportionofthe proceeds derivedfrom thesaleofwhichistobeappliedtothe purchase ofMunicipalBonds,shall specify the nameofeach Governmental Unitwhichisto receive aLoanbytheBankfromsuch proceeds andthe amount ofsuch proceeds tobeappliedtothemakingofeachsuch Loanwhichshallbethe amount ofeachsuchLoan.Contemporaneously withthe issuance,saleand delivery ofanySeriesofBonds,theBankshallapplythe amount ofthe proceeds derivedfromthesaleofsuchSeriesofBonds,ifany,asshallbe specifiedinsaidSeries Resolution forthepurposeofmakingsuchLoanstoeachofthe Governmental Units specified intheSeriesResolutionauthorizingthe issuance ofsuch SeriesofBonds. (B)Accrued interest,ifany,receiveduponthe delivery ofsuchSeriesofBonds shallbe deposited inthe Interest Account.The amount receivedasa premium over theprincipal amount ofsuchSeriesofBonds,ifany,uponthe delivery ofsuchSeries ofBondsshallbeappliedasprovidedintheSeriesResolution authorizing suchSeries ofBonds. (C)The amount,ifany,necessary tocausethe amount on deposit inthe ReserveFundto satisfy the Reserve Fund Requirement. (D)Any remaining proceeds derivedfromthesaleofaSeriesofBondsshallbe appliedasprovidedintheSeriesResolution authorizing suchSeriesofBonds. Section502-Loans.(A)ALoantoeach Governmental Unitshallbemadefrom theportionofthe proceeds derivedfromthesaleofeachSeriesofBondsspecifiedin theSeries Resolution authorizing the issuance ofsuchSeriesofBondsandthe amount ofeachsuchLoanshallbethe amount specifiedinsuchSeriesResolution.Allsuch payments made pursuant tosuchSeriesResolutionshallbe subject tothe provisions ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) r:\Docs\37420a01\Resolulions\2005 GeneralObligation Bond Resolution.wpd Page31 andrestrictionsofthisArticleV,andtheBankcovenantsthatitwillnotcauseorpermit tobepaidfromsuchportionoftheproceedsderivedfromthesaleofsuchSeriesof Bondsanysumsexceptinaccordancewithsuchprovisionsandrestrictions. (B)TheTrusteeshallpaytoeachGovernmentalUnittheamountoftheLoan uponreceiptbytheTrusteeof: (1)awrittenrequisitionoftheBanksignedbyanAuthorized Officer stating (i)thenameoftheGovernmentalUnittowhichthepaymentistobe made;and (ii)theamounttobepaid; (2)acertificatesignedbyanAuthorizedOfficerandattachedtotherequisition certifyingthatthetermsandprovisionsoftheLoan Agreement providingforsuchLoan areincompliancewithSection913,andthattotheknowledgeofsuchAuthorized OfficersuchGovernmentalUnitisnotindefaultunderanyofthetermsorprovisions ofsaidLoanAgreement; (3)aCounsel'sOpinionstatingthatsuchMunicipalBondsarevalidobligations ofsuchGovernmentalUnitasrequiredbytheActandthattheLoan Agreement has beendulyauthorizedandexecutedbytheGovernmentalUnitandconstitutesavalid andbindingobligationoftheGovernmentalUnit enforceable inaccordancewithits terms;and (4)suchMunicipalBondsofsuchGovernmentalUnit,registeredastoboth principalandinterestinthenameoftheBankorthe Trustee anddeliveredin accordancewiththeAct. Uponreceiptofsuchrequisition,accompanyingcertificate,Counsel'sOpinion andMunicipalBonds,theTrusteeshallpaysuchamountdirectlytotheGovernmental Unitentitledtheretoasnamedinsuchrequisition. Section503-RetentionandInspectionofDocuments.Allrequisitionsand certificatesandCounsel'sOpinionsandMunicipalBondsreceivedbytheTrustee,as requiredinthisArticleVasconditionsofpaymentmayberelieduponbyandshallbe retainedinthepossessionoftheTrustee,subjectatalltimesduringnormalbusiness ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) I:\Docs\37420001\Resorutions\2005 General Obligation Bond Resolution.wpd Page32 hourstotheinspectionoftheBankand,afterwrittenrequestreceivedbytheTrustee atleastfivebusinessdayspriortothedateofinspection,byanyHolderofatleastfive percentinprincipalamountoftheSeriesofOutstandingBonds. ARTICLEVI ESTABLISHMENT OFFUNDSANDACCOUNTSAND APPLICATION THEREOF Section601-Pledge.(A)TheBondsshallbedirectandgeneralobligationsof theBank,anditsfullfaithandcreditarepledgedtothepaymentoftheprincipaland redemptionpremium,ifany,ofandinterestontheBonds,subjecttoanyagreements heretoforeand hereafter madewiththeHoldersofanyothernotesorbondsofthe BankpledginganyparticularrevenuesorassetsnotpledgedunderthisResolution. (B)TheMunicipalBondsandtheMunicipalBondsPayment,theinvestments thereof andtheproceedsofsuchinvestments,ifany,andall funds andaccounts establishedbythisResolutiontobeheldbytheTrusteeareherebypledgedand assignedforthepaymentoftheprincipalof,RedemptionPriceof,intereston,and SinkingFundInstallmentsfor,theBondsinaccordancewiththetermsandprovisions ofthisResolution,subjectonlytotheprovisionsofthisResolutionpermittingthe application thereof forthepurposesandonthetermsandconditionssetforthinthis ResolutionauthorizingtheBanktocreateSecurityInterestsinsaidMunicipalBonds andMunicipalBondsPaymentinfavorofCredit Enhancement Agenciesand counterpartiestoInterestRateExchangeAgreements.Subjecttotheprovisionsof Section805 ofthis Resolution,thispledgeshallbevalidandbindingfromandafterthe dateofadoptionofthisResolution,andtheMunicipalBondsandtheMunicipalBonds Paymentandallothermoniesandsecuritiesinthefundsandaccountsestablishedby thisResolutiontobeheldbytheTrusteeherebypledgedshall immediately besubject tothelienofsuchpledgewithoutany further act,andsuchlienshallbevalidand bindingasagainstallpartieshavingclaimsofanykindintort,contractorotherwise againsttheBank,regardlessofwhethersuchpartieshavenoticethereof. Section602-Establishment ofFundsandAccounts.(A)TheAlaskaMunicipal BondBankDebtServiceFund(the"DebtServiceFund")isherebyestablishedand ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\200S General Obligation Bond Resorution.wpd Page33 shallbemaintainedandheldbytheTrusteepursuanttotheprovisionsofthis Resolution.ThereisherebycreatedandestablishedintheDebtServiceFundan "InterestAccount,"a"Principal Account"anda"Redemption Account"eachofwhich shallbeheldbytheTrustee.Amounts intheInterestAccount,thePrincipalAccount andtheRedemption Account shallbeusedsolelyforthe purpose ofpayingthe principalof,RedemptionPriceof,interestonandSinkingFundInstallmentsfor,the BondsandofretiringsuchBondsatorpriortomaturityinthe manner providedherein andinanySeriesResolution.AmountsdepositedintheInterest Account andthe Principal Account shallbedisbursedandappliedbytheTrusteeatthetimesandinthe mannerprovidedinthisArticleVIandinparagraph(3)ofSection203. (B)ThereisherebyestablishedwithintheAlaskaMunicipalBondBankReserve FundcreatedbySection 44.85.270 oftheAct,a2005GeneralObligationBond ResolutionReserve Account (the"ReserveFund")whichshallbemaintainedandheld bytheTrusteepursuanttotheprovisionsofthisResolution. (C)Thereishereby established aRebateFund,andwithinsuchfund,a separateaccountforeachSeriesofBonds. (D)Thereishereby established anOperatingFundwhichshallbeheldbythe BankpursuanttotheprovisionsofthisResolution. Section603-ReserveFund.(A)Onorbeforethefirstdayofeachmonth,the TrusteeshallsetasidefromamountsintheReserveFundderivedfromincomeor interestearnedandprofitsrealizedbytheReserveFundduetotheinvestmentthereof, anamountwhich,whenaddedtotheamountstheretoforesetasideforsuchpurpose andnotpaidintotheInterestAccount,willonsuchdaybeequaltotheunpaidinterest ontheReserveFundObligationsaccruedandtoaccruetothelastdayofsuchmonth. IftheTrusteesodetermines,saidamountsmaybedepositedinanaccountwhichthe TrusteemaycreateintheReserveFundunderthenameof"ReserveFundObligations Interest Account".OnorbeforeeachinterestpaymentdateoftheReserveFund Obligations,saidamountsshallbedepositedintheInterestAccount. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) I:\Docs\37420001\Resolutions\2005 GeneralObligationBond Resclution.wpd Page34 (B)Onorbeforeeachprincipal payment dateandSinkingFund Installment payment dateofReserveFund Obligations,the Trustee shall withdraw from amounts intheReserveFundand deposit inthePrincipal Account,an amount which,when addedtothe amount thenon deposit inthePrincipal Account andderivedfrom sources other than Municipal BondsPayment,willbeequaltothePrincipal Installment ofthe ReserveFund Obligations fallingdueonsuchdate. (C)Onorbefore December 31ofeachyear,aftercomplyingwiththeprovisions of paragraphs (1)and(2)abovetotheextentrequiredbysuchdate,theTrusteeshall withdraw fromtheReserveFund,any amount remainingthereinderivedfromincome or interest earnedand profits realizedbytheReserveFundduetothe investment thereof,andpay over said amount totheBankfor deposit intheOperatingFundbut onlytothe extent thatthereremains after such withdrawal an amount intheReserve FundatleastequaltotheRequiredDebtServiceReserve. (D)TheReserveFund Requirement maybesatisfiedwith(i)monies made available bytheStateandpaidtotheBank for the purpose oftheAlaska Municipal BondBankReserveFundcreatedbySection 44.85.270 oftheActinthe amount providedbyaSeriesResolution;(ii)all monies paidtotheBank pursuant totheActfor thepurposeofrestoringtheReserveFundtothe amount oftheRequiredDebtService Reserve;(iii)suchportionofthe proceeds ofsaleofBonds,ifany,asshallbeprovided byanySeriesResolution;(iv)Credit Enhancement;(v)any other monieswhichmaybe madeavailabletotheBankforthe purposes oftheReserveFundfromany other source orsources;or(vi)any combination ofthe foregoing. (E)Inthe event there shallbe,onany interest payment date,a deficiency inthe Interest Account,or,inthe event thereshallbe,onanyprincipal payment dateor SinkingFund Installment payment date,a deficiency inthePrincipalAccount,the Trustee shallmakeupsuch deficiencies fromtheReserveFundbythe withdrawal of cash therefrom forthat purpose andbythesaleor redemption of securities heldinthe ReserveFund,ifnecessary,insuch amounts aswill,atthe respective times,provide monies inthe Interest Account andPrincipal Account sufficient tomakeupanysuch ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Oocs\37420001\Resolulions\200S General Obligation Bond Resolution.wpd Page35 deficiency.If a deficiency stillexists immediately priortoadebtservicepaymentdate andafterthewithdrawalofcash,theBankshallthendrawfromanyCredit Enhancementforthe Bondsin sufficient amountto makeupsuchdifference.Drawings undertheCredit Enhancement shallbemadeonapro-ratabasis(inproportiontothe respectivemaximumcoverages)availableundertheCreditEnhancement.Suchdraw shallbemadeatsuchtimesandundersuchconditionsassuchCredit Enhancement shallprovide. Section604-InterestAccount.Principal Account andRedemptionAccount. (A)Exceptasotherwiseprovidedinparagraph(3)ofSection204,theTrustee shalldepositMunicipalBondsInterestPaymentsandanyothermoniesavailableforthe paymentofinterestintheInterest Account uponreceiptthereof.TheTrusteeshall,on orbeforeeachinterestpaymentdateoftheBonds,pay,outofamountsthenheldfor thecreditoftheInterestAccount,to itself andthePayingAgents,theamountsrequired forthepaymentbyitandsuchPayingAgentsoftheinterestbecomingdueonthe Bondsonsuchinterestpaymentdate,andsuchamountssowithdrawnarehereby irrevocablypledgedforandshallbeappliedtothepaymentofsuchinterest.The Trusteeshallalso payout oftheInterest Account to itself andtheappropriatePaying Agents,onorbeforeanyredemptiondateforBondsbeingrefundedbyRefunding Bonds,theamountrequiredforthepaymentofinterestontheBondsthentobe redeemed,totheextentnototherwiseprovidedinthisResolution. (B)TheTrusteeshalldepositMunicipalBondsPrincipalPaymentsandany othermoniesavailableforthepaymentofprincipalinthePrincipalAccount,upon receiptthereof.TheTrusteeshall,onorbeforeeachprincipalpaymentdateofor SinkingFundInstallmentdatefor,theBonds,pay,outofthemoniesthenheldforthe creditofthePrincipalAccount,to itself andthePayingAgents,theamountsrequired forthepaymentbyitandsuchPayingAgentsoftheprincipalorSinkingFund Installment dueontheBondsonsuchdate,andsuchamountssowithdrawnare herebyirrevocablypledgedforandshallbeappliedtothepaymentofsuchprincipalor SinkingFundInstallment. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation BondResolution.wpd Page36 (C)The Trustee shall establish inthe Redemption Account a separate sub- account fortheBondsofeachSeries Outstanding. (1)Anymonies deposited intothe Redemption Account fromany source other than pursuant toSection607orSection916shallbeappliedtothe purchase or redemption ofBondsina manner tobe determined bytheBankin accordance with ArticleIV.Any monies deposited intothe Redemption Account pursuant toSection607 shallbeappliedtothe purchase or redemption ofReserveFund Obligations ina manner tobe determined bytheBankin accordance withArticleIV. (2)TheBankshall deposit orcausetobe deposited inthe Redemption Account suchportionofthemoniesreceivedasthe proceeds ofsaleorredemptionof Municipal Bonds,asrequiredbySection916hereof,and,uponanysuchdeposit,shalladvisethe Trustee inwritingoftheSeriesofBondstowhichthesamerelates.Uponreceipt,such monies shallbesetasidebythe Trustee inthe appropriate Series sub-account. Monies soheldineach separate sub-account bythe Trustee shallbeappliedtothe purchase or retirement oftheBondsoftheSeriesinrespectofwhichsuch sub-account wascreatedasfollows: (i)TheTrusteeshall promptly applysuch monies tothe purchase of BondsoftheSeriesinrespectofwhichsuch sub-account wascreatedhaving thesame maturity dateor dates andinthesameprincipal amount withineach maturity astheMunicipalBondsPrincipal Payments requiredtobemadeforthe Municipal BondssoldbytheBankorredeemedbythe Governmental Unitatthe most advantageous price obtainable with reasonable diligence,suchprice, however,nottoexceedthe Redemption Pricewhichwouldbe payable onthe nextensuingdateonwhichtheBondsoftheSeriesso purchased are redeemable accordingto their terms.The Trustee shallpaythe interest accrued ontheBondsso purchased tothedateofsaleor redemption ofthe Municipal Bondsfromthe Interest account andthebalanceofthe purchase pricefromthe applicable sub-account inthe Redemption Account,as hereinabove provided, butnosuch purchase shallbemadebythe Trustee withintheperiodof forty-five ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resalution.wpd Page37 (45)days next preceding a date on which such Bonds are subject to redemption under the provisions of the Series Resolution authorizing the issuance thereof. (ii)Inthe event the Trustee is able to purchase the requisite principal amount of Bonds froma sub-account in accordance withand under the foregoing provisions ofthis subparagraph (b)ata purchase price less than the sumofthe deposits tosuch sub-account fromthe proceeds from the sale or redemption of Municipal Bonds andthe applicable transfers from the Interest Account,uponthe payment bythe Trustee ofthe purchase price of such Bonds, the Trustee shall transfer the balance of monies remaining in such sub-account tothe Bank for deposit inthe Operating Fund. (iii)Inthe event the Trustee is unable to purchase the requisite principal amount of Bonds the Trustee shall call for redemption onthe next ensuing redemption date such amount of Bonds ofthe Series in respect of which such sub-account was created having the same maturity date or dates andinthe same principal amount within each maturity asthe Municipal Bonds Principal Payments required tobe made for the Municipal Bonds soldbythe Bank or redeemed bythe Governmental Unit,as,atthe Redemption Price thereof,will exhaust said sub-account as nearly as may be.Such redemption shallbe made pursuant tothe provisions of Article IV hereof.The Trustee shall pay the interest accrued onthe Bonds so redeemed tothe date of sale or redemption ofthe Municipal Bonds fromthe Interest Account andthe balance of such interest to the date of redemption of the Bonds andthe Redemption Price from the applicable sub-account. (3)The Bank may,from time totime,by written instructions direct the Trustee to make purchases under subparagraph (b)above only after receipt of tenders.The Bank may specify the length of notice tobe given andthe date on which tenders are tobe accepted or may authorize the Trustee to determine the same inits discretion. Allsuch tenders shallbeby sealed proposals andno tenders shall be considered or accepted at any price exceeding the price specified under subparagraph (b)above for ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) J:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page38 thepurchaseofBonds.TheTrusteeshallaccept tenders withthelowestprice,as determinedbytheTrustee,andifthemoniesavailableforpurchasepursuanttosuch tendersarenot sufficient topermitacceptanceofalltendersandthereshallbetenders atanequalpriceabovetheamountofmoniesavailableforpurchasethentheTrustee shallselectbylot,insuchmannerastheTrusteeshall determine initsdiscretion,the Bondstenderedwhichshallbepurchased.NopurchaseofBonds,eitherontenders orotherwise,shallbemadebytheTrusteewithintheperiodofforty-five(45)daysnext precedinganydateonwhichsuchBondsaresubjecttoredemption. (0)MoniessetasidefromtimetotimewiththeTrusteeandPayingAgentsfor thepaymentofprincipalorRedemptionPriceof,interestonandSinkingFund Installmentsfor,theBondsshallbeheldintrustfortheHoldersoftheBonds.Untilso setasideforthepaymentofsuchprincipal,RedemptionPrice,interest,andSinking FundInstallments,allmoniesinsuchaccountsshallbeheldintrustforthebenefitof theHoldersofallBondsatthetimeOutstandingequallyandratablyand without any preferenceordistinctionasbetweenBondsof different Series,exceptthatmonieson depositintheseparatesub-accountsestablishedintheRedemptionAccountshallbe heldintrustforandappliedtothe payment oftheBondsoftheSeriesforwhichthe applicable sub-account wasestablished. Section 605 -RebateFund.(A)TheTrusteeshallestablishand thereafter maintain,solongastheBondsareOutstanding,aRebateFundwhichshallbeheld separateandapartfromall otherfunds andaccountsestablishedunderthisResolution andfromallothermoneysoftheTrustee. (B)AllamountsintheRebateFund,includingincomeearnedfrominvestment ofthefund,shallbeheldbytheTrusteefreeandclearofthelienofthisResolution.In theeventtheamountondepositintheRebateFundexceedstheaggregateamount oftheRebate Requirement forallSeriesofBonds,asverifiedinwritingbyan independent public accountant orotherqualifiedprofessionalselectedbytheBankat thetimetheRebateRequirementis determined,lessamountsoftheRebate Requirement theretofore paidtotheUnitedStatesforallSeriesofBonds,theTrustee ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) J:\Docs\37420001\Resolutions\2005 General Obligation Bond Resorution.wpd Page39 shall,upontheBank'srequest,withdrawfromtheRebateFundandpaytooruponthe orderoftheBankanamountnottoexceedsuchexcesstotheBankfordepositinthe OperatingFund. (C)TheBankshalldeterminetheamountoftheRebateRequirementwith respecttoeachSeriesofBondsoneachapplicableRebateCalculationDate.TheBank shalldepositintotheRebateFundtheRebateRequirement,ifany,withrespecttoeach SeriesofBonds.TheBankshallinstructtheTrusteetowithdrawfromtheRebateFund andpayovertotheUnitedStates Government withrespecttoeachSeriesofBonds: (1)notlessfrequentlythanonceeachfiveyearscommencingnolaterthan60days afterthefirstRebateCalculationDateforsuchSeriesofBondsanduponeachfifth anniversaryofsuchdate,anamountwhichwhenaddedtoallpreviousrebate paymentsmadewithrespecttosuchSeriesofBondsequals90%ofthesumofthe RebateRequirementpertainingtosuchSeriesofBondsplustheamount,ifany,of RebateRequirement theretofore paidtotheUnitedStateswithrespecttosuchSeries ofBonds,and(2)notlaterthan60daysaftertheretirementofthelastBondofsuch Series,100%oftheRebateRequirementwithrespecttosuchSeries.The determinationofrebatablearbitragemadewithrespecttoeachsuchpaymentdateand withrespecttoanywithdrawalandpaymenttotheBankfromtheRebateFund pursuanttothisResolutionmustbeverifiedinwritingbyan independent public accountantorotherqualifiedprofessionalselectedbytheBank. (D)TheTrusteeshall,atleastsixty(60)dayspriortoeachRebateCalculation Date,notifytheBankoftherequirementsofthisSection.Byagreeingtogivethis notice,theTrusteeassumesnoresponsibility whatsoever forcompliancebytheBank withthe requirements ofSection148oftheCodeoranysuccessor.TheBank expresslyagreesthat(notwithstandinganyotherprovisionofthisResolution)any failureoftheTrusteetogiveanysuchnotice,foranyreasonwhatsoever,shallnot causetheTrusteetobe responsible foranyfailureoftheBanktocomplywiththe requirementsofsaidSection148orany successor thereof. ALASKA MUNICIPALBOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolulion.wpd Page40 (E)TheTrustee,on behalf oftheBank,shallkeepandretain,untilthedatesix yearsafterthe retirement ofthelastoftheBondsofeachSeries,recordswith respect toeachSeriesoftheBondsandthe investment and expenditure of amounts on deposit withthe Trustee to comply withthe aforementioned arbitrage rebate requirements, including without limitationa complete listofall investments and reinvestments of amounts on deposit withthe Trustee withrespecttoeachSeriesoftheBonds.For purposes ofthe computation requiredabove,the Trustee shall,uponrequest,furnish totheBankall information inthe Trustee's controlwhichis necessary forsuch computations. (F)TheBank hereby covenants andagreesthatitwillnotenter,andwillnot causethe Trustee to enter into,any transaction orcauseany transaction tobeentered intowithrespecttothe investment ofgross proceeds oftheBonds,orotherwise,which reducesthe amount whichmayberequiredtobepaidtotheUnitedStates pursuant tothe arbitrage rebate requirements specifiedhereinabove,because such transaction resultsina smaller profitoralargerlossthanwouldhaveresultedifthe transaction had beenatarm'slengthandhadtheyieldoneachSeriesoftheBondsnotbeenrelevant to either party. (G)The provisions ofthisSectionmaybe amended or deleted,with respect to anyorallseriesoftheBonds,fromthisResolutionupon receipt bytheBankandthe Trustee ofanopinionofbondcounselthatsuch amendment or deletion willnot adversely affect the exclusion fromgrossincomeof interest ontheBonds. Section606-OperatingFund.Thereshallbe deposited intheOperatingFund allFeesandCharges collected bytheBankortheTrustee,tothe extent not otherwise encumbered orpledged,andany other monies whichmaybemade available tothe Bankforthe purposes ofthe Operating Fundfromany other source or sources including,without limitingthe generality oftheforegoing,amounts transferred pursuant to paragraph (3)ofSection603,subparagraph (b)(ii)of paragraph (3)ofSection604 andthe amount receivedasapremiumovertheprincipal amount ofaSeriesofBonds, ifany,totheextentprovidedintheSeriesResolution authorizing suchSeries.Monies ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) ]:\Docs\3742D001\Resolutions\200S General Obligation Bond Resorution.wpd Page41 atanytimeheldforthecreditoftheOperatingFundshallbeusedforandapplied solelytothefollowingpurposes: (a)Topaythe Administrative ExpensesoftheBank; (b)TopaythefeesandexpensesoftheTrusteeandPayingAgents; (c)TopayfinancingcostsincurredwithrespecttoaSeriesofBonds,including feesandexpensesoftheattorneys,initialTrustee'sandPayingAgents'feesand expenses,costsandexpensesoffinancialconsultants,printingcostsandexpenses, the paymentto anyofficers,departments,boards,agencies,divisionsandcommissions of,orreimbursementto,theStateofany statement ofcostandexpenseoradvances renderedtotheBank pursuant totheAct,andallotherfinancingand other miscellaneouscosts;and (d)Topayanyexpensesincarryingoutanyotherpurposethenauthorizedby theAct. AllamountsintheOperatingFundshallbefreeandclearofanylienorpledge createdbythisResolutionbutshallbeheldandappliedin accordance withthissection. Section607-ReductionofRequiredDebtServiceReserve.Whenever the amountoftheRequiredDebtServiceReserveisreduced,theTrustee,onlyuponthe writtenrequestoftheBanksignedbyanAuthorizedOfficer,shallwithdrawfromany amountsondepositintheReserveFundanddepositintheRedemptionAccountany amountnotexceedingthe amount ofsuchreductionoftheRequiredDebtService Reserve.TheamounttobewithdrawnfromtheReserveFundineachinstance pursuanttotheprovisionsofthisparagraphshallbedeterminedbytheBankandthe amount thereof certifiedtotheTrusteeinwritingsignedbyanAuthorizedOfficer. Section608-Trustee'sMaintenanceofRecordsonPaymentofBonds.In connectionwiththepayment,redemptionorpurchaseofallBondsundertheprovisions ofthis Resolution,theTrusteeshallkeepaccuraterecordsofthesource ofthe monies usedtopay,redeemorpurchasesuchBonds. Section609-ObtainingCredit Enhancements andInterestRateExchange Agreements.ExceptasotherwiseprovidedinaSeriesResolutionauthorizingthe ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) l:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page42 issuance of a Series of Bonds,the Bank may obtain Credit Enhancement oran Interest Rate Exchange Agreement with respect tosuch Bonds either atthe time of issuance ofthe Bonds orany time thereafter. Section 610-Creation of Additional Funds.Accounts and Subaccounts; Separate Credit Enhancement Funds:Pledge with Respect to Credit Enhancements and Interest Rate Exchange Agreements.(A)The Trustee shall establish within any Fundsuch Accounts in addition tothe Accounts herein established asthe Bank shall by Series Resolution or Supplemental Resolution determine and shall inlike manner establish within any Account such additional subaccounts for the purposes of such Account asthe Bank shallso determine. (B)The Bank may at any time by execution of a Series Resolution or Supplemental Resolution establish aFundor Account in which tohold any Credit Enhancement andthe proceeds thereof or drawings thereunder (a "Credit Enhancement Fund")for the benefit of any Series of Bonds to which such Credit Enhancement has been pledged,which pledge may be (but is not required tobe) exclusively forthe benefit ofsuch Series of Bonds or certain designated Series of Bonds andnot equally and ratably among allthe Series of Bonds.Amounts heldina Credit Enhancement Fund shall not be considered a part ofthe Municipal Bonds Payment but,rather,shall be subject to such lienand pledge as may be created inthe Series Resolution creating such Credit Enhancement Fund. (C)Ifthe Bank creates a Credit Enhancement Fund,the Bank may direct,inthe Series Resolution creating such Credit Enhancement Fund,that the Trustee pay,and ifso directed in writing bythe Bank the Trustee shall pay,principal (including premium, ifany)ofand interest onthe Bonds secured bysuch Credit Enhancement Fund directly from amounts insuch Credit Enhancement Fundand that the Trustee reimburse,and ifso directed in writing bythe Bank the Trustee shall so reimburse,such Credit Enhancement Fund for such payment from the Credit Enhancement Fund;provided, however,that the Bank may,in the Series Resolution authorizing the Series of Bonds tobe secured by Credit Enhancement,treat any,or any part of any,obligation owed or ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligalion Bond Resolution.wpd Page43 whichmayinthefuturebeowedtotheCreditEnhancementAgencypursuanttothe Credit Enhancement InstrumentastheSeriesofBondssecuredbysuchCredit Enhancement iftheCorporation,atthetimeofissuanceofsaidSeriesofBondsand atthetimeofthecreationofanysuchobligationsatisfiestherequirementsofSection 203,inwhichcasetheTrusteeshallpaytheprincipalofandinterestonanysuch obligationsinaccordancewiththetermsofthisResolutiontreatingsuchobligationsas aSeriesofBonds.InaSeriesResolutionauthorizingaSeriesofBondssecuredbya Credit Enhancement FundtheBankmayfixprovisionsrelatingtosuchFund pursuant tothetermsofaSeriesResolution.Inadditiontotheforegoing,theBankmayagree topermitaCredit Enhancement Agencytobesubrogatedtotherightsofany BondholderswhoseBondsaresecuredbytheCredit Enhancement providedthatsuch Credit Enhancement AgencyisnotindefaultundersuchCreditEnhancement. ARTICLEVII SECURITY FORDEPOSITSANDINVESTMENTOFFUNDS Section701-SecurityforDeposits.Allmoniesheld hereunder bytheTrustee shallbe continuously andfullysecured,forthebenefitoftheBankandtheHoldersof theBondsinsuchmannerasmaythenberequiredorpermittedby applicable Stateor federallawsandregulationsregardingthesecurityfor,orgrantinga preference inthe caseof,thedepositoftrustfunds.The Trustee oranyPaying Agent shallnotbe requiredtogivesecurityforthedepositofanymonieswiththemheldintrustforthe paymentoftheprincipalorRedemptionPriceoforinterestonanyBonds,orforthe Trusteetogivesecurityforanymonieswhichshallberepresentedbyobligations purchasedundertheprovisionsofthisResolutionasan investment ofsuchmonies. Section702-InvestmentofFundsandAccountsHeldbytheTrustee.(A)Upon thedepositofanyamountsinanyfundoraccountheldbytheTrusteeunderthe provisionsofthisResolution,inthe manner hereinaboveprescribed,theBankmay furnishtheTrusteewithascheduleofdatesonwhichitisestimatedbytheBankthat suchmoniesinsaidfundor account willberequiredtobeexpended.TheBankmay fromtimetotimeamendtheschedulesofurnished.Uponreceiptofsuchscheduleor ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resorutions\2005 General Obligation Bond Resolution.wpd Page44 amendedschedule,theBankmaydirecttheTrusteeto,orintheabsenceofreceiptof suchscheduleorsuchdirectiontheTrusteeshall,investandreinvestin Investment Securitiesthemoniesinsaidfundor account sothatthematuritydateordateof redemptionattheoptionoftheholderofsuchobligationsshallcoincideasnearlyas practicablewiththetimesatwhichmoniesareneededbytheBanktobesoexpended. TheBankalsomaydirecttheTrusteethatallorpartoftheamountsintheInterest AccountandthePrincipal Account intheDebtServiceFundnotbeinvestedfor specifiedperiodsoftime. (B)Obligationspurchasedasan investment ofmoniesinanyfundor account heldbytheTrusteeundertheprovisionsofthisResolutionshallbedeemedatalltimes tobeapartofsuchfundoraccountandtheincomeorinterestearned,profitsrealized orlossessufferedbyafundor account duetotheinvestment thereof shallberetained in,creditedorcharged,asthecasemaybe,tosuchfundoraccount,exceptthatthe incomeorinterestearnedandprofitsrealizedbytheReserveFundduetothe investment thereof shallbetransferredbytheTrusteeinaccordancewithandtothe extentprovidedbyparagraphs(1),(3)and(5)ofSection603. (C)IndeterminingwhetherornottheamountintheReserveFundisatleast equaltotheReserveFundRequirement,theTrusteeshallincludetheamountof interestearnedoraccruedthereonasofthedateofevaluationandshallalsoinclude, butonlyifanyotherrequirement therefor specifiedinaSeriesResolutionhasbeen satisfied,theprincipalcomponentofanyCredit Enhancement thenondepositinthe ReserveFund. (D)ExceptasotherwiseprovidedintheResolution,theTrusteeshallsellatthe bestpriceobtainable,orpresentforredemptionorexchange,anyobligationpurchased byitasaninvestmentpursuanttothisResolutionwheneveritshallberequestedin writingbyanAuthorized Officer oftheBanktodosoor whenever itshallbe necessary inordertoprovidemoniestomeetanypaymentor transfer fromthefundor account forwhichsuchinvestmentwasmade.TheTrusteeshalladvisetheBankinwriting,on orbeforethetwentiethdayofeach calendar month,ofthedetailsofall investments ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page45 heldforthecreditofeachfundandaccountinitscustodyundertheprovisionsofthis Resolutionasoftheendoftheprecedingmonth. Section703-Liability ofTrustee forInvestments.TheTrusteeshallnotbeliable orresponsibleforthemakingofany investment authorizedbytheprovisionsofthis Article,inthemannerprovidedinthisArticle,orforanylossresultingfromanysuch investmentsomadeexceptforitsownnegligenceordefault. ARTICLEVIII THETRUSTEEANDTHEPAYINGAGENTS Section801-Appointment and Acceptance ofDutiesofTrustee.J.P.Morgan TrustCompany,NationalAssociation,atrustcompanyorbankhavingthepowersof atrustcompanydoingbusinessandhavinga corporate trustofficeinSeattle, Washington,isherebyappointedasTrusteefortheHoldersfromtimetotimeofthe Bonds.TheTrusteeshallsignifyitsacceptanceofthedutiesandobligationsimposed uponitbythisResolutionbyexecutingthecertificateof authentication endorsedupon theBonds,and,byexecutingsuchcertificateuponanyBond,theTrusteeshallbe deemedtohaveacceptedsuchdutiesandobligationsnotonlywithrespecttotheBond soauthenticated,butwithrespecttoalltheBonds thereafter tobeissued,butonly, however,uponthetermsandconditionssetforthintheResolution. Section802-Appointment and Acceptance ofDutiesofPayingAgents.The BankshallappointoneormorePayingAgentsfortheBondsofanySeriesintheSeries ResolutionauthorizingsuchBondsorshallappointsuchPaying Agent orPaying AgentsbyorpursuanttoaresolutionoftheBankadoptedpriortothe authentication anddeliveryofsuchBonds,andmayatanytimeorfromtimetotimeappointoneor moreotherPayingAgentsinthe manner andsubjecttothe conditions setforthin Section812forthe appointment ofa successor PayingAgent.The Trustee maybe appointedtoactasPayingAgentnotwithstandingthatitmaythenbeactinginthe capacityofTrustee.EachPayingAgentshallsignifyitsacceptanceofthedutiesand obligationsimposeduponitbythisResolutionbywritten instrument of acceptance executedanddeliveredtotheBankandtheTrustee.Theprincipalorcorporatetrust ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Oocs\37420001\Reso]ulions\2005 General Obligation Bond Resorution.wpd Page46 officesofthePaying Agents are hereby designated astherespective agencies ofthe Bankforthe payment ofthe interest onandprincipalor Redemption PriceoftheBonds. Section803-Responsibilities ofFiduciaries.(A)Therecitalsoffacthereinand intheBonds contained shallbetakenasthe statements oftheBankandthe Fiduciaries assume any responsibility forthe correctness ofthesame.No Fiduciary shallbe deemed tomakeany representations astothevalidityor sufficiency ofthis ResolutionorofanyBondsissued hereunder orinrespectofthe security afforded by thisResolution,andnoFiduciaryshallincurany responsibility inrespectthereof.The Trusteeshall,however,be responsible forits representations containedinits certificate ontheBonds.No Fiduciary shallbe under any responsibility ordutywithrespecttoany other Fiduciary.No Fiduciary shallbeunderany obligation ordutytoperformanyact whichwouldinvolveitin expense orliabilityortoinstituteordefendanysuitinrespect hereof,orto advance anyofitsownmoneys,unless indemnified toits satisfaction.No Fiduciaryshallbeliablein connection withthe performance ofitsduties hereunder except foritsown negligence orwillful misconduct.Neither the Trustee noranyPaying Agent shallbe under any responsibility ordutywithrespecttothe application ofany moneyspaidto anyone oftheothersortheuseor application bytheBankofthe Bondsorthe proceeds thereof. (B)Except duringthe continuance ofanEventofDefault,the Trustee undertakes toperformsuchdutiesandonlysuchdutiesasare specifically setforthin thisResolution,andnoimplied covenants or obligations shallbereadintothis Resolution against theTrustee,and,inthe absence ofbadfaithonitspart,the Trustee may conclusively rely,astothetruthofthe statements andthe correctness ofthe opinion expressed therein,upon certificates or opinions furnishedtothe Trustee and conforming tothe requirements ofthisResolution. (C)IncaseanEventof Default hasoccurredandiscontinuing,the Trustee shall exercisesuch ofthe rightsandpowersvestedinitbythisResolutionandusethesame degreeofcareandskillintheir exercise asa prudent personwould exercise oruse underthe circumstances inthe conduct ofhisownaffairs. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resorutions\2005 General Obligation Bond Resolulion.wpd Page47 (D)NoprovisionofthisResolutionshallbeconstruedtorelievetheTrusteefrom liabilityforitsownnegligentaction,itsownnegligentfailuretoact,oritsownwillful misconduct,exceptthat(1)theTrusteeshallnotbeliableforanyerrorof judgment madeingoodfaithbyaresponsibleofficer,unlessitshallbeprovedthattheTrustee wasnegligentinascertainingthepertinentfacts,(2)theTrusteeshallnotbeliablewith respecttoanyactiontakenoromittedtobetakenbyitingoodfaithinaccordancewith thedirectionoftheHoldersofamajorityinprincipalamountoftheOutstandingBonds relatingtothetime,methodandplaceofconductinganyproceedingforanyremedy availabletotheTrustee,orexercisinganytrustorpowerconferredupontheTrustee, underthisResolution,and(3)noprovisionofthisResolutionshallrequiretheTrustee toexpendorriskitsownfundsorotherwiseincuranyfinancialliabilityinthe performanceofanyofitsdutieshereunder,orintheexerciseofanyofitsrightsor powers,ifitshallhavereasonablegroundsforbelievingthatrepaymentofsuchfunds oradequateindemnityagainstsuchriskorliabilityisnotreasonablyassuredtoit. Exceptas otherwise expresslyprovidedherein,theTrusteeshall determine whether anyconditionsor requirements setforthhereinforanypurposehavebeenmet,and suchdeterminationbytheTrusteeshallbeconclusive. (E)Regardlessofwhetheritisthereinexpresslysoprovided,everyprovision ofthisResolution,anySeriesResolution,oranyrelated document relatingtothe conductoraffectingtheliabilityoforaffordingprotectiontotheTrusteeshallbesubject totheprovisionsofthisArticle. (F)TheTrusteeshallbeundernoobligationtoexerciseanyoftherightsor powersvestedinitbythisResolutionattherequestordirectionofanyofthe Bondholders pursuant tothisResolution,unlesssuchBondholdersshallhaveoffered totheTrusteesecurityorindemnitytoitssatisfactionagainstthecosts,expensesand liabilitieswhichmightbeincurredbyitincompliancewithsuchrequestordirection. (G)TheTrusteeshallnotbeboundtomakeanyinvestigationintothefactsor mattersstatedinanyresolution,certificate,statement,instrument,opinion,report, notice,request,direction,consent,order,bond,debenture,orotherpaperordocument. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resorution.wpd Page48 (H)The Trustee may execute any of the trusts or powers hereunder or perform any duties hereundereither directly orbyor through agents or attorneys,andthe Trustee shall not be responsible for any misconduct or negligence onthepart of any agent or attorney appointed withduecarebyit hereunder. (I)The permissive rightofthe Trustee todo things enumerated inthis Resolution shallnotbe construed asaduty. (J)In accepting the trusts hereby created,the Trustee acts solely as Trustee for the Bondholders andnotinits individual capacity andall persons,including,without limitation,the Bondholders andthe Bank having any claim against the Trustee arising from this Resolution shall look only tothe funds and accounts heldbythe Trustee or its agent hereunder for payment except as otherwise provided herein.Under no circumstances shall the Trustee be liable inits individual capacity for the obligations evidenced bythe Bonds. Section 804-Evidence on Which Fiduciaries May Act.Each Fiduciary may rely and shall be protected in acting upon any notice,resolution,request,consent,order, certificate,report,opinion,bond or other paper or document believed byittobe genuine,andtohavebeen signed or presented bythe proper party or parties.Each Fiduciary may consult with counsel,who mayor may notbeof counsel totheBank,and the opinion of such shallbefulland complete authorization and protection in respect ofany action taken or suffered or omitted byit hereunder in good faithandin reliance thereon.Whenever any Fiduciary shall deem it necessary or desirable that a matter be proved or established prior to taking or suffering or omitting any action hereunder, including payment of moneys out of any Fundor Account,such matter (unless other evidence in respect thereof be herein specifically prescribed)may be deemed tobe conclusively proved and established bya certificate signed byan Authorized Officer, andsuch certificate shallbefull warrant forany action taken or suffered in good faith under the provisions of this Resolution uponthefaith thereof,butinits discretion the Fiduciary may inlieu thereof accept other evidence of such fact or matter or may require such further or additional evidence astoit may seem reasonable.Except as ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolulion.wpd Page49 otherwise expressly providedherein,anyrequest,order,noticeorotherdirection requiredorpermittedtobe furnished pursuant toanyprovision hereof bytheBankto anyFiduciaryshallbe sufficiently executedif executed inthenameoftheBankbyan Authorized Officer. Section805 -Compensation.TheBankshallpaytothe Trustee andtoeach Paying Agent fromtimetotime reasonable compensation forallservicesrendered under thisResolution,andalsoall reasonable expenses,charges,counselfeesand other disbursements,includingthoseofitsattorneys,agentsand employees,incurred inandaboutthe performance of their powersandduties under thisResolution,andthe TrusteeandeachPaying Agent shallhavealien therefor onanyandallfundsatany timeheldbyitunderthisResolution.TheBank further agreesto indemnify andsave the Trustee andeachPaying Agent harmless against any liabilities whichitmayincur intheexerciseand performance ofitspowersanddutieshereunder,andwhicharenot duetoits negligence ordefault. Section806 -PermittedActsandFunctions.The Trustee andanyPaying Agent maybecometheownerofanyBonds,withthesamerightsitwouldhaveifitwerenot such Trustee orPayingAgent.The Trustee andanyPaying Agent mayactas depository for,andpermitanyofits officers or directors toactasa member of,orinany other capacity with respect to,any committee formedto protect therightsof Bondholders orto effect oraidinany reorganization growingoutofthe enforcement of theBondsorthisResolution,whether ornotanysuch committee shall represent the Holdersofa majority inprincipal amount oftheBondsthen Outstanding. Section807-Resignation ofTrustee.The Trustee mayatanytimeresignand be discharged ofthe duties and obligations createdbythis Resolution bygivingnotless thanninety(90)days'writtennoticetotheBankandtotheregisteredownersofBonds, specifying thedatewhensuch resignation shalltake effect andsuchresignationshall take effect immediately uponthe appointment ofa successor Trustee pursuant to Section809hereof. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\200S General Obligation Bond Resolulion.wpd Page50 Section808-RemovalofTrustee.TheTrusteeshallberemovedbytheBank ifatanytimesorequestedbyaninstrumentorconcurrentinstrumentsinwriting,filed withtheTrusteeandtheBank,andsignedbytheHoldersofamajorityinprincipal amountoftheBondsthenOutstandingor their attorneys-in-fact dulyauthorized, excludinganyBondsheldby orforthe accountoftheBank.TheBankmayremovethe Trusteeatanytime,exceptduringtheexistenceofanEventofDefault,forsuchcause asshallbedeterminedinthesolediscretionoftheBankbyfilingwiththeTrusteean instrumentsignedbyanAuthorizedOfficeroftheBank. Section809-Appointment ofSuccessorTrustee.Incaseatanytimethe Trusteeshallresignorshallberemovedorshallbecomeincapableofacting,orshall beadjudgedabankruptorinsolvent,orifareceiver,liquidatoror conservator ofthe Trustee,orofitsproperty,shallbeappointed,orifanypublicofficershalltakecharge orcontroloftheTrustee,orofitspropertyoraffairs,theBankcovenantsandagrees thatitwillthereuponappointasuccessorTrustee.TheBankshallprovidewritten noticeofsuch appointment totheregisteredownersoftheBonds. Ifinapropercaseno appointment ofa successor Trusteeshallbemade pursuanttotheforegoingprovisionsofthisSectionwithinforty-five(45)daysafterthe TrusteeshallhavegiventotheBankwrittennotice,asprovidedinSection807,orafter avacancyintheofficeoftheTrusteeshallhaveoccurredbyreasonofitsinabilityto act,theTrusteeortheHolderofanyBondmayapplytoanycourtofcompetent jurisdiction toappointa successor Trustee.Saidcourtmay thereupon,aftersuch notice,ifany,assuchcourtmaydeemproperandprescribe,appointasuccessor Trustee. AnyTrusteeappointedundertheprovisionsofthisSection809insuccession totheTrusteeshallbeatrustcompanyorbankingoodstandinghavingthepowersof atrustcompanywithinoroutsidetheState,andhavingacapitalandsurplus aggregatingatleastFiftyMillionDollars($50,000,000)iftherebesuchatrustcompany orbankwillingandabletoaccepttheofficeonreasonableand customary termsand authorizedbylawtoperformallthedutiesimposeduponitbythisResolution. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolulion.wpd Page51 Section810-Transfer ofRightsandPropertyto Successor Trustee.Any successor Trustee appointed under thisResolutionshallexecute,acknowledge and deliver toits predecessor Trustee,andalsototheBank,an instrument accepting such appointment,and thereupon such successor Trustee,without any further act,deedor conveyance,shallbecomefullyvestedwithallmonies,estates,properties,rights, powers,duties and obligations ofsuch predecessor Trustee,withlike effect asif originally namedasTrustee;butthe Trustee ceasingtoactshall nevertheless,onthe writtenrequestoftheBank,orofthe successor Trustee,execute,acknowledge and deliver such instruments of conveyance and further assurance anddosuchotherthings asmay reasonably berequiredformorefullyand certainly vestingand confirming in such successor Trusteealltheright,titleand interest ofthe predecessor Trustee inand toany property heldbyit under thisResolution,andshallpayover,assignand deliver tothe successor Trusteeany money orother property subject tothetrustsand conditions hereinsetforth.Shouldanydeed,conveyance or instrument inwritingfrom theBankberequiredbysuch successor Trustee formorefullyand certainly vestingin andconfirmingtosuch successor Trustee anysuchestates,rights,powersandduties, anyandallsuchdeeds,conveyances and instruments inwritingshall,onrequest,and sofarasmaybeauthorizedbylaw,beexecuted,acknowledged and delivered bythe Bank.Anysuch successor Trustee shall promptly notifythePaying Agents ofits appointment asTrustee.TheBankshallpaythe expenses of effecting a transfer under thisSection. Section811-Mergeror Consolidation.Any company intowhichthe Fiduciary maybemergedor converted orwithwhichitmaybe consolidated orany company resultingfromanymerger,conversion or consolidation towhichitshallbea party or any company towhich Fiduciary maysellor transfer allofits corporate trustbusiness, shallbethe successor tosuch Fiduciary without the execution orfilingofanypaperor the performance ofany further act,providedthatsuch company shallbeatrust company orbankwhichis qualified tobea successor tothe Trustee under Section809 orwhichisqualifiedtobea successor tothePaying Agent under Section812. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 GeneralObligationBond Resolulion.wpd Page52 Section812-ResignationorRemovalofthePayingAgentsand Appointment ofSuccessors.AnyPayingAgentmayatanytimeresignandbedischargedofthe dutiesandobligationscreatedbythisResolutionbygivingatleastsixty(60)days writtennoticetotheBankandtheTrustee.AnyPayingAgentmayberemovedatany timebyaninstrumentfiledwithsuchPayingAgentandtheTrusteeandsignedbyan AuthorizedOfficeroftheBank.Any successor PayingAgentshallbeappointedbythe Bankandshallbeatrustcompanyorbankhavingthepowersofatrustcompany havingacapitalandsurplusaggregatingatleastFiftyMillionDollars($50,000,000),and willingandabletoaccepttheofficeofPayingAgentonreasonableandcustomary termsandauthorizedbylawtoperformallthedutiesimposeduponitbythis Resolution. IntheeventoftheresignationorremovalofanyPayingAgent,suchPaying Agentshallpayover,assignanddeliveranymoniesheldbyittoitssuccessor,orif therebenosuccessorthenappointed,totheTrusteeuntilsuchsuccessorbe appointed.Intheeventthatforanyreasonthereshallbeavacancyintheofficeof PayingAgent,theTrusteeshallactassuchPayingAgent. Section813-EvidenceofSignaturesofBondholdersandOwnershipofBonds. (A)Anyrequest,consentorother instrument whichthisResolutionmayrequire orpermittobesignedandexecutedbytheBondholdersmaybeinoneormore instrumentsofsimilartenor,andshallbesignedorexecutedbysuchBondholdersin personorbytheirattorneysappointedinwriting.Proofof(i)theexecutionofanysuch instrument,orofaninstrumentappointinganysuchattorney,or(ii)theholdingbyany personoftheBondsshallbe sufficient foranypurposeofthisResolution(exceptas otherwisehereinexpresslyprovided)ifmadeinthefollowingmanner,buttheTrustee mayneverthelessinitsdiscretionrequirefurtherorotherproofincaseswhereitdeems thesamedesirable: (1)Thefactanddateoftheexecutionbyany Bondholder orhis attorneyofsuch instrument maybeprovedbythecertificate,whichneednotbe acknowledgedorverified,ofanofficerofabankortrustcompany satisfactory ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page53 totheTrusteeorofanynotarypublicor other officer authorizedtotake acknowledgments ofdeedstoberecordedinthestateinwhichshepurportsto act,thatthepersonsigningsuchrequestorother instrument acknowledgedto himtheexecutionthereof,orbyanaffidavitofawitnessofsuchexecution,duly sworntobeforesuchnotarypublicorotherofficer.Theauthorityoftheperson orpersonsexecutinganysuchinstrumenton behalf ofacorporate Bondholder maybeestablishedwithoutfurtherproofifsuchinstrumentissignedbyaperson purportingtobethe president oravicepresidentofsuchcorporationwitha corporatesealaffixedandattestedbyapersonpurportingtobeitssecretaryor anassistantsecretary; (2)TheamountofBondstransferablebydeliveryheldbyanyperson executingsuchrequestorother instrument asaBondholder,andthenumbers andotheridentificationthereof,andthedateofhisholdingsuchBonds,maybe provedbyacertificate,whichneednotbeacknowledgedorverified,satisfactory totheTrustee,executedbyanofficerofatrustcompany,bank,financial institutionorother depository ormemberoftheNationalAssociationof SecuritiesDealers,Inc.wherever situated,showingthatatthedatetherein mentionedsuchpersonexhibitedtosuchofficerorhadondepositwithsuch depository theBondsdescribedinsuchcertificate.Continuedownership after thedatestatedinsuchcertificatemaybeprovedbythepresentationofsuch certificateifthecertificatecontainsa statement bysuchofficerthatthe depository heldthatBondsthereinreferredtoonthedateofthecertificateand thattheywillnotbesurrenderedwithoutthe surrender ofthecertificatetothe depository,except withtheconsentoftheTrustee,andacertificateofthe Trustee,whichneednotbeacknowledgedorverified,thatsuchconsenthasnot beengiven. (B)ExceptinthecaseofBondstransferablebydeliveryonly,theownershipof Bondsandtheamount,numbersandotheridentification,anddateofholdingthesame shallbeprovedbytheregistrybooks.Anyrequest,consentorvote ofthe ownerofany ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resalutions\2005 General Obligation Bond Resolution.wpd Page54 BondshallbindallfutureownersofsuchBondinrespectofanythingdoneorsuffered tobedonebytheBankoranyFiduciaryinaccordancetherewith. ARTICLEIX COVENANTSOFTHEBANK TheBankcovenantsandagreeswiththeHoldersoftheBondsasfollows: Section901-Payment ofBonds.TheBankshalldulyandpunctually payor causetobepaidtheprincipalorRedemptionPrice,ifany,ofeveryBondandthe interestthereon,atthedatesandplacesandinthemannerstatedintheBonds accordingtothetrueintentandmeaningthereof,andshalldulyandpunctuallypay,or causetobepaid,allSinkingFundInstallments,ifany,becomingpayablewithrespect toanySeriesofBonds. Section902-ExtensionofPaymentofBonds.TheBankshallnotdirectlyor indirectlyextendorassenttotheextensionofthematurityofanyoftheBondsorthe timeofpaymentofanyclaimsforinterestbythepurchaseorfundingofsuchBondsor claimsforinterestorbyanyother arrangement andincasethematurityofanyofthe Bonds orthe timeforpaymentofanyclaimsforinterestshallbeextended,suchBonds orclaimsforinterestshallnotbeentitledincaseofanydefaultunderthisResolution tothebenefitofthisResolutionortoanypaymentoutofanyassetsoftheBankorthe funds(exceptfundsheldintrustforthepaymentofparticularBondsorclaimsfor interestpursuanttothisResolution)priortobenefitsaccordedtoorthepaymentofthe principalofallBondsissuedandOutstandingthematurityofwhichhasnotbeen extendedandofsuchportionoftheaccrued interest ontheBondsasshallnotbe representedbysuchextendedclaimsforinterest.Nothinghereinshallbedeemedto limittherightoftheBanktoissueRefundingBondsasprovidedinSection203and suchissuanceshallnotbedeemedtoconstituteanextensionofmaturityofBonds. Section903-OfficesforServicingBonds.TheBankshallatalltimesmaintain an office oragencywhereBondsmaybepresentedfor transfer orexchange,and wherenotices,presentationsanddemandsupontheBankinrespectoftheBondsor ofthisResolutionmaybeserved.TheBankherebyappointstheTrusteeasitsagent ALASKAMUNICIPALBOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page55 tomaintainsuchofficeoragencyforthe transfer orexchangeofBondsandforthe serviceofsuchnotices,presentationsand demands upontheBankandmayappoint oneormoreco-registrarsforsuchpurposes.TheBankherebyappointstheTrustee asPayingAgentandherebyappointsthePayingAgentasitsagenttomaintainsuch officesoragenciesforthepaymentofBonds. Section904-FurtherAssurances.AtanyandalltimestheBankshall,sofaras itmaybeauthorizedbylaw,pass,make,do,execute,acknowledgeanddeliver,alland everysuchfurtherresolutions,acts,deeds,conveyances,assignments,transfersand assurancesasmaybenecessaryforthebetterassuring,conveying,granting, assigning,confirmingallandsingulartherights,MunicipalBondsPayments,the MunicipalBondsandothermonies,securities,fundsandpropertyherebypledgedor assigned,orintendedsotobe,orwhichtheBankmayhereafterbecomeboundto pledgeorassign. Section905-PowertoIssueBondsandMakePledges.TheBankisduly authorizedpursuanttolawtoauthorizeandissuetheBondsforthepurposesherein authorizedandtoadoptthisResolutionandtopledgetheMunicipalBondsPayments, theMunicipalBondsandothermonies,securities,fundsandpropertypurportedtobe pledgedbythisResolutioninthe manner andtotheextentprovidedinthisResolution. TheMunicipalBondsPayments,theMunicipalBonds,andothermonies,securities, fundsandpropertysopledgedareandwillbefreeandclearofanypledge,lien,charge or encumbrance thereonorwithrespecttheretopriorto,orofequalrankwith,the pledgecreatedbythisResolution,exceptfortheliensinfavoroftheTrusteeand PayingAgentsprovidedinSection805hereof,andallcorporateorotheractiononthe partoftheBanktothatendhasbeendulyandwillbedulyandvalidlytaken.The BondsandtheprovisionsofthisResolutionareandwillbethevalidandlegally enforceable obligationsoftheBankinaccordancewiththeirterms.TheBankshallat alltimes,totheextentpermittedbylaw,defend,preserveandprotectthepledgeofthe MunicipalBondsPayments,theMunicipalBondsandothermonies,securities,funds ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\200S General Obligation Bond Resolution.wpd Page56 andpropertypledgedunderthisResolutionandalltherightsoftheBondholdersunder thisResolutionagainstallclaimsanddemandsofallpersonswhomsoever. Section906-GeneralCovenantsoftheBank.(A)TheBankshalldoand performorcausetobedoneandperformedallactsandthingsrequiredtobedoneor performedbyoron behalf oftheBankunderlawandthisResolutioninaccordancewith thetermshereof. (B)UponthedateofissuanceofanyoftheBonds,allconditions,actsand thingsrequiredbylawandthisResolutiontoexist,tohavehappenedandtohavebeen performedprecedenttoandintheissuanceofsuchBondsshallexist,havehappened andhavebeenperformedandtheissueofsuchBonds,together withallother indebtednessoftheBank,shallbewithineverydebtandotherlimitprescribedbythe lawsoftheState. (C)TheBankdoesherebypledgetoandagreewiththeHoldersoftheBonds thatitwillnotcausetheStatetolimitoraltertherightsvestedbytheActintheBank tofulfillthetermsofanyagreementsmadewithBondholders,orinanywayimpairthe rightsandremediesofsuchHoldersuntiltheBonds,together withtheinterestthereon, withinterestonanyunpaidinstallmentsofinterest,andallcostsandexpensesin connectionwithanyactionorproceedingbyoron behalf ofsuchHolders,arefullymet anddischarged. (D)UponfailureofaGovernmentalUnittomakeanyprincipalorinterest paymentonthedatespecifiedin,andasrequiredby,theapplicableLoan Agreement securingpaymentoftheMunicipalBonds,theTrusteeshall immediately notifythe ExecutiveDirectoroftheBankwhoshallthentakethefollowingactions: (i)theExecutiveDirectorshallwithintwodaysoftheGovernmentalUnit's failuretomaketheMunicipalBondsPayment pursuant tothetermsofthe applicableLoanAgreement,contactsuchGovernmentalUnitandrequest payment; ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolulions\2005 General Obligation Bond Resorution.wpd Page57 (ii)in the event payment isnot made by the Governmental Unit pursuant to(i)above,the Trustee shall make upsuch deficiencies from the Reserve Fund as provided for in Section 603(E)of this Resolution; (iii)in the event payment isnot made by the Governmental Unit pursuant to(i)above,and the Reserve Fundis drawn upon to make upsuch deficiency pursuant to(ii)above,the Executive Director shall initiate intercept proceedings withthe applicable State agencies pursuant to Section 917 of this Resolution; (iv)in the event amounts collected pursuant to(iii)above are insufficient to replenish amounts heldinthe Reserve Fund to the Reserve Fund Requirement,the Executive Director shall contact the Governor of the State and the State legislature asset forth in Section 911(B)of this Resolution;and (v)if there remains a deficiency in the Reserve Fund after the Executive Director has exhausted the requirements found in(i)through (iv)above,the Executive Director shall request aloan from the Department of Revenue pursuant toAS 44.85.270(i)and provide for suchloantobe used to cause the amount inthe Reserve Fund to satisfy the Reserve Fund Requirement. Section 907-Accounts and Reports.(A)The Bank shall keep,or cause tobe kept,proper books of record and account in which complete and correct entries shall be made of its transactions relating toall Municipal Bonds Payments,Municipal Bonds, the Fees and Charges andall funds and accounts established by this Resolution,which shall atall reasonable times be subject to the inspection of the Trustee or the Holders of an aggregate of not less than twenty-five per centum (25%)in principal amount of Bonds then Outstanding or their representatives duly authorized in writing. (B)The Bank shall annually,onor before the last day of January in each year, file with the Trustee a copy of an audit for the preceding Fiscal Year,accompanied by an Accountant's Certificate,andan annual report setting forth in complete and reasonable detail:(a)its operations and accomplishments;(b)its receipts and expenditures during such Fiscal Year in accordance with the categories or classifications established bythe Bank for its operating and capital outlay purposes;(c) ALASKAMUNICIPALBOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolulion.wpd Page58 itsassetsandliabilitiesattheendofsuchFiscalYear,includingascheduleofits MunicipalBondsPayments,MunicipalBonds,FeesandChargesandthestatusof reserve,fundsandthefundsandaccounts established bythisResolution;and(d)a scheduleofitsBondsOutstandingandotherobligationsoutstandingattheendofsuch FiscalYear,togetherwitha statement oftheamountspaid,redeemedandissued duringsuchFiscalYear.Acopyofeachsuchannualreportand Accountant's Certificateshallbemailedpromptly thereafter bytheTrusteetoeach Bondholder who shallhavefiledhisnameandaddresswiththeBankforsuchpurpose. Section908-PersonnelandServicingofPrograms.(A)TheBankshallatall timesappoint,retainandemploycompetentpersonnelforthepurposeofcarryingout itsrespectiveprogramsandshallestablishandenforcereasonablerules,regulations, testsandstandardsgoverningthe employment ofsuchpersonnelatreasonable compensation,salaries,feesandchargesandallpersonsemployedbytheBankshall bequalifiedfortheirrespectivepositions. (B)TheBankmaypaytotherespectiveStateagency,governmental unitor politicalsubdivisionoftheStatefromtheOperatingFundsuchamountsasare necessarytoreimbursetherespectiveStateagency,governmental unitorpolitical subdivisionofthestateforthereasonablecostsofanyservicesperformedforthe Bank. Section909-Waiver ofLaws.TheBankshallnotatanytimeinsistuponor pleadinanymannerwhatsoever,orclaimortakethebenefitor advantage ofanystay orextensionlawnoworatanytime hereafter inforcewhichmayaffectthecovenants andagreementscontainedinthisResolutionorinanySeriesResolutionorinthe Bonds,andallbenefitoradvantageofanysuchlaworlawsisherebyexpresslywaived bytheBank. Section910-FeesandCharges.TheBankshallestablish,make,maintainand chargesuchFeesandChargestoeachGovernmentalUnittowhichaLoanismade, andshallfromtimetotimerevisesuchFeesandCharges whenever necessary,sothat suchFeesandChargesactuallycollectedfromeachsuch Governmental Unitwillatall ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420a01\Resolutions\2005 General Obligation Bond Resolution.wpd Page59 times producemonieswhich,together withsuch Governmental Unit's Allocable Proportionofother monies available under theprovisionsofthisResolution,and other moniesavailabletherefor,includinganygrantsmadebytheUnitedStatesof America oranyagencyor instrumentality thereof orbytheStateoranyagencyor instrumentality thereof and amounts applied therefor from amounts transferred totheOperatingFund pursuant toparagraph(3)ofSection603,willbeatleastsufficient: (a)Topay,asthesame become due,the Governmental Unit's Allocable Proportionofthe Administrative Expenses oftheBank;and (b)Topay,asthesame become due,the Governmental Unit's Allocable Proportionofthefeesand expenses oftheTrusteeandPayingAgents. TheBankshallprovidethe Trustee witha schedule oftheFeesand Charges to bepaidbyeach Governmental Unit,andofeachrevision thereof,andshallrequire each Governmental Unittomake payment oftheFeesand Charges requiredtobepaid byitdirectlytotheTrustee.The Trustee shall promptly advisetheBankofeachand everyfailureofa Governmental Unittomake payment ofFeesand Charges whendue in accordance withthe applicable schedule. Section911-Administration ofReserveFund.(A)TheBankshall establish and maintaintheReserveFundin accordance withthe provisions ofthisResolution.All moniesand securities heldintheReserveFundshallbeused,disbursed andapplied onlyin accordance withthe provisions ofthisResolutionandforno other purpose. Moniesand securities heldintheReserveFundshallnotbe withdrawn therefrom at anytimeinsuch amount aswouldreducethe amount insuchFundtoan amount less thantheRequiredDebtServiceReserveexceptas otherwise providedinthis Resolution. (B)TheBankshallcausethe Chairman oftheBoardof Directors oftheBank annually,beforeeach January 30,tomakeand deliver tothe Governor ofthe Stateand tothe legislature his certificate statingtheamount,ifany,requiredtorestoretheAlaska Municipal BondBankReserveFundtothe amount oftheRequiredDebtService Reserveandacopyofsuch certificate shallbe promptly delivered bytheBanktothe ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resorution.wpd Page60 Trustee.MoniesreceivedbytheBankfromtheState pursuant tosucha certification, in accordance withtheprovisionsofSection 44.85.270(g)oftheActshall,totheextent such certification was occasioned bythefactthatthe amount intheReserveFundwas lessthantheRequiredDebtServiceReserve,be deposited intheReserveFund,as requiredby paragraph (D)ofSection603. (C)TheBankshall annually submit totheStateabudgetrequestforan appropriation tocause,ifnecessary,amounts heldintheReserveFundtoequalthe ReserveFundRequirement.(Amendment:Effective August 19,2009) Section912-Issuance of Additional Obligations.(A)TheBankshallnot subsequent tothe issuance oftheinitialSeriesofBonds under this Resolution create orpermitthecreationoforissueany obligations orcreateany additional indebtedness whichwillbesecuredbyachargeandlienontheMunicipalBondsandthe Municipal Bonds Payments orwhichwillbe payable fromtheDebtServiceFundortheReserve Fund,except that additional SeriesofBondsmaybeissuedfromtimetotime pursuant toaSeriesResolution subsequent tothe issuance oftheinitialSeriesofBonds under thisResolutiononaparitywiththeBondsofsuchinitialSeriesofBondsand secured byanequalchargeandlienonthe Municipal Bondsandthe Municipal Bonds PaymentsandpayableequallyandratablyfromtheDebtServiceFundandReserve Fundforthe purposes of(i)makingLoansto Governmental Units,(ii)making payments intothe Interest Account,(iii)making payments intotheReserveFund,(iv)fundingof Notes theretofore issuedbytheBankforany purposes forwhichBondsmayhavebeen issued,and(v)subject tothe provisions and limitations ofSection203,therefunding ofanyBondsthen Outstanding,under the conditions and subject tothe limitations in thisSection912provided. (B)No additional SeriesofBondsshallbeissued subsequent tothe issuance oftheinitialSeriesofBonds under thisResolutionunless: (1)the aggregate principal amount ofBondsandNotesoftheBank outstanding atthetimeof issuance and delivery ofsuch additional Bondsincludingthe principal amount ofsuch additional Bondswillnotexceedanylimitthereonimposedbylaw; ALASKAMUNICIPALBOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page61 (2)thereisatthetimeofthe issuance ofsuch additional Bondsno deficiency inthe amounts requiredbythisResolutionoranySeriesResolutiontobepaidintothe DebtServiceFundandintotheReserveFund; (3)the amount oftheReserveFund,uponthe issuance and delivery ofsuch additional Bondsandthe deposit intheReserveFundofany amount provided therefor intheSeriesResolutionauthorizingthe issuance ofsuch additional Bonds,shallnot belessthantheRequiredDebtServiceReserve;and (4)the maturities of,orSinkingFund Installments for,the additional Bondsthen beingissued representing Loan Obligations,unlesssuch additional Bondsarebeing issuedtorefund Outstanding Bondsin accordance withthe provisions ofSection203, shallbeequaltothescheduled Municipal Bonds Principal Payments tobemadein respectoftheLoanswith respect towhichsuch additional Bondsaretobeissued. (C)TheBank expressly reservestherighttoadoptoneormoreothergeneral obligation bond resolutions andreservestherighttoissueNotesandanyother obligations solongasthesamearenotachargeorlienonthe Municipal Bonds,the MunicipalBondsPaymentsandtheFeesandChargesorpayablefromtheDebt ServiceFundortheReserveFundcreated pursuant tothisResolution. Section913-Loan Agreement Provisions.NoLoanshallbemadebytheBank fromthe proceeds ofthesaleofBonds,andnoBondsshallbeissuedbytheBankfor the purpose ofprovidingfundswithwhichtomakeaLoan,unlesstheLoan Agreement under whichsuchLoanistobemadeshall comply with,andnoBondsshallbeissued bytheBanktofundNotesortorefundBondsunlesstheLoan Agreement under which theLoanwasmadefromthe proceeds ofsuchNotesorBonds,shallalso comply with, thefollowingterms,conditions,provisions andlimitations: (a)The Governmental UnitwhichisapartytosuchLoan agreement mustbe a Governmental Unitasdefinedbythe Resolution andtheLoan Agreement mustbe executed in accordance withexistinglaws; (b)The Governmental Unit,priortoor simultaneously withthe issuance of BondsoftheBankissuedtomakeaLoantothe Governmental Unit,shallissue ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page62 Municipal Bondswhicharevalid obligations ofthe Governmental Unitasrequiredby theAct; (c)The Municipal Bonds Interest Paymentstobemadebythe Governmental Unit under suchLoan Agreement shallbenotlessthanthe interest payments theBank isrequiredtomakeontheLoanObligationandshallbescheduledbytheBankinsuch manner andatsuchtimes (notwithstanding thedatesof payment asstatedinthe Municipal Bonds)astoprovidefunds sufficient topay interest ontheLoan Obligation asthesame becomes due; (d)TheMunicipalBondsPrincipal Payments tobemadebythe Governmental Unit under suchLoan Agreement shallbe scheduled bytheBankinsuch manner and atsuchtimes (notwithstanding thedatesof payment asstatedintheMunicipalBonds) astoprovidefunds sufficient topaytheprincipaloftheLoan Obligation asthesame matures; (e)The Governmental UnitshallbeobligatedtopayFeesandChargestothe Bankatthetimesandinthe amounts whichwillenabletheBankto comply withthe provisions ofSection910; (f)The Governmental Unitshallagreethatintheeventthe amounts referredto in paragraphs (c)and(d)arenotpaidbyittotheBankonorbeforethetimes specified intheLoan Agreement,any money payabletothe Governmental Unitbyany department or agency oftheStateshallbewithheldfromsuch Governmental Unitand paidover directly tothe Trustee acting under theGeneralObligationBond Resolution andthatthesaid agreement shallbefullwarrant,authority and direction tomakesuch payment toanyofficialoftheState responsible forsuch payment uponnoticetosuch officialbytheBankasprovidedintheAct: (g)TheBankshallnotsellandthe Governmental Unitshallnotredeempriorto maturity anyofthe Municipal BondswithrespecttowhichtheLoanismadeinan amount greaterthan the Outstanding BondsissuedwithrespecttosuchLoanwhichare then redeemable,andinthe event ofanysuchsaleorredemptionofsuch Municipal Bonds,thesameshallbeinan amount notlessthanthe aggregate of(i)theprincipal ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\200S General Obligation Bond Resolution.wpd Page63 amount oftheLoan Obligation sotobe redeemed,(ii)the interest to accrue onthe Loan Obligation sotobe redeemed tothe next redemption date thereof not previously paid,(iii)the applicable premium,ifany,payable ontheLoan Obligation sotobe redeemed,and(iv)the costs and expenses of the Bank in effecting the redemption of theLoan Obligation sotobe redeemed;provided,however,that inthe event theLoan Obligation has been refunded andthe Refunding Bonds therefor were issued ina principal amount in excess of orless than theLoan Obligation remaining unpaid atthe date of issuance of such Refunding Bonds,the amount which the Governmental Unit shall be obligated to payor the Bank shall receive under item(i)above shall bethe principal amount of such Refunding Bonds Outstanding.Inthe event theLoan Obligation has been refunded andthe interest the Bank is required to pay onthe Refunding Bonds therefor islessthanthe interest that the Bank was required to pay ontheLoan Obligation,the amount which the Governmental Unit shall be obligated to payor the Bank shall receive under item(ii)above shallbethe amount of interest to accrue onsuch Refunding Bonds Outstanding. (h)The Governmental Unitshallgivethe Bank at least fifty (50)days'notice of intention to redeem its Municipal Bonds. Section 914-Modification of Loan Agreement Terms.The Bank shall not consent tothe modification of,or modify,therateorrates of interest of,orthe amount or time of payment of any installment of principal ofor interest onany Municipal Bonds evidencing aLoan,orthe amount or time of payment of any Fees and Charges payable with respect to such Loan,orthe security for or any terms or provisions of such Loan orthe Municipal Bonds evidencing thesame,ina manner which adversely affects or diminishes the rights ofthe Bondholders;provided,however,that,inthe event theLoan Obligation is being orhasbeen refunded andthe Refunding Bonds therefor areina principal amount in excess oforlessthanthe principal amount of the Bonds refunded, the Bank may consent tothe modification of and modify theLoan agreement relating to such Loanand the Municipal Bonds evidencing the same,andthe Municipal Bonds Payments tobe made thereunder solongas such MunicipalBonds Payments are ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resorutions\200S General Obligation Band Resolution.wpd Page64 sufficient in amount andpayableatthetimesrequiredforthe payment oftheprincipal ofand interest onsuch Refunding Bonds,and further provided,however,that,inthe event theLoan Obligation hasbeenrefundedandthe interest theBankisrequiredto payontheRefundingBondsissuedforthe purpose ofrefundingsuchoriginalBonds islessthanthe interest theBankwasrequiredtopayonsuchoriginalBondsrefunded bytheBank,the Municipal BondsInterestPaymentstobemadebythe Governmental UnitinrespectofsuchLoanmaybereducedsothatthe amounts requiredtobepaid shallbe sufficient topay interest onsuch Refunding Bonds Outstanding. Section915-SaleofMunicipalBondsbyBank.TheBankshallnotsellany MunicipalBonds except asprovidedin subsection (g)ofSection913. Section916-Dispositionofthe Proceeds ofSaleor Redemption of Municipal Bonds.Inthe event Municipal Bondsorother obligations securingaLoanshallbesold bytheBankorredeemedbythe Governmental Unitin accordance with terms ofthe applicable Loan Agreement,theBankshall,uponsuchsalebytheBankor redemption bythe Governmental Unit,deposit the proceeds ofsuchsaleorredemption,except an amount thereof equaltothecostsand expenses oftheBankin effecting the redemption oftheBondstoberedeemed,intothe applicable sub-account orsub- accounts inthe Redemption Account andshall apply thesametothepurchase, retirement or redemption ofthe appropriate Bondsin accordance withthe provisions ofthisResolution.Thebalanceinsuch applicable sub-account or sub-accounts of such proceeds ofsaleorredemptionof Municipal Bonds after the redemption ofthe Bondstoberedeemedshallbe deposited intheOperatingFund. Section917-Enforcement of Municipal Bonds.TheBankshall diligently enforce,andtakeall reasonable steps,actionsand proceedings necessary forthe enforcement of,allterms,covenants and conditions ofallLoan Agreements andthe Municipal Bonds evidencing LoansmadebytheBank,includingthe prompt collection, andthegivingofnoticetothe Commissioner ofRevenue,Commissioner of Commerce, Community and Economic Development andthe Commissioner of Administration and any other department oragencyoftheStatewhichis custodian ofany money payable ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 GeneralObligationBond Resorution.wpd Page65 totheGovernmentalUnitofanyfailureordefaultoftheGovernmentalUnitinthe paymentofitsMunicipalBondsPaymentandshallpromptly transfer anysuchmonies, uponreceiptthereof,totheTrusteeand,insuchevent,orifsuchmoniesarepaid directlytotheTrustee,theTrusteeshalldepositanysuchmoniesinthePrincipal Account andInterest Account inplaceofsaidunpaidMunicipalBondsPaymentorin theeventdeficienciesinsaidAccountscreatedbysuchdefaultshallhavebeenmade upbytheReserveFundpursuanttoparagraph(5)ofSection603,intheReserveFund totheextentofsuchdeficiencies. Section918-ContinuingDisclosure;Bankruptcy.(A)TheBankhereby covenantsandagreesthatitwillcomplywithandcarryoutallthe provisions ofeach ContinuingDisclosureCertificate.Notwithstandinganyotherprovisionofthis Resolution,failureoftheBanktocomplywithanyContinuing Disclosure Certificate shallnotbeconsideredanEventofDefault,andany Bondholder maytakesuchactions onlyasmaybeprovidedinsuchContinuingDisclosureCertificate. (B)TheBankherebycovenantsandagreesthatitwillnotifytheRating AgenciesthenratingtheBondsofanychangeintheActwhichwouldpermititor requireittodeclarebankruptcyundertheBankruptcyCode. Section919-TaxCovenants.TheBankshallnotknowinglytakeorcauseany actiontobetakenwhichwouldcauseinterestonanyBondstobecome taxable for federalincometaxpurposes.TheBankshallatalltimesdoandperformallactsand thingsnecessaryordesirable,including,butnotlimitedto,complyingwiththerebate provisionsofSection148oftheCode,asapplicable,andcomplyingwiththeprovisions ofanyletterofinstructionsfrombondcounsel,inordertoassurethatinterestpaidon Bondsshall,forpurposesoffederalincometaxation,beexcludablefromthegross incomeoftherecipients thereof andexemptfromtaxation.TheBankshallnotpermit atanytimeortimesanyproceedsofanyBondsoranyamountsheld hereunder tobe used,directlyorindirectly,inamannerwhichwouldresultintheexclusionofanyBond fromthetreatmentaffordedbysubsection(a)ofSection103oftheCode. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolulions\2005 GeneralObligation Bond Resorution.wpd Page66 ARTICLE X SERIES RESOLUTION AND SUPPLEMENTAL RESOLUTIONS Section1001-Modification and Amendment without Consent.Notwithstanding any other provisions ofthis Article X,orArticleXI,theBankmay adopt atanytimeor fromtimetotimeSeries Resolutions or Supplemental Resolutions for anyone ormore ofthefollowingpurposes,andanysuchSeries Resolution or Supplemental Resolution shall become effective in accordance withits terms uponthefilingwiththe Trustee of acopy thereof certifiedbyan Authorized Officer: (A)Toprovideforthe issuance ofaSeriesofBonds pursuant tothe provisions of this Resolution andto specify and determine such matters and things referredtoin Article II of this Resolution andto prescribe the terms and conditions pursuant towhich suchBondsmaybeissued,paidorredeemed; (B)Toaddtothe covenants and agreements of theBankforthe purpose of further securingthe payment of theBonds,providedsuch additional covenants and agreements arenot contrary toor inconsistent withthe covenants and agreements of theBank contained inthis Resolution; (C)To prescribe further limitations and restrictions uponthe issuance of Bonds andtheincurringof indebtedness bytheBankwhicharenot contrary toor inconsistent withthe limitations and restrictions thereon theretofore ineffect; (D)To surrender anyright,power orprivilegereservedtoor conferred uponthe Bankbytheterms of this Resolution,provided that the surrender ofsuchright,power or privilege isnot contrary toor inconsistent withthe covenants and agreements ofthe Bank contained inthis Resolution; (E)Toconfirmas further assurance anypledge under andthe subjection toany lien,claimorpledgecreatedortobecreatedbythe provisions ofthis Resolution ofthe Municipal Bondsand Municipal Bonds Payments or of any other monies,securities or funds; (F)To modify any of the provisions ofthis Resolution orany previously adopted Series Resolution inany other respect;provided that such modifications shallnotbe ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) I:\Oocs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page67 effectiveuntil after allBondsofanySeriesofBondsOutstandingasofthedateof adoptionofsuchSeriesResolutionor Supplemental Resolutionshallceasetobe Outstanding,andallBondsissuedundersuchmodifiedresolutionsshallcontaina specificreferencetothemodifications; (G)TocureanyambiguityordefectorinconsistentprovisioninthisResolution ortoinsertsuchprovisionsclarifyingmattersorquestionsarisingunderthisResolution asarenecessaryordesirableintheeventanysuch modifications arenotcontraryto orinconsistentwiththisResolutionas theretofore ineffect. Section1002-Supplemental ResolutionsEffectivewithConsentof Bondholders.TheprovisionsofthisResolutionmayalsobemodifiedoramendedat anytimeorfromtimetotimebyaSupplementalResolution,withtheconsentof BondholdersinaccordancewithandsubjecttotheprovisionsofArticleXIwhich Supplemental Resolution,uponthefilingwiththeTrusteeofacopythereof,certified byanAuthorized Officer anduponcompliancewiththeArticleXI,shall become fully effectiveinaccordancewithitstermsasprovidedinsaidArticle. Section1003-GeneralProvisionsRelatingtoSeriesResolutionsand SupplementalResolutions.ThisResolutionshallnotbemodifiedoramendedinany respectexceptasprovidedinandinaccordancewithandsubjecttotheprovisionsof thisArticleXandArticleXI.NothingcontainedinthisArticleXorArticleXIshallaffect orlimittherightsorobligationsoftheBanktoadopt,make,do,executeordeliverany resolution,actorother instrument pursuanttotheprovisionsofSection904ortheright orobligationoftheBanktoexecuteanddelivertotheTrusteeoranyPayingAgentany instrument whichelsewhereinthisResolutionitisprovidedorpermittedtobedelivered totheTrusteeoranyPayingAgent. AcopyofeverySeriesResolutionandSupplementalResolutionadoptedbythe BankwhenfiledwiththeTrusteeshallbeaccompaniedbyaCounsel'sOpinionstating thatsuchSeriesResolutionor Supplemental Resolutionhasbeendulyandlawfully adoptedinaccordancewiththeprovisionsofthisResolution,isauthorizedorpermitted bythisResolutionandisvalidandbindingupontheBankand enforceable in ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) I:\Docs\37420001\Resolutions\2005 General Obligalion Bond Resolulion.wpd Page68 accordancewithitsterms(subject,asto enforcement ofremedies,to applicable bankruptcy,reorganization,insolvency,moratorium,orotherlawsaffectingcreditor's rightsgenerallyfromtimetotimeineffect). TheTrusteeisherebyauthorizedtoacceptdeliveryofacertifiedcopyofany SeriesResolutionorSupplementalResolutionpermittedorauthorizedpursuanttothe provisionsofthisResolutionandtomakeallfurtheragreementsandstipulationswhich maybecontainedtherein,and,intakingsuchaction,theTrusteeshallbefully protectedinrelyingonCounsel'sOpinionthatsuchSeriesResolutionor Supplemental ResolutionisauthorizedorpermittedbytheprovisionsofthisResolution. NoSeriesResolutionor Supplemental Resolutionchanging,amendingor modifyinganyoftherightsorobligationsoftheTrusteeorofanyPayingAgentmaybe adoptedbytheBankwithoutthewrittenconsentoftheTrusteeorPayingAgent affectedthereby. ARTICLEXI AMENDMENTS Section1101-Powersof Amendment.Anymodificationor amendment ofthis ResolutionandoftherightsandobligationsoftheBankandoftheHoldersofthe Bonds,inanyparticular,maybemadebyaSupplementalResolution,withthewritten consentgivenas hereinafter providedinSection1102,(a)oftheHoldersofatleast two-thirdsinprincipalamountoftheBondsOutstandingatthetimesuchconsentis given,or(b)incaselessthanalloftheseveralSeriesofBondsthenOutstandingare affectedbythemodificationoramendment,oftheHoldersofatleasttwo-thirdsin principalamountoftheBondsofeachSeriessoaffectedandOutstandingatthetime suchconsentisgiven;provided,however,thatsuchmodificationor amendment shall not(i)permitachangeinthetermsofredemptionormaturityoftheprincipalofany OutstandingBondorofany installment ofinterestthereonorSinkingFund Installment therefor,(ii)orareductionintheprincipalamountortheRedemptionPrice thereof or intherateofinterestthereon,or(iii)areductionofthepercentageoftheHoldersof whichisrequiredtoeffectanysuchmodificationoramendment,or(iv)permitthe ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolulions\2005 General Obligation Bond Resalution.wpd Page69 creationofanylienpriortooronaparitywiththeliencreatedbythisResolution(except inthe manner providedbythisResolution)ordeprivetheHoldersoftheBondsofthe liencreatedbythisResolution,withouttheconsentoftheHoldersofalltheBonds OutstandingoroftheSeriesofBondsaffectedbysuchmodificationoramendment. ForthepurposesofthisSection,aSeriesshallbedeemedtobeaffectedbya modification or amendment ofthisResolutionifthesameadverselyaffectsor diminishes therightsoftheHoldersofBondsofsuchSeries. Section1102-ConsentofBondholders.(A)TheBankmayatanytimeadopt a Supplemental Resolutionmakingamodificationor amendment permittedbythe provisionsofSection1101,totakeeffectwhenandasprovidedinthisSection.Acopy ofsuch Supplemental Resolution(orbriefsummary thereof orreferencethereto), together witharequesttoBondholdersfortheirconsentthereto,shallbetoby,oron behalf of,theBank'stoBondholders.SuchSupplementalResolutionshallnotbe effective unlessanduntilthereshallhavebeenfiledwiththeTrustee(a)thewritten consentsofHoldersofthepercentagesofOutstandingBondsspecifiedinSection1101 and(b)aCounsel'sOpinionstatingthatsuchSupplementalResolutionhasbeenduly and lawfully adoptedandfiledbytheBankinaccordancewiththeprovisionsofthis Resolution,isauthorizedorpermittedherebyandisvalidandbindingupontheBank and enforceable inaccordancewithitsterms,and(ii)anoticeshallhavebeenmailed as hereinafter providedinthisSection. (B)The consent ofa Bondholder toanymodificationor amendment shallbe effective onlyifaccompaniedby proof oftheholding,atthedateofsuchconsent,ofthe Bondswithrespecttowhichsuchconsentisgiven,whichproofshallbesuchasis permittedbySection813.AcertificateorcertificatesbytheTrusteefiledwiththe Trusteethatithasexaminedsuchproofandthatsuchproofis sufficient in accordance withSection813shallbeconclusivethattheconsentshavebeengivenbytheHolders oftheBondsdescribedinsuchcertificateorcertificatesoftheTrustee.Anysuch consentshallbebindingupontheHolderoftheBondsgivingsuchconsentandupon any subsequent HolderofsuchBondsandofanyBondsissuedinexchange therefor ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) I:\Docs\37420001 \Resolulions\200S General Obligation Bond Resolution.wpd Page70 (regardlessof whether such subsequent Holderthereof hasnoticethereof)unlesssuch consentisrevokedinwritingbytheholderofsuchBondsgivingsuchconsentora subsequent holder thereof byfilingwiththeTrustee,priortothetimewhenthewritten statement oftheTrustee hereinafter providedforinthisSectionisfiled,suchrevocation and,ifsuchBondsaretransferablebydelivery,proof thatsuchBondsareheldbythe signerofsuchrevocationinthe manner permittedbySection813.Thefactthata consenthasnotbeenrevokedmaylikewisebeprovedbyacertificateoftheTrustee filedwiththeTrusteetotheeffectthatnorevocation thereof isonfilewiththeTrustee. (C)AtanytimeaftertheHoldersoftherequired percentages ofBondsshall havefiledtheirconsentstotheSupplementalResolution,theTrusteeshallmakeand filewiththeBankandtheTrusteeawritten statement thattheHoldersofsuchrequired percentages ofBondshavefiledsuchconsents.Suchwritten statement shallbe conclusivethatsuchconsentshavebeensofiled.Atanytime thereafter notice,stating insubstancethattheSupplementalResolutionadoptedbytheBankonastateddate, acopyofwhichisonfilewiththeTrustee,hasbeenconsentedtobytheHoldersofthe requiredpercentagesofBondsandwillbeeffectiveasprovidedinthisSection,maybe giventoBondholdersbytheBankbymailingsuchnoticetoBondholdersatleastonce notmorethanninetydays(90)aftertheHoldersoftherequiredpercentagesofBonds shallhavefiledtheirconsentstotheSupplementalResolutionandthewritten statement oftheTrusteehereinaboveprovidedforisfiled.TheBankshallfilewiththe Trustee proof ofthepublicationofsuchnoticeand,ifthe sameshallhavebeenmailed toBondholders,ofthemailingthereof.Arecord,consistingofthepapersrequiredor permittedbythisSectiontobefiledwiththeTrustee,shallbe proof ofthematters thereinstated.Such Supplemental Resolutionmakingsuch amendment or modificationshallbedeemedconclusivelybindingupontheBank,theFiduciariesand theHoldersofallBondsattheexpirationofforty(40)daysafterthefilingwiththe Trusteeofthe proof ofthefirstpublicationofsuchlastmentionednotice,exceptinthe eventofafinal decree ofacourtofcompetent jurisdiction settingasidesuch Supplemental Resolutioninalegalactionorequitableproceedingforpurpose ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page71 commenced within such forty day period;except that any Fiduciary andthe Bank during such forty day period andany such further period during which any such action or proceeding may be pending shall be entitled in their absolute discretion to take such action,orto refrain from taking such action,with respect tosuch Supplemental Resolution as they may deem expedient. Section 1103 -Modifications by Unanimous Consent.The terms and provisions ofthis Resolution andthe rights and obligations of the Bank and of the Holders of the Bonds may be modified or amended inany respect uponthe adoption and filing with the Trustee bythe Bank of a copy ofa Supplemental Resolution certified byan Authorized Officer andthe consent ofthe Holders ofall of the Bonds then Outstanding, such consent tobe given as provided in Section 1102,except that no notice to Bondholders either by mailing or publication shallbe required provided,however,that no such modification or amendment shall change or modify any ofthe rights or obligations of the Trustee or Paying Agents without thefilingwith the Trustee of its written assent thereto in addition tothe consent of Bondholders. Section 1104 -Mailing and Publication.Any provision in this Article for the mailing ofa notice or other document to Bondholders shall be fully complied withifit is mailed postage prepaid only (i)to each registered owner of Bonds then Outstanding athis address,ifany,appearing uponthe registry books of theBank,(ii)to each Holder of any Bond payable to bearer who shall havefiledwiththe Trustee an address for notices,and(iii)tothe Trustee. Section 1105 -Exclusion of Bonds.Bonds owned orheldbyorforthe account ofthe Bank shall not be deemed Outstanding for the purpose of consent or other action orany calculation of Outstanding Bonds provided for in this Resolution,andthe Bank shall not be entitled with respect to such Bonds togiveany consent or take any other action provided forin this Resolution.Atthe time of any consent or other action taken under this Resolution,the Bank shall furnish the Trustee a certificate of an authorized Officer,upon which the Trustee may rely,describing all Bonds sotobe excluded. ALASKA MUNICIPALBOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page72 Section1106-NotationonBonds.Bondsdeliveredaftertheeffectivedateof anyactiontakenasinArticleXorXIprovidedmay,andiftheTrusteesodetermines, shall,bearnotationby endorsement orotherwiseinformapprovedbytheBankandthe Trusteeastosuchaction,andinthatcaseupondemandoftheHolderofanyBond Outstandingatsuch effective dateanduponpresentationofhisBondforsuchpurpose atthecorporatetrustofficeofthe Trustee suitablenotationshallbemadeonsuch BondbytheTrusteeastoanysuchaction.IftheBankortheTrusteeshallso determine,newBondssomodifiedasintheopinionofthe Trustee andtheBankto conformtosuchactionshallbepreparedanddelivered,andupondemandofthe HolderofanyBondthenOutstandingshallbeexchanged,withoutcosttosuch Bondholder,forBondsofthesameSeriesandmaturitythenOutstanding,upon surrender ofsuchBonds. ARTICLEXII DEFAULTSANDREMEDIES Section1201-TrusteetoExercisePowersofStatutoryTrustee.TheTrustee shallbeandherebyisvestedwithalloftherights,powersanddutiesofatrustee appointedby Bondholders pursuanttoSection 44.85.310 and320oftheActandthe rightofBondholderstoappointatrusteepursuanttoSection 44.85.310 and320ofthe ActisherebyabrogatedpursuanttoSection 44.85.220(18)oftheAct. Section1202-EventsofDefault.Eachofthefollowingeventsishereby declaredan"EventofDefault,"thatistosay;if (a)theBankshalldefaultinthepaymentoftheprincipalorRedemptionPrice of,SinkingFund Installment for,orintereston,anyBondwhenandasthesameshall becomedue whether atmaturityoruponcallforredemption,orotherwise;or (b)theBankshallfailorrefusetocomplywiththeprovisionsofSection 44.85.270(g)oftheAct,orsuchamountsasshallbecertifiedbytheChairoftheBank tothe Governor andtotheLegislaturepursuanttosuchprovisionsoftheActshallnot beappropriatedandpaidtotheBankpriortotheterminationofthethencurrentState fiscalyear;or ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolulions\2005 General Obligation Bond ResoJution.wpd Page73 (c)theBankshallfailorrefusetocomplywiththe provisions oftheAct,other thanasprovidedin(b)above,orshall default inthe performance or observance ofany other ofthecovenants,agreements or conditions onitspartinthisResolution,any SeriesResolution,any Supplemental Resolution,orintheBondscontained,andsuch failure,refusalor default shall continue foraperiodof forty-five (45)daysafterwritten notice thereof bythe Trustee orthe Holders ofnotlessthan twenty-five percentum (25%)inprincipal amount ofthe Outstanding Bonds. Provided,however,thatanEventofDefaultshallnotbe deemed toexist under the provisions ofthis paragraph (c)uponthefailureoftheBanktomakeandcollect FeesandChargesrequiredtobe made andcollectedbythe provisions ofthis Resolutionoruponthe failure oftheBankto enforce any obligation undertaken bya Governmental Unit pursuant toaLoan Agreement includingthemakingofthe stipulated Municipal Bonds Payment solongastheBankmay otherwise bedirected bylawandsolongastheBankshallbeprovidedwithmoniesfromtheStateor otherwise,other than withdrawals fromor reimbursements oftheReserveFund, sufficient in amount topaytheprincipalofand interest onallBondsasthesameshall becomedueduringtheperiodforwhichtheBankshallbe directed bylawtoabstain frommakingand collecting suchFeesandChargesandfrom enforcing the obligations ofa Governmental Unit under the applicable Loan Agreement. Section1203-Remedies.(A)Uponthe happening and continuance ofany Eventof Default specified in paragraph (a)ofSection1202,the Trustee shallproceed, oruponthe happening and continuance ofanyEventof Default specified in paragraphs (b)and(c)ofSection1202,the Trustee mayproceed,anduponthewrittenrequestof theHoldersofnotlessthan twenty-five percentum(25%)inprincipal amount ofthe Outstanding Bondsshallproceed,initsownname,to protect and enforce itsrightsand therightsofthe Bondholders bysuchofthefollowingremedies,astheTrustee,being advisedbycounsel,shalldeemmost effectual toprotectand enforce suchrights: (1)by mandamus or other suit,actionor proceeding atlaworinequity,enforce allrightsofthe Bondholders,includingtherighttorequiretheBanktomakeand collect ALASKAMUNICIPALBOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolulions\200S General Obligation Bond Resolutlon.wpd Page74 Feesand Charges and Municipal Bonds Payments adequate tocarryoutthe covenants and agreements asto,and pledge of,suchFeesand Charges and Municipal Bonds Payments,and other properties andtorequiretheBanktocarryoutany other covenant or agreement with Bondholders andto perform its duties under theAct; (2)bybringingsuitupontheBonds; (3)byactionor suit inequity,requiretheBankto account asifitwerethe trustee ofan express trust for the Holders oftheBonds; (4)byactionorsuitinequity,enjoinanyactsor things whichmaybeunlawful orinviolationoftherights of the Holders of theBonds; (B)Uponthe occurrence ofanEvent of Default under Section 1202(a),unless the principal ofalltheBondsshallhave already become dueandpayable,theTrustee, bynoticeinwritingtotheBank,may,anduponthewritten request of theHoldersofnot lessthana majority in aggregate principal amount oftheBondsatthetime outstanding, shall,in accordance withthe provisions oftheAct,declare the principal ofalltheBonds then outstanding,andthe interest accrued thereon,tobedueand payable immediately, anduponanysuch declaration thesameshall become andshallbe immediately due andpayable,anythingin this Resolution orintheBonds contained tothe contrary notwithstanding. Thisprovision,however,is subject tothe condition that if,atanytime after the principal of theBondsshallhavebeenso declared dueandpayable,andbeforeany judgment or decree forthe payment of the monies dueshallhavebeen obtained or entered,theBankshall deposit withthe Trustee asum sufficient topayallprincipalon theBondsmaturedpriortosuch declaration andallmatured installments of interest (if any)uponalltheBonds,with interest onsuch overdue installments of principal atthe ratebornebythe respective Bonds,andthe reasonable expenses oftheTrustee,and anyandall other defaults knowntothe Trustee (other thaninthe payment of principal ofand interest onthe Bonds due and payable solely byreasonofsuch declaration) shallhavebeen made goodorcuredtothe satisfaction of the Trustee or provision deemed bythe Trustee tobe adequate shallhavebeenmade therefor,then,andin ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resorutions\2005 General Obligation Bond Resolution.wpd Page75 everysuchcase,theHoldersofatleastamajorityinaggregateprincipalamountofthe Bondsthenoutstanding,bywrittennoticetotheBankandtotheTrustee,may,on behalf oftheHoldersofallofthebonds,rescindandannulsuchdeclarationandits consequencesandwaivesuchdefault;butnosuchrescissionand annulment shall extendtoorshallaffectany subsequent default,orshallimpairorexhaustanyrightor power consequent thereon. (C)Inthe enforcement ofanyremedyunderthisResolution,theTrusteeshall beentitledtosuefor,enforce paymentonandreceiveanyandallamountsthenor duringany default becoming,andatanytimeremaining,duefromtheBankfor principal,RedemptionPrice,interestorotherwise,underanyprovisionofthis ResolutionoraSeriesResolutionoroftheBonds,andunpaid,withinterestonoverdue paymentsattherateorratesofinterestspecifiedinsuchBonds,together withanyand allcostsandexpensesofcollectionandofallproceedings hereunder andundersuch Bonds,withoutprejudicetoanyotherrightorremedyoftheTrusteeorofthe Bondholders,andtorecoverandenforcea judgment ordecreeagainsttheBankfor anyportionofsuchamountsremainingunpaid,withinterest,costsandexpenses,and tocollectfromanymoniesavailableforsuchpurpose,inany manner providedbylaw, themoniesadjudgedordecreedtobepayable. Section1204-PriorityofPayments After Default.Duringthecontinuanceofan EventofDefault,intheeventthatthefundsheldbytheTrusteeandPayingAgents shallbe insufficient forthepaymentofinterestandprincipalorRedemptionPricethen dueontheBonds,suchfunds(otherthanfundsheldforthepaymentorredemptionof particular Bondswhichhave theretofore becomedueatmaturityorbycallfor redemption)andanyothermoniesreceivedorcollectedbytheTrusteeactingpursuant totheActandthisArticleXII,aftermakingprovisionforthepaymentofanyexpenses necessaryintheopinionoftheTrusteetoprotecttheinterestsoftheHoldersofthe Bonds,andforthepaymentofthechargesandexpensesandliabilitiesincurredand advancesmadebythe Trustee oranyPayingAgentsintheperformanceoftheir respectivedutiesunderthisResolution,shallbeappliedasfollows: ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolulions\2005 General Obligation BondResoJulion.wpd Page76 (a)UnlesstheprincipalofalloftheBondsshallhavebecomeorhavebeen declareddueandpayable, FIRST:Tothepaymenttothepersonsentitledtheretoofallinstallments of interestthendueintheorderofthematurityofsuchinstallments,together withinterestonoverdueinstallmentsofinterestand,ifthe amountavailableshall notbesufficienttopayinfullanyinstallment,thentothepayment thereof ratably,accordingtotheamountsdueonsuchinstallment,tothepersons entitledthereto,withoutany discrimination orpreference;and SECOND:Tothepaymenttothepersonsentitledtheretooftheunpaid principalorRedemptionPriceofanyBondswhichshallhavebecomedue, whetheratmaturityorbycallforredemption,intheorderoftheirduedatesand, iftheamountsavailableshallnotbe sufficient topayinfullalltheBondsdueon anydate,thentothepayment thereof ratably,accordingtotheamountsof principalorRedemptionPricedueonsuchdate,tothepersonsentitledthereto, withoutanydiscriminationorpreference. (b)IftheprincipalofalloftheBondsshallhavebecomeorhavebeendeclared dueandpayable,tothepaymentoftheprincipalandinterestthendueandunpaid upontheBondstogetherwithinterestonoverdueinstallmentsofinterestwithout preferenceorpriorityofprincipaloverinterestorofinterestoverprincipal,orofany installment ofinterestoveranyother installment ofinterest,orofanyBondoverany otherBond,ratably,accordingtotheamountsduerespectivelyforprincipaland interest,tothepersonsentitledtheretowithoutanydiscriminationor preference except astoany difference intherespectiveratesofinterestspecifiedintheBonds. Whenever moniesaretobeappliedbytheTrusteepursuanttotheprovisions ofthisSection1204,suchmoniesshallbeappliedbytheTrusteeatsuchtimes,and fromtimetotime,astheTrusteeinitssolediscretionshalldetermine,havingdue regardtotheamountofsuchmonies available forapplicationandthelikelihoodof additionalmoneybecomingavailableforsuchapplicationinthefuture;thedepositof suchmonieswiththePayingAgents,orotherwisesettingasidesuchmoniesintrust ALASKA MUNICIPALBONDBANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page77 fortheproperpurpose,shall constitute properapplicationbytheTrustee;andthe Trusteeshallincurnoliability whatsoever totheBank,toany Bondholder ortoany other personforanydelayinapplyinganysuchmonies,solongastheTrusteeacts withreasonablediligence,havingdueregardforthecircumstances,and ultimately appliesthesameinaccordancewithsuchprovisionsofthisResolutionasmaybe applicable atthetimeofapplicationbytheTrustee.Whenever theTrusteeshall exercisesuchdiscretioninapplyingsuchmonies,itshallfixthedate(whichshallbean interestpaymentdateunlesstheTrusteeshalldeemanotherdatemoresuitable)upon whichsuchapplicationistobemadeanduponsuchdateinterestontheamountsof principaltobepaidonsuchdateshallceasetoaccrue.TheTrusteeshallgivesuch noticeasitmaydeemappropriateforthefixingofanysuchdate.TheTrusteeshallnot berequiredtomakepaymenttotheHolderofanyunpaidBondunlesssuchBondshall bepresentedtotheTrusteefor appropriate endorsement orforcancellationiffullypaid. InterestonoverdueinstallmentsofinterestshallbeequaltotherateontheBondas towhichtheinterest installment isoverdue. TheprovisionsofthisSection1204areinallrespectssubjecttotheprovisions ofSection902. Section1205-Termination of Proceedings.Incaseanyproceedingtakenby theTrusteeonaccountofanyEventofDefaultshallhavebeendiscontinuedor abandonedforanyreason,thenineverysuchcasetheBank,theTrusteeandthe Bondholders shallberestoredtotheir former positionsandrightshereunder, respectively,andallrights,remedies,powersanddutiesoftheTrusteeshallcontinue asthoughnosuchproceedinghadbeentaken. Section1206-Bondholders'DirectionofProceedings.Anythinginthis Resolutiontothecontrary notwithstanding,theHoldersofthemajorityinprincipal amountoftheBondsthenOutstandingshallhavetherightbyan instrument orcon- currentinstrumentsinwritingexecutedanddeliveredtotheTrustee,todirectthe methodofconductingallremedial proceedings tobetakenbytheTrusteehereunder, providedthatsuchdirectionshallnotbeotherwisetheninaccordancewithlaworthe ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolulions\2005 General Obligation Bond Resolulion.wpd Page78 provisionsofthisResolution,andthattheTrusteeshallhavetherighttodeclineto followinganysuchdirectionwhichintheopinionoftheTrusteewouldbeunjustly prejudicialtoBondholdersnotpartiestosuchdirection. Section1207-LimitationonRightsofBondholders.NoHolderofanyBondshall haveanyrighttoinstituteanysuit,action,mandamus orotherproceedinginequityor atlawhereunder,orfortheprotectionor enforcement ofanyrightunderthisResolution oranyrightunderlawunlesssuchHoldershallhavegiventotheTrusteewrittennotice oftheeventofdefaultorbreachofdutyonaccountofwhichsuchsuit,actionor proceedingistobetaken,andunlesstheHoldersofnotlessthantwenty-fiveper centum(25%)inprincipalamountoftheBondsthenOutstandingshallhavemade writtenrequestoftheTrusteeaftertherighttoexercisesuchpowersorrightofaction, asthecasemaybe,shallhaveoccurred,andshallhaveaffordedthe Trustee a reasonableopportunityeithertoproceedtoexercisethepowershereingrantedor grantedunderthelawortoinstitutesuchaction,suitorproceedinginitsnameand unless,also,thereshallhavebeenofferedtotheTrusteereasonablesecurityand indemnityagainstthecosts,expensesandliabilitiestobeincurredthereinorthereby andtheTrusteeshallhaverefusedorneglectedtocomplywithsuchrequestwithina reasonabletime;andsuchnotification,requestandofferofindemnityarehereby declaredineverysuchcase,attheoptionoftheTrustee,tobeconditionsprecedent totheexecutionofthepowersunderthisResolutionorforanyotherremedy hereunder orunderlaw.ItisunderstoodandintendedthatnooneormoreHoldersoftheBonds herebysecuredshallhaveanyrightinany manner whatever byhisortheiractionto affect,disturborprejudicethesecurityofthisResolution,ortoenforceanyright hereunder orunderlawwithrespecttotheBondsorthisResolution,exceptinthe manner hereinprovided,andthatallproceedingsatlaworinequityshallbeinstituted, hadandmaintainedinthe manner hereinprovidedandforthebenefitofallHoldersof theOutstandingBonds.NotwithstandingtheforegoingprovisionsofthisSectionorany other provisionsofthisArticleXII,theobligationoftheBankshallbeabsoluteand unconditionaltopaytheprincipalorRedemptionPriceofandinterestontheBondsto ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page79 therespectiveHolders thereof attherespectiveduedatesthereof,andnothingherein shallaffectorimpairtherightofaction,whichisabsoluteandunconditional,ofsuch Holderstoenforcesuchpayment. Section1208-PossessionofBondsby Trustee NotRequired.Allrightsof actionunderthisResolutionorunderanyoftheBonds,enforceable bytheTrustee, maybe enforced byitwithoutthepossessionofanyoftheBondsortheproduction thereof onthetrialorotherproceedingrelativethereto,andanysuchsuit,actionor proceedinginstitutedbytheTrusteeshallbebroughtinitsnameforthebenefitofall theHoldersofsuchBonds,subjecttotheprovisionsofthisResolution. Section1209-RemediesNotExclusive.Noremedyhereinconferreduponor reservedtotheTrusteeortotheHoldersoftheBondsisintendedtobeexclusiveof anyotherremedyorremedies,andeachandeverysuchremedyshallbecumulative andshallbeinadditiontoanyotherremedygiven hereunder ornowor hereafter existingatlaworinequity,orbystatute. Section1210-No Waiver ofDefault.NodelayoromissionoftheTrusteeorof anyHolderoftheBondstoexerciseanyrightorpoweraccruinguponanydefaultshall impairanysuchrightorpowerorshallbeconstruedtobeawaiverofanysuch default oran acquiescence therein;andeverypowerandremedygivenbythisResolutionto theTrusteeandtheHoldersoftheBonds,respectively,maybeexercisedfromtimeto timeandasoftenasmaybedeemedexpedient. Section1211-NoticeofEventofDefault.TheTrusteeshallgivetothe BondholdersnoticeofeachEventofDefault hereunder knowntotheTrusteewithin ninety(90)daysafterknowledgeofthe occurrence thereof,unlesssuchEventof Defaultshallhavebeenremediedorcuredbeforethegivingofsuchnotice;provided that,exceptinthecaseofdefaultinthepaymentoftheprincipalorRedemptionPrice oforinterestonanyoftheBonds,orinthemakingofanypaymentrequiredtobemade intotheDebtServiceFundortheReserveFund,theTrusteeshallbeprotectedin withholdingsuchnoticeifandsolongastheboardofdirectors,theexecutive committee,oratrustcommitteeofdirectorsorresponsibleofficersoftheTrusteein ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) r:\Docs\3742000'\Resolulions\2005 GeneralObligationBond Resolution.wpd Page80 goodfaith determines thatthewithholdingofsuchnoticeisintheinterestsofthe Bondholders.EachsuchnoticeofEventofDefaultshallbegivenbytheTrusteeby mailingwrittennoticethereof:(1)toallregisteredHoldersofBonds,asthenamesand addressesofsuchHoldersappearuponthebooksforregistrationand transfer of BondsaskeptbytheTrustee;(2)tosuch Bondholders ashavefiledtheirnamesand addresseswiththeTrusteeforthatpurpose;and(3)tosuchotherpersonsasis requiredbylaw. ARTICLEXIII DEFEASANCE Section1301-Defeasance.(A)IftheBankshall payor causetobepaidtothe HoldersoftheBonds,theprincipalandinterestandRedemptionPrice,ifany,to becomeduethereon,atthetimesandinthe manner stipulatedthereinandinthis Resolution,andalsoshall payor causetobepaidallothersumspayable hereunder bytheBank,includinganyamountspayabletotheUnitedStates,thenthepledgeof anyrevenuesandassetsherebypledgedandallotherrightsgrantedherebyshall,at theelectionoftheBank(evidencedbyacertificateofanAuthorizedOfficerfiledwith theTrustee,signifyingtheintentionoftheBanktodischargeallsuch indebtedness and thisResolutionandanySupplementalResolution),andnotwithstandingthatanyBonds shallnothavebeensurrenderedforpayment,bedischargedandsatisfied.Insuch event,theTrusteeshall,uponthewrittenrequestoftheBank,executeanddeliverto theBankallsuch instruments asmaybedesirabletoevidencesuchdischargeand satisfactionandtheFiduciariesshallpayoveror deliver totheBankallmoneysor securitiesheldbythempursuanttothisResolutionwhicharenotrequiredforthe paymentorredemptionofBondsnot theretofore surrenderedforsuchpaymentor redemption. (B)IffundsshallhavebeensetasideandshallbeheldintrustbyFiduciaries forthepaymentofprincipal,interestandRedemptionPrice(throughdepositbythe Bank offunds forsuchpaymentorredemptionorotherwise)atthematurityoruponthe dateuponwhichsuchBondshavebeendulycalledforredemptionthereof,suchBonds ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page81 shallbe deemed to have been paid within the meaning andwiththe effect expressed in subsection (A)ofthis Section.All Outstanding Bonds shall,prior tothe maturity or redemption date thereof,be deemed tohave been paid within the meaning andwiththe effect expressed in subsection (A)of this Section if(i)in case any ofsaid Bonds areto be redeemed on any date prior to their maturity,the Bank shall have given tothe Trustee inform satisfactory toit irrevocable instructions to publish as provided in Article IV notice of redemption onsaid date of such Bonds,(ii)there shall have been deposited with the Trustee either funds inan amount which shall be sufficient,or Investment Securities which are not subject to redemption prior tothe dates on which amounts will be needed to make payments onthe Bonds defeased andthe principal ofandthe interest on which when due will provide moneys which,together withthe moneys,if any,deposited withthe Trustee atthe same time,shall be sufficient inthe opinion of an Accountant delivered tothe Trustee,to pay when due the principal or Redemption Price,ifany,and interest due andto become dueonsaid Bonds on any date prior to the redemption date or maturity date thereof,asthe case may be,(iii)inthe event said Bonds are not by their terms subject to redemption within the next succeeding sixty (60) days,the Bank shall have giventhe Trustee in form satisfactory toit irrevocable instructions tomaila notice tothe Holders of such Bonds that the deposit required by (ii)above hasbeen made withthe Trustee and that said Bonds are deemed tohave beenpaidin accordance with this Section and stating such maturity or redemption date upon which moneys aretobe available for the payment of the principal or Redemption Price,ifany,of said Bonds and(iv)a Counsel's Opinion stating that all conditions precedent tothe satisfaction and discharge of this Resolution have been complied with, the defeasance complies withthe terms of this Resolution,and the defeasance willnot adversely affect thetax status ofthe Bonds.Neither Investment Securities or moneys deposited withthe Trustee pursuant tothis Section nor principal or interest payments on any such Investment Securities shall be withdrawn orused for any purpose other than,and shall beheldin trust for,the payment of the principal or Redemption Price, ifany,of and interest onsaid Bonds;provided that anycash received from such ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolution.wpd Page82 principalor interest payments onsuch Investment Securities deposited withthe Trustee,ifnotthenneededforsuchpurpose,shall,tothe extent practicable,be reinvestedin Investment Securities maturingattimesandin amounts sufficient topay whenduetheprincipalor Redemption Price,ifany,and interest to become dueonsaid Bondsonandpriortosuchredemptiondateor maturity datethereof,asthecasemay be,and interest earned fromsuch reinvestments shallbepaidovertotheBank,as receivedbytheTrustee,freeandclearofanytrust,lienorpledge. (C)If,throughthe deposit ofmoneysbytheBankorotherwise,the Fiduciaries shallhold,pursuant tothisResolution,moneys sufficient topaytheprincipaland interest to maturity onall Outstanding Bondsortopay,inthecaseofBondsinrespect ofwhichtheBankshallhavetakenallaction necessary toredeempriortomaturity,the Redemption Priceand interest tosuchredemptiondate,thenatthewrittenrequestof theBankall moneys heldbyanyPaying Agent shallbepaidovertothe Trustee and, together withother moneys heldbyithereunder,shallbeheldbythe Trustee forthe payment or redemption of Outstanding Bonds. (D)Anythinginthis Resolution tothe contrary notwithstanding,any moneys held bya Fiduciary intrustforthe payment and discharge ofanyoftheBondswhichremain unclaimedforoneyear after thedatewhenalloftheBondshave become dueand payable,either at their statedmaturitydatesorbycallfor earlier redemption,ifsuch moneys wereheldbythe Fiduciary atsuchdate,orforoneyearafterthedateof deposit ofsuch moneys if deposited withthe Fiduciary after thesaiddatewhenallof theBonds became dueandpayable,shallberepaidbythe Fiduciary totheBank,as its absolute property andfreefromtrust,andthe Fiduciary shall thereupon bereleased and discharged. (E)The references inthissectionto "Investment Securities described inclause (1)ofthe definition thereof'shallincludeonly direct and general obligations ofthe UnitedStateswhichare not-callable prior tothe scheduled maturity intherelated escrow deposit agreement wherethe Outstanding Bondstobe deemed tobepaidupon ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resolutions\2005 General Obligation Bond Resolulion.wpd Page83 the deposit thereof areinsuredbyamunicipalbond insurance company licensedand authorized toissuethepolicyintheState. ARTICLE XIV MISCELLANEOUS Section1401-Preservation and Inspection of Documents.All documents receivedbytheTrusteeoranyPaying Agent under the provisions ofthisResolutionor anySeries Resolution shallberetainedinits possession andshallbe subject atall reasonable timestothe inspection oftheBank,the Trustee oranyPaying Agent and, after writtenrequestreceivedbythe Trustee at leastfive business dayspriortothedate ofinspection,byanyHolderoffive percent inprincipal amount ofanySeriesof Outstanding Bonds,and their agentsand representatives,anyofwhommaymake copiesthereof. Section 1402-PartiesofInterest.Nothinginthis Resolution orinany Series Resolutionadopted pursuant tothe provisions hereof,expressed orimplied,isintended toorshallbeconstruedto confer uponortogivetoanypersonorparty other thanthe Bank,Trustee,Paying Agents andtheHoldersoftheBonds,remedies orclaims under orbyreasonofthis Resolution oranySeriesResolutionorany covenants,conditions or stipulations thereof;andall covenants,stipulations,promises and agreements inthis ResolutionandanySeries Resolution containedbyoron behalf oftheBankshallbe forthesoleand exclusive benefit oftheBank,Trustee andPaying Agents andthe HoldersfromtimetotimeoftheBonds. Section1403-No Recourse Under ResolutionoronBonds.All covenants, stipulations,promises,agreements and obligations oftheBank contained inthis Resolutionshallbedeemedtobethecovenants,stipulations,promises,agreements and obligations oftheBankandnotofanymember,officer or employee oftheBank inhisindividualcapacity,andnorecourseshallbehadforthe payment oftheprincipal or Redemption priceofor interest ontheBondsorforanyclaimbasedthereonoron thisResolution against anymember,officer or employee oftheBankoranynatural person executing theBond. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) 1:\Docs\37420001\Resclutions\2005 General Obligation Bond Resolulion.wpd Page84 Section1404-Severability.If anyone ormoreofthecovenants,stipulations, promises,agreementsorobligations,providedinthisResolutiononthepartofthe Bank,TrusteeoranyPayingAgenttobeperformedshouldbedeterminedbyacourt ofcompetent jurisdiction tobe contrary tolaw,thensuchcovenantorcovenants, stipulationorstipulations,promiseorpromises,agreementoragreements,obligation orobligationsshallbedeemedandconstruedtobeseverablefromtheremaining covenants,stipulations,promises,agreements andobligationshereincontainedand shallinnowayaffectthevalidityoftheotherprovisionsofthisResolution. Section1405-Headings.Anyheadingsprecedingthetextsoftheseveral ArticlesandSectionshereof,andanytableofcontentsormarginalnotesappendedto copieshereof,shallbesolelyfor convenience ofreferenceandshallnotconstitutea partofthisResolution,norshalltheyaffectitsmeaning,constructionoreffect. Section1406-Conflict.Allresolutionsorpartsofresolutionsorother proceedingsoftheBankinconflictherewithbeandthesamearerepealedinsofaras suchconflictexists. Section1407-GoverningLaw.ThisResolutionandtheBondsshallbe construedinaccordancewith,andgovernedby,thelawsoftheStateofAlaska. Section1408-EffectiveDate.ThisResolutionshalltakeeffect immediately uponitsadoption. ALASKA MUNICIPAL BOND BANK General Obligation Bond Resolution (Amended) I:\Docs\37420001\Resolutions\200S General Obligation Bond Resolution.wpd Page85 CERTIFICATE I,DEVEN J.MITCHELL,ExecutiveDirectoroftheAlaska Municipal BondBank (the"Bank"),HEREBY CERTIFY thatSeriesResolutionNo.2015-04(S),adoptedbythe BoardofDirectorsoftheBankon August 11,2015,hasnotbeenamended,superseded orrepealed,butisinfullforceandeffectasofthedatehereof. INWITNESS WHEREOF,Ihavehereuntosetmyhandthis16thdayof September 2015. AMBB/General ObligationBonds,2015 Series Three Certificate of Series Resolution 1:\Docs\37421742\Certificate Of Series Resolution 2015-04(S).Docx ALASKA MUNICIPAL BONDBANK RESOLUTION NO.2015-04(5) A SERIES RESOLUTION AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION AND REFUNDING BONDS,2015 SERIES THREE, OFTHE ALASKA MUNICIPAL BONDBANK WHEREAS,theBoardofDirectorsoftheAlaskaMunicipalBondBank(the "Bank")byResolutionentitled"AResolutionCreatingAndEstablishingAnIssue Of Bonds Of TheAlaskaMunicipalBondBank;ProvidingForTheIssuanceFromTimeTo TimeOfSaidBonds;ProvidingForThePaymentOfPrincipalOfAndInterestOnSaid Bonds;AndProvidingForTheRightsOfTheHoldersThereof,"adoptedJuly13,2005, asamended(the"Resolution"),hascreatedandestablishedanissueofBondsofthe Bank;and WHEREAS,theResolutionauthorizestheissuanceofsaidBondsinoneormore seriespursuanttoaSeriesResolutionauthorizingeachsuchseries;and WHEREAS,theBoardofDirectorsoftheBankhasdeterminedthatitis necessaryandrequiredthattheBankissueatthistimeaSeriesofBondstobe designated"AlaskaMunicipalBondBankGeneralObligationandRefundingBonds, 2015SeriesThree"(the"2015SeriesThreeBonds")toprovidemoneystocarryoutthe purposesoftheBank; BE IT RESOLVEDBYTHEBOARDOFDIRECTORSOFTHE ALASKA MUNICIPALBONDBANKASFOLLOWS: ARTICLEI AUTHORITY ANDDEFINITIONS Section101-SeriesResolution. ThisSeriesResolution(the"2015SeriesThreeResolution")isadoptedin accordancewiththeprovisionsoftheResolutionandpursuanttotheauthority containedintheAct. Section102-Definitions. Inthis2015SeriesThreeResolutionandwithrespecttothe2015SeriesThree Bonds: (1)UnlessotherwisedefinedinArticleIherein,allcapitalizedtermsherein shallhavethesamemeanings,respectively,assuchtermsaregiveninArticleIofthe Resolution. (2)"AmendatoryLoanAgreement"shallmean,collectively,theagreements: (a)byandbetweentheBankandtheCityofKetchikan,Alaska, amendingcertaintermsoftheloanagreemententeredintobythepartiesand datedOctober1,1997,asamendedonOctober1,2005; (b)byandbetweentheBankandtheCityofSeward,Alaska, amendingcertaintermsoftheloanagreemententeredintobythepartiesand datedApril1,2008; (c)byandbetweentheBankandtheKodiakIslandBorough,Alaska, amendingcertaintermsoftheloanagreemententeredintobythepartiesand datedApril1,2008; (d)betweentheBankandtheCityofDillingham,Alaska,amending certaintermsoftheloanagreemententeredintobythepartiesanddatedApril1, 2008; (e)byandbetweentheBankandtheCityofKodiak,Alaska,amending certaintermsoftheloanagreemententeredintobythepartiesanddatedApril1, 2008; (f)byandbetweentheBankandtheCityofSeward,Alaska, amendingcertaintermsoftheloanagreemententeredintobythepartiesand datedJuly1,2008;and (g)byandbetweentheBankandtheCityofSkagway,Alaska, amendingcertaintermsoftheloanagreemententeredintobythepartiesand datedJuly1,2008. (3)"Bank"shallmeantheAlaskaMunicipalBondBank. (4)"BeneficialOwner"shallmeanthepersoninwhosenamea2015Series ThreeBondisrecordedasthebeneficialownerofsuch2015SeriesThreeBondbythe respectivesystemsofDepositoryTrustCompanyandtheDepositoryTrustCompany Participantsortheregisteredownerofthe2015SeriesThreeBondifthe2015Series ThreeBondisnotthenheldinbook-entryformunderSection206. (5)"BondPurchaseContract"shallmeantheagreementbyandbetweenthe BankandUnderwriter,providingforthepurchaseandsaleofthe2015SeriesThree Bonds. AMBB/General Obligationand Refunding Bonds,2015 SeriesThree Series Resolution No.2015-04(5) I:\Docs\37421742\SeriesResolution2015-04(5).Docx Page2 (6)"BondYear"shallmeaneachone-yearperiodthatendsonananniversary ofthedateofissueofthe2015SeriesThreeBonds. (7)"Chairman"shallmeanthechairmanoftheBoardofDirectorsofthe AlaskaMunicipalBondBankAuthority(alsoknownastheAlaskaMunicipalBond Bank). (8)"Code"shallmeantheInternalRevenueCodeof1986,asamendedfrom timetotime,togetherwithallregulationsapplicablethereto. (9)"ContinuingDisclosureCertificate"shallmeantheContinuingDisclosure CertificateexecutedbytheBankanddatedthedateofissuanceanddeliveryofthe 2015SeriesThreeBonds,asoriginallyexecutedandasitmaybeamendedfromtime totimeinaccordancewiththetermsthereof. (10)"DepositoryTrustCompany"shallmeanTheDepositoryTrustCompany, alimitedpurposetrustcompanyorganizedunderthelawsoftheStateofNewYork,and itssuccessorsandassigns. (11)"DepositoryTrustCompanyParticipant"shallmeanatrustcompany, bank,broker,dealer,clearingcorporationandanyotherorganizationthatisa participantofDepositoryTrustCompany. (12)"EscrowAgent"shallmeanTheBankofNewYorkMellonTrustCompany, NA (13)"EscrowAgreement"shallmeantheagreemententeredintobyand betweentheBankandtheEscrowAgent,datedthedateofissuanceofthe2015Series ThreeBonds,securingpaymentfortheRefundedBonds. (14)"ExcessInvestmentEarnings"shallmeantheamountofinvestment earningsongrossproceedsofthe2015SeriesThreeBondsdeterminedbytheBankto berequiredtoberebatedtotheUnitedStatesofAmericaundertheCode. (15)"FinancialAdvisor"shallmeanWesternFinancialGroup,LLC. (16)"LetterofRepresentations"shallmeantheBlanketIssuerLetterof RepresentationsdatedMay2,1995fromtheBanktoDepositoryTrustCompany,a copyofwhichisattachedheretoasExhibitA,andtheoperationalarrangements referredtotherein. (17)"Loan Agreement"shallmean,collectively,the agreements (a)byand betweentheBankandtheUniversityofAlaska;(b)byandbetweentheBankandthe AMBB/General Obligationand Refunding Bonds,2015 Series Three Series Resolution No.2015-04(S) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx Page3 CityofKingCove,Alaska;(c)byandbetweentheBankandtheHainesBorough, Alaska;and(d)byandbetweentheBankandtheKodiakIslandBorough,Alaska,each pertainingtotherepaymentofaLoantotheGovernmentalUnitasprovidedforherein. (18)"RecordDate"shallmeanfifteendaysprecedingeachinterestpayment datewithrespecttothe2015SeriesThreeBonds. (19)"RefundedBonds"shallmeansomeorallofthematurities,orportions thereof,ofthe2005SeriesOneBonds,the2008SeriesOneBondsandthe2008 SeriesTwoBondsthattheExecutiveDirectordesignatestoberefundedpursuantto Section304ofthis2015SeriesThreeResolution. (20)"Underwriter"shallmeanRBCCapitalMarkets,LLC,togetherwithany otherfinancialinstitutionauthorizedbytheBank. (21)"2005SeriesOneBonds"shallmeanthe$2,860,000principalamountof theoutstandingGeneralObligationandRefundingBonds,2005SeriesOne,maturingin years2016and2017. (22)"2008SeriesOneBonds"shallmeanthe$49,605,000principalamountof theoutstandingGeneralObligationBonds,2008SeriesOne,maturingintheyears 2016through 2029,2033 and2038. (23)"2008SeriesTwoBonds"shallmeanthe$8,720,000principalamountof theoutstandingGeneralObligationBonds,2008SeriesTwo,maturingintheyears 2019through2026,2028,2030and2038. (24)"2015SeriesThreeBonds"shallmeantheBondsauthorizedbyArticleII hereof. (25)"2015SeriesThreeCreditEnhancement"shallmeanthesuretybond issuedbytheSuretyBondIssueronthedateofissuanceofthe2015SeriesThree BondsforthepurposeofsatisfyingalloraportionoftheReserveFundRequirement. (26)"2015SeriesThreeCreditEnhancementAgreement"shallmeanany agreementbetweentheBankandthe2015SeriesThreeCreditEnhancementIssuer withrespecttothe2015SeriesThreeCreditEnhancement. (27)"2015SeriesThreeCreditEnhancementIssuer"shallmeanNational PublicFinanceGuaranteeCorporation,includingitssuccessorsorassigns. AMBBlGeneral Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx Page4 ARTICLEII AUTHORIZATION OF2015SERIESTHREEBONDS Section201-PrincipalAmount,DesignationandSeries. PursuanttotheprovisionsoftheResolution,aseriesofBondsdesignatedas "AlaskaMunicipalBondBankGeneralObligationandRefundingBonds,2015Series Three"isherebyauthorizedtobeissuedintheaggregateprincipal(par)amountofnot toexceedOneHundredSeventyMillionDollars($170,000,000).TheExecutive Directorisherebyauthorizedtochangethedesignationif(i)proceedsofthe2015 SeriesThreeBondarenotusedtorefundtheRefundedBonds,or(ii)toallowforthe saleofthe2015SeriesThreeBondstobecombinedandsoldwithotherBonds authorizedbyaSeriesResolutionandapprovedbytheBoardofDirectorsoftheBank. Section202-Purposes. Thepurposesforwhichthe2015SeriesThreeBondsarebeingissuedare(i)to makeLoanstotheGovernmentalUnitstotheextentandinthe manner providedin ArticleIII,(ii)torefundthematurities,orportionsthereof,ofthe2005SeriesOneBonds, the2008SeriesOneBondsandthe2008SeriesTwoBonds,that theExecutive DirectordesignatestoberefundedpursuanttoSection304ofthis2015SeriesThree Resolution,and(iii)tosatisfytheReserveFundRequirementasprovidedinArticleIIIof this2015SeriesThreeResolution. Section203-Date,MaturitiesandInterestRates. The2015SeriesThreeBondsshallbedatedthedatethe2015SeriesThree BondsaredeliveredtotheUnderwritersubjecttothetermsandconditionssetforthin this2015SeriesThreeResolution.Subjectto adjustment asprovidedforinthisSection 203,the2015SeriesThreeBondsshallmature,orhaveSinkingFundInstallmentsdue, onthe1stdaysofApriland October ineachoftheyears,intherespectiveprincipal amounts,assetforthonthefollowingpage: AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx Page5 Principal Principal Maturity Amount Maturity Amount April1,2016 $1,510,000 April1,2029 $2,325,000 October 1,2016 515,000October1,20293,640,000 April1,2017 1,870,000 April1,2030 2,435,000 October 1,2017 520,000 October1,20303,830,000 April1,2018 April1,2031 2,565,000 October1,2018 2,250,000 October1,2031 4,025,000 April1,2019 2,910,000 April1,2032 2,690,000 October 1,2019 2,350,000 October1,2032 4,225,000 April1,2020 3,060,000 April1,2033 2,830,000 October1,2020 2,520,000 October1,2033 4,445,000 April1,2021 3,205,000 April1,2034 790,000 October1,2021 2,640,000 October1,2034 4,680,000 April1,2022 3,365,000 April1,2035 825,000 October 1,2022 2,790,000 October1,2035 4,915,000 April1,2023 5,155,000 April1,2036 865,000 October1,2023 2,920,000 October1,2036 4,295,000 April1,2024 3,710,000 April1,2037 920,000 October 1,2024 3,070,000 October1,2037 4,515,000 April1,2025 3,905,000 April1,2038 955,000 October 1,2025 3,230,000 October1,2038 4,745,000 April1,2026 4,090,000 October1,2039 4,990,000 October1,2026 3,130,000 October1,20405,250,000 April1,2027 4,290,000 October1,20415,385,000 October 1,2027 3,300,000 October 1,2042 5,660,000 April1,2028 6,215,000 October1,20435,955,000 October1,2028 3,465,000 October1,2044 6,260,000 Notwithstandingtheforegoing,theprincipalamountofeachmaturity,orthe amountofeachSinkingFundInstallment,thematuritydates,andtheinterestratesof the2015SeriesThreeBondsshallbefixedanddeterminedbytheChairmanorthe ExecutiveDirectoratthetimethe2015SeriesThreeBondsaresoldpursuantto Section210hereofbutsubjecttothelimitationssetforthinSection201hereof. Section204-InterestPayments. The2015SeriesThreeBondsshallbearinterestfromtheirdateddate.Thefirst interestpaymentdateshallbeApril1,2016(orsuchotherdateasmaybefixedand determinedbytheChairmanortheExecutiveDirector);thereafter,interestonthe2015 SeriesThreeBondsshallbepayableonthefirstdayofOctoberandApril(orsuchother monthsasmaybefixedanddeterminedbytheChairmanortheExecutiveDirector), computedonthebasisofa360-dayyearcomposedoftwelve thirty-day months. Section205-Denominations,NumbersandOtherDesignation. The2015SeriesThreeBondsshallbeissuedinregisteredforminthe denominationof$5,000oranyintegralmultiplethereof,notexceedingtheaggregate AMBB/General Obligationand Refunding Bonds,2015 SeriesThree Series Resolution No.2015-04(5) I:\Docs\37421742\8eries Resolution 2015-04(8).Docx Page6 principalamountofthe2015SeriesThreeBondsauthorizedherein.The2015Series ThreeBondsshallbenumberedseriallywithanyadditionaldesignationthattheBank deemsappropriate. Section206-SecuritiesDepository. (1)The2015SeriesThreeBondsshallberegisteredinitiallyinthenameof "Cede &Co.,"asnomineeofDepositoryTrustCompany("DTC"),andshallbeissued initiallyintheformofasinglebondforeachmaturityintheamountofsuchmaturity. Registeredownershipofthe2015SeriesThreeBondsoranyportionsthereof,maynot thereafter betransferredexcept(i)toanysuccessorofDTCoritsnominee,provided thatanysuchsuccessorshallbequalifiedunderanyapplicablelawstoprovidethe serviceproposedtobeprovidedbyit;(ii)toanysubstitutedepositoryorsuchsubstitute depository'ssuccessor;or(iii)toanypersonasprovidedinparagraph(4)below. (2)UpontheresignationofDTCoritssuccessor(oranysubstitutedepository oritssuccessor)fromitsfunctionsasdepositoryoradeterminationbytheBankthatitis nolongerinthebestinterestofBeneficialOwnerstocontinuethesystemofbook-entry transfersthroughDTCoritssuccessors(oranysubstitutedepositoryoritssuccessor), theBankmayappointasubstitutedepository.Anysuchsubstitute depository shallbe qualifiedunderanyapplicablelawstoprovidetheservicesproposedtobeprovidedby it. (3)Inthecaseofany transfer pursuanttoclause(i)or(ii)ofparagraph(1) above,theTrusteeshall,uponreceiptofallOutstanding2015SeriesThreeBonds, together withawrittenrequestofanAuthorizedOfficerandasupplyofnew2015Series ThreeBonds,authenticateasinglenew2015SeriesThreeBondforeachmaturityof 2015SeriesThreeBondsthenOutstanding,registeredinthenameofsuchsuccessor orsuchsubstitutedepository,oritsnominee,asthecasemaybe,allasspecifiedin suchwrittenrequest. (4)Intheeventthat(i)DTCoritssuccessor(orsubstitutedepositoryorits successor)resignsfromitsfunctionsas depository,andnosubstitutedepositorycanbe obtained,or (ii)theBank determines thatitisinthebestinterestoftheBeneficial OwnersthattheybeabletoobtainBondcertificates,theownershipof2015Series ThreeBondsmaythenbetransferredtoanypersonorentityasprovidedinthe Resolutionandsuch2015SeriesThreeBondsshallnolongerbeheldinbook-entry form.AnAuthorizedOfficershalldeliverawrittenrequesttotheTrusteetoissue2015 SeriesThreeBondsasprovidedintheResolutioninanyauthorizeddenomination, together withasupplyofdefinitiveBonds.UponreceiptofallthenOutstanding2015 SeriesThreeBondsbytheTrustee,togetherwithawrittenrequestofanAuthorized OfficertotheTrustee,new2015SeriesThreeBondsshallbeissuedandauthenticated AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx Page7 insuch denominations andregisteredinthenamesofsuchpersonsasarerequestedin suchwrittenrequest. (5)Forsolongasthe2015SeriesThreeBondsareheldinbook-entryform underthisSection,theBankandtheTrusteemaytreatDTC(oritsnominee)asthesole andexclusiveregisteredownerofthe2015SeriesThreeBondsregisteredinitsname forthepurposesofpaymentofprincipalorRedemptionPriceofandinterestonsuch 2015SeriesThreeBonds,selectingsuch2015SeriesThreeBonds,orportions thereof toberedeemed,givinganynoticepermittedorrequiredtobegiventoBondholders undertheResolution(exceptasotherwiseprovidedpursuanttoSection608orthis 2015SeriesThreeResolution),registeringthe transfer ofsuch2015SeriesThree BondsandobtaininganyconsentorotheractiontobetakenbyBondholdersandforall otherpurposeswhatsoever;andneithertheBanknortheTrusteeshallbeaffectedby anynoticetothecontrary.NeithertheBanknortheTrusteeshallhaveany responsibilityorobligationtoanyDTCParticipant,anypersonclaimingabeneficial ownershipinterestinthe2015SeriesThreeBondsunderorthroughDTCoranyDTC Participant,oranyotherpersonnotshownontheregistrationbooksoftheTrusteeas beingaregisteredowner,withrespecttotheaccuracyofanyrecordsmaintainedby DTCoranyDTCParticipant;thepaymentbyDTCoranyDepositoryTrustCompany ParticipantofanyamountinrespectoftheprincipalorRedemptionPriceoforinterest onthe2015SeriesThreeBonds,anynoticewhichispermittedorrequiredtobegiven toBondholdersundertheResolution,theselectionbyDTCoranyDepositoryTrust CompanyParticipantofanypersontoreceivepaymentintheeventofapartial redemptionofthe2015SeriesThreeBonds,oranyconsentgivenorotheractiontaken byDTCasBondholder.TheTrusteeshallpayfrommoneyavailableunderthe ResolutionallprincipalandRedemptionPriceofandintereston2015SeriesThree BondsonlytoorupontheorderofDTC,andallsuchpaymentsshallbevalidand effectivetofullysatisfyanddischargetheBank'sobligationswithrespecttotheprincipal orRedemptionPriceofandinterestonthe2015SeriesThreeBondstotheextentofthe sumorsumssopaid. Section207-PlacesandMannerofPayment. ForsolongasallOutstanding2015SeriesThreeBondsareregisteredinthe nameofCede &Co.oritsregisteredassigns,paymentofprincipalandinterestthereon shallbemadeasprovidedintheLetterofRepresentationsandtheoperational arrangementsreferredtothereinasamendedfromtimetotime.(Detailsregardingthe currentDTCBook-Entry-OnlyIssuancepracticesareincludedinExhibitAattached hereto.)Intheeventthatthe2015SeriesThreeBondsarenolongerregisteredinthe nameofCede &Co.oritsregisteredassigns,(i)paymentofinterestonthe2015Series ThreeBondswillbemadebycheckordraftmailedbyfirstclassmailtotheregistered owner,attheaddressappearingonthebondregisterontheRecordDateoftheBank keptatthecorporatetrustofficeoftheTrustee,or,uponthewrittenrequestofa AMBBIGeneral Obligation and Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\SeriesResolution2015-04(8).Docx Page8 registeredownerofatleast$1,000,000inprincipalamountof2015SeriesThreeBonds receivedatleastfifteen(15)dayspriortoaninterestpaymentdate,bywire transfer in immediatelyavailablefundstoanaccountintheUnitedStatesofAmericadesignated bysuchregisteredowner;and(ii)principalofthe2015SeriesThreeBondswillbe payableatthecorporatetrustofficeoftheTrusteeuponsurrenderofthe2015Series ThreeBondsrepresentingsuchprincipal.Bothprincipalofandinterestonthe2015 SeriesThreeBondsarepayableinanycoinorcurrencyoftheUnitedStatesofAmerica which,ontherespectivedatesofpaymentthereof,shallbelegaltenderforthepayment ofpublicandprivatedebts. Section208-OptionalRedemption. TheChairmanortheExecutiveDirectorare,andeachofthemis,hereby authorizedtodeterminetheoptionalredemptionprovisions,ifany,forthe2015Series ThreeBondsandshallcauseanysuchprovisionstobeincludedintheBondPurchase Contractandtheformofthe2015SeriesThreeBonds. Section209-MandatoryRedemption. TheChairmanortheExecutiveDirectorare,andeachofthemis,hereby authorizedtodeterminethemandatoryredemptionprovisions,ifany,forthe2015 SeriesThreeBondsandshallcauseanysuchprovisionstobeincludedintheBond PurchaseContractandtheformofthe2015SeriesThreeBonds. Section210-Saleof2015SeriesThreeBonds. The2015SeriesThreeBondsshallbesoldatnegotiatedsaletotheUnderwriter, andco-underwriter(s)ifselectedbytheChairmanortheExecutiveDirector,pursuantto thetermsoftheBondPurchaseContract.TheChairmanortheExecutiveDirectorare, andeachofthemis,herebyauthorizedtoexecutetheBondPurchaseContractwiththe Underwriterregardingthesaleofthe2015SeriesThreeBondsuponhisapprovalofthe saledetailsofthe2015SeriesThreeBonds,thedateddateandthedeliverydateofthe 2015SeriesThreeBonds,theaggregateprincipal(par)amount of the2015Series ThreeBonds,thepurchasepriceofthe2015SeriesThreeBonds,thematurityandthe interestpaymentdatesofthe2015SeriesThreeBonds,andtheredemptionprovisions andinterestrateofeachmaturityofthe2015SeriesThreeBonds.Provided,however, theaggregateprincipalamountofthe2015SeriesThreeBondsshallnotexceedOne HundredSeventyMillionDollars($170,000,000),thetrueinterestcostonthe2015 SeriesThreeBondsshallnotexceedfourand three-quarters percent(4.75%),andthe Underwriter's discount shallnotexceed three-quarters ofonepercent(.75%)ofthepar valueofthe2015SeriesThreeBonds.Additionally,priortoexecutionoftheBond PurchaseContract,theChairmanortheExecutiveDirector,withtheassistanceofthe AMBB/General Obligation and Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37 421742\Series Resolution 2015-04(S).Docx Page9 FinancialAdvisor,shalltakeintoaccountthosefactorswhich,intheirjudgment,will resultinthelowesttrueinterestcostonthe2015SeriesThreeBonds. TheauthoritygrantedtotheChairmanandtheExecutiveDirectorunderthis Section210shallexpireonehundredeighty(180)daysfromthedateofapprovalofthis 2015SeriesThreeResolution. Section211-OfficialStatement. TheChairmanortheExecutiveDirectorare,andeachofthemis,hereby authorizedtoapprovethefinalformof,andthedistributiontoprospectivepurchasers andotherinterestedpersonsof,thepreliminaryOfficialStatementoftheBankforthe 2015SeriesThreeBondsintheformsubmittedtoandpartoftherecordsofthe meeting,withsuchchangesastheChairmanortheExecutiveDirectorshalldeem advisable.TheChairmanandtheExecutiveDirectorareherebyfurtherauthorizedto approvethefinalformoftheOfficialStatement.Thedistributionofthepreliminary Official Statement andtheOfficialStatement,asapprovedbytheChairmanorthe ExecutiveDirector,inconnectionwiththeofferingofthe2015SeriesThreeBondsis herebyratified,confirmedandapproved. ThereisherebydelegatedtotheChairmanortheExecutiveDirectorthepower todeemthepreliminaryOfficialStatementfinalonbehalfoftheBankforpurposesof SecuritiesandExchangeCommissionRule15c2-12(b)(1). ARTICLEIII DISPOSITIONOFBONDPROCEEDS Section 301 -DispositionofProceedsforLoanandRefundingPurposes. (a)Uponthedeliveryofthe2015SeriesThreeBondstheBankshall,in accordancewithArticleVoftheResolution,applyaportionoftheproceedsderived fromthesaleofthe2015SeriesThreeBondstothemakingofa(i)Loantothe UniversityofAlaska,intheprincipalamountnottoexceed$87,500,000tobeusedto financeimprovementstotheUniversity'sNewCombinedHeatandPowerPlant;(ii) LoantotheCityofKingCove,Alaska,intheprincipalamountnottoexceed$1,500,000 tobeusedtofinanceelectricutilityimprovements;(iii)LoantotheHainesBorough, Alaska,intheprincipalamountnottoexceed$1,375,000tobeusedtofinance educationalcapitalimprovements;and(iv)LoantotheKodiakIslandBorough,Alaska, intheprincipalamountnottoexceed$10,000,000tobeusedtofinanceeducational capitalimprovements. (b)SubjecttoSection304ofthis2015SeriesThreeResolution,certainofthe proceedsofthe2015SeriesThreeBondsshallbeusedtopurchasedirect,non-callable AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(S) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx Page10 (priortothedateofscheduledapplication)obligationsoftheUnitedStatesofAmerica, theprincipalofandtheinterestonwhichwhenduewillprovidemoneyswhich,together withcash,ifany,shallbesufficientandavailabletopaywhenduetheprincipalofthe RefundedBonds,andtheinteresttobecomedueonsuchbondspriortoandonthefirst optionalredemptiondate;provided,however,thatsuchamountsshallbeappliedonly withrespecttomaturitiesthattheExecutiveDirectordesignatestobeRefundedBonds pursuanttoSection304. Section302-ReserveFundDeposit. Onthedateofsale,butsubjecttoSection201hereof,theChairmanorthe ExecutiveDirectorshall determine whetheritisinthebestinterestoftheBanktouse,in additiontoaCreditEnhancement,availablecashorproceedsfromthe2015Series ThreeBonds,oracombinationofcash,proceedsandCreditEnhancement,tosatisfy theReserveFundRequirementupondeliveryofthe2015SeriesThreeBonds,andwill causesuchdepositstobemadeonorbeforethedateofdeliveryofthe2015Series ThreeBonds. Section303-DispositionofRemainderofBondProceeds. Thebalanceoftheproceedsofthesaleofthe2015SeriesThreeBonds representinganypremiumreceivedovertheprincipalamountofthe2015SeriesThree Bondsafterdeductingtheamountstobepaidforcostsofissuingthe2015SeriesThree Bonds,amountsnecessarytoensurethedeposittotheReserveFundequalsthe RequiredDebtServiceReserve,andafterdeductingtheamountallocabletothe ReserveObligations,ifany,whichamountshallbedepositedintheReserveFund,shall bedepositedwiththe Governmental Unitsandappliedtowardscostsofissuanceand debtservicepaymentsdueandowingontheirrespectiveMunicipalBonds(assuch termisdefinedintheLoan Agreement orAmendatoryLoanAgreement)orsuchother permittedpurpose. Section304-DesignationofRefundedBonds. TheExecutiveDirectorisherebyauthorizedtodesignatewhich,ifany,ofthe 2005SeriesOneBonds,the2008SeriesOneBondsandthe2008SeriesTwoBonds shallberefunded,eliminatingfromthecategoryofRefundedBondsloanobligations correspondingtomunicipalbondswhosetermshavenotbeenamendedbythe GovernmentalUnittoconformtothetermsoftherefundingauthorizedbythis2015 SeriesThreeResolutionasofthedateofdeliveryofthe2015SeriesThreeBonds. Provided,however,therefundingoftheRefundedBondssodesignatedbythe ExecutiveDirectormustrealizeanaggregatedebtservicesavingsofatleastthree percent(3%)oftheirprincipalamount,netofallissuancecostsandunderwriting discount,onapresentvaluebasis. AMBB/General Obligation and Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx Page11 Section 305-Escrow Agreement. The Executive Director is hereby authorized and directed to enter intothe Escrow Agreement withthe trustee for the Refunded Bonds providing fortheuseand disposition ofmoneys,ifany,anddirect,non-callable obligations oftheUnited States of America for the purpose setforthin Section 301(b)of this2015Series Three Resolution. Section 306-Election for Redemption of Refunded Bonds. The Executive Director is hereby authorized to direct the trustee ofthe Refunded Bonds toredeemsuchbonds,designated toberefunded pursuant toSection304,on thefirst available redemption datein accordance withthe terms ofthe respective authorizing resolution forthe Refunded Bonds. ARTICLE IV EXECUTION ANDFORMOF 2015 SERIES THREE BONDS Section 401-Execution andFormof2015 Series Three Bonds. The2015 Series Three Bondsshallbe executed inthe manner setforthin Section 303ofthe Resolution.Subject tothe provisions of the Resolution,the2015 Series Three Bonds,andthe Trustee's certificate of authentication,shallbeof substantially the following formandtenor: ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION AND REFUNDING BONDS,2015 SERIES THREE INTEREST RATE: %--- Registered Owner:CEDE&Co. MATURITY DATE: _____,20_ CUSIP NO.: Principal Amount:_______andNo/100Dollars Alaska Municipal Bond Bank (hereincalledthe "Bank"),a public body corporate andpolitic,constituted asan instrumentality ofthe State of Alaska,organized and existing under and pursuant tothelawsofthe State of Alaska,acknowledges itself indebted to,andfor value received,hereby promises topaytoCEDE&CO.or registered assigns,the principal sum specified above onthe Maturity Date specified above,andtopaytothe registered owner hereof interest onsuch principal sumfrom thedate hereof tothe date of maturity of thisBondattherateper annum specified AMBB/General Obligationand Refunding Bonds,2015 SeriesThree Series Resolution No.2015-04(S) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx Page12 above,payable 1,20_,andsemi-annuallyonthe1stdayof and onthe1stdayof thereafter.ForsolongasthisBondisheldinbook-entry form,paymentofprincipalandinterestshallbemadebywire transfer totheregistered ownerpursuanttowritteninstructionsfurnishedtoTheBankofNewYorkMellonTrust Company,N.A.,inSanFrancisco,California,asTrusteeundertheGeneralBond ResolutionoftheBank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsasTrustee(hereincalledthe"Trustee").In theeventthisBondisnolongerheldinbook-entryform,(i)paymentofinterestwillbe madebycheckordraftmailedbyfirstclassmailtotheregisteredownerattheaddress appearingonthebondregisteroftheBankkeptbytheTrustee,or,uponthewritten requestofaregisteredownerofatleast$1,000,000inprincipalamountof2015Series ThreeBondsreceivedatleast15dayspriortoaninterestpaymentdate,bywire transfer inimmediatelyavailablefundstoanaccountintheUnitedStatesofAmerica designatedbysuchregisteredowner;and(ii)principalwillbepayableupon presentationand surrender hereof atthecorporatetrustofficeoftheTrustee.Interest shallbecomputedonthebasisofa360-dayyearcomposedoftwelvethirty-day months.BothprincipalofandinterestonthisBondarepayableinanycoinorcurrency oftheUnitedStatesofAmericawhich,ontherespectivedatesofpaymentthereof,shall belegaltenderforthepaymentofpublicandprivatedebts. ThisBondisageneralobligationoftheBankandisoneofadulyauthorized issueofBondsoftheBankdesignated"AlaskaMunicipalBondBankBonds"(herein calledthe"Bonds"),issuedandtobeissuedinvariousseriesunderandpursuanttothe AlaskaMunicipalBondBankAct,constitutingChapter85,Title44,oftheAlaska Statutes(hereincalledthe"Act"),andunderandpursuanttotheResolutionanda seriesresolutionauthorizingeachsuchseries.AsprovidedintheResolution,the Bondsmaybeissuedfromtimetotimepursuanttoseriesresolutionsinoneormore series,invariousprincipalamounts,maymatureatdifferenttimes,maybearinterestat differentratesand,subjecttotheprovisionsthereof,mayotherwisevary.The aggregateprincipalamountofBondswhichmaybeissuedundertheResolutionisnot limitedexceptasprovidedintheResolution,theapplicableSeriesResolution,andthe Act,andallBondsissuedandtobeissuedundersaidResolutionareandwillbeequally andratablysecuredbythepledgesandcovenantsmadetherein,exceptasotherwise expresslyprovidedorpermittedintheResolutionandtheapplicableSeriesResolution. ThisBondisoneofaseriesofBonds(the"2015SeriesThreeBonds")issuedin theaggregateprincipalamountof$undertheResolutionoftheBankanda seriesresolutionoftheBank,adopted August _,2015,andentitled:"ASeries ResolutionAuthorizingtheIssuanceofGeneralObligationandRefundingBonds,2015 SeriesThree,oftheAlaskaMunicipalBondBank"(saidresolutionsbeingherein collectivelycalledthe"Resolutions"). AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx Page13 CopiesoftheResolutionsareonfileattheofficeoftheBankandatthe corporatetrustofficeoftheTrustee,andreferencetotheResolutionsandanyandall supplements theretoand modifications andamendments thereof andtotheActismade foradescriptionofthepledgesandcovenantssecuringthe2015SeriesThreeBonds; thenature,extentandmannerof enforcement ofsuchpledges;therightsandremedies oftheregisteredownersofthe2015SeriesThreeBondswithrespectthereto;andthe termsandconditionsuponwhichtheBondsareissuedandmaybeissuedthereunder; toalloftheprovisionsofwhichtheregisteredownerofthisBond,byacceptanceofthis Bond,consentsandagrees.Totheextentandinthemannerpermittedbythetermsof theResolutions,theprovisionsoftheResolutionsoranyresolution amendatory thereof orsupplementaltheretomaybemodifiedoramendedbytheBank,withthewritten consentoftheregisteredownersofatleasttwo-thirdsinprincipalamountoftheBonds thenoutstandingand,incaselessthanalloftheseveralseriesofBondswouldbe affectedthereby,withsuchconsentoftheregisteredownersofatleasttwo-thirdsin principalamountoftheBondsofeachseriessoaffectedthenoutstanding. The2015SeriesThreeBondsaresubjecttoredemptionpriortotheirrespective scheduledmaturitiesassetforthbelow. The2015SeriesThreeBondsmaturingonorafter 1,20_,are subjecttoredemption,inwholeorinpart,onorafter 1,20_,attheoption oftheBankatapriceof100%oftheprincipalamount thereof toberedeemedplus accruedinteresttothedateofredemption. Unlesspreviouslyredeemedpursuanttotheforegoingoptionalredemption provisions,the2015SeriesThreeBondsmaturingon 1,20_(the"Term Bonds")aresubjecttoredemptionon 1ofthefollowingyearsandinthe followingprincipalamountsat100%oftheprincipalamountofthe2015SeriesThree Bondstoberedeemedplusaccruedinterest,ifany,totheredemptiondate. TermBondsDue1,20_--- YearSinkingFundRequirement Noticeofredemptionwillbemailedtoownersof2015SeriesThreeBondscalled forredemptionnotlessthan30daysnormorethan60daysbeforetheredemption date.Interestonany2015SeriesThreeBondscalledforredemptionwillceaseonthe redemptiondate. ThisBondistransferable,asprovidedintheResolutions,onlyuponthebooksof theBankkeptforthatpurposeatthecorporatetrustofficeoftheTrustee,bythe registeredowner hereof inpersonorbyitsattorneydulyauthorizedinwriting,uponthe surrender ofthisBond together withawritteninstrumentof transfer satisfactory tothe AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) I:\Docs\37421742\Series Resolution 2015-04(S).Docx Page14 Trustee duly executed bythe registered owner orits attorney duly authorized inwriting, and thereupon anew registered 2015 Series Three Bondor Bonds inthesame aggregate principal amount and of the same maturity,in authorized denominations, shallbeissuedtothe transferee in exchange therefor as provided inthe Resolutions anduponthe payment ofthecharges,ifany,therein prescribed. The2015SeriesThree Bonds are issuable inthe denomination of $5,000 orany integral multiple thereof,not exceeding the aggregate principal amount of2015 Series Three Bonds maturing inthe year of maturity oftheBondforwhichthe denomination of theBondistobe specified.Subject tosuch conditions andupon payment ofsuch charges,ifany,2015 Series Three Bonds,upon surrender thereof atthe corporate trust office of the Trustee witha written instrument of transfer satisfactory totheTrustee,duly executed bythe registered owner orits attorney duly authorized inwriting,may,atthe optionofthe registered owner thereof,be exchanged foranequal aggregate principal amount of registered 2015 Series Three Bondsofany other authorized denominations, ofthe same maturity. TheBankis obligated topaythe principal ofand interest onthe2015 Series Three Bondsonlyfrom revenues or funds oftheBank,andthe State of Alaska isnot obligated topaysuch principal ofor interest onthe2015 Series Three Bonds.Neither thefaithand credit northetaxing power oftheState of Alaska ispledgedtothe payment ofthe principal oforthe interest onthe 2015 Series Three Bonds. ThisBondisfully negotiable for all purposes oftheUniform Commercial Code, andeach owner of thisBondby accepting thisBondshallbe conclusively considered to have agreed thatthisBondisfully negotiable for those purposes. Neither a member ofthe Bank norany person executing the 2015 Series Three Bonds shallbeliable personally onthe2015 Series Three Bonds byreason of the issuance thereof. ThisBondshallnotbe entitled toany benefit under the Resolutions orbevalidor become obligatory forany purpose untilthisBondshallhavebeen authenticated bythe execution bythe Trustee ofthe Trustee's Certificate of Authentication hereon. TheBank modified the Resolution,effective onthedatewhenallBondsissued prior to February 19,2013 cease tobe Outstanding,by:(i)authorizing the Trustee to release totheBank amounts heldinthe Reserve Fund which exceed the Required Debt Service Reserve whenever there isa reduction inthe Required Debt Service Reserve; (ii)requiring the Trustee to withdraw earnings and profits realizedinthe Reserve Fund, andto provide such amounts totheBankonor before June30ofeach year solongas the balance therein equals the Required Debt Service Reserve;(iii)authorizing certain amendments and modifications tothe Resolution effective upon securing the consent of AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx Page15 Holdersofatleasttwo-thirdsinprincipalamountofBondsthenOutstanding;and(iv) providingthatanunderwriteror purchaser ofaSeriesofBondsmayconsenttoa modificationof,oramendmentto,theResolutionasHolderofsuchBondsatthetime suchBondsareissued. ITISHEREBYCERTIFIED,RECITEDANDDECLAREDthatallacts,conditions andthingsrequiredbytheConstitutionandstatutesoftheStateofAlaskaandthe Resolutionstoexist,tohavehappenedandtohavebeenperformedprecedenttoandin theissuanceofthisBond,exist,havehappenedandhavebeenperformedinduetime, formandmannerasrequiredbylawandthattheissueofthe2015SeriesThreeBonds, together withallotherindebtednessoftheBank,iswithineverydebtandotherlimit prescribedbylaw. INWITNESSWHEREOF,theAlaskaMunicipalBondBankhascausedthisBond tobeexecutedinitsnamebythemanualorfacsimilesignatureofitsChairmanandits corporateseal(orafacsimilethereof)tobeaffixed,imprinted,engravedorotherwise reproducedhereon,andattestedbythemanualorfacsimilesignatureofitsExecutive Directorallasofthedayof 2015. ALASKA MUNICIPAL BONDBANK [SEAL] MARK E.PFEFFER Chairman ATT EST: DEVEN J.MITCHELL ExecutiveDirector AMBBlGeneral Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(S) 1:\Docs\37421742\SeriesResolution2015-04(S).Docx Page16 TRUSTEE'SCERTIFICATEOF AUTHENTICATION ThisBondisoneoftheBondsdescribedinthewithin-mentionedResolutionsand isoneofthe2015SeriesThreeBondsoftheAlaskaMunicipalBondBank. THEBANKOFNEWYORKMELLON TRUSTCOMPANY,NA, asTrustee DateofAuthentication: AuthorizedOfficer ARTICLEV MISCELLANEOUS Section501-CreationofCredit Enhancement Fund. PursuanttoSection610oftheResolutionthereisherebycreatedacredit enhancement fund(the"Credit Enhancement Fund")forthebenefitofallSeriesof BondsissuedundertheResolution. Section502-Creationof2015SeriesThreeCredit Enhancement Account. ThereisherebycreatedintheCredit Enhancement Fundanaccounttoholdthe 2015SeriesThreeCredit Enhancement andtheproceeds thereof ordrawings thereunder (the"2015SeriesThreeCredit Enhancement Account")forthebenefitof, equallyandratably,allSeriesofBonds. Section503-Amendments and Modifications totheResolution Asconsiderationfortheissuanceofthe2015SeriesThreeCreditEnhancement, andprovidedthe2015SeriesThreeCredit Enhancement Issuerisnotindefaultunder the2015SeriesThreeCredit Enhancement Agreement,anymodificationor amendment oftheResolutionwhichrequires Bondholder consentshallalsorequiretheconsentof the2015SeriesThreeCredit Enhancement Issuer.Provided,however,consentofthe 2015SeriesThreeCredit Enhancement Issuershallnotberequiredifsuchmodification or amendment becomeseffectiveaftertheterminationorexpirationofthe2015Series ThreeCreditEnhancement. AMBBIGeneral Obligationand Refunding Bonds,2015 SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx Page17 Section504-DemandforPayment-2015SeriesThreeCreditEnhancement. Anydemandforpaymentonthe2015SeriesThreeCreditEnhancementshallbe providedtothe2015SeriesThreeCreditEnhancementIssuerbythePayingAgentat leastthree(3)dayspriortothedateonwhichfundsarerequired. Section505-2015SeriesThreeCredit Enhancement Agreement. TheChairmanandtheExecutiveDirectorareeachherebyauthorizedtoexecute the2015SeriesThreeCredit Enhancement Agreement inaformsimilartotheform attachedheretoasExhibitCwithsuchchangesastheChairmanortheExecutive DirectordeemadvisableandinthebestinterestoftheBank. ARTICLEVI MISCELLANEOUS Section601-PayingAgent. TheBankofNewYorkMellonTrustCompany,N.A.,SanFrancisco,California, oritssuccessororassigns,isappointedpayingagentforthe2015SeriesThreeBonds. Section602-ArbitrageRebate. Within30daysaftertheendofeveryfifthBondYear,andwithin60daysofthe datewhenallofthe2015SeriesThreeBondsortheRefundedBondshavebeenretired (oratsuchothertimeortimesasmaythenberequiredbytheCodeandtheapplicable IncomeTaxRegulations),theBankshalldeterminetheExcessInvestmentEarnings andpayrebateamountsduetheUnitedStatesofAmericawithrespectthereto,as providedinSection148(f)oftheCodeandtheapplicableIncomeTaxRegulations. Section603-2015SeriesThreeDebtServiceAccount. ThereisherebyestablishedasaspecialaccountintheDebtServiceFundthe "2015SeriesThreeDebtServiceAccount,"forthepurposeofreceivingamountsinthe DebtServiceFundallocabletothe2015SeriesThreeBonds.Suchamountsandthe earningsthereonshallbedepositedandheld,andseparatelyaccountedfor,inthe2015 SeriesThreeDebtServiceAccount. Section604-TaxExemptionandGeneralTaxCovenant. TheBankintendsthatinterestonthe2015SeriesThreeBondsissuedonatax- exemptbasisshallbeexcludablefromgrossincomeforfederalincometaxpurposes pursuanttoSection103and141through150oftheCode,andtheapplicable AMBB/General Obligationand Refunding Bonds,2015 SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx Page18 regulations.TheBankcovenantsnottotakeanyaction,orknowinglyomittotakeany actionwithinitscontrol,thatiftakenoromittedwouldcausetheinterestonthe2015 SeriesThreeBondsissuedonataxexemptbasistobeincludedingrossincome,as definedinSection61oftheCode,forfederalincometaxpurposes. Section605-ArbitrageCovenant. TheBankshallmakenouseorinvestmentofthegrossproceedsofthe2015 SeriesThreeBondswhichwillcausethe2015SeriesThreeBondstobe"arbitrage bonds"subjecttofederalincometaxationbyreasonofSection148oftheCode.The Bankherebycovenantsthatsolongasanyofthe2015SeriesThreeBondsare outstanding,theBank,withrespecttothegrossproceedsofthe2015SeriesThree Bonds,shallcomplywithallrequirementsofsaidSection148andofallregulationsof theUnitedStatesDepartmentofTreasuryissuedthereunder,totheextentthatsuch requirementsare,atthetime,applicableandineffect. Section606-ResolutionClarification. ItshallherebybeclarifiedthattheResolution,atSection919,shallonlyapplyto Bondsissuedona tax-exempt basis. Section607-Loan Agreement and Amendatory LoanAgreement. TheChairmanandtheExecutiveDirectorareeachherebyauthorizedtoexecute theLoanAgreementsand Amendatory LoanAgreements,asapplicable,betweenthe BankandthehereinreferredtoGovernmentalUnits,inaformsimilartotheform submittedtoandpartoftherecordsoftheAugust11,2015,withsuchchangesasthe ChairmanortheExecutiveDirectorshalldeemadvisable. Section608-ContinuingDisclosure. TheBankherebycovenantsandagreesthatitwillcomplywithandcarryoutall oftheprovisionsoftheformofContinuingDisclosureCertificateattachedheretoas ExhibitBwithsuchchangesastheChairmanortheExecutiveDirectorshalldeem advisableandinthebestinterestoftheBank.Notwithstandinganyotherprovisionof this2015SeriesThreeResolution,failureoftheBanktocomplywiththeContinuing DisclosureCertificateshallnotbeconsideredadefaultoftheBank'sobligationsunder this2015SeriesThreeResolution,theResolutionorthe2015SeriesThreeBonds; however,theBeneficialOwnerofanyBondmaybringanactionforspecific performance,tocausetheBanktocomplywithitsobligationsunderthisSection. AMBBIGeneral Obligation and Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) I :\Docs\37421742\5eries Resolution 2015-04(5).Docx Page19 Section609-ChairmanandExecutiveDirector. TheChairmanandtheExecutiveDirectorareeachherebyauthorizedtoexecute alldocumentsandtotakeanyactionnecessaryordesirabletocarryouttheprovisions ofthis2015SeriesThreeResolutionandtoeffectuatetheissuanceanddeliveryofthe 2015SeriesThreeBonds,includingexecutionoftheBondPurchaseContract.The authoritygrantedinthisSection609totheChairmanandtheExecutiveDirector includesauthorizationtosolicitcommitmentsforapolicyofinsurancewithrespectto paymentoftheinterestonandprincipaloftheBondsand thereafter toacceptsuch commitment whichisinthebestinterestoftheBankandenterintosuchagreementwith thebondinsurerasshallbeinthebestinterestsoftheBank. Section610-EffectiveDate. This2015SeriesThreeResolutionshalltakeeffectimmediatelyonthedate hereof(August11,2015). AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx Page20 EXHIBIT A BLANKET ISSUER LETTER OF REPRESENTATIONS Blanket Issuer Letter of Representations [Tobe Completed by issuer] aT aSKa MTINTcTp;a,r BOM)BAM{ May 2,1995 Attention:Cnderwrtnna Department -Eligibilitv The Depository Trust Company . :5.5 \\"<iter Street:.50th Floor Xew York.:\Y 10041-0099 Ladies and Gentlemen: This letter setsforth our understanding with respect toallissues ~the "Securities")that Issuer shall request bemade eligible for deposit by The Depository Trust Company ("DTC""l, To induce DTC to accept the Securities as eligible for deposit at DTC,and toactin accordance w'tth DTC's Ruleswith respect to the Securities.Issuer represents to DTC that Issuer will comply withthe requirements stated inDTC's Operational Arrangements.as they maybe amended from time to time. Xote: Schedule A contains statements that DTC believes accuratelydescribeDTC.themethodof effectin~book- entry transfers of securities distributed through DTe.and certain related matters. ReceivedandAccepted, THE DEPOSITORY TRUST COMPANY 2J Very truly yours, •0 ' AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx PageA-1 SAMPLE OFFERING DOCUMENT LANGUAGE DESCRIBING BOOK-ENTRY-ONLY ISSUANCE (Preparedby DTC-bracketed materialmaybeapplicable onlytocertainissues) 1.TheDepositoryTrustCompany("DTC"),NewYork,NY,willactas securitiesdepositoryforthesecurities(the"Securities").TheSecuritieswillbeissued asfully-registeredsecuritiesregisteredinthenameofCede &Co.(DTC'spartnership nominee)orsuchothernameasmayberequestedbyanauthorizedrepresentativeof DTC.Onefully-registeredSecuritycertificatewillbeissuedfor[eachissueof]the Securities,[each]intheaggregateprincipalamountofsuchissue,andwillbedeposited withDTC.[If,however,theaggregateprincipalamountof[any]issueexceeds$500 million,onecertificatewillbeissuedwithrespecttoeach$500millionofprincipal amount,andanadditionalcertificatewillbeissuedwithrespecttoanyremaining principalamountofsuchissue.] 2.DTC,theworld'slargestsecuritiesdepository,isa limited-purpose trust companyorganizedundertheNewYorkBankingLaw,a"bankingorganization"within themeaningoftheNewYorkBankingLaw,amemberoftheFederalReserveSystem, a"clearingcorporation"withinthemeaningoftheNewYorkUniformCommercialCode, anda"clearingagency"registeredpursuanttotheprovisionsofSection17Aofthe SecuritiesExchangeActof1934.DTCholdsandprovidesassetservicingforover3.5 millionissuesofU.S.andnon-U.S.equityissues,corporateandmunicipaldebtissues, andmoneymarketinstruments(fromover100countries)thatDTC'sparticipants ("DirectParticipants")depositwithDTC.DTCalsofacilitatesthepost-tradesettlement amongDirectParticipantsofsalesandothersecurities transactions indeposited securities,throughelectroniccomputerizedbook-entrytransfersandpledgesbetween DirectParticipants'accounts.Thiseliminatestheneedforphysicalmovementof securitiescertificates.DirectParticipantsincludebothU.S.andnon-U.S.securities brokersanddealers,banks,trustcompanies,clearingcorporations,andcertainother organizations.DTCisawholly-ownedsubsidiaryofTheDepositoryTrust &Clearing Corporation("DTCC").DTCCistheholdingcompanyforDTC,NationalSecurities ClearingCorporationandFixedIncomeClearingCorporation,allofwhichareregistered clearingagencies.DTCCisownedbytheusersofitsregulatedsubsidiaries.Accessto theDTCsystemisalsoavailabletootherssuchasbothU.S.andnon-U.S.securities brokersanddealers,banks,trustcompanies,andclearing corporations thatclear throughormaintainacustodialrelationshipwithaDirectParticipant,either directlyor indirectly("IndirectParticipants").DTChasaStandard &Poor'sratingofAA+.The DTCRulesapplicabletoitsParticipantsareonfilewiththeSecuritiesandExchange Commission.MoreinformationaboutDTCcanbefoundat www.dtcc.com. AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series ResolutiolJ No.2015-04(5) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx PageA-2 3.PurchasesofSecuritiesundertheDTCsystemmustbemadebyor throughDirectParticipants,whichwillreceiveacreditfortheSecuritiesonDTC's records.TheownershipinterestofeachactualpurchaserofeachSecurity("Beneficial Owner")isinturntoberecordedontheDirectandIndirectParticipants'records. BeneficialOwnerswillnotreceivewrittenconfirmationfromDTCoftheirpurchase. BeneficialOwnersare,however,expectedtoreceivewrittenconfirmationsproviding detailsofthetransaction,aswellasperiodicstatementsoftheirholdings,fromthe DirectorIndirectParticipantthroughwhichtheBeneficialOwnerenteredintothe transaction.TransfersofownershipinterestsintheSecuritiesaretobeaccomplished byentriesmadeonthebooksofDirectandIndirectParticipantsactingon behalf of BeneficialOwners.BeneficialOwnerswillnotreceivecertificatesrepresentingtheir ownershipinterestsinSecurities,exceptintheeventthatuseofthebook-entrysystem fortheSecuritiesisdiscontinued. 4.Tofacilitate subsequent transfers,allSecuritiesdepositedbyDirect ParticipantswithDTCareregisteredinthenameofDTC'spartnershipnominee,Cede& Co.,orsuchothernameasmayberequestedbyanauthorizedrepresentativeofDTC. ThedepositofSecuritieswithDTCandtheirregistrationinthenameofCede &Co.or suchotherDTCnomineedonoteffectanychangeinbeneficialownership.DTChasno knowledgeoftheactualBeneficialOwnersoftheSecurities;DTC'srecordsreflectonly theidentityoftheDirectParticipantstowhoseaccountssuchSecuritiesarecredited, which mayor maynotbetheBeneficialOwners.TheDirectandIndirectParticipants willremainresponsibleforkeepingaccountoftheirholdingsonbehalfoftheir customers. 5.ConveyanceofnoticesandothercommunicationsbyDTCtoDirect Participants,byDirectParticipantstoIndirectParticipants,andbyDirectParticipants andIndirectParticipantstoBeneficialOwnerswillbegovernedby arrangements among them,subjecttoanystatutoryorregulatoryrequirementsasmaybeineffectfromtime totime.[BeneficialOwnersofSecuritiesmaywishtotakecertainstepsto augment the transmissiontothemofnoticesof significant eventswithrespecttotheSecurities,such asredemptions,tenders,defaults,andproposedamendmentstotheSecurity documents.Forexample,BeneficialOwnersofSecuritiesmaywishtoascertainthat thenomineeholdingtheSecuritiesfortheirbenefithasagreedtoobtainandtransmit noticestoBeneficialOwners.Inthealternative,BeneficialOwnersmaywishtoprovide theirnamesandaddressestotheregistrarandrequestthatcopiesofnoticesbe provideddirectlytothem.] [6.RedemptionnoticesshallbesenttoDTC.IflessthanalloftheSecurities withinanissuearebeingredeemed,DTC'spracticeistodeterminebylottheamountof theinterestofeachDirectParticipantinsuchissuetoberedeemed.] AMBBIGeneral Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) I:\Docs\37421742\Series Resolution 2015-04(S).Docx PageA-3 7.NeitherDTCnorCede &Co.(noranyotherDTCnominee)willconsentor votewithrespecttoSecuritiesunlessauthorizedbyaDirectParticipantinaccordance withDTC'sMMIProcedures.Underitsusualprocedures,DTCmailsanOmnibusProxy toIssuerassoonaspossibleaftertherecorddate.TheOmnibusProxyassignsCede &Co.'sconsentingorvotingrightstothoseDirectParticipantstowhoseaccounts Securitiesarecreditedontherecorddate(identifiedinalistingattachedtotheOmnibus Proxy). 8.Redemptionproceeds,distributions,anddividendpaymentsonthe SecuritieswillbemadetoCede &Co.,orsuchothernomineeasmayberequestedby anauthorizedrepresentativeofDTC.DTC'spracticeistocreditDirectParticipants' accountsuponDTC'sreceiptof.fundsandcorrespondingdetailinformationfromIssuer orAgent,onpayabledateinaccordancewiththeirrespectiveholdingsshownonDTC's records.PaymentsbyParticipantstoBeneficialOwnerswillbegovernedbystanding instructionsandcustomarypractices,asisthecasewithsecuritiesheldfortheaccounts ofcustomersinbearerformorregisteredin"streetname,"andwillbetheresponsibility ofsuchParticipantandnotofDTC,Agent,orIssuer,subjecttoanystatutoryor regulatoryrequirementsasmaybeineffectfromtimetotime.Paymentofredemption proceeds,distributions,anddividendpaymentstoCede &Co.(orsuchothernominee asmayberequestedbyanauthorizedrepresentativeofDTC)isthe responsibility of IssuerorAgent,disbursement ofsuchpaymentstoDirectParticipantswillbethe responsibilityofDTC,and disbursement ofsuchpaymentstotheBeneficialOwnerswill betheresponsibilityofDirectandIndirectParticipants. [9.ABeneficialOwnershallgivenoticetoelecttohaveitsSecurities purchasedortendered,throughitsParticipant,to [Tender/Remarketing]Agent,and shalleffectdeliveryofsuchSecuritiesbycausingtheDirectParticipantto transfer the Participant'sinterestintheSecurities,onDTC'srecords,to [Tender/Remarketing] Agent.TherequirementforphysicaldeliveryofSecuritiesinconnectionwithan optionaltenderoramandatorypurchasewillbedeemedsatisfiedwhentheownership rightsintheSecuritiesaretransferredbyDirectParticipantsonDTC'srecordsand followedbyabook-entrycreditoftenderedSecuritiesto [Tender/Remarketing]Agent's DTCaccount.] 10.DTCmaydiscontinueprovidingitsservicesasdepositorywithrespectto theSecuritiesatanytimebygivingreasonablenoticetoIssuerorAgent.Undersuch circumstances,intheeventthata successor depositoryisnotobtained,Security certificatesarerequiredtobeprintedanddelivered. 11.Issuermaydecideto discontinue useofthesystemof book-entry-only transfersthroughDTC(ora successor securitiesdepository).Inthatevent,Security certificateswillbeprintedanddeliveredtoDTC. AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(S) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx PageA-4 12.The information inthissectionconcerning DTC andDTC'sbook-entry systemhasbeenobtainedfromsourcesthatIssuerbelievestobereliable,butIssuer takesno responsibility fortheaccuracythereof. AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(S) J:\Docs\37421742\Series Resolution 2015-04(S).Docx PageA-5 EXHIBITB CONTINUING DISCLOSURE CERTIFICATE AlaskaMunicipalBondBank(the"Issuer")executesanddeliversthisContinuing DisclosureCertificate(the"DisclosureCertificate")inconnectionwiththeissuanceof $AlaskaMunicipalBondBankGeneralObligationandRefundingBonds, 2015SeriesThree(the"Bonds").TheBondsarebeingissuedundertheGeneralBond ResolutionoftheBankentitled"AResolutionCreatingAndEstablishingAnIssueOf Bonds Of TheAlaskaMunicipalBondBank;ProvidingForTheIssuanceFromTimeTo Time Of SaidBonds;ProvidingForThePaymentOfPrincipalOfAndInterestOnSaid Bonds;AndProvidingForTheRightsOfTheHoldersThereof,"adoptedJuly13,2005, asamended(the"GeneralBondResolution"),andSeriesResolutionNo.2015-04 adoptedon August _,2015(the"SeriesResolution,"andtogetherwiththeGeneral BondResolution,the"Resolutions").TheIssuercovenantsandagreesasfollows: Section1.PurposeoftheDisclosureCertificate.TheIssuerisexecutingand deliveringthisDisclosureCertificateforthebenefitoftheBeneficialOwnersofthe Bonds,andtoassisttheParticipating Underwriter incomplyingwithSecuritiesand ExchangeCommissionRule15c2-12(b)(5). Section2.Definitions.InadditiontothedefinitionssetforthintheResolutions, whichapplytoanycapitalizedtermusedinthisDisclosureCertificateunlessotherwise definedinthisSection,thefollowingcapitalizedtermsshallhavethefollowing meanings: "AnnualReport"meansanyAnnualReportprovidedbytheIssuerpursuantto, andasdescribedin,Section3ofthisDisclosureCertificate. "FiscalYear"meansthefiscalyearoftheIssuer(currentlythe12-monthperiod endingJune30),assuchfiscalyearmaybechangedfromtimetotimeasrequiredby Statelaw. "MSRB"meanstheMunicipalSecuritiesRulemakingBoard. "ParticipatingUnderwriter"meansanyoftheoriginalunderwritersoftheBonds requiredtocomplywiththeRuleinconnectionwiththeofferingoftheBonds. "Rule"meansRule15c2-12(b)(5)adoptedbytheSecuritiesandExchange CommissionundertheSecuritiesExchangeActof1934,asamendedfromtimetotime. AMBB/General Obligation and Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx PageB-1 Section3.ProvisionofAnnualReportsandFinancialStatements.Commencing withitsFiscalYearendingJune30,2016,theIssuerwillprovidetotheMSRB,ina formatasprescribedbytheRule: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual ReportfortheFiscalYear.TheAnnualReportshallcontainor incorporate by reference:(i)annualauditedfinancialstatementsoftheIssuer;(ii)astatementof authorized,issuedandoutstandingbondeddebtoftheIssuer;(iii)theReserve Fundbalance;and(iv)statisticsregardingGovernmentalUnitssimilartothose foundin Appendix DtotheOfficialStatementasoftheendofthepriorFiscal Year.Anyoralloftheseitemsmaybeincludedbyspecificreferenceto documents availabletothepublicortheinternetwebsiteoftheMSRBorfiled withtheSecuritiesandExchangeCommission.TheIssuershallclearlyidentify eachsuchotherdocumentsoincorporatedbyreference.TheAnnualReport maybesubmittedasasingledocumentorasseparatedocumentscomprisinga package,providedthatauditedfinancialstatementsmaybesubmittedseparately fromtheremainderoftheAnnualReport. (b)Notlaterthan120daysaftertheendofeachFiscalYear,theIssuerwill notifyeachGovernmentalUnit,whohas,orhad,anamountofbondsequaltoor greaterthantwentypercent(20%)ofalloutstandingloansundertheGeneral BondResolution,ofitscontinuingdisclosureundertakingresponsibility.Alistof suchGovernmentalUnitsforthepriorFiscalYearwillbeincludedintheAnnual Report. Section4.NoticeofFailuretoProvideInformation.TheIssuershallprovideina timelymannertotheMSRBnoticeofanyfailuretosatisfytherequirementsofSection3 ofthisDisclosureCertificate. Section5.ReportingofSignificantEvents.(a)TheIssuershallfilewiththe MSRBanoticeofanyofthefollowingeventswithrespecttotheBonds,withinten(10) businessdaysoftheoccurrenceofsuchevent: (1)Principalandinterestpaymentdelinquencies. (2)Unscheduleddrawsondebtservicereservesreflectingfinancial difficuIties. (3)Unscheduleddrawsoncredit enhancements reflectingfinancial difficulties. (4)Substitutionofcreditorliquidityproviders,ortheirfailureto perform. AMBB/General Obligation and Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) I:\Docs\37421742\Series Resolution 2015-04(S).Docx PageB-2 (5)Adversetaxopinionsoreventsaffectingthe tax-exempt statusof theBondswhichinclude(i)theissuancebytheInternalRevenueService("IRS") ofproposedorfinal determinations oftaxability,(ii)NoticesofProposedIssues (IRSForm5701-TEB),(iii)othermaterialnoticesor determinations withrespect totheBonds,and(iv)othereventsaffectingthetaxstatusoftheBonds. (6)Defeasances. (7)Ratingchanges. (8)Tender offers. (9)Bankruptcy,insolvency,receivershipor similar proceedingbythe Issueror"obligatedperson." (b)TheIssuershallfilewiththeMSRBanoticeofanyofthefollowingevents withrespecttotheBonds,withinten(10)businessdaysoftheoccurrenceofsuch event,ifmaterial: (1)Nonpayment-related defaults. (2)Modifications torightsofholdersoftheBonds. (3)Bondcalls,otherthanmandatory,scheduledredemptionsnot otherwisecontingentontheoccurrenceofanevent. (4) Bonds. Release,substitutionorsaleofpropertysecuringrepaymentofthe (5)Otherthaninthenormalcourseofbusiness,theconsummationof amerger,consolidation,oracquisitioninvolvingan"obligatedperson,"orthe saleofallor substantially alloftheassetsoftheIssueror"obligatedperson,"or theentryintoadefinitiveagreementtoundertakesuchanaction,oratermination ofadefinitive agreement relatingtoanysuchactions,otherthaninaccordance withitsterms. (6)Appointment ofasuccessororadditionaltrusteeorthechangein nameofthetrusteefortheBonds. Section6.TerminationofReportingObligation.TheIssuer'sobligationsunder thisDisclosureCertificateshallterminateuponthelegaldefeasance,priorredemption orpaymentinfullofalloftheBonds. AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(S) 1:\Docs\37421742\Series Resolution 201S-04(S).Docx PageB-3 Section7.Amendment;Waiver.Notwithstandinganyotherprovisionofthis DisclosureCertificate,theIssuermayamendthisDisclosureCertificate,providedthat theamendmentmeetseachofthefollowingconditions: (a)The amendment ismadeinconnectionwithachangeincircumstances thatarisesfromachangeinlegalrequirements,changeinlaw,orchangeintheidentity, natureorstatusoftheIssuer; (b)ThisDisclosureCertificate,asamended,wouldhavecompliedwiththe requirementsoftheRuleasofthedatehereof,aftertakingintoaccountany amendmentsorinterpretationsoftheRule,aswellasanychangesincircumstances; (c)TheIssuerobtainsanopinionofcounselunaffiliatedwiththeIssuerthat theamendmentdoesnotmateriallyimpairtheinterestsoftheBeneficialOwnersofthe Bonds;and (d)TheIssuernotifiesandprovidestheMSRBwithcopiesoftheopinionsand amendments. Anysuch amendment maybeadoptedwithouttheconsentofanyBeneficial OwnerofanyoftheBonds,notwithstandinganyotherprovisionofthisDisclosure CertificateortheResolutions. ThefirstAnnualReportcontainingamendedoperatingdataorfinancial informationpursuanttoan amendment ofthisDisclosureCertificateshallexplain,in narrativeform,thereasonsforthe amendment anditseffectonthetypeofoperating dataandfinancialinformationbeingprovided. Section8.FilingAlternative.Anyfilingrequiredunderthetermsofthis DisclosureCertificatemaybemadesolelybytransmittingsuchfilingtotheElectronic MunicipalMarketAccessasprovidedat http://www.emma.msrb.org,orinsuchother mannerasmaybepermittedfromtimetotimebytheSecuritiesExchangeCommission. Section9.Default.IntheeventofafailureoftheIssuertocomplywithany provisionofthisDisclosureCertificate,anyBeneficialOwnermaytakesuchactionsas maybenecessaryandappropriate,includinganactiontocompelspecificperformance, tocausetheIssuertocomplywithitsobligationsunderthisDisclosureCertificate.No failuretocomplywithanyprovisionofthisDisclosureCertificateshallbedeemedan EventofDefaultundertheResolutions,andthesoleremedyunderthisDisclosure CertificateintheeventofanyfailureoftheIssuertocomplywiththisDisclosure Certificateshallbeanactiontocompelspecificperformance. AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\SeriesResolution2015-04(S).Docx Page8-4 Section10.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefitoftheIssuer,theTrustee,theParticipatingUnderwriterandtheBeneficial OwnersfromtimetotimeoftheBonds,andshallcreatenorightsinanyotherpersonor entity. Section11.PriorCompliance.TheIssuerisincomplianceinallmaterial respectswithitspriorundertakingspursuanttotheRuleexceptassetforthinthe OfficialStatement,dated _,2015,relatingtotheBonds. DATEDthis_dayof 2015. ALASKA MUNICIPALBONDBANK DEVEN J.MITCHELL ExecutiveDirector AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\Series Resolution 2015-04(S).Docx Page8-5 EXHIBIT C FORM OF CREDIT ENHANCEMENT AGREEMENT AMBB/General Obligationand Refunding Bonds,2015SeriesThree Series Resolution No.2015-04(5) 1:\Docs\37421742\SeriesResolution2015-04(S).Docx PageC-1 FINANCIAL GUARANTY AGREEMENT FINANCIALGUARANTYAGREEMENTmadeas of [CLOSING DAlE],byandbetweenAlaska MunicipalBondBank(the "Issuer"of "BondBank")andNationalPublicFinance Guarantee Corporation (the "Insurer"),organized underthelaws ofthestate ofNewYork. WITNESSETH: WHEREAS,theIssuerhasorwillissuethe Obligations;and WHEREAS,pursuanttotheterms oftheDocumenttheIssueragreestomake certain payments onthe Obligations;and WHEREAS,theInsurerwillissueitsSuretyBond,substantially intheformset forth inAnnexAto this Agreement,guaranteeing certain paymentsbytheIssuersubjecttothetermsand limitations of the SuretyBond;and WHEREAS,toinducetheInsurertoissuetheSuretyBond,theIssuerhasagreedtopaythepremium fortheSuretyBondandtoreimbursetheInsurerforallpaymentsmadebytheInsurerundertheSurety Bond,allasmorefullysetforthinthis Agreement;and WHEREAS,theIssuer understands thattheInsurerexpresslyrequiresthe delivery of thisAgreement aspart ofthe consideration fortheexecutionbytheInsureroftheSuretyBond;and NOW,THEREFORE,in consideration ofthepremisesand of the agreements herein contained and of theexecutionoftheSuretyBond,theIssuerandtheInsureragreeas follows: ARTICLE I DEFINITIONS;SURETY BOND Section1.01.Definitions.Thetermswhichare capitalized hereinshallhavethe meanings specified in AnnexBhereto. Section1.02.SuretyBond. (a)TheInsurerwillissuetheSuretyBondin accordance withandsubjecttothetermsand conditions ofthe Commitment. (b)Themaximum liability of theInsurerundertheSuretyBondandthe coverage andterm thereofshallbesubjecttoandlimitedbythetermsand conditions oftheSuretyBond. Section1.03.Premium.In consideration of theInsureragreeingtoissuetheSuretyBond hereunder, theIssuerherebyagreesto payor causeto be paidthePremiumsetforthinAnnexBhereto.ThePremium ontheSuretyBondisnot refundable foranyreason. Section1.04.CertainOtherExpenses.TheIssuerwillpayall reasonable feesand disbursements of the Insurer's specialcounselrelatedto any modification ofthisAgreementortheSuretyBond. ARTICLEll REIMBURSEMENT OBLIGATIONS OF ISSUER AND SECURITY THEREFOR Section2.01.Reimbursement forPaymentsUndertheSuretyBondand Expenses. (a)TheIssuerwillreimbursethe Insurer,withinthe Reimbursement Period,withoutdemandor noticebytheInsurertotheIssueroranyotherperson,totheextent of eachSuretyBondPayment withinterestoneachSuretyBondPaymentfromand including the date madetothedate of the reimbursement atthelesser ofthe Reimbursement Rateorthemaximumrate ofinterest permitted by then applicable law. (b)TheIssueralso agrees to reimburse the Insurer immediately and unconditionally upon demand,totheextent permitted by state law,forall reasonable expenses incurred bythe Insurer in connection withtheSuretyBondandthe enforcement bythe Insurer ofthe Issuer's obligations under this Agreement,the Document,andanyother document executed in connection withthe issuance of the Obligations,together with interest onallsuch expenses from and including thedate incurred to thedateofpaymentattherateset forth in subsection (a)ofthis Section 2.01. (c)TheIssueragreesthatall amounts owingtothe Insurer pursuant to Section 1.03 hereofand this Section 2.01 mustbepaidin full priortoany optional redemption or refunding ofthe Obligations. (d)All payments madetothe Insurer underthis Agreement shall bepaidin lawful currency of the United States in immediately available funds atthe Insurer's office at1 Manhattanville Road, Suite301,Purchase,New Yolk 10577,Attention:Portfolio Surveillance Group,oratsuchother placeas shall be designated bythe Insurer. Section 2.02.Allocation of Payments.The Insurer andthe Issuer hereby agreethateach payment received bytheInsurer from oronbehalfofthe Issuer asa reimbursement tothe Insurer as required by Section 2.01 hereof shall be applied bythe Insurer first,toward payment ofanyunpaid premium;second, toward repayment ofthe aggregate SuretyBond Payments madebythe Insurer andnotyet repaid,payment ofwhichwill reinstate alloraportionofthe Surety Bond Coverage tothe extent ofsuch repayment (butnot to exceed the Surety Bond Limit);and third,upon full reinstatement of the Surety Bond Coverage tothe Surety Bond Limit,towardother amounts,including,without limitation,any interest payable with respect to any Surety Bond Payments thenduetothe Insurer. Section 2.03.Security fur Payments:Instruments ofFurtherAssurance.Tothe extent,butonlytothe extent,thatthe Document,orany related indenture,trust agreement,ordinance,resolution,mortgage, security agreement orsimilar instrument,if any,pledges tothe Owners orany trustee therefor,or grants a security interest orlieninoronany collateral,property,revenue orother payments ("Collateral and Revenues")inorderto secure the Obligations or provide a source of payment forthe Obligations,the Issuer hereby grants tothe Insurer a security interest inorlienon,asthecasemaybe,and pledges tothe Insurer all such Collateral and Revenues as security forpaymentofall amounts due hereunder andunderthe Document oranyother document executed in connection withthe issuance of the Obligations,which security interest,lienand/orpledge created or granted underthis Section 2.03 shall be subordinate onlyto the interests of theOwnersandany trustee therefor insuch Collateral and Revenues,except as otherwise provided.The Issuer agrees thatitwill,from timeto time,execute,acknowledge and deliver,orcausetobe executed,acknowledged and delivered,anyandall financing statements,if applicable,andallother further instruments asmaybe required bylaworas shall reasonably be requested bythe Insurer forthe perfection ofthe security interest,if any,granted underthis Section 2.03andforthe preservation and protection ofall rights ofthe Insurer underthis Section 2.03. Section 2.04.Unconditional Obligation.The obligations hereunder are absolute and unconditional andwillbepaidor performed strictly in accordance withthis Agreement,subject tothe limitations of the Document,irrespective of: (a)anylackof validity or enforceability of,orany amendment orother modification of,or waiverwith respect tothe Obligations,the Document oranyother document executed in connection withthe issuance ofthe Obligations;or (b)any exchange,release or nonperfection ofany security interest in property securing the Obligations orthis Agreement orany obligations hereunder;or (c)any circumstances thatmight otherwise constitute a defense available to,or discharge of,the Issuer with respect tothe Obligations,the Document oranyother document executed in connection withthe issuance ofthe Obligations;or (d)whether ornotsuch obligations are contingent or matured,disputed or undisputed,liquidated or unliquidated. Section 2.05.Insurer's Rights.TheIssuershallrepaythe Insurer totheextent ofpayments madeand expenses incurred bytheInsurerin connection withthe Obligations andthis Agreement.The obligation of theIssuertorepaysuch amounts shallbe subordinate onlytotherightsoftheOwnersto receive regularly scheduled principal and interest onthe Obligations. Section 2.06.On-Going Information Obligations of Issuer.TheIssuerwillmake available tothe Insurer,at reasonable timesandupon reasonable notice,all records relative to2005pooledloan program .. ARTICLEID AMENDMENTS TO DOCUMENT Solongasthis Agreement isin effect,the Issuer agrees that National willbedeemedasthe bondholder of the2015 Series ThreeBonds regarding any amendments and modifications tothe Resolution and2015 SeriesThree Resolution withrespecttoanyactioninwhichtheconsentof bondholders is required. ARTICLEIV EVENTS OF DEFAULT;REMEDIES Section 4.01.Eventsof Default.The following events shall constitute Events ofDefault hereunder: (a)The Issuer shall fail topaytothe Insurer whendueanyamount payable under Sections 1.03; or (b)TheIssuer shall failtopaytothe Insurer anyamount payable under Sections 1.04and 2.01 hereofandsuch failure shallhave continued foraperiodinexcessofthe Reimbursement Period;or (c)Any material representation or warranty madebytheIssuerundertheDocumentor hereunder orany statement inthe application forthe Surety Bondorany report,certificate,financial statement,document orother instrument provided in connection withthe Commitment,the Surety Bond,the Obligations,or herewith shallhavebeen materially false atthetimewhenmade;or (d)Exceptas otherwise providedinthis Section 4.01,theIssuershallfailto perform any of its other obligations underthe Document,oranyother document executed in connection withthe issuance ofthe Obligations,or hereunder,provided thatsuch failure continues formorethan30days afterreceiptbytheIssuerofwrittennoticeofsuch failure to perform;or (e)TheIssuershall(i)voluntarily commence any proceeding orfileany petition seeking relief undertheUnitedStates Bankruptcy Codeoranyother Federal,stateor foreign bankruptcy, insolvency orsimilarlaw,(ii)consenttothe institution of or fail to controvert ina timely and appropriate manner,anysuch proceeding orthe filing ofanysuch petition,(iii)applyfororconsentto the appointment ofa receiver,trustee,custodian,sequestrator or similar official forsuchpartyorfora substantial partof its property,(iv):file ananswer admitting the material allegations ofa petition filed againstitinanysuch proceeding,(v)makea general assignment forthebenefit of creditors,(vi) become unable,admitinwritingits inability or fail generally topayitsdebtsastheybecomedueor (vii)take action forthepurpose ofeffecting any ofthe foregoing;or (f)An involuntary proceeding shallbe commenced oran involuntary petition shallbe filed ina court ofcompetent jurisdiction seeking(i)reliefin respect ofthe Issuer,or ofa substantial partofits property,undertheUnitedStates Bankruptcy Codeoranyother Federal,stateor foreign bankruptcy, insolvency orsimilarlawor(ii)the appointment ofa receiver,trustee,custodian,sequestrator or similar official fortheIssuerorfora substantial part of its property;andsuch proceeding or petition shall continue undismissed for60daysoranorderor decree approving or ordering any of the foregoing shall continue unstayed andineffectfor30 days. Section4.02.Remedies.IfanEvent of Defaultshalloccurandbe continuing,thenthe Insurer may takewhateveractionatlaworinequitymayappear necessary or desirable tocollectthe amounts thendue and thereafter tobecomedueunderthisAgreementortoenforceperformance ofany obligation oftheIssuer totheInsurerundertheDocumentoranyrelated instrument,andany obligation,agreementor covenant of theIssuerunderthis Agreement;provided,however,thattheInsurermaynottakeanyactionto direct or require acceleration orotherearly redemption of the Obligations or adversely affecttherights of the Owners.In addition,ifanEvent ofDefaultshalloccurduetothe failure topaytotheInsurerthe amounts dueunder Section 1.03 hereof,theInsurershallhavetherighttocanceltheSuretyBondin accordance with its terms.AIl rights and remedies of theInsurerunderthis Section 4.02 are cumulative andthe exercise of anyone remedydoesnot preclude the exercise ofoneormore oftheother available remedies. ARTICLE V SETTLEMENT TheInsurer shall,ingood faith,decideand determine the validity of aclaimfora Surety Bond Payment.Notwithstanding the foregoing,the Insurer shall unconditionally and irrevocably causepayment of the principal of and interest onthe Obligations uponthelater of (i)three (3)daysafter receipt bythe Insurer of ademandfor payment,duly executed bythepaying agent,or(ii)thepaymentdate of the Obligations as specified inthedemandforpaymentpresented bythepayingagenttothe Insurer.TheIssuer shall reimburse theInsurertotheextent of suchSuretyBondPaymentas provided forin Article II of this Agreement. ARTICLE VI MISCELLANEOUS Section 6.01.Interest Computations.All computations ofinterest duehereundershallbemadeonthe basis oftheactualnumber ofdayselapsedoverayear of360 days. Section6.02.Exercise ofRights.No failure ordelayonthepart of theInsurerto exercise any right, poweror privilege underthisAgreementandnocourse ofdealing between theInsurerandtheIssuerorany otherpartyshalloperateasawaiver of anysuch right,poweror privilege,norshallanysingleor partial exercise of anysuch right,poweror privilege preclude anyotheror further exercise thereoforthe exercise of anyother right,poweror privilege.The rights andremediesherein expressly provided are cumulative andnot exclusive of anyrightsorremedieswhichtheInsurerwould otherwise have pursuant tolawor equity.Nonoticetoordemandonanypartyinanycaseshall entitle suchpartytoanyotheror further noticeordemandinsimilarorother circumstances,or constitute awaiver of theright of theotherpartyto anyotheror further actioninany circumstances withoutnoticeor demand. Section 6.03.AmendmentandWaiver.Any provision of thisAgreementmay be amended,waived, supplemented,discharged orterminatedonlywiththepriorwrittenconsent of theIssuerandthe Insurer. TheIssuerherebyagreesthatuponthewritten request of thePaying Agent,theInsurermaymakeor consenttoissueany substitute fortheSuretyBondtocureany ambiguity or formal defector omission inthe SuretyBondwhichdoesnot materially changetheterms oftheSuretyBondnor adversely affecttherights ofthe Owners,andthisAgreementshallapplytosuch substituted suretybond.TheInsureragreestodeliver totheIssuerandtothecompanyor companies,ifany,ratingthe Obligations,acopy of such substituted suretybond. Section 6.04.Successors andAssigns;Descriptive Headings. (a)ThisAgreementshallbind,andthe benefits thereofshallinureto,theIssuerandthe Insurer andtheir respective successors and assigns. (b)The descriptive headings of the various provisions of thisAgreement are inserted for convenience ofreference onlyandshallnot be deemedto affect themeaningor construction of any ofthe provisions hereof Section 6.05.Other Sureties.IftheInsurershall procure anyothersuretyto reinsure theSuretyBond, thisAgreementshallinure to thebenefit of suchother surety,its successors and assigns,soastogivetoita directright ofactionagainsttheIssuertoenforcethis Agreement,and"the Insurer,"wherever used herein, shall be deemedtoincludesuch reinsuring surety,asits respective interests may appear. Section 6.06.Signature onBond.The Issuer's liability shall notbe affected byits failure tosignthe Surety Bondnorbyanyclaimthatother indemnity or security wastohave been obtained norbythe release ofany indemnity,northe return or exchange ofany collateral thatmayhavebeen obtained. Section 6.07.Waiver.TheIssuer waives any defense thatthis Agreement was executed subsequent tothe date of the Surety Bond,admitting and covenanting thatsuch Surety Bondwas executed pursuant to the Issuer's request andin reliance onthe Issuer's promise to execute this Agreement. Section 6.08.Notices,Requests,Demands.Except as otherwise expressly provided herein,all written notices,requests,demands orother communications tooruponthe respective parties hereto shall be deemed tohavebeen given ormadewhen actually received,orinthecaseoftelexor telecopier notice sentovera telexora telecopier machine ownedor operated byaparty hereto,when sent,addressed as specified below oratsuchother address asany ofthe parties may hereafter specify in writing tothe others: Iftothe Issuer:Alaska Municipal BondBank 333 Willoughby Avenue,11 111 Floor Juneau,Alaska 99811-0405 Attention:RyanS.Williams,Finance Director Iftothe Paying Agent:TheBankofNewYorkMellonTrustCompany,NA San Francisco,California Attention:Corporate TrustOfficer Iftothe Insurer:National Public Finance Guarantee Corporation 1 Manhattanville Road,Suite 301 Purchase,NewYork 10577 Attention:Portfolio Surveillance Group Section 6.09.Survival of Representations and Warranties.All representations,warranties and obligations contained herein shall survive the execution and delivery ofthis Agreement andthe Surety Bond. Section 6.10.Governing Law.This Agreement andthe rights and obligations ofthe parties underthis Agreement shallbe governed byand construed and interpreted in accordance withthelaws ofthe State. Section 6.11.Counterparts.This Agreement maybe executed inanynumber of copies andbythe different parties hereto onthesameor separate counterparts,each ofwhich shall be deemed tobean original instrwnent.Complete counterparts ofthis Agreement shall be lodged withthe Issuer andthe Insurer. Section 6.12.Severability.Intheeventany provision ofthis Agreement shall be held invalid or unenforceable byanycourt of competent jurisdiction,such holding shall not invalidate or render unenforceable anyother provision hereof Section 6.13.Survival of Obligations.Notwithstanding anything tothe contrary contained inthis Agreement,the obligation of theIssuertopayall amounts due hereunder andthe rights ofthe Insurer to pursue all remedies shall survive the expiration,termination or substitution ofthe Surety Bondandthis Agreement. IN WTINESS WHEREOF,each ofthe parties hereto has caused a counterpart ofthis Agreement to be duly executed and delivered asofthedate first above written. Alaska Municipal Bond Bank By:_ Title:---------- National Public Finance Guarantee Corporation President Attest: Secretary ANNEXA DEBT SERVICE RESERVE SURETY BOND National Public Finance Guarantee Corporation Purchase,New York 10577 SuretyBondNo.[POLICYNO.] NationalPublic Finance Guarantee Corporation (the "Insurer"),in consideration of thepayment of the premiumand subject totheterms of thisSuretyBond,hereby unconditionally and irrevocably guarantees thefull and complete payments thataretobeappliedto payment of principal of and interest onthe Obligations (as hereinafter defined)andthatare required tobemadebyoron behalf of Alaska Municipal BondBank(the"Issuer") underthe [AUTHORIZING DOCUMENT](the "Document")to [pAYING AGENT,CITY,STATE](the"Paying Agent"),assuch payments areduebutshallnotbesopaid,in connection withtheissuancebytheIssuer of [LEGALTITLEOFTHE OBLIGATIONS](the "Obligations"),provided thatthe amount available hereunder for payment pursuant to anyone Demand for Payment (as hereinafter defined)shallnotexceed[SURETYBOND AMOUNT](the "Surety BondLimit");provided,further,thatthe amount available atany particular timetobepaid tothePayingAgentundertheterms hereof (the"Surety Bond Coverage")shallbereducedandmaybereinstated fromtimetotimeassetforthherein. 1.Asusedherein,theterm"Owner"shallmeanthe registered owner of anyObligationasindicatedinthe books maintained bythe applicable payingagent,the Issuer orany designee of theIssuerforsuchpurpose.The term"Owner"shallnotincludethe Issuer oranypersonorentity whose obligation or obligations by agreement constitute the underlying security or source of paymentforthe Obligations. 2.Uponthelaterof:(i)three(3)daysafterreceiptbythe Insurer of ademandforpaymentintheform attached heretoas Attachment I (the"Demandfor Payment"),duly executed bythePayingAgent;or(ii)the payment date of the Obligations as specified inthe Demand for Payment presented bythePayingAgenttothe Insurer,the Insurer willmakeadeposit of fundsinanaccountwith Ll.S.Bank Trust National Association,inNew York,NewYork,orits successor,sufficient forthe payment tothe Paying Agent,ofarnounts thatarethendueto the Paying Agent(as specified inthe Demand for Payment)subject totheSuretyBondCoverage. 3.Demand for Payment hereunder maybemadebywrittenor electronic delivery of theexecutedDemand for Payment c/otheInsurer.If aDemandfor Payment made hereunder doesnot,inanyinstance,conformtothe termsand conditions of thisSurety Bond,theInsurershallgive notice tothe Paying Agent,aspromptlyas reasonably practicable,thatsuch Demand for Payment wasnot effected in accordance withthetermsand conditions of thisSuretyBondandbrieflystatethe reason(s)therefor.UponbeingnotifiedthatsuchDemandfor Payment wasnoteffectedin accordance withthisSuretyBond,the Paying Agentmayattempttocorrectanysuch nonconforming Demandfor Payment if,andtotheextentthat,the Paying Agentisentitledandabletodoso. 4.Theamount payable bythe Insurer underthisSuretyBondpursuanttoa particular Demand for Payment shallbelimitedtotheSuretyBondCoverage.TheSurety Bond Coverage shallbereduced automatically tothe extent of each payment madebythe Insurer hereunder andwillbe reinstated totheextent of each reimbursement of the Insurer pursuant tothe provisions of Article II of the Financial Guaranty Agreement datedthedate hereof between the Insurer andthe Obligor (the "Financial Guaranty Agreement");provided,thatnopremiumisdueand unpaidonthisSurety Bond andthatinnoeventshallsuch reinstatement exceed theSuretyBondLimit.The Insurer willnotifythe Paying Agent,in writing withinfive(5)days of such reimbursement,thattheSurety Bond Coverage hasbeen reinstated tothe extent of such reimbursement pursuant tothe Financial Guaranty Agreement andsuch reinstatement shallbeeffectiveas of thedatetheInsurergivessuchnotice.Thenoticetothe Paying Agentwillbe substantially intheform attached heretoas Attachment 2. DSRF-NATL-I 10/14 5.Anyservice of processontheInsurerornoticetotheInsurermaybemadetotheInsureratitsoffices locatedatI Manhattanville Road,Suite301,Purchase,NewYork10577andsuchservice of processshallbevalid andbinding. 6.Theterm of thisSuretyBondshallexpireonthe earlier of (i)[MATURITY DATE](thematuritydate of the Obligations beingcurrentlyissued),or(ii)thedateonwhichtheIssuerhasmadeallpaymentsrequiredtobe madeonthe Obligations pursuant tothe Document. 7.ThepremiumpayableonthisSuretyBondisnot refundable foranyreason,includingthepaymentprior tomaturity of the Obligations. 8.Anysuit hereunder in connection withany payment maybebroughtonlybythe Paying Agentwithin oneyearafter(i)aDemandfor Payment,with respect tosuch payment,ismadepursuanttotheterms ofthis Surety Bondandthe Insurer hasfailedtomakesuch payment,or(ii)payment would otherwise havebeendue hereunder butforthefailureonthepart of the Paying Agentto deliver totheInsureraDemandfor Payment pursuanttothe terms of this Surety Bond,whichever isearlier. 9.Thereshallbeno acceleration payment dueunderthisPolicyunlesssuch acceleration isatthesale option of theInsurer. Inwitness whereof,theInsurerhas caused thisSurety Bond tobeexecutedinfacsimileonits behalf byits duly authorized officers,this[DAY]day of [MONTH],[YEAR]. NationalPublicFinance Guarantee Corporation President Attest: Secretary DSRF-NATL-l 10114 Attachment I SuretyBondNo.[POLICYNO.] DEMANDFOR PAYMENT ___,20_ National Public Finance Guarantee Corporation I Manhattanville Road,Suite301 Purchase,New York10577 Attention:President RE:[LEGAL TITLE OF OBLIGATIONS] Reference ismadetoPolicyNo.[POLICY NUMBER](the "Policy")issuedbytheNationalPublic Finance Guarantee Corporation (the"Insurer").Thetermswhichare capitalized hereinandnot otherwise defined havethe meanings specified inthePolicyunlessthecontext otherwise requires. The PayingAgenthereby certifies that: (a)In accordance withthe provisions of the Document (attached heretoasExhibitA),payment isduetothe Owners of the Obligations on (the"DueDate")inan amount equalto $ (the "Amount Due"). (b)Theamountslegallyavailabletothe Paying AgentontheDueDatewillbe $less thanthe Amount Due(the "Deficiency"). ThePaying Agent herebyrequeststhat payment of the Deficiency bemadebythe Insurer underthe Policyanddirectsthat payment underthe Policy bemadetothe following accountbybankwire transfer of federal orother immediately available fundsin accordance withtheterms of thePolicy: [pAYING AGENT'S ACCOUNT INFORMATION] [PayingAgent] ABA#: G.L.Account No#: FFCTAS #: Ref: Attn:Name/Phone number Beneficiary Address: [Name of Bank] [Street Address] [City,StateZip] Anypersonwhoknowinglyandwithintenttodefraudanyinsurancecompanyorotherpersonfilesanapplication for insuranceorstatement of claimcontaininganymateriallyfalseinformation,orconceals for thepurpose of misleading,informationconcerninganyfactmaterialthereto,commits afraudulent insuranceact,which is acrime, andshallalsobesubjecttoacivil penalty notto exceed fivethousanddollarsandthestatedvalue oftheclaimfor eachsuchviolation. [PAYINGAGENT] By _ Its _ DSRF-NATL-I 10/14 Attachment 2 SuretyBondNo.[POLICYNO.] NOTICE OF REINSTATEMENT ___,,20_ [Paying Agent] [Address] Reference ismadetothe Surety BondNo.[pOLICY NO.](the"Surety Bond")issuedbytheNational Public Finance Guarantee Corporation (the"Insurer").Thetermswhichare capitalized hereinandnot otherwise definedhavethe meanings specified intheSuretyBondunlessthe context otherwise requires. TheInsurerherebydeliversnoticethatitisinreceipt of payment fromthe Obligor pursuanttoArticle II of the Financial Guaranty Agreement and as of thedate hereofthe SuretyBond Coverage is$ National Public Finance Guarantee Corporation President Attest: Secretary DSRF-NATL-l 10/14 t::xPEF.IE~;CE •••• c 0 ~.,~1 I r MEN .,. ANNEXB DEFINITIONS Forallpurposes ofthisAgreementandtheSuretyBond,exceptas otherwise expressly provided herein orunlessthecontext otherwise requires,all capitalized termsshallhavethemeaningassetoutbelow,which shallbeequallyapplicable toboththesingularandpluralforms ofsuchterms. "Agreement"meansthis Financial GuarantyAgreement. "Closing Date"meansSeptember_,2015. "Commitment"meansthecommitmenttoissue Municipal BondGuaranty Insurance intheform attachedheretoasAnnex C. "DebtService Payments"meansthosepaymentsrequiredtobemadebyoronbehalf of theIssuer whichwillbeappliedtopayment ofprincipal ofand interest onthe Obligations. "Demandfor Payment"meansthe certificate submitted totheInsurerforpaymentundertheSurety Bond substantially intheformattachedtotheSuretyBondasAttachmentI. "Document"meanstheGeneralBond Resolution,adoptedJuly13,2005,as amended and supplemented bySeries Resolution No.2014-04,approvedonAugust -'2015. "Event ofDefault"shallmeanthoseevents ofdefaultsetforthin Section 4.01 ofthe Agreement. "Insurer"hasthesamemeaningasset forth inthe first paragraph ofthis Agreement. "Issuer"meansAlaskaMunicipalBondBank. "Obligations"meansGeneral Obligation and Refunding Bonds,2015SeriesThree. "Owners"meansthe registered owner of any Obligation as indicated inthebooks maintained bythe PayingAgent,theIssueroranydesignee oftheIssuerforsuch purpose. "Paying Agent"meansTheBank of New Yolk MellonTrustCompany,N.A.,San Francisco, California "Premium"means[pREMIUM]payabletotheInsureronorpriortotheClosingDate. "Reimbursement Period"means,withrespecttoaparticularSuretyBond Payment,theperiod commencingonthedate of suchSuretyBondPaymentandendingontheearlierofthedate of cancellation of theSuretyBondduetononpayment of Premiumwhendueoronthe expiration of [X]following such SuretyBond Payment. "Reimbursement Rate"means Citibank's primerateplusthree(3)percentperannum,as ofthedate of suchSuretyBondPayment,said"primerate"beingtherate of interest announced fromtimetotimeby Citibank,N.A.,NewYork,NewYork,asitsprimerate.Therate of interest shallbe calculated onthebasis oftheactualnumber ofdayselapsedovera360-dayyear. "State"meanstheStateofNewYork. "SuretyBond"meansthatsuretybond attached heretoasAnnexAand issued bytheInsurer guaranteeing,subjecttothetermsand limitations thereof,DebtServicePayments required tobemadeby theIssuerundertheDocument. "SuretyBond Coverage"meanstheamount available atany particular timetobepaidundertheterms oftheSuretyBond,whichamountshallneverexceedtheSuretyBondLimit. "SuretyBondLimit"means[SURETYBOND LlMIl]. DSRF-NATL-l 10/14 EXPER:ENCE •••• COMMIi"MEN,STFlENGTn "Surety Bond Payment"meansanamountequaltotheDebt Service Payment required to be madeby theIssuerpursuant totheDocumentless(i)that portion oftheDebt Service Paymentpaidbyoronbehalfof the Issuer,and (ii)other funds legally available for payment tothe Owners,alIas certified in aDemandfor Payment. DSRF-NATL-I 10114 DSRF-NATL-I 10/14 XPERIE~ •••• COMc.~IT~IIE~'" ANNEXC COMMITMENT •••• CCM,.~~TMEt~T STRENG-rh NATIONALPUBLICFINANCEGUARANTEECORPORATION COMMITMENT TO ISSUE A DEBT SERVICE RESERVE SURETY BOND Application No.:2015-006268-002 Sale Date:August 2015 (T) Program Type:Negotiated DP RE:$10,000,000 (est.)Debt Service Reserve Fund for $151,645,000 (est.)Alaska Municipal Bond Bank,General Obligation and Refunding Bonds,2015 Series Three (the "Obligations") This commitment to issue a debt service reservesurety bond (the "Commitment") dated August 5,2015 constitutes an agreement between Alaska Municipal Bond Bank (the "Issuer")and National Public Finance Guarantee Corporation ("National"),a stock insurance company incorporated under the laws of the State of New York Based onan approved application dated August 4,2015,the Insurer agrees,upon satisfaction ofthe conditions herein,to issue on the earlier of (i)90 days of said approval date or(ii)on the date of delivery of and payment for the Obligations,a debt service reserve surety bond (the "Surety Bond"),for the Obligations,guaranteeing the payment tothe issuer of upto $10,000,000 (est.)on the Obligations.The issuance of the Surety Bond shall be subject tothe following terms and conditions: 1.Payment by the Applicant,orby the Trustee on behalf of the Applicant,onthe date of delivery ofand payment for the Obligations,ofa nonrefundable premium inthe amount of .75%(premium rate)of total surety bond amount of $10,000,000 (est.)onthe Obligations,rounded to the nearest hundred.The premium set out in this paragraph shall be the total premium required tobe paid on the Policy issued pursuant to this Commitment. 2.The Obligations shall have received an unqualified opinion of bond counsel with respect tothe due authorization,execution and delivery of the Obligations,aswellas with respect to the tax treatment of interest on the Obligations. 3.There shall have been no material adverse change inthe Obligations or the Resolution,Bond Ordinance,Trust Indenture or other official document authorizing the issuance of the Obligations or in the final official statement or other similar document, including the financial statements included therein. 4.There shall have been no material adverse change in any information submitted to the Insurer asa part of the Application or subsequently submitted tobea part ofthe Application to the Insurer. 5.No event shall have occurred which would allow any underwriter or any other purchaser of the Obligations not tobe required to purchase the Obligations at closing. DSRF-NATL-I 10114 EXPERIENCE -,•••• co !.~MIT M E ~T S:PE:O\G,H 6.Prior to the delivery of and payment for the Obligations,none of the information or documents submitted asa part of the Application tothe Insurer shall be determined to contain any untrue or misleading statement ofa material fact or failto state a material fact required tobe stated therein or necessary in order to make the statements contained therein not misleading. 7.No material adverse change affecting any security for the Obligations shall have occurred prior to the delivery of and payment for the Obligations. 8.This Commitment may be signed in counterpart by the parties hereto. 9.Compliance with the Insurer's Conditions for Debt Service Reserve Fund Surety Bonds Provided by National (see Attachment A). This Commitment may be signed in counterpart bythe parties hereto. Dated this 5 th day of August,2015. National Public Finance Guarantee Corporation By _ Secretary Alaska Municipal BondBank By: Title:------------ DSRF-NATL-I 10/14 £XP R'E~CE •••• COMMliMENT S,RENGfH ATTACHMENT A CONDITIONS FORDEBT SERVICE RESERVEFUND SURETY BONDS PROVIDED BY NATIONAL Suretybondsarenoteligiblesubstitutesforcashindebtservicereservefundsassociatedwithlease revenuebondsandcertificatesofparticipation.Forothertypesofsecurities,thefollowingprovisions shallapply: Intheeventtheissuerelectstofundthedebtservicereservewithasuretypolicyinlieuofcash,National requiresthattheissuerand/ortheunderlyingobligorofthebondsenterintoaFinancialGuaranty AgreementwithNationalprovidingfor,amongotherthings,thereimbursementtoNationalofamounts drawnunderthesuretybond.Asampledraftofsuchanagreementisattached. TheSuretyBondmaybestructuredtoprovidedebtservicereservefundreplacementforthecurrent issueofbondsandanyotherdebtissuedonparitytherewith.However,inallcases,theSuretyBondwill expireontheearlierofa)thefinalmaturitydateofthecurrentissueofbondsorb)thedateofanearly retirement,refunding,redemption,defeasance,etc.ofthecurrentissueofbonds. A)Provisionmustbemadeinthebonddocumentsforthecreationofadebtservicereservefundand theremustbearequirementtomaintainthatfundatacertainlevel.Itshouldalsobeprovidedthat thisrequirementmaybesatisfiedbycashoraqualifiedsuretybondoracombinationofthesetwo (Note:A"qualifiedsuretybond"meansasuretybondwhichsatisfiestherequiredtermshereinand isissuedbyaninsurancecompanyacceptabletoNational). B)Inthoseinstanceswheretheissuanceofparitydebtwillcausethedebtservicereservefund requirementtoincrease,Nationalrequiresthatatthetimeofissuanceofsuchparitydebt,eithercash oraqualifiedsuretybondbeprovidedtosatisfytheincreaseddebtservicereservefundrequirement. C)IntheeventthatthedebtservicereservefundcontainsbothaNationalSuretyBondandcash, Nationalrequiresthatthecashbedrawndown completely beforeanydemandismadeontheSurety Bond.ForthetermoftheNationalSuretyBond,andprovidedNationalisnotindefault,theBond BankwillsecurethewrittenapprovalofNationalpriortosecuringasuretybondtosaisfythereserve requirement.Notwithstandingtheforegoing,nowrittenapprovalofNationalwillberequiredif(i)the BondBankhasprovidedNational(atitslastknownaddress)withawrittenrequesttoapprovethe useofasuretyandNationalhasnotrespondedwithinfifteen(15)businessdaysfollowingsuch request,and (ii)theproposedsuretyproviderisratedinthe"A"categorybyoneoftheRating AgenciescurrentlyratingtheSuretyProvideratthetimeofdeliverofsuchsuretypolicy.Inanyevent wherethedebtservicereservefundcontainsasuretybondfromanotherentityandaNationalSurety Bond,thedocumentsshouldprovideforapro-ratadrawoneachofthesuretybondsand reimbursementtotherespectiveSuretyBondprovidersonapro-ratabasis. x P RI G •••• O~.\,·;1IT~.tE~JT STP.."-GTH D)Intheeventthatasuretybondhasbeendrawnonanyavailablemonies,asdefinedintheIndenture orAuthorizingResolution,mustbeusedfirsttoreimburseNational,inordertoreinstatetheSurety Bondtoitsrequiredamount,andsecondtoreplenishthecashinthedebtservicereservefund. E)IftheIndentureorAuthorizingResolutionprovidefortheissuanceofadditionalbondsthatdonot shareacommonreservefundwiththecurrentissue,Nationalwillissueasuretybondthatis,byits terms,availableonlyasareserveforthecurrentissue.Insuchcases,Nationalwouldrequirea covenantthatanyrevenuesavailablefordebtservicemustbedistributedbetweenthecurrentissue andanyadditionalbondsonaproratabasiswithoutregardtotheexistenceofafundeddebtservice reserveorasuretybond. F)ThebonddocumentsmustrequiretheTrusteetodeliveraDemandForPayment(seeattachedform) atleastthreedayspriortothedateonwhichfundsarerequired. G)Withrespecttoanysecurityinterestincollateralgrantedtothebondholders,Nationalmustbe grantedthatsameinterestsubjectonlytothatofthebondholdersinterest.Thiswouldapplyto existingsecurity,ifany,aswellasanysecurityinteresttobegrantedinthefuture. H)Nationalmustreceiveanopinionfromcounseltotheissuer/obligoraddressedtoNationalthatthe FinancialGuarantyAgreementisalegal,validandbindingobligationoftheissuer/obligor,hasbeen dulyauthorizedandexecutedandisenforceableagainsttheissuer/obligorinaccordancewithits terms. I)ProvisionsmustbemadeforNationaltobepaidallamountsowedtoitunderthetermsofthe FinancialGuarantyAgreementoranyotherdocumentsbeforethebonddocumentsmaybe terminated. J)Ingeneralterms,the"flowoffunds"intheIndentureorAuthorizingResolutionshouldbestructured asfollows: 1)Allgrossrevenuesshouldbeappliedinthefollowingorderwiththepriorityindicated: i)Expensesofoperationandmaintenance; ii)Debtserviceonthebonds; iii)ReimbursementofamountsadvancedbyNational; Iv)Reimbursementofcashamounts,ifany,drawnfromthereservefund; v)PaymenttoNationalofinterestonamountsadvanced; vi)ReplenishmentofRenewalandReplacementFund; vii)Allotherlawfuluses,includingthedebtservicepaymentonanysubordinatebonds. K)Itwillbetheresponsibilityofthetrustee/payingagenttomaintainadequaterecordsastotheamount availabletobedrawnatanygiventimeunderthesurety bond/LOCo L)Theremaybenooptionalredemptionofbondsordistributionoffundstotheissuerand/orthe underlyingobligorunlessallamountsowedtoNationalunderthetermsoftheFinancialGuaranty Agreementoranyotherdocumentshavebeenpaidinfull. *Preliminary,subject to change. RBC Capital Markets BofA Merrill Lynch Goldman,Sachs &Co. Due:As shown on inside cover $155,065,000* ALASKA MUNICIPAL BONDBANK General Obligation and Refunding Bonds,2015 Series Three New Issue Book-Entry Only Dated:Date of Delivery The Alaska Municipal Bond Bank (the "Bond Bank")is issuing $155,065,000*principal amount of General Obligation and Refunding Bonds,2015 Series Three (the "2015 Series Three Bonds").The2015 Series Three Bonds initially will be issued asfully registered bonds,in book-entry form only,registered in the name ofCede &Co.,as nominee ofThe Depository Trust Company ("DTC"),which will serve as depository for the 2015 Series Three Bonds. Individual purchases of the 2015 Series Three Bonds will be made in principal amounts of $5,000or integral multiples thereof within a single maturity.Purchasers of the 2015 Series Three Bonds will not receive certificates representing their beneficial ownership interests in the 2015 Series Three Bonds.Interest on the 2015 Series Three Bonds will accrue from the date of delivery of the 2015 Series Three Bonds,orfrom the most recent interest payment date to which interest has been paid,and is payable on each AprilI and October I,commencing AprilI,2016. The Bank ofNewYorkMellon Trust Company,N.A.,ofSan Francisco,California,as the Trustee and Paying Agent for the 2015 Series Three Bonds,will make principal and interest payments toDTC.Disbursement of such payments toDTC Participants is the responsibility ofDTC.Disbursement of such payments to the Beneficial Owners is the responsibility of the DTC Participants.See"DESCRIPTIONOFTHE2015SERIESTHREEBONDS"and "APPENDIXG-DTCAND BOOK-ENTRY SYSTEM." PRELIMINARY OFFICIAL STATEMENT DATED AUGUST 19,2015 Fitch Rating:AA+ Standard &Poor's Rating:AA+(negative outlook) (See "Ratings"herein.) Inthe opinion of Bond Counsel,basedonan analysis of existing statutes,regulations,rulings andcourt decisions,and assuming,amongotherthings,compliance bytheBond Bank andthe Governmental Units with covenants relating to certain requirements in the Internal Revenue Code of 1986,asamended(the "Code"), interest onthe2015SeriesThree Bonds is excludable from gross income of ownersthereof for federal income tax purposes.Interest onthe 2015 SeriesThreeBonds is nottreatedasa tax preference item for purposes ofeither the individual orcorporate alternative minimum tax.However,interest onthe2015SeriesThree Bonds is taken into account in determining adjusted current earnings for purposes of computing thefederal alternative minimum tax imposed on certain corporations.See "TAX MATTERS"herein. The2015 Series Three Bonds are offered when,as and if issued,subject to the approving legal opinion of Wohlforth,Brecht &Cartledge of Anchorage,Alaska,Bond Counsel.Certain legal matters will be passed upon for the Governmental Unitsby their respective bond counsel and forthe Underwriters by their counsel,Foster Pepper PLLC of Seattle,Washington.Itis expected that the 2015 Series Three Bonds indefinitive form will be issued and available by Fast Automated Securities Transfer for delivery through the facilities of DTCinNewYork,NewYork, on or about September 16,2015. The2015 Series Three Bonds are subject to redemption prior to their stated maturity dates.See"DESCRIPTION OFTHE2015SERIESTHREEBONDS-Optional Redemption,-Mandatory Redemption." The2015 Series Three Bonds are general obligations of the Bond Bank,and the full faith and credit of the Bond Bank are pledged for the punctual payment ofthe principal of and interest on the 2015 Series Three Bonds.The2015 Series Three Bonds are equally and ratably secured by the pledge and assignment ofall Municipal Bonds acquired by the Bond Bank under the Bond Bank's 2005 General Bond Resolution ona parity with other Bonds of the Bond Bank heretofore or hereafter issued under the 2005 General Bond Resolution.The2015 Series Three Bonds are the thirty-third series of Bonds issued under the 2005 General Obligation Bond Resolution. The 2015 Series Three Bonds do not constitute a debt or other liability of the State of Alaska,and the 2015 Series Three Bonds do not directly,indirectly or contingently obligate the State of Alaska to levy any fonn of taxation or make any appropriation for the payment of the 2015 Series Three Bonds. Neither the faith and credit nor the taxing power of the State of Alaska is pledged for the payment of the 2015 Series Three Bonds.The Bond Bank has no taxing power.See "SECURITY FOR THE 2015 SERIES TllREE BONDS." $155,065,000* Alaska Municipal Bond Bank General Obligation and Refunding Bonds 2015Series Three MATURITIES,AMOUNTS,INTEREST RATES,YIELDSANDCUSIPNUMBERS Due Interest Amount*Rate Yield CUSIP Number'? 01l79R Due Amount* Interest Rate Yield CUSIP Number'? 01l79R $--- $April 1,2016 October I,2016 AprilI,2017 October I,20I7 October 1,2018 April 1,2019 October I,2019 AprilI,2020 October I,2020 AprilI,2021 October I,2021 AprilI,2022 October I,2022 AprilI,2023 October I,2023 April I,2024 October I,2024 AprilI,2025 October 1,2025 AprilI,2026 October I,2026 April 1,2027 October I,2027 April 1,2028 October I,2028 $%%AprilI,2029 October I,2029 April 1,2030 October I,2030 April 1,2031 October I,2031 April 1,2032 October I,2032 AprilI,2033 October 1,2033 AprilI,2034 October I,2034 AprilI,2035 October 1,2035 AprilI,2036 October I,2036 AprilI,2037 October 1,2037 October I,2038 October I,2039 October I,2040 October I,2041 October I,2042 October I,2043 October I,2044 %TermBonddue October 1,20_;yield_% CUSIP Number 01179R %% (1)Copyright©2015CUSIPGlobal Services.CUSIPisa registered trademark ofthe American Bankers Association.CUSIP Global Servicesismanaged onbehalfoftheAmericanBankers Association by Standard &Poor's.Thesenumbersarenotintendedtocreateadatabaseanddonotserveinanyway asasubstitutefortheCUSIPService.CUSIPnumbersare provided forthe convenience of reference only.CUSIPnumbersaresubjecttochange.The BondBanktakesno responsibility fortheaccuracyofsuchCUSIP numbers. *Preliminary,subjecttochange. ThisOfficialStatementisfurnishedbytheBondBanktoprovideinformationregardingthesale of the2015Series ThreeBondsreferredtohereinandmaynotbereproducedorbeused,inwholeorinpart,foranyotherpurpose. Thedelivery of thisOfficialStatementdoesnotimplythatinformationhereiniscorrectas of anytimesubsequentto thedatehereof.Nodealer,salesmanoranyotherpersonhasbeenauthorizedbytheBondBankortheUnderwriters togiveanyinformationortomakeanyrepresentationotherthanascontainedinthisOfficialStatementin connectionwiththeofferingdescribedhereinand,if givenormade,suchotherinformationorrepresentationmust notberelieduponashavingbeenauthorizedbytheforegoing.ThisOfficialStatementdoesnotconstituteanoffer of anysecuritiesotherthanthosedescribedonthecoverpageoranoffertosellorasolicitation of anoffertobuyin any jurisdiction inwhichitisunlawfultomakesuchanoffer,solicitation,orsale. Theinformationandexpressions of opinionsetforthinthisOfficialStatementhavebeenfurnishedbytheBond BankandincludeinformationfromothersourcesthattheBondBankbelievestobereliable.NeitherthisOfficial Statementnoranystatementwhichmayhavebeenmadeorallyistobeconstruedasacontractwiththeowners of any of the2015SeriesThreeBonds. TheUnderwritershaveprovidedthefollowingsentenceforinclusioninthisOfficialStatement.TheUnderwriters havereviewedtheinformationsetforthinthisOfficialStatementinaccordancewith,andaspartof,their responsibilitiestoinvestorsunderthefederalsecuritieslawsasappliedtothefactsandcircumstances of this transaction,buttheUnderwritersdonotguaranteetheaccuracyorcompleteness of suchinformation. UPONISSUANCE,THE 2015 SERIES THREE BONDS WILL NOTBE REGISTERED UNDERTHE SECURITIES ACTOF1933,AS AMENDED,AND WILL NOTBE LISTED ONANY STOCK OR OTHER SECURITIES EXCHANGE.NEITHER THE SECURITIES AND EXCHANGE COMMISSION NORANY OTHER FEDERAL,STATE,OR OTHER GOVERNMENTAL ENTITY OR AGENCY,OTHER THAN THE BONDBANK,WILL HAVEPASSEDONTHE ACCURACY OR DETERMINED THE ADEQUACY OF THIS OFFICIAL STATEMENT OR APPROVED THE 2015 SERIES THREE BONDS FOR SALE. THE 2005 GENERAL BOND RESOLUTION WILL NOTBE QUALIFIED UNDER THE TRUST INDENTURE ACT OF1939,ASAMENDED. The remainder of this page has intentionally been left blank. ALASKA MUNICIPAL BOND BANK 333 Willoughby Avenue,11th Floor P.O.Box110405 Juneau,Alaska 99811-0405 (907)465-2388 http://treasury.dor.alaska.gov/ambba/ Board of Directors Mark Pfeffer -Chair Luke Welles -Vice Chair Gregory Gursey -Member Chris Hladick -Member (Michael Lamb -First Delegate to Chris Hladick) Randall Hoffbeck -Member (Pamela Leary -First Delegate to Randall Hoffbeck) Executive Director Deven J.Mitchell Finance Director RyanS.Williams Bond Counsel Wohlforth,Brecht,&Cartledge,APC Anchorage,Alaska Trustee The Bank of New York Mellon Trust Company,N.A. San Francisco,California Municipal Advisor Western Financial Group,LLC Portland,Oregon ThereferenceabovetotheBond Bank's websiteiscontactinformationprovidedonlyforconvenience.The referenceisnotahyperlinkand,bythisreference,theBondBank'swebsiteisnotincorporatedintothisOfficial Statement. TABLEOF CONTENTS Page Introduction '",,'"I Purpose of the20I5SeriesThreeBonds I Authorization and Purpose I 20I5SeriesThreeBonds I Description of the2015SeriesThreeBonds 3 General Description 3 20I5SeriesThreeBonds 3 Optional Redemption 3 Mandatory Redemption 3 Notice of Redemption 4 Selection of20I5 SeriesThreeBondsfor Redemption 4 Securityforthe20I5SeriesThreeBonds 5 General 5 PledgeEffectedbythe2005GeneralBond Resolution 5 MunicipalBonds 6 2005GeneralBond Resolution ReserveFund 6 StatePayments 8 Pledge of theState 8 TheAlaskaMunicipalBondBank 9 Organization ,'"'"9 Board of Directors 9 Management 10 Future Financing Plans 10 20I5Legislation II Debt Payment Record II Bonds Outstanding ,12 1976GeneralBond Resolution 12 2005GeneralBond Resolution 12 2010Municipal Obligation Bond Resolution 12 RevenueBond Resolutions 12 CoastalEnergyImpact Program 12 DirectLoans ,,'"13 LoansbytheState of Alaska 13 TotalBondBankBondsIssuedand Outstanding as of August I,2015 14 Remaining DebtCapacityAfterthe Issuance of the2015SeriesThreeBonds 14 DebtService Requirements of Outstanding 2005GeneralBond Resolution General Obligation Bonds andthe2015SeriesThreeBonds 15 Summary of the2005GeneralBond Resolution 16 2005GeneralBond Resolution Constitutes Contract..16 Obligation of Bonds 16 Pledge 16 PowertoIssueBondsandMakePledges 16 General 16 Waiver of Laws 17 Loan Agreement Provisions 17 Modification of Loan Agreement Terms 18 Enforcement of Municipal Bonds 18 FundsandAccounts 18 Securityfor Deposits 20 Payment of Bonds '",,20 FeesandCharges 20 Issuance of Additional Obligations 20 Defeasance ,,21 Supplements and Amendments 21 Events of Defaultand Remedies 22 ExcessEarnings 23 Modifications tothe2005GeneralBond Resolution 23 Litigation 24 CertainLegalMatters 24 Verification of Mathematical Computations 24 Underwriting 25 Municipal Advisor 25 Financial Statements ,25 TaxMatters 26 Ratings 28 Continuing Disclosure Undertaking 28 Prior Compliance with ContinuingDisclosure Undertakings UndertheRule 30 Sources of Certain Information 30 Definitions 31 Miscellaneous 32 Preliminary Official Statement 32 Official Statement 33 APPENDIX A APPENDIXB APPENDIXC APPENDIXD APPENDIXE APPENDIXF APPENDIXG -Form of LegalOpinion -StatePaymentsto Governmental Units -Governmental UnitStatistics Regarding Participation intheBondBank -Summaries of Borrowers Representing 10%orMore of Outstanding Principal of BondsIssued Underthe2005GeneralBond Resolution -FinancialStatements of the Alaska MunicipalBondBankfortheYearEndedJune30,2014 -2005General Obligation Bond Resolution -DTCand Book-Entry System OFFICIAL STATEMENT $155,065,000* ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION AND REFUNDING BONDS 2015 SERIES THREE INTRODUCTION ThisOfficialStatementisfurnishedbytheAlaskaMunicipalBondBank(the"BondBank")toprovide informationregardingtheBondBankinconnectionwiththesale of its$155,065,000*principalamount of General ObligationandRefundingBonds,2015SeriesThree(the"2015SeriesThreeBonds").TheBondBankwascreated pursuanttoAlaskaStatutes44.85.005-44.85.420,asamended(the"Act"),fortheprimarypurpose of lending moneytoGovernmentalUnitsintheStateofAlaska(the"State")includingthepurchaseofMunicipalBondsissued bysuchGovernmentalUnits.CertaincapitalizedtennsusedinthisOfficialStatement,andnototherwisedefined herein,aredefinedunder "DEFINITIONS." Allreferenceshereintoagreementsanddocumentsarequalifiedintheirentiretybyreferencetothe definitiveformsthereof,andallreferencestothe2015SeriesThreeBondsarefurtherqualifiedbyreferencetothe informationwithrespecttheretocontainedinthe2005GeneralObligationBondResolution,adoptedbytheBoard of Directors of theBondBankonJuly13,2005,asamended(the"2005GeneralBondResolution"),andSeries ResolutionNo.2015-04(s)adoptedbytheBoard of Directors of theBondBankonAugust 11,2015 (the"Series Resolution,"andtogetherwiththe2005GeneralBondResolution,the"BondResolution").Allbondswhichare issuedunderandpursuanttotheterms of the2005GeneralBondResolutionarehereafterreferredtoasthe "Bonds." Anystatementsorinformationwhichincludematters of opinionorestimatesarerepresentedasopinionsor estimatesingoodfaith,butnoassurancecanbegiventhatthefactswillmaterializeassoopinedorestimated. Appendix Dcontainsfinancial,economicand demographic summaryinformationrelatingtothe GovernmentalUnitswhoseMunicipalBondsrepresent10 percent ormore of theLoan Obligations outstanding underthe2005GeneralBondResolution. PURPOSE OFTHE2015 SERIES THREE BONDS Authorization andPurpose The2015SeriesThreeBondsarebeingissuedpursuanttotheterms of theBondResolution,andarethe thirty-third series of Bondsissuedunderthe2005GeneralBondResolution. 2015 Series Three Bonds The2015SeriesThreeBondproceedsarebeingusedforthefollowingpurposes:(i)tomakefiveloansto GovernmentalUnitsfornewmoneypurposes;(ii)torefundbondspreviouslyissuedbytheBondBank;and(iii) topayaportionofthecosts of issuanceofthe2015SeriesThreeBonds.The2015SeriesThreeBondproceeds usedfornewmoneypurposesinclude:(i)aloantotheUniversity of Alaskatopayaportion of thecosts of constructing anewCombinedHeatandPowerPlantatthe University's Fairbankscampus;(ii)aloantoHaines Boroughformechanicalsystemupgradesand replacement of anairhandlingunitatHainesHighSchool;(iii)two loanstotheKodiakIslandBoroughfor expansion of KodiakHighSchoolandforvariousrenewaland replacement projectsinBoroughschools;and(iv)aloantotheCity of KingCovetopayaportion of thecoststo constructa run-of-the-river hydroelectric facility. •Preliminary,subjecttochange. 1 Refunding.Aportion of the proceeds of the2015SeriesThreeBondsisbeingusedtorefundandredeem certain outstanding bonds of theBondBank(the "Refunded Bonds").Depending onmarket conditions onthe pricingdateandresulting savings available asaresult of therefunding,theBondBankmayrefundallornone of the refunding candidates listedinthetablebelow(the "Refunding Candidates").TheBondBankisnot obligated torefundany ofthe Refunding Candidates. DETAILS OF THE REFUNDING CANDIDATES Series Designation 2005SeriesOne 2008SeriesOne 2008SeriesTwo Principal Amount' $2,860,000 49,605,000 8,720,000 Maturities June 1,2016 andJune 1,2017 April 1,2016 toAprilI,2038 June 1,2019 toJune 1,2038 Redemption Date Currently Callable April 1,2018 June 1,2018 (I)AllRefundingCandidatessubjecttocallarecallableataprice of parontheredemptiondate. Aportion of thenet proceeds fromthesale of the20ISSeriesThreeBonds,together withotherlegally availablefunds,willbe deposited intoa redemption account(the "Redemption Account")tobeheldbyTheBank of NewYorkMellonTrustCompany,N.A.,SanFrancisco,California,(the "Escrow Agent")underan escrow deposit agreement (the "Escrow Deposit Agreement"),datedthedate of delivery of the2015SeriesThreeBonds, between theBondBankandtheEscrowAgent.Fundsdepositedinthe Redemption Account willbeusedto purchasedirect obligations of,or obligations theprincipal of andinterestonwhichare unconditionally guaranteed by,theUnitedStates of America (the "Escrow Obligations").TheEscrow Obligations willmatureatsuchtimes andpayinterestinsuchamountssothat,withotheravailablefundsheldbytheEscrowAgentunderthe Escrow Deposit Agreement,sufficient moneyswillbe available topaytheinterestontheRefundedBonds coming dueon andpriortotheir respective redemption or purchase datesandtopaytheredemptionprice of the Refunded Bonds ontheir redemption dates.See "VERIFICATIONOFMATHEMATICALCOMPUTATIONS." SOURCES AND USES TABLE Thetablebelowpresentsthesourcesanduses of fundsrelatedtothe20ISSeriesThreeBonds. Sources of Funds: ParAmount of2015 SeriesThreeBonds NetOriginalIssuePremium AlaskaMunicipalBondBankContribution TotalSources of Funds Uses of Funds: DeposittoRedemptionAccount LoantotheUniversity of Alaska LoantoHainesBorough LoanstoKodiakIslandBorough LoantoCity of KingCove DeposittotheBondBankReserveFund Costs ofIssuance' Underwriters'Discount TotalUses of Funds (I)IncludesGovernmentalUnits'costs of issuance. 2 $ $ $ $ DESCRIPTION OFTHE2015SERIES THREE BONDS General Description The20ISSeriesThreeBondsareissuableonlyasfullyregisteredbonds,registeredinthename of Cede & Co.,asnomineeforTheDepositoryTrustCompany,NewYork,NewYork ("DTC"),assecuritiesdepositoryforthe 2015SeriesThreeBonds.Principal of andinterestonthe2015SeriesThreeBondsarepayablebyTheBank of NewYorkMellonTrustCompany,N.A.,of SanFrancisco,California,asTrusteeunderthe2005GeneralBond Resolution,toDTCwhich,intum,isobligatedtodisbursesuchprincipalandinterestpaymentstoits participants (the "DTC Participants")inaccordancewithDTCprocedures.See "Appendix G-DTCand Book-Entry System." 2015 Series Three Bonds The2015SeriesThreeBondsmatureonthedatesandbearinterestattheratessetforthontheinsidecover page of thisOfficialStatement.The2015SeriesThreeBondsareissuablein denominations of $5,000orany integralmultiple thereof withinasinglematurity,aredatedas of thedate of deliveryandbearinterestfromtheirdate payableonApril I,2016,andsemiannuallythereafteroneach October I andApril I totheirdate of maturityor priorredemption,whichever mayoccurfirst. Optional Redemption The20ISSeries Three Bonds maturing onorafter ,are subject to redemption in whole or inpartatthe option of theBondBankonanydateonorafter ,ataprice of 100%of the principal amount thereof tobe redeemed plus accrued interest tothedatefixedfor redemption.The Governmental Units mayprepay their loansonterms identical totheoptional redemption provisions associated withthe2015Series ThreeBonds. Mandatory Redemption The2015SeriesThreeBonds maturing onApril I,20_,are subject to mandatory sinking fund redemption onApril I of theyearsandintheprincipalamountssetforthinthe following table.Anysuch redemption shallbeatapriceequalto100 percent of the principal amount tobe redeemed plus accrued and unpaid interest thereon tothedatefixedfor redemption,but without premium. *Maturity Date AprilI,20_ AprilI,20_* Principal Amount $ The2015Series Three Bonds maturing on October I,20_,are subject to mandatory sinking fund redemption onAprilI of theyearsandinthe principal amounts setforthinthe following table.Anysuch redemption shallbeatapriceequalto100 percent of the principal amount tobe redeemed plus accrued and unpaid interest thereon tothedatefixedfor redemption,but without premium. *Maturity Date October 1,20_ October I,20_* 3 Principal Amount $ Notice of Redemption Atleast30days,butnotmorethan60days,priortothedateuponwhichany2015SeriesThreeBonds aretoberedeemed,theTrusteewillmailanotice of redemptiontotheregisteredowner of any2015SeriesThree Bondalloraportion of whichistoberedeemed,atthe owner's lastaddressappearingontheregistrationbooks of theBondBankkeptbytheTrustee.Whenallofthe2015SeriesThreeBondsareheldundertheDTCbook- entrysystem,suchnoticewillbesenttoDTC,andanynoticetothebeneficialowners of the2015SeriesThree BondswillbetheresponsibilityofDTCParticipants.NeithertheBondBanknortheTrusteewillprovide redemptionnoticestothebeneficialowners. Selection of 2015SeriesThreeBondsfor Redemption Iffewer thanall of the 2015 SeriesThreeBondsaretoberedeemedpriortomaturity,theBondBankmay selectthematurityormaturitiestoberedeemedattheoption of theBondBank.If,atthetimenotice of redemptionisgiventhe2015SeriesThreeBondsareinbook-entryform,thenDTCwillselectthe2015Series ThreeBondsforredemptionwithinamaturityinaccordancewiththeLetter of Representations.The2005 GeneralBondResolutionprovidesthat ifless thanall of theBonds of anyone maturity of aSeriesarecalledfor redemptionandtheBondsarenotinbook-entryform,theBondstoberedeemedaretobeselectedbylotbythe TrusteeorinanymannerastheTrustee,initssolediscretion,maydeemappropriateandfair.See "Appendix G- DTCandBook-EntrySystem." Theremainder of thispagehasintentionallybeenleftblank. 4 SECURITY FORTHE2015SERIES THREE BONDS General The2015SeriesThreeBondsconstitutegeneralobligations of theBondBank,andthefullfaithand credit of theBondBankarepledgedtothepayment of theprincipal of andinterestonthe2015SeriesThree Bonds.The2015SeriesThreeBondsdonotconstituteanindebtednessorotherliability of theState of Alaska,andthe2015SeriesThreeBondsdonotdirectly,indirectlyorcontingentlyobligatetheStateof Alaskatolevyanyform of taxationormakeanyappropriationforthepaymentofthe2015SeriesThree Bonds.Neitherthefaithandcreditnorthetaxingpower of theState of Alaskaispledgedforthepayment of the 2015SeriesThreeBonds.TheBondBankhasnotaxingpower. As of AugustI,2015,theBondBankhasoutstanding$2,520,000 of generalobligationbondsissued underits1976GeneralBondResolution,$924,725,000 of Bondsissuedunderits2005GeneralBondResolution and$4,155,000 of generalobligationbondsissuedunderits2010MunicipalObligationBondResolution. Asadditionalsecurityforpayment of principal of andinterestonthe2015SeriesThreeBondsandother Bondsissuedunderthe2005GeneralBondResolution,theBondBankhasestablishedacommonReserveFund. See "SECURITY FORTHE2015SERIESTHREEBONDS-2005GeneralBondResolutionReserveFund." TheActprovidesthatinordertoensurethemaintenance of theReserveFundRequirement,theChair of theBond Bankisannuallyrequired(beforeeachJanuary30)tomakeanddelivertotheGovernorandtotheState Legislatureacertificatestatingtheamount,if any,requiredtorestoretheReserveFundtotheamount of the ReserveFundRequirement.MoneyreceivedbytheBondBankfromtheStatepursuanttosuchcertificationwill, totheextentsuchcertificationwasoccasionedbythefactthattheamountintheReserveFundwaslessthanthe ReserveFundRequirement,bedepositedintheReserveFund.TheStateLegislatureislegallyauthorized,butnot legallyobligated,toappropriatesuchsumsduringthethencurrentStatefiscalyear.ThisprovisionoftheAct doesnotcreateadebtobligationon behalf of theStateoralegallyenforceableobligation of theState. Beginningin2009,andcontinuingthroughthecurrentfiscalyear2016,theBondBankhasbeen obligatedbythe2005GeneralBondResolutiontoseekandhasobtainedastandingappropriationwithinthe State's annualoperatingbudgettoreplenishtheReserveFund,ifnecessary.The2005GeneralBondResolution requirestheBondBanktoseekthisstandingappropriationonanannualbasis.NosuchreplenishmentfromState appropriationhasbeennecessary.If theBondBankmustdrawontheReserveFundbecause of adefaultbya GovernmentalUnit,thestandingappropriationprovidesthatanamountequaltotheamountdrawnfromthe ReserveFundisappropriatedfromthe State's GeneralFundtotheReserveFund.Thereisnoguaranteethatthe BondBankwillbeabletosecurefuturestandingappropriationswithinthe State's operatingbudgetfor replenishment of theReserveFund. PledgeEffectedbythe2005GeneralBondResolution Pursuanttothe2005GeneralBondResolution,allMunicipalBonds,allMunicipalBondsPayments,the investments thereof andtheproceeds of suchinvestments,andallfundsandaccountsestablishedbythe2005 GeneralBondResolution,arepledgedandassignedtotheTrustee,equallyandratably,tosecurethepayment of theprincipalof,redemptionpremium,if any,andinterestonallBonds,subjectonlytotheprovisions of the2005 GeneralBondResolutionpermittingtheapplication thereof forthepurposesandonthetermsandconditions specifiedinthe2005GeneralBondResolution. 5 TheActandthe2005GeneralBondResolutionprovideamongotherthingsthat(i)anypledgemadein respectoftheBondswillbevalidandbindingfromthetimethepledgeismade,(ii)theMunicipalBonds,the MunicipalBondsPaymentsandallothermoneyandsecuritiessopledgedand thereafter receivedbytheBond Bank immediately willbesubjecttothelien of suchpledgewithoutanyfurtheract,and(iii)thelien of anysuch pledgewillbevalidandbindingagainstallpartieshavinganyclaims of anykindintort,contract orotherwise againsttheBondBank irrespective of whetherthepartieshavenotice. Municipal Bonds Undertheprovisions of theActandthe2005GeneralBondResolution,theBondBankcan purchase MunicipalBondsfromanyGovernmentalUnit.The2005GeneralBondResolutiondefinesMunicipalBondsas "generalobligationbonds,revenuebonds,notesorotherevidences of debtissuedbyany Governmental Unitas nowor hereafter definedintheActwhichhaveheretoforebeenorwill hereafter beacquiredbytheBondBankas evidence of aLoantothe Governmental UnitpursuanttotheAct." Foreachissue of MunicipalBondsthattheBondBankpurchases,theBondBankwillobtainabond counsel's opinionstatingthat(a)suchMunicipalBondsarevaliddebtobligations of such Governmental Unitas requiredbytheActand(b)aLoan Agreement hasbeendulyauthorizedandexecutedbetweentheBondBankand theGovernmentalUnitthatconstitutesavalidandbindingobligation of the Governmental Unit. EachLoan Agreement obligatesa Governmental Unitto(a)makeinterest payments onitsMunicipal BondsufficientinamountandatsuchtimestoprovidetheBondBankfundstomeetinterestpaymentsonits LoanObligationsastheybecomedue;and(b)makeprincipalpaymentsonitsMunicipalBond sufficient in amountandatsuchtimestoprovidetheBondBankfundstomeetprincipalpaymentsonitsLoan Obligations as theybecomedue.Pursuant totheLoan Agreement,theGovernmentalUnitmayberequiredtopayfeesand chargestotheBondBanktomeetthe Governmental Unit's allocableportion of certainexpenses.EachLoan Agreement alsocontains restrictions onthesaleorredemption of MunicipalBonds. 2005 General Bond Resolution Reserve Fund The2005GeneralBondResolution established theReserveFundtobeheldbytheTrusteeand maintained atanamountequaltotheReserveFundRequirement.TheReserveFund Requirement isequaltothe least of thefollowing:(i)10%of theinitialprincipalamount of eachSeries of BondsthenOutstanding;(ii)Maximum AnnualDebtServicewithrespecttoallBondsOutstanding;(iii)125%of AverageAnnualDebtServiceonallBonds Outstanding;or(iv)suchloweramountasmayberequiredbylaw.See"DEFINITIONS-RequiredDebtService Reserve."TheReserveFundhasbeenfundedwithBondproceedsandcashdepositsfromtheBondBank.As of the datehereof,theReserveFunddoesnotcontainanysuretypoliciesorotherforms of liquidityfacility.TheReserve FundRequirementmay,however,besatisfiedentirely,orinpart,byaletterofcredit,line of credit,creditfacility, suretybond,bondinsurance,oranyotherinstrumentorarrangementobtainedinconnectionwiththeissuance of a SeriesofBonds.Theadditionalreserverequirementresultingfromtheissuanceofthe2015ThreeBondswillbe satisfiedwithasuretyprovidedbyNationalPublicFinanceGuaranteeCorporation("National").See "Debt Service ReserveFundSuretyBond". AsofJune30,2015,thevaluationofassetsintheReserveFundwasapproximately$53.6million (unaudited),anamountsufficienttosatisfytheReserveFundRequirement.Asofthatdate,approximately$40.9 millionrepresenting69.7%oftheassetintheReserveFundwerefundedfromcashdepositsbytheBondBankfrom availablefunds,andthebalanceof$17.8millionrepresenting30.3%fundedfromreserveobligations of theBond Bank.Theadditionalreserverequirementresultingfromissuance of the2015ThreeBondsisestimatedat approximately$5.3million,whichwillbesatisfiedwithasuretyfromNational. The2005GeneralBondResolutionrequirestheBondBanktoannuallysubmittotheStateabudget requestforan appropriation toreplenishtheReserveFundtotheReserveFund Requirement intheeventthat 6 thereisadeficiencyasaresultofadefaultbyaborrower.Since2009,andcontinuingthroughfiscalyear2016, theStatehasincludedinitsoperatingbudgetastandingappropriationtoreplenishtheReserveFund,ifnecessary. WhiletheBondBankhasbeenobligatedtoseekandhasobtainedsuchastanding appropriation withinthe State's annualoperatingbudget,theStateisnotobligated,legallyorotherwise,toincludethe appropriation initsannual operatingbudget.Thiscreditfeatureisinadditiontothemoralobligationfeaturediscussedbelow. OnorbeforeDecember31 of eachyear,andsubjecttotherequirements of the2005GeneralBond Resolution,theTrusteewilltransfer from theReserveFundanyamountsremainingintheReserveFundderived fromincomeorinterestearnedandprofitsrealizedbytheReserveFundduetoinvestments thereof tothe Operating Fund,butonlytotheextentthatthereremainsaftersuchtransferanamountintheReserveFundequal totheRequiredDebtServiceReserve.See "SUMMARY OFTHE2005GENERALBONDRESOLUTION- FundsandAccounts-ReserveFund." DebtServiceReserveFundSuretyBond.Applicationhasbeenmadeto"National"foracommitmentto issueasuretybond(the"DebtServiceReserveFundSuretyBond").TheDebtServiceReserveFundSurety BondprovidesthatuponnoticefromtheTrusteetoNationaltotheeffectthatinsufficientamountsareondeposit intheDebtServiceFundtopaytheprincipal of (atmaturityorpursuanttomandatoryredemptionrequirements) andinterestonthe2015SeriesThreeBonds,NationalwillpromptlydepositwiththeTrusteeanamountsufficient topaytheprincipalofandinterestonthe2015SeriesThreeBondsortheavailableamount of theDebtService ReserveFundSuretyBond,whicheverisless.Uponthelaterof:(i)three(3)daysafterreceiptbyNational of a DemandforPaymentintheformattachedtotheDebtServiceReserveFundSuretyBond,dulyexecutedbythe PayingAgent;or(ii)thepaymentdateofthe20ISSeriesThreeBondsasspecifiedintheDemandforPayment presentedbytheTrusteetoNational,Nationalwillmakeadeposit of fundsinanaccountwithU.S.BankTrust NationalAssociation,inNewYork,NewYork,oritssuccessor,sufficientforthe payment totheTrustee,of amountswhicharethenduetotheTrustee(asspecifiedintheDemandfor Payment)subjecttotheSuretyBond Coverage. Theavailableamount of theDebtServiceReserveFundSuretyBondistheinitialfaceamountofthe DebtServiceReserveFundSuretyBondlesstheamount of anypreviousdepositsbyNationalwiththeTrustee whichhavenotbeenreimbursedbytheBondBank.TheBondBankandNationalhaveenteredintoaFinancial GuarantyAgreementdatedAugust5,2015(the"Agreement").Pursuanttothe Agreement,theBondBankis requiredtoreimburseNational,withinterest,withinoneyear of anydeposit,theamount of suchdepositmadeby NationalwiththeTrusteeundertheDebtServiceReserveFundSuretyBond. Nooptionalredemption of 2015SeriesThreeBondsmaybemadeuntiltheInsurer'sDebtService ReserveFundSuretyBondisreinstated.TheDebtServiceReserveFundSuretyBondisheldbytheTrusteein theDebtServiceReserveFundandisprovidedasanalternativetotheBondBankdepositingfundsequaltothe DebtServiceReserveRequirementforoutstanding2015SeriesThreeBonds. MoralObligation.TheBondBankisrequiredtodeliverastatementtotheGovernorandtheState Legislatureannually,beforeJanuary30,statingtheamount,if any,necessarytorestoretheReserveFundtothe RequiredDebtServiceReserveresultingfromadrawontheReserveFundatanytimeduringtheprioryear.The StateLegislaturemay,butisundernolegalobligationto,appropriatemoneysufficienttorestoretheReserve FundtotheRequiredDebtServiceReserve.TheBondBankhasneverreportedadeficiencyinany of thereserve fundsheldbytheBondBank. CustodianAccount.MoneynotheldbytheTrusteeintheReserveFundorinreservesforbondsissued underotherbondresolutionsismaintainedbytheBondBankinanaccounthereinreferredtoastheCustodian Account(the "Custodian Account").TheCustodianAccountcontainsdirectandindirectStateappropriations, prioryearretainedearningsnotsubjecttothestatutoryannualearningstransfer,andcurrentyearinvestment earnings.As of June30,2014,theCustodianAccountcashandcashequivalentsandinvestmentsatfairvalue balance(audited)was$17,773,506.As of June30,2015theCustodianAccountmarketvaluebalance(unaudited) 7 was$14,586,998million.ThechangeinvaluewasprimarilyduetotransferstotheReserveFundandthefunding ofa directcommunityloan. TheActrequiresthatearningsonfundsdirectlyappropriatedbytheStatetotheBondBankbetransferred totheStateinthefollowingfiscalyear.However,startinginfiscalyear2009,andcontinuingthroughthecurrent fiscalyear2016,allfiscalyearearningsduetothe State's generalfundbystatutehavebeenappropriatedtothe Bond Bank's CustodianAccount.TheStateLegislaturemay,butisundernolegalobligationto,appropriate statutoryearningsbacktotheBondBank.TheentireCustodianAccountbalanceisavailableforappropriationby theStateLegislature,withamajorityvoteandthe Governor's concurrenceora three-quarter majorityvoteto overcomea Governor's veto of theappropriation,duringanyLegislativesession.TheLegislaturehasnot appropriatedfundsout of theCustodianAccountfornon-BondBankrelatedpurposesinthecurrent,oranyprior, fiscalyear. State Payments TheActprovidesthatanydepartmentoragency of theState,afternoticefromtheBondBankthata GovernmentalUnitisindefaultonthepayment of theprincipal of orinterestonitsMunicipalBondsthenheldor ownedbytheBondBank,willwithholdthepayment of moneyheldbyitandpayabletosuchGovernmentalUnit andpayoversuchmoneytotheBondBankforthepurpose of payingprincipal of andinterestonthebonds of the BondBank.StatepaymentstoGovernmentalUnitsincludepaymentsthroughtheSchoolDebtReimbursement ProgramandEducationSupportFundingthroughtheDepartment of EducationandEarlyDevelopment;and communityjailfundingthroughtheDepartment of Corrections.AtableappearsinAppendixBthatpresentsthe amount of StatepaymentstocommunitiesthathaveborrowedfromtheBondBankaswellasthefiscalyear20I6 annualloanpaymentsandassociatedestimatedcoverageprovidedbythoseStatepayments.Capitalspending, whichisthesource of matchinggrantfundingtomunicipalitieshasbeenreducedinfiscalyear2015andfurther reducedinthefiscalyear2016budget.Thisdiminishedfundingisexpectedtoresultinagradual diminishment of thebalancesinthematchinggrantcolumn of AppendixB.Besidestheconstitutionallyrequirededucation supportfundingthereisnoguaranteethatStatepaymentswillcontinue,andall of thepaymentscouldbereduced fromcurrentlevels. Thepaymentandamount of suchStatepaymentsisuncertain,andLegislativeauthorizationforsuch paymentsissubjecttoappropriationandamendmentorrepeal.See"APPENDIXB-STATEPAYMENTSTO GOVERNMENTAL UNITS."TheBondBankhasneverimplementedtheStatepaymentinterceptremedy. Pledge of the State PursuanttotheAct,theStatehaspledgedandagreedwiththeholders of theBondsthatitwillnotlimitor restricttherightsvestedintheBondBankbytheActto,amongotherthings,purchase,holdanddispose of MunicipalBondsandfulfilltheterms of anagreement(includingthe2005GeneralBondResolution)madebythe BondBankwithsuchholders,orinanywayimpairtherightsorremedies of suchholdersuntiltheBonds, includinginterestontheBondsandinterestonunpaidinstallments of interestandallcostsandexpensesin connectionwithanactionorproceedingbyoron behalf of suchholders,arefullymet,paidanddischarged. Theremainder of thispagehasintentionallybeenleftblank. 8 THE ALASKA MUNICIPAL BONDBANK Organization Thepowers of theBondBankarevestedintheDirectors.The membership of theBondBankconsists of fiveDirectors:the Commissioners of the Department of Revenueandthe Department of Commerce,Community and Economic Development of theStateandthreeDirectorsappointedbytheGovernor.Thethreeappointeesserve four-yearstaggeredtermsandmustbequalifiedvotingresidents of theState.The Commissioners of the Department of Revenue andthe Department of Commerce,Community and Economic Development may appoint delegates totheBond Bank Board of Directors toserveintheirabsence. Perstatute,theDirectorselectone of their membersaschairandone oftheir membersas vice-chair andalso electasecretaryandtreasurerwhoneednotbeDirectorsinthefirstmeeting of eachfiscalyear.Actionmaybe takenandmotionsandresolutionsadoptedbytheBondBankatanymeetingbytheaffirmativevote of atleastthree Directors.TheDirectorsappointanExecutive Director tomanagethebusiness of theBondBank. Board of Directors TheBond Bank's Board of Directors includesmemberslistedbelow. MarkPfeffer -Chair.Term expires July15,2017.Mr.PfefferwasoriginallyappointedtotheBoardon October10,200I.Mr.Pfefferisaregisteredarchitectwhoownsanarchitecturalpracticein Anchorage,Alaska.He isactiveinthedevelopment,designand management of commercialrealestateprojects,many of whichinclude public/private partnerships.HeisPresident of Pfeffer Development,LLC.Mr.Pfefferreceiveda Bachelor of Architecture DegreefromtheUniversity of Nebraska in1980. Gregory Gursey -ViceChair.Term expires July15,2018.Mr.Gurseywas appointed tothe Board on June22,2009.Mr.Gursey became President of Benefit Brokers,Inc.in2001,after working asVice President of Investments for Wedbush Morgan Securities forIIyears.Mr.Gurseyalsoservesasa FINRA industry arbitrator inbothcivilandindustry arbitration cases.After graduating fromthe University of Alaska Anchorage witha degreein finance,Mr.Gursey became involved withthe University of Alaska Foundation.Heservedasthefirst Chairman of theUAA College of Fellows,servedasa Trustee totheUA Foundation,andwasa member of the Investment Committee totheUA Foundation.Mr.GurseyhasservedonboththeState of Alaska Dental Examiner's Board andtheU.S.Treasury Department's Taxpayer Advocacy Panel.Heservedonthe Investment Commission forthe Municipality of Anchorage and several otherlocalboards. LukeWelles -Member.Term continues pending reappointment.Mr.Welleswas originally appointed to the Board onMay21,2008.Mr.WellesbecameVice President of Finance of the Arctic Slope Native Association,LtdinMarch2011.Priortohis current job he served as Chief Financial Officer of LifeMed Alaska, LLC,which provides medivac services inAlaska.Previously,Mr.Welleswasthe Chief Financial Officer forthe Yukon Kuskokwim Healthcare Corporation which administers healthcare in52rural communities including a hospitallocatedin Bethel,Alaska.Hehas management experience in healthcare,civil construction and commercial realestate.Overthepast15yearshehasservedonseveral economic development commissions in theState,asacitycouncil member inHomer,Alaska andon multiple boards.Mr.Welles received a Bachelor of Arts Degree inForeign Service and International Business from Baylor University in1989. Michael Lamb -Member.Mr.Lamb isthefirst delegate forChrisHladick,Commissioner of the Department of Commerce,Community and Economic Development.Mr.Lambisa certified public accountant withover25 years'experience asa chief financial officer andhas worked inprivate,public,and governmental financial management positions.Hehasservedasthe chief financial officer forthe Alaska Industrial Development and Export Authority andthe Alaska Energy Authority.Priortothat,for almost 15 years Mr.Lamb wasthe chief financial officer forthe Fairbanks North Star Borough,Alaska.For almost 9years,prior tothe 9 Borough,hewasthe chief financial officer fortheCity of St.Paul,Alaska.Mr.Lambisa graduate fromthe University of Washington,School of Business witha Bachelor of Artsin Business Administration,withan emphasis in accounting. PamelaLeary -Member.Ms.Learyisthefirst delegate forRandall Hoffbeck,Commissioner of the Department of Revenue.Sheisthe Director of Treasury Division inthe Department of Revenue andactsasthe State Treasurer.She previously servedinthe Department asState Comptroller from2007 through 2013.Ms. Leary began her career asan auditor withPrice Waterhouse and became a partner inthefirm PricewaterhouseCoopers.After movingtoAlaska,Ms.Learyownedand operated a business before reentering the accounting profession withthe Alaska Permanent Fund Corporation.Sheholdsa bachelor's degreein economics fromthe Wharton School,University of Pennsylvania,andisa certified public accountant intheState of Alaska. Management DevenJ.Mitchell,whoalsoservesasStateDebt Manager andInvestment Officer inthe Department of Revenue-Division of Treasury,wasappointedExecutiveDirector of theBondBankin1999.Mr.Mitchellhas workedfortheState Department of Revenuesince1992.Hepreviouslyheldseveralpositionsin Alaska financial institutions.Mr.Mitchellholdsa Bachelor of ScienceDegreeinBusiness Administration fromNorthernArizona University. RyanS.Williams,whoalsoservesasOperationsResearchAnalystinthe Department of Revenue- Division of Treasury,wasappointed Finance Director oftheBondBankin2014.Mr.Williamshasworkedforthe State Department of Revenuesince2009.Mr.Williamsholdsa Bachelor of ScienceDegreeinBusiness Administration fromtheUniversity of SouthernCalifornia,witha concentration inInternationalBusiness. Ratherthanemploystaff,theBondBankcontractsintheprivatesectorforawiderange of professional services.The Executive Directorcoordinatestheactivities of these professionals,whichincludebondcounsel, financialadvisor,accountants,auditors,fundtrustees,bondtrusteesandinvestmentmanagers. Future Financing Plans TheBondBankanticipatesissuingadditionalbonds pursuant toits2005GeneralBond Resolution orother bondresolutionswithinthenext12monthstopoliticalsubdivisions of theStatewith interceptable stateaid.The principalamount of suchadditionalbondsdependsonthenumberandsize of the applications forBondBank financingfrom Governmental Units. Thetotalamount of BondBankbondsandnotesoutstandingat anyone timemaynotexceed$1.793billion, comprised of $1.5billiontomunicipalities,JointInsurance Associations,PortAuthorities,JointActionAgencies,or theUniversity of Alaska;$87.5millionfortheUniversity of Alaska;and$205millionforregionalhealth organizations.As of August 1,2015,thetotalprincipalamount of theBond Bank's bondsandnotesoutstanding, not including the2015SeriesThreeBonds,was$941,766,862allissuedtomunicipalities. TheBondBankiscurrentlyworkingwithseveralregionalhealth organizations todetermineiftheBond Bankwill participate inthefinancing of certainhealthfacilities.TheBondBankdoesnot anticipate thatloansto suchregionalhealth organizations willbemadewithproceeds of bondsissuedunderthe2005GeneralBond Resolution. SinceFebruary2006,withtheexception of the2010SeriesA-IandA-2Municipal Obligation Bonds,all bondsissuedbytheBondBankhavebeensoldunderthe2005Resolution.TheBondBankhasnoplansatthistime toissueadditionalbondsunderits1976Resolutionorits2010Resolution. 10 2015 Legislation The29thAlaskaLegislaturepassedSenateBill46("SB46"),whichauthorizestheBondBanktomake loanstoJointActionAgencies,makeloanstoRegionalHealthOrganizations,andprovidedtechnicaland conformingamendmenttostatestatute.ThebilladdsJointActionAgenciestothelist of politicalsubdivisions of theStatethatareallowedtoutilizetheBondBankundertheprimary$1.5billionborrowingdebtlimit.Thebillalso added$205million of authorityfortheBondBanktolendtoRegionalHealthOrganizationsininstanceswherethe Commissioner of theStateDepartment of HealthandSocialServicesdeterminesthatthereisan improvement inthe localquality of healthcareandafinancialbenefittotheState of Alaska.TheRegionalHealthOrganizationlending islimitedtonomorethan$205millionintotal,nomorethan49%oranysingleprojectwheretheother51%of the project's fundingisinplace,andnomorethan$102.5millionforanysingleproject.TheGovernorsignedSB46 intolawonMay26,2015.TheBondBankdoesnotanticipateissuingbondstofinanceregionalhealth organizationsusingthe2005GeneralBondResolution. Debt Payment Record TheBondBankhasalwaysmadeprincipalandinterestpaymentsonitsgeneralobligationandrevenue bondswhendue.NodeficiencieshaveariseninanyBondBankdebtservicefundorreservefund,norhasthere beenaneedtoexercisetheprovisionrequiringthatStatepaymentstoGovernmentalUnitsbepaidtotheBond Bank. The remainder of thispagehas intentionally beenleftblank. 11 BONDS OUTSTANDING Undertheprovisions of theAct,theBondBankcanissueadditionalseries of Bondsunderits2005General BondResolutionorissuebondsunderotherresolutions.TheBondBankcurrentlyhasbondsoutstandingunderthe followingresolutions: 1976 General Bond Resolution As of AugustI,2015,theBondBankhasissued $721,985,000 of generalobligationbondsunderthe1976 GeneralBondResolution,$2,520,000 of whichremainsoutstanding. 2005 General Bond Resolution The2015SeriesThreeBondsarethethirty-thirdissue of Bondsunderthe2005GeneralBondResolution. As of AugustI,2015,theBondBankhasissued$1,146,340,000 of generalobligationbondsunderthe2005General BondResolution(notincludingtheprincipalamount of the2015SeriesThreeBonds),$924,725,000 of which remainsoutstanding. 2010MunicipalObligationBondResolution OnNovember 2,2010,theBond Bank's Board of Directorsapprovedthe2010MunicipalObligationBond Resolution("2010Resolution").Bondsissuedpursuanttotheterms of the2010Resolutionaregeneralobligation bonds,equallyandratablysecuredbyapledgeandassignment of allobligationsacquiredbytheBondBankunder the2010Resolution.As of August 1,2015,theBondBankhasissued$4,765,000 of generalobligationbondsunder the2010Resolution,$4,155,000 of whichremainsoutstanding. Revenue Bond Resolutions TheAuthority(withrespecttotheissuance of revenuebondstheBondBankisreferredtoasthe Authority)hasissued revenue bondsunder stand-alone revenuebondresolutions.Theproceeds of theserevenue bondsareappliedtowardthe purchase of revenuebondsissuedbymunicipalborrowers.Thereare presently no outstanding revenuebondsissuedbythe Authority. Coastal Energy Impact Program TheBondBankissuedbondstoprovideloanstolocalgovernmentsthatqualifiedforaidundertheCoastal EnergyImpactProgram("CEIP").CEIPisafederalprogramdesignedtoprovidefinancialassistancetocoastal statesandmunicipalitiesfacingimpactsfromoffshoreoildevelopment.TheUnitedStatesDepartment of Commerce,NationalOceanicand Atmospheric Administration ("NOAA")andtheBondBankenteredintoan agreementwherebytheBondBankwasthedirectlendingagencyfortheCEIPintheState,with$50million availabletomakeloanstolocalgovernmentsortoestablishreservesforloanstolocalgovernments. TheBondBankissuedCEIPbonds,theproceeds of whichwereusedtopurchasebondsissuedbytheKenai PeninsulaBorough,theCity of Seward,theCity of NomeandtheCity of St.Paul.Thetotalamount of CEIPbonds outstandingas of August 1,2015,undertheCoastalEnergyImpactLoanProgramwas$10,366,862,consisting of loanstotheCity ofSt.PaulandtheCity of Nome. TheCEIPloansareadministereddirectlybyNOAAwithoutinvolvement of theBondBank.Bondsissued fortheCEIParenotsecuredbyapledge of anyamountsheldbyorpayabletotheBondBankunderthe2005 GeneralBondResolution,includingtheReserveFund,noraretheysecureddirectlyorindirectlybyanyreserve accountcreatedundertheAct. 12 Direct Loans TheBond Bank has purchased certainbond anticipation notesand defeased certainBond Bank bondswith moneyfromthe Custodian Account while retaining underlying communities'bonds. As of August 1,2015,theBond Bank holds $1,499,340 of City of Galena Utility Revenue Bonds and $163,175 of City of Galena appropriation obligations initsfinancialportfolio.TheloanstotheCity of Galena are the result of Legislative appropriation totheBondBankspecificaI1yforthispurpose. As of August 1,2015 the Bond Bankholds $3,200,000 of Kenai Peninsula Borough Bonds,the proceeds of whichwereused,inpart,to construct theCentral Peninsula Hospital's Specialty Clinic Building.Thatloanwas fundedwiththe Custodian Account andissecuredbyapledge of grosshospital revenues andadebtservice reserve fund.Thisloanwasmade directly asitdidnot qualify fortax exemption and would have required aspecialseries of taxable Bond Bank bonds combined the relatively short 8 yearleveldebtservicestructure. Loans by the State of Alaska TheBondBankhasthestatutoryauthorityto borrow fundsfromtheState of Alaska's generalfundatthe discretion of the Commissioner orthe Department of Revenue.In November 2010and August 2011theBondBank borrowed$6.0millionand$7.0million,respectively,fromtheStatefor authorized uses of theBondBank.TheState of Alaska's fiscal year 2013capital budget converted the2010and2011loanstograntsthrougha$13.2million appropriation tothe Bond BankthatwaseffectiveApril 15,2012.Thisamountreflectedtheoriginalloan amounts plusinterest accrued onthoseloans.TheBondBankdoesnothaveany outstanding loansfromtheStateatthistime. The remainder of thispageisintentionaI1yleft blank. 13 TOTALBONDBANKBONDSISSUEDAND OUTSTANDING ASOF AUGUST 1,2015 Original Amount Amount Issued Outstanding I.Total2005 General Bond Resolution G.O.Bonds'!'$I ,30 I ,405,000 (I)$1,018,605,000 (1) II.Total1976 General Bond Resolution G.O.Bonds 72I ,985,000 2,520,000 III.Total2010 Resolution G.O.Bonds 4,765,000 4,155,000 IV.Coastal Energy Impact Loan Program 35,456,046 10,366,862 REMAINING DEBT CAPACITY AFTERTHE ISSUANCE OFTHE2015SERIES THREE BONDS Debt Limit (Section 44.85.180 of theAct) Less Outstanding Bonds General Obligation Bonds 1976 General Bond Resolution 2010 Resolution 2005 General Bond Resolution Coastal Energy Loan Program Total Outstanding Debt Remaining Debt Capacity $2,520,000 4,155,000 1,0 18,605,000 (I) $1,792,500,000 (2) $I ,025,280,000 (I) 10,366,862 $1,035,646,862 (I) $756853138 (I) (I)Includesthe2015SeriesThreeBonds.Preliminary,subjecttochange. (2)ThelimitappliestoalloutstandingbondsornotesissuedbytheBondBank.Ofthistotal,$87,500,000 maybe issuedforthepurpose of makingloanstotheUniversityofAlaska(includingtheloanofproceedsofthe2015 SeriesThreeBonds),$205,000,000 maybeissuedforthepurposeofmakingloanstoregionalhealth organizations,and$1.5billionmaybeissuedforallotherpurposes of theBondBank.Thislimitdoesnotapplyto the authority oftheBondBank(orasubsidiarycorporationoftheBondBank)toissuebondstoassist governmental employerstoprepayalloraportionoftheirshareoftheunfundedaccruedactuarial liabilities of retirement systems.This authority hasneverbeenutilizedandtherearenoplanstodoso. 14 DEBT SERVICE REQUIREMENTS OF OUTSTANDING 2005 GENERAL BOND RESOLUTION GENERAL OBLIGATION BONDS ANDTHE2015 SERIES THREEBONDS(I) (Fiscal Years Ending June30) Fiscal Year 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 2049 Existing DebtService! 90,472,501 87,892,767 92,199,450 87,040,333 81,848,995 77,670,400 72,667,879 73,092,610 67,976,196 58,172,963 53,556,283 49,553,024 48,807,258 47,942,554 39,615,436 38,633,155 34,537,126 34,041,577 27,778,058 18,596,587 17,465,968 13,111,847 12,839,687 12,123,103 10,303,800 10,304,975 10,309,700 10,311,700 10,315,475 7,730,200 5,429,750 5,428,500 2,155,000 2,152,500 $1,312,077,357 2015Series Three Principal $ 2015Series Three Interest $ Total DebtService* $ *Totalsmaynotfootduetorounding.The2015SeriesThreeBondsarethe thirty-third Series of Bonds issuedunderthe2005GeneralBond Resolution. !Reflects defeasance of Refunding Candidates. 15 SUMMARY OF THE 2005 GENERAL BOND RESOLUTION Thefollowingisasummary of certainprovisions of the2005GeneralBondResolution.Foracomplete statement of theprovisionsorcontents of the2005GeneralBondResolution,seeAppendixF.Wordsandterms usedinthissummaryaredefinedintheabove-mentioneddocumentandwillhavethesamemeaningshereinas containedinthatdocument,exceptasdefinedinthisOfficialStatement. 2005 General Bond Resolution Constitutes Contract The2005GeneralBondResolutionconstitutesacontractbetweentheBondBank,theTrusteeandthe owners of theBonds,andthepledgesmadeinthe2005GeneralBondResolutionandthecovenantsand agreementsthereinsetforthtobeperformedbytheBondBankwillbefortheequaland proportionate benefit, protectionandsecurity of theholders of anyandall of theBonds,all of whichwillbe of equalrankwithout preference,priorityordistinction. Obligation of Bonds TheBondsaregeneralobligations of theBondBank,andthefullfaithandcredit of theBondBankare pledgedforthepayment of theprincipalorredemptionpriceof,interestonandsinkingfundinstallmentsfor,the Bondssolelyfromthesourcesprovidedinthe2005GeneralBondResolutionandanySeriesResolution.The StatewillnotbeliableforpaymentontheBonds,andtheBondswillnotbeadebtorliability,orconstitutea pledgeorloan of thefaithandcredit of theState. Pledge TheMunicipalBondsandtheMunicipalBondsPayments,theinvestments thereof andtheproceeds of suchinvestments,ifany,andallfundsandaccountsestablishedbythe2005GeneralBondResolutiontobeheld bytheTrusteearepledgedandassignedforthepaymentoftheprincipalof,redemptionpriceof,intereston,and sinkingfundinstallmentsfor,theBondsinaccordancewiththetermsandprovisions of the2005GeneralBond Resolution,subjectonlytotheprovisions of the2005GeneralBondResolutionpermittingtheapplication thereof forthepurposesandonthetermsandconditionssetforthinthe2005GeneralBondResolution.TheMunicipal BondsandtheMunicipalBondsPaymentsandallothermoneyandsecuritiespledgedpursuanttothe2005 GeneralBondResolutionimmediatelywillbesubjecttothelien of suchpledgewithoutanyfurtheract,andsuch lienwillbevalidandbindingasagainstallpartieshavingclaims of anykindintort,contractorotherwiseagainst theBondBank,regardless of whethersuchpartieshavenoticethereof. Power to Issue Bonds and Make Pledges TheBondBankcovenantsthatitisdulyauthorizedbylawtoissuetheBondsandtopledgetheMunicipal BondsPayments,theMunicipalBondsandothermoney,securities,fundsandpropertypurportedtobepledged bythe2005GeneralBondResolutionwhichwillbefreeandclearofanypledge,lien,chargeorencumbrance thereonorwithrespecttheretopriorto,or of equalrankwith,thepledgecreatedbythe2005GeneralBond Resolution,exceptfortheliensinfavor of theTrusteeandPayingAgentasprovidedinthe2005GeneralBond Resolution.TheBondBankwillatalltimes,totheextentpermittedbylaw,defend,preserveandprotectthe pledge of theMunicipalBondsPayments,theMunicipalBondsandothermoney,securities,fundsandproperty pledgedunderthe2005GeneralBondResolutionandalltherights of theBondholdersunderthe2005General BondResolutionagainstallclaimsanddemands of allpersonswhomsoever. General TheBondBankwilldoandperformorcausetobedoneandperformedallactsandthingsrequiredtobe doneorperformedbyoron behalf of theBondBankunderlawandthe2005GeneralBondResolutionin accordancewiththetermsthereof. 16 TheBondBankpledgesandagreeswiththeHolders of theBondsthatitwillnotcausetheStatetolimit oraltertherightsvestedbytheActintheBondBanktofulfilltheterms of anyagreementsmadewith Bondholders,orinanywayimpairtherightsandremedies of suchBondholders,untiltheBonds,togetherwith theinterestthereon,withinterestonanyunpaidinstallments of interest,andallcostsandexpensesinconnection withanyactionorproceedingbyoron behalf of suchHolders,arefullymetanddischarged. Waiver of Laws TheBondBankwillnotatanytimeinsistuponorpleadinanymannerwhatsoever,orclaimortakethe benefitoradvantage of anystayorextensionoflawnoworatanytimehereafterinforcewhichmayaffectthe covenantsandagreementscontainedinthe2005GeneralBondResolutionorinanySeriesResolutionorinthe Bonds,andallbenefitoradvantage of anysuchlaworlawsisherebyexpresslywaivedbytheBondBank. Loan Agreement Provisions NoloanwillbemadebytheBondBankfromproceeds of thesale of BondsandnoBondswillbeissued forthepurpose of providingfundswithwhichtomakealoan,unlesstheLoanAgreementunderwhichsuchloan istobemadewillcomplywith,butnotbelimitedto,thefollowing: (a)TheGovernmentalUnitwhichisapartytosuchLoan Agreement mustbea GovernmentalUnitasdefinedbythe2005GeneralBondResolution,andtheLoan Agreement mustbeexecutedinaccordancewithexistinglaws. (b)TheGovernmentalUnit,priortoor simultaneously withtheissuance of Bonds, willissueMunicipalBondswhicharevaliddebtobligations of theGovernmentalUnitas requiredbytheAct. (c)TheMunicipalBondsPaymenttobemadebytheGovernmentalUnitundersuch Loan Agreement willbenotlessthantheinterestandprincipalpaymentstheBondBankis requiredtomakeontheLoanObligationsandwillbescheduledbytheBondBankinsuch mannerandatsuchtimesastoprovidefundssufficienttopayprincipalandinterestonthe LoanObligationsasthesamebecomedue. (d)TheGovernmentalUnitwillbeobligatedtopayFeesandChargestotheBond BankatthetimesandintheamountswhichwillenabletheBondBanktocomplywiththe provisions of the2005GeneralBondResolution. (e)TheGovernmentalUnitwillagreethatintheeventtheMunicipalBonds PaymentisnotpaidbyittotheBondBankonorbeforethetimesspecifiedintheLoan Agreement,anymoneypayabletotheGovernmentalUnitbyanydepartmentoragency of the StatewillbewithheldfromsuchGovernmentalUnitandpaidoverdirectlytotheTrustee actingunderthe2005GeneralBondResolution. (f)TheBondBankwillnotsell,andtheGovernmentalUnitwillnotredeempriorto maturity,any of theMunicipalBondswithrespecttowhichtheLoanismadeinanamount greaterthantheOutstandingBondsissuedwithrespecttosuchLoanwhicharethen redeemable,andanysuchsaleorredemption of suchMunicipalBondwillbeinanamount notlessthantheaggregate of (i)theprincipalamount of theLoanObligationtoberedeemed, (ii)theinteresttoaccrueontheLoanObligationsotoberedeemedtothenextredemption date,(iii)theapplicableredemptionpremium,and(iv)thecostsandexpenses of theBond Bankineffectingtheredemption of theLoanObligation. 17 (g)TheGovernmentalUnitmustgivetheBondBankatleastfifty(50)days'notice of itsintenttoredeemitsMunicipalBonds. Modification of Loan Agreement Terms TheBondBankwillnotconsenttothemodificationof,ormodify,therates of interestof,ortheamount ortimeofpayment of anyinstallment of principal of orintereston,anyMunicipalBondsevidencingaLoan,or theamountortime of payment of anyFeesandChargespayablewithrespecttosuchLoan,orthesecurityforor anytermsorprovisions of suchLoanortheMunicipalBondsevidencingthesame,inamannerwhichadversely affectsordiminishestherights of theBondholders. Enforcement of Municipal Bonds TheBondBankwilldiligentlyenforce,andtakeallreasonablesteps,actionsandproceedingsnecessary fortheenforcementof,allterms,covenantsandconditions of allLoanAgreementsandtheMunicipalBonds, includingthepromptcollection,andthegiving of noticetotheCommissionerofRevenue,Commissioner of Commerce,CommunityandEconomicDevelopmentandthe Commissioner of Administrationandanyother departmentoragency of theStatewhichiscustodian of anymoneypayabletotheGovernmentalUnit of any failureordefault of theGovernmentalUnitinthepayment of itsMunicipalBondsPaymentsandwillpromptly transferanysuchmoney,uponreceiptthereof,totheTrusteeandtheTrusteewilldepositanysuchmoneyinthe PrincipalAccountandInterestAccountinplace of saidunpaidMunicipalBondsPaymentsorintheevent deficienciesinsaidAccountscreatedbysuchdefaultwillhavebeenmadeupbytheReserveFund,intothe ReserveFundtotheextent of suchdeficiencies. Fundsand Accounts The2005GeneralBondResolutionestablishedaDebtServiceFund,consisting of anInterestAccount,a PrincipalAccountandaRedemptionAccount;aReserveFund;aRebateFund,whichconsists of aseparatesub- accountforeachSeries of Bonds;andanOperatingFund.TheDebtServiceFund,theRebateFundandthe ReserveFundareheldbytheTrustee.TheOperatingFundisheldbytheBondBank. DebtServiceFund.TheTrusteewilldepositMunicipalBondsInterestPaymentsandanyothermoney availableforthepayment of interestintheInterestAccountuponreceiptthereof.TheTrusteewill,onorbefore eachinterestpaymentdate,payout of theInterestAccounttheamountsrequiredforthepayment of theinterest becomingdueoneachseries of Bondsonsuchinterestpaymentdate. TheTrusteewilldepositMunicipalBondsPrincipalPaymentsandanyothermoneyavailableforthe payment of principalinthePrincipalAccountuponreceiptthereof.TheTrusteewill,onorbeforeeachprincipal paymentdateorSinkingFundInstallmentdate,payout of thePrincipalAccounttheamountsrequiredforthe payment of theprincipalorSinkingFundInstallmentdueoneachseries of Bondsonsuchdate. TheTrusteeestablishesintheRedemptionAccountaseparatesub-accountforeachSeries of Bonds.Any moneydepositedintotheRedemptionAccountfromanysourceotherthanpursuanttoSection607orSection916 of the2005GeneralBondResolutionwillbeappliedtothepurchaseorredemption of Bonds.Anymoney depositedintotheRedemptionAccountfromtheReserveFundbecause of areductionintheRequiredDebt ServiceReservewillbeappliedtothepurchaseorredemption of ReserveFundObligations. ReserveFund.Monthly,theTrusteewillsetasidefromamountsintheReserveFundderivedfrom investmentearningsandprofitsrealizedbytheReserveFundduetoinvestmentsthereof,anamountwhich,when addedtotheamountstheretoforesetasideforsuchpurposeandnotpaidintotheInterestAccount,willonsuch datebeequaltotheunpaidinterestontheReserveFundObligationsaccruedandtoaccruetothelastday of such month. 18 Onorbeforeeach principal payment dateandSinkingFund Installment payment date of Reserve Fund Obligations,the Trustee will withdraw from amounts intheReserveFundanddepositinthe Principal Account an amount which,whenaddedtothe amount thenon deposit inthePrincipal Account andderivedfrom sources other than Municipal Bonds Payments,willbeequaltothePrincipal Installment of the Reserve Fund Obligations fallingdueonsuchdate. Onor before December 3I of eachyear,after satisfying the deposit requirements setforthabove,the Trustee will withdraw fromthe Reserve Fundany amount remaining therein derivedfrom investment earnings or profits dueto investments thereof,andpay over said amount totheBondBankfor deposit inthe Operating Fund, butonlytothe extent that there remains aftersuch withdrawal anamountintheReserveFundatleastequaltothe Reserve Fund Requirement. TheBond Bank willpayintotheReserveFund(a)moneymade available bytheStateandpaidbythe Stateforthe purpose of the Alaska Municipal BondBank Reserve Fund created bytheActinthe amount provided byaSeries Resolution;(b)allmoneypaidtotheBondBank pursuant totheActforthe purpose of restoring the Reserve Fundtothe amount of the Reserve Fund Requirement;(c)such portion of the proceeds of sale of Bonds,if any,aswillbe provided byanySeries Resolution;(d)Credit Enhancement;and(e)anyother moneywhichmaybemade available totheBond Bank forthe purposes of theReserveFundfromanyother sourceorsources.TheReserveFund Requirement maybe satisfied entirely,orinpart,byaletter of credit,aline of credit,a credit facility,asuretybond,oranyother instrument or arrangement obtained in connection withthe issuance of aSeries of Bonds;provided,however,any credit enhancement satisfying alloranypart of the Reserve Fund Requirement aftertheinitial issuance of Bondsorissuedin substitution of any prior credit enhancement previously issuedwillnot,byitself,causea withdrawal or downward revision of the ratings maintained byany Rating Agencywith respect totheBonds. Inthe event therewillbea deficiency inthe Interest Account orinthePrincipal Account,the Trustee will makeupsuch deficiencies fromthe Reserve Fund. Administration of ReserveFund.Moneyand securities heldintheReserveFundwillnotbe withdrawn therefrom atanytimeinsuch amount as would reduce the amount insuchFundtoan amount lessthanthe Reserve Fund Requirement except forthe payment when due of debt service on Reserve Fund Obligations andto curea deficiency inthe Principal Account orthe Interest Account. RebateFund.Therewillbe deposited intheRebateFundthe amount of theRebate Requirement foreach Series of Bonds,andthe Trustee willpayovertotheUnitedStates Government such amounts as determined by theBondBankandassetforthinthe2005 General Bond Resolution.All amounts heldinthe Rebate Fund, including income earnedfrom investment of the Rebate Fund,shallbeheldbythe Trustee freeandclear of the lien of the2005 General Bond Resolution. Operating Fund.Therewillbe deposited inthe Operating FundallFeesand Charges,tothe extent not otherwise encumbered or pledged,andanyothermoneywhichmaybemade available tothe Bond Bank therefor fromanyothersourceorsources.Moneyatanytimeheldforthecredit of the Operating Fundwillbeusedfor and applied solelytothe following purposes:(a)topaythe Administrative Expenses of the Bond Bank;(b)topay thefeesand expenses of the Trustee andanyPaying Agent;(c)topay financing costs incurred with respect toa Series of Bonds;and(d)topayany expenses incurred in carrying outanyotherpurposethen authorized bythe Act. All amounts inthe Operating Fundwillbefreeandclear of anylienorpledge created bythe2005 General Bond Resolution. 19 Security for Deposits AllmoneyheldbytheTrusteewillbecontinuouslyandfullysecured,forthebenefit of theBondBank andtheBondholdersinsuchmannerasmaythenberequiredorpermittedbyapplicableStateorfederallawsand regulationsregardingthesecurityfor,orgrantingapreferenceinthecaseof,thedeposit of trustfunds.It willnot benecessaryfortheTrusteeoranypayingagenttogivesecurityforthedeposit of anymoneywiththemheldin trustforthepayment of theprincipalorRedemptionPrice of orinterestonanyBonds,orfortheTrusteetogive securityforanymoneywhichwillberepresentedbyobligationspurchasedundertheprovisions of the2005 GeneralBondResolutionasaninvestment of suchmoney. Payment of Bonds TheBondBankwilldulyandpunctually payor causetobepaidtheprincipalorRedemptionPrice,if any,of everyBondandtheinterestthereon,atthedatesandplacesandinthemannerprovidedintheBonds accordingtothetrueintentandmeaningthereof,andwilldulyandpunctuallysatisfyallSinkingFund Installments,if any,becomingpayablewithrespecttoanySeries of Bonds. Fees and Charges TheBondBankmaychargesuchFeesandChargestoeachGovernmentalUnittowhichaLoanismade, andwillrevisesuchFeesandCharges if necessary,sothatsuchFeesandChargesactuallycollectedfromeach suchGovernmentalUnitwillatalltimesproducemoneywhich,togetherwithsuchGovernmental Unit's AllocableProportion of othermoneyavailableundertheprovisions of the2005GeneralBondResolution,and othermoneyavailabletherefor,willbeatleastsufficienttopay,asthesamebecomedue,theGovernmental Unit's AllocableProportion of the Administrative Expenses of theBondBankand of thefeesandexpenses of the TrusteeandanyPayingAgent. Issuance of Additional Obligations TheBondBankmayissueadditionalBondsandrefundingBondspursuanttotheterms of the2005 GeneralBondResolution;however,noadditionalseries of Bondswillbeissuedunless: (a)theaggregateprincipalamount of BondsandNotesOutstandingatthetime of issuanceanddelivery of suchadditionalBondsincludingtheprincipalamount of such additionalBonds,willnotexceedanylimitthereonimposedbyStatelaw; (b)thereisatthetime of theissuance of suchadditionalBondsnodeficiencyinthe amountsrequiredbythe2005GeneralBondResolutionoranySeriesResolutiontobepaid intotheDebtServiceFundandintotheReserveFund; (c)theamount of theReserveFund,upontheissuanceanddelivery of such additionalBonds,willnotbelessthantheRequiredDebtServiceReserve;and (d)thematuritiesof,orSinkingFundInstallmentsfor,theadditionalBonds representingLoanObligations,unlesssuchadditionalBondsarebeingissuedtorefund Outstanding Bonds,willbeequaltothescheduledMunicipalBondsPrincipalPaymentstobe madeinrespect of theLoanswithrespecttowhichsuchadditionalBondsaretobeissued. TheBondBankexpresslyreservestherighttoadoptothergeneralbondresolutionsandreservestheright toissuenotesandanyotherobligationssolongasthesamearenotachargeorlienontheMunicipalBonds,the MunicipalBondsPaymentsandtheFeesandChargesorpayablefromtheDebtServiceFundortheReserve Fund. 20 Defeasance If theBondBankwill payor causetobepaidtotheholders of allBondsthenOutstanding,theprincipal andinterestand/orRedemptionPrice,ifany,tobecomeduethereon,atthetimesandinthemannerstipulated thereinandinthe2005GeneralBondResolutionandalsowill payor causetobepaidallothersumspayable underthe2005GeneralBondResolution,includinganyamountspayabletotheUnitedStates,then,attheoption of theBondBank,asexpressedinaninstrumentinwritingsignedbyanAuthorizedOfficeranddeliveredtothe Trustee,thecovenants,agreementsandotherobligations of theBondBanktotheBondholderswillbedischarged andsatisfied.AllOutstandingBonds of anySerieswill,priortothematurityorredemptiondatethereof,be deemedtohavebeenpaidif(a)incaseany of saidBondsaretoberedeemedonanydatepriortotheirmaturity, theBondBankwillhavegiventotheTrusteeinformsatisfactorytoitirrevocableinstructionstopublishnotice of redemptiononsaiddate of suchBonds,and(b)therewillhavebeendepositedwiththeTrusteeeithermoniesin anamountwhichwillbesufficientorInvestmentSecuritieswhicharenotsubjecttoredemptionpriortothedates onwhichamountswillbeneededtomakepaymentsontheBondsanddescribedinclause (I)of thedefinition thereof,theprincipal of andtheinterestonwhichwhenduewillprovidemoneywhich,togetherwiththemoney, ifany,depositedwiththeTrusteeorPayingAgentatthesametime,willbesufficient,topay,whendue,the principalorRedemptionPrice,if applicable,andinterestdueandtobecomedueonsaidBondsonandpriortothe redemptiondateormaturitydatethereof,asmaybethecase. Supplements and Amendments TheBondBankmayadoptaSeriesResolutionorSupplementalResolutionwithouttheconsent of the BondholdersortheTrusteeforvariouspurposesnot inconsistent withthe2005GeneralBondResolution,to providefortheissuance of additionalSeries of Bonds,toimposeadditionallimitationsorrestrictionsonthe issuance of Bonds,toimposeotherrestrictionsontheBondBank,tosurrenderanyright,powerorprivilege,orto confirmanypledge of orlienupontheMunicipalBondsortheMunicipalBondsPaymentsoranyotherfunds. TheBondBankmayalsosupplementthe2005GeneralBondResolutiontocureanyambiguityordefectinthe 2005GeneralBondResolution,providedsuchmodificationsarenotcontrarytoorinconsistentwiththe2005 GeneralBondResolutionastheretoforeineffect. Anymodificationoramendment of the2005GeneralBondResolutionand of therightsandobligations of theBondBankand of theBondholdersmaybemadewiththewrittenconsent(a)of theholders of atleast two-thirdsinprincipalamount of theBondsOutstandingatthetimesuchconsentisgiven,or(b)incaselessthan all of theseveralSeriesofBondsthenOutstandingareaffectedbythemodificationoramendment,of theholders of atleasttwo-thirdsinprincipalamount of theBonds of eachSeriessoaffectedandOutstandingatthetimesuch consentisgiven;provided,however,thatsuchmodificationoramendmentwillnotpermit(i)achangeinthe terms of redemptionormaturity of theprincipal of anyoutstandingBondor of anyinstallment of interestthereon orSinkingFundInstallmenttherefor,(ii)areductionintheprincipalamountortheRedemptionPrice thereof or intherate of interestthereon,(iii)areduction of thepercentage of theHolders of whichisrequiredtoeffectany suchmodificationoramendment,or(iv)thecreation of anylienpriortooronaparitywiththeliencreatedbythe 2005GeneralBondResolution(exceptinthemannerprovidedbythe2005GeneralBondResolution)ordeprive theBondholders of theliencreatedbythe2005GeneralBondResolution,withouttheconsent of theholders of alltheBondsOutstandingor of theSeries of Bondsaffectedbysuchmodificationoramendment.Totheextent thatthefullpayment of theinterestandprincipal of Bonds of aSeriesissecuredbyCreditEnhancement,the CreditEnhancementAgencywillbeconsideredtobethe Bondholder of alltheBonds of theSeriesforpurposes of exercisinganyrightswithrespecttosupplementsandamendmentstothe2005GeneralBondResolution if the CreditEnhancementsoprovides. 21 Events of Default and Remedies Each of thefollowingeventsisanEvent of Defaultunderthe2005GeneralBondResolution: (a)theBondBankdefaultsinthepayment of theprincipalorRedemptionPriceof, SinkingFundInstallmentfor,orintereston,anyBondwhenandasthesamewillbecomedue whetheratmaturityoruponcallforredemption,orotherwise; (b)theBondBankfailsorrefusestocomplywiththeprovisions of theActregarding thecertificationofdeficienciesinthe2005GeneralBondResolutionReserveFund,orsuch amountsaswillbecertifiedtotheGovernorandtotheLegislaturepursuanttotheActwillnot beappropriatedandpaidtotheBondBankpriortothetermination of thethencurrentState fiscalyear;or (c)theBondBankfailsorrefusestocomplywiththeprovisions of theAct,other thanasprovidedin(b)above,ordefaultsintheperformanceorobservance of anyother of the covenants,agreementsorconditionsonitspartinthe2005GeneralBondResolution,any SeriesResolution,anySupplementalResolution,orintheBondscontained,andsuchfailure, refusalordefaultwillcontinueforaperiodof45daysafterwrittennotice thereof bythe TrusteeortheHolders of notlessthan25percentinprincipalamount of theOutstanding Bonds; provided,however,thatanevent of defaultwillnotbedeemedtoexistundertheprovisions of clause(c)above uponthefailure of theBondBanktomakeandcollectFeesandChargesrequiredtobemadeandcollectedbythe 2005GeneralBondResolutionoruponthefailure of theBondBanktoenforceanyobligationundertakenbya GovernmentalUnitpursuanttoaLoan Agreement includingthemaking of thestipulatedMunicipalBonds PaymentssolongastheBondBankmaybeotherwisedirectedbylawandsolongastheBondBankwillbe providedwithmoneyfromtheStateorotherwise,otherthanwithdrawalsfromorreimbursements of theReserve Fund,sufficientinamounttopaytheprincipal of andinterestonallBondsasthesamewillbecomedueduring theperiodforwhichtheBondBankwillbedirectedbylawtoabstainfrommakingandcollectingsuchFeesand Chargesandfromenforcingtheobligations of aGovernmentalUnitundertheapplicableLoanAgreement. Uponthehappeningandcontinuance of anyevent of defaultspecifiedinparagraph(a)above,theTrustee willproceed,oruponthehappeningandcontinuance of anyevent of defaultspecifiedinparagraphs(b)and(c) above,theTrusteemayproceed,anduponthewrittenrequest of theholders of notlessthan25percentin principalamount of theOutstandingBondswillproceed,initsownname,toprotectandenforceitsrightsandthe rights of theBondholdersbysuch of thefollowingremediesastheTrustee,beingadvisedbycounsel,willdeem mosteffectualtoprotectandenforcesuchrights: (a)bymandamusorothersuit,actionorproceedingatlaworinequity,enforceall rights of theBondholders,includingtherighttorequiretheBondBanktomakeandcollect FeesandChargesandMunicipalBondsPaymentsadequatetocarryoutthecovenantsand agreementsasto,andpledgeof,suchFeesandChargesandMunicipalBondsPayments,and otherpropertiesandtorequiretheBondBanktocarryoutanyothercovenantoragreement withBondholdersandtoperformitsdutiesundertheAct; (b)bybringingsuitupontheBonds; (c)byactionorsuitinequity,requiretheBondBanktoaccountasifitwerethe trustee of anexpresstrustfortheholders of theBonds; (d)byactionorsuitinequity,enjoinanyactsorthingswhichmaybeunlawfulorin violation of therights of theholders of theBonds. 22 Uponthe occurrence of anevent of default inthe payment of principal of and interest onBondsthen Outstanding,the Trustee may,anduponthe written request of theholders of notlessthana majority in aggregate principal amount of the Bonds atthetime Outstanding will,declarethe principal of alltheBondsthen Outstanding,andthe interest accrued thereon,tobedueandpayable immediately,anduponanysuch declaration thesamewillbe immediately dueand payable.This provision,however,is subject tothe condition that ifbefore any judgment ordecreeforthe payment of themoneyduewillhavebeen obtained or entered,theBondBankwill deposit withthe Trustee asum sufficient topayall principal ontheBonds matured prior tosuch declaration and all matured installments of interest uponalltheBonds,with interest onsuch overdue installments of principalat theratebornebythe respective Bonds,andthe reasonableexpenses of the Trustee,andanyandallother defaults known tothe Trustee willhavebeenmadegoodorcuredtothe satisfaction of the Trustee or provision deemedby the Trustee tobe adequate willhavebeenmadetherefor,thentheholders of atleasta majority in aggregate principal amount of theBondsthen outstanding,may,on behalf of theholders of all of theBonds,rescindand annulsuch declaration andits consequences andwaivesuchdefault. Bondholders'Direction ofProceedings.Theholders of a majority in principal amount of theBondsthen Outstanding willhavetherighttodirectthe method of conducting all remedial proceedings tobe taken bythe Trustee,provided thatsuch direction willnotbe otherwise thanin accordance withlaworthe2005GeneralBond Resolution,andthatthe Trustee willhavethe right todeclinetofollowanysuch direction which intheopinion of the Trustee wouldbe unjustly prejudicial to Bondholders notpartiestosuch direction. LimitationonRights of Bondholders.No holder of anyBondwillhaveany right toinstituteanysuit, action,mandamus orother proceeding in equity oratlawunderthe2005 General Bond Resolution,orforthe protection or enforcement of any right underthe2005General Bond Resolution orany right underlawunless such holder willhavegiventothe Trustee written notice of theevent of default or breach of dutyon account of whichsuchsuit,actionor proceeding istobetaken,andunlesstheholders of notlessthan25 percent in principal amount of the Bonds then Outstanding willhavemade written request of the Trustee andwillhaveaffordedthe Trustee a reasonable opportunity either to proceed to exercise thepowers granted underlaworto institute such action,suitor proceeding initsnameandunless,also,therewillhavebeen offered tothe Trustee reasonable security and indemnity against thecosts,expenses and liabilities tobe incurred thereby,andtheTrusteewillhave refused or neglected to comply withsuch request withina reasonable time.No holder of theBondswillhaveany right toaffect,disturbor prejudice the security of the2005GeneralBond Resolution,orto enforce anyrightwith respect tothe Bonds orthe2005 General Bond Resolution,except inthe manner provided inthe2005General Bond Resolution,andall proceedings atlaworinequitywillbe instituted,heldand maintained inthe manner herein provided andforthebenefit of all Bondholders. Excess Earnings TheBond Bank covenants andagreesto calculate Rebatable Arbitrage andtopay Rebatable Arbitrage to the United States of America inthe manner necessary to comply withthethen applicable federaltaxlaw.Within 30daysaftertheend of everyfifthBondYear,andwithin60days of thedatewhenall of eachSeries of Bonds havebeen retired (oratsuchothertimeor times asmaythenbe required bythe Code andthe applicable Income Tax Regulations),theBond Bank will determine the Rebatable Arbitrage with respect toeachSeries of Bonds, andpayrebate amounts duetheUnitedStates of America with respect thereto,as provided inSection l48(f)of theCode. Modifications tothe2005 General BondResolution The2005 General Bond Resolution authorizes modifications of any provision setforthinthe2005 General Bond Resolution bythe terms of a Supplemental Resolution,withsuch modifications becoming effective afterallBonds of eachSeries Outstanding as of thedate of such Supplemental Resolution authorizing such modification ceasetobe Outstanding.Afirst supplemental resolution (the"First Supplemental Resolution")was approved bythe Board of Directors of the Bond Bank ata meeting heldon February 19,2013. 23 TheFirstSupplementalResolutionauthorizesthefollowingmodificationstothe2005GeneralBond Resolution:(i)toauthorizetheTrusteetoreleasetotheBondBankamountsheldintheReserveFundwhich exceedtheRequiredDebtServiceReservewheneverthereisareductionintheRequiredDebtServiceReserve, (ii)toauthorizetheTrusteetoreleasetotheBondBankearningsandprofitsrealizedfrominvestmentsinthe ReserveFundonorbeforeJune30 of eachyearsolongasthebalancethereinequalstheRequiredDebtService Reserve,(iii)toallowforcertainamendmentsandmodificationstothe2005GeneralBondResolutiontobe effectiveuponsecuringtheconsent of Holders of atleasttwo-thirdsinprincipalamount of Bondsthen Outstanding,and(iv)toestablishthatconsent of Holders of Bonds,whenrequiredundertheterms of the2005 GeneralBondResolution,specificallyincludestheconsent of anunderwriterorpurchaser of aSeries of Bondsat thetimesuchBondsareissued. Themodificationstothe2005GeneralBondResolutionsetforthinthe First SupplementalResolution shallbecomeeffectiveafterallBondsissuedpriortothe2013SeriesOneBondsceasetobeOutstandingand compliancebytheBankwith certain requirements setforthinthe2005GeneralBondResolution,atwhichtime thesemodificationswillapplytothe2015SeriesThreeBondsandgoverntherightsandobligationsofthe Holdersthereof. LITIGATION Uponthedelivery of the2015SeriesThreeBonds,theBondBankwillfurnishacertificatetotheeffectthat, amongotherthings,thereisnolitigationpendinginanycourttorestrainorenjointheissuanceordeliveryofthe 2015SeriesThreeBonds,orinanywaycontestingthevalidityorenforceability of the2015SeriesThreeBonds,the 2005GeneralBondResolutionoranyBondsormoneypledgedunderthe2005GeneralBondResolution. CERTAIN LEGAL MATTERS Legalmattersincidenttotheauthorization,issuanceandsalebytheBondBank of the2015SeriesThree Bondsaresubjecttotheapprovinglegalopinion of Wohlforth,Brecht&CartledgeAPC of Anchorage,Alaska, BondCounseltotheBondBank.Theproposedform of theopinion of BondCounselisincludedhereinas AppendixA. Certainlegalmatterswillbepasseduponfor (i)theMunicipalityofSkagway,theCity of Ketchikanand HainesBoroughbytheirbondcounsel,K&LGatesLLP of Seattle,Washington,(ii)theUniversity of Alaskaand theCity of SewardbytheirbondcounselWohlforth,Brecht&Cartledge,APC of Anchorage,Alaska,(iii)the Cities of KodiakandDillinghambytheircounselBirchHortonBittner&Cherot,and(iv)theCity of KingCove andKodiakIslandBoroughbytheirco-bondcounsel,FosterPepperPLLC of Seattle,Washington,andthe LevesqueLawGroup,LLC of Anchorage,Alaska. CertainlegalmatterswillbepasseduponfortheUnderwritersbytheirspecialcounsel,FosterPepper PLLC,Seattle,Washington.Anyopinion of suchcounselwillbelimitedinscopeanddeliveredonlytothe Underwriters,andmaynotberelieduponbyinvestors. Thefirm of Wohlforth,Brecht&Cartledge,APChassecuredthewrittenconsent of theBondBank,the University of AlaskaandtheCity of Sewardregardingthemultiplerepresentations of clientsinthistransaction. Thefirm of FosterPepperPLLC,Seattle,Washingtonhassecuredtheconsent of theUnderwriters,the City of KingCoveandKodiakIslandBoroughregardingthemultiplerepresentations of clientsinthistransaction. VERIFICATION OF MATHEMATICAL COMPUTATIONS CauseyDemgen&MooreP.C.,independentcertifiedpublicaccountants,willverifythemathematical accuracy of certaincomputationsprovidedbytheUnderwritersregarding(a)theadequacy of thematuring principalamounts of andinterestontheEscrowObligations,togetherwithaninitialcashdeposit,topaythe 24 redemptionprice of andinterestontheRefundedBondsand(b)theactuarialyieldsonthe2015SeriesThree BondsandtheEscrowObligations.Such verifications havebeenrelieduponbytheBond Bank's BondCounsel tosupportitsconclusionthatthe20ISSeriesThreeBondsarenot"arbitragebonds"underSection148 of the InternalRevenueCode of 1986. UNDERWRITING The2015SeriesThreeBondsaretobepurchasedbyRBCCapitalMarkets,LLC,Bank of America MerrillLynchandGoldman,Sachs &Co.(together,the "Underwriters")fromtheBondBankatanaggregate purchaseprice of $(equaltotheaggregateprincipalamount of the20ISSeriesThreeBonds, plusanetoriginalissuepremiumof$lessan Underwriters'discount of$),subjectto theterms of aBondPurchaseContractbetweentheBondBankandtheUnderwriters.TheBondPurchase ContractprovidesthattheUnderwriterswillpurchaseall of the20ISSeriesThreeBonds if anyarepurchasedand thattheobligationtomakesuchpurchaseissubjecttocertaintermsandconditionssetforthintheBondPurchase Contract,includingtheapprovalbycounsel of certainmatters. Theinitialofferingprices(orprices corresponding totheyields)setforthontheinsidecover of this OfficialStatementmaybechangedfromtimetotimebytheUnderwriterswithoutpriornoticetoanypersonafter thedateofthesaleofthe2015SeriesThreeBonds.TheUnderwritersmayofferandsellthe2015SeriesThree Bondstocertaindealers,unitinvestmenttrustsormoneymarketfundsatpriceslowerthantheinitialoffering prices(orpricescorrespondingtotheyields)setforthontheinsidecover of thisOfficialStatement. TheUnderwritersandtheirrespectiveaffiliatesarefull-servicefinancialinstitutionsengagedinvarious activitiesthatmayincludesecuritiestrading,commercialandinvestmentbanking,municipaladvisory,brokerage, andassetmanagement.Intheordinarycourse of business,theUnderwritersandtheirrespectiveaffiliatesmay activelytradedebtand,ifapplicable,equitysecurities(orrelatedderivativesecurities)andprovidefinancial instruments(whichmayincludebankloans,creditsupportorinterestrateswaps).TheUnderwritersandtheir respectiveaffiliatesmayengageintransactionsfortheirownaccountsinvolvingthesecuritiesandinstruments madethesubject of thissecuritiesofferingorotheroffering of theIssuerorGovernmentalUnits.The Underwritersandtheirrespectiveaffiliatesmaymakeamarketincreditdefaultswapswithrespecttomunicipal securitiesinthefuture.TheUnderwritersandtheirrespectiveaffiliatesmayalsocommunicateindependent investmentrecommendations,marketcolorortradingideasandpublishindependentresearchviewsinrespect of thissecuritiesofferingorotherofferings of theIssuerandGovernmentalUnits. MUNICIPAL ADVISOR WesternFinancialGroup,LLChasactedasfinancialadvisor(the"MunicipalAdvisor")totheBondBank inconnectionwiththeissuanceofthe2015SeriesThreeBonds.TheMunicipalAdvisorisnotobligatedto undertake,andhasnotundertakentomake,an independent verificationortoassumeresponsibilityforthe accuracy,completeness,orfairness of theinformationcontainedinthisOfficialStatement.WesternFinancial Group,LLCisanindependentadvisoryfirmregisteredwiththeSecuritiesandExchangeCommissionandisnot engagedinthebusiness of underwriting,trading,ordistributingmunicipalsecuritiesorotherpublicsecurities. FINANCIALSTATEMENTS Thefinancialstatements of theBondBankincludedasAppendixEtothisOfficialStatementhavebeen auditedbyBDOUSA,LLP,independentcertifiedpublicaccounts,totheextentandfortheperiodsindicatedintheir reportthereon.Suchfinancialstatementshavebeenincludedinrelianceuponthereport ofBDO USA,LLP. TheBondBankhasnotrequestedBDOUSA,LLPtoprovidewrittenconsentforinclusion of thefinancial statementsinthisOfficialStatement. 25 TAX MATTERS 2015SeriesThreeBonds.Intheopinion of BondCounsel,basedonananalysis of existinglaws, regulations,rulingsandcourtdecisionsandassuming,amongotherthings,compliancebytheBondBankandthose participatingGovernmentalUnitswithcertaincovenants,interestonthe2015SeriesThreeBondsisexcludable fromgrossincomeforfederalincometaxpurposes.Interestonthe2015SeriesThreeBondsisnotataxpreference itemforpurposes of thealternativeminimumtaximposedbytheInternalRevenueCode of 1986,asamended(the "Code")onindividualsorcorporations.However,interestonthe2015SeriesThreeBondsistakenintoaccountin determiningadjustedcurrentearningsforpurposes of computingthefederalalternativeminimumtaximposedon certaincorporations. BondCounselisalso of theopinion,basedonexistinglaws of theStateasenactedandconstruedthat interestonthe20I5SeriesThreeBondsisexcludablefromtaxationbytheStateexceptfortransfer,estateand inheritancetaxes. TheCodeimposesvariousrestrictions,conditionsandrequirementsrelatingtotheexclusionfromgross incomeforfederalincometaxpurposes of interestonobligationssuchasthe20I5SeriesThreeBonds.TheBond BankandGovernmentalUnitshavecovenantedtocomplywithcertainrestrictionsdesignedtoassurethatinterest onthe2015SeriesThreeBondsisexcludablefromfederalgrossincome.Failuretocomplywiththesecovenants mayresultininterestonthe2015SeriesThreeBondsbeingincludedinfederalgrossincome,possiblyfromthedate of issuance of the2015SeriesThreeBonds.BondCounsel'sopinionissubjecttotheconditionthattheBondBank andtheGovernmentalUnitscomplywiththesecovenantsand,inaddition,willrelyonrepresentationsbytheBond BankandtheGovernmentalUnitsandtheiradvisorswithrespecttomatterssolelywithinthe knowledge of the BondBank,theGovernmentalUnitsandtheiradvisors,respectively. BondCounselhasnotundertakentodetermine(ortoinformanyperson)whetheranyactionstaken(ornot taken)oreventsoccurring(ornotoccurring)afterthedate of issuance of the2015SeriesThreeBondsmay adverselyaffectthetaxstatus of interestonthe20I5SeriesThreeBonds. AlthoughBondCounselhasrenderedanopinionthatinterestonthe2015SeriesThreeBondsisexcludable fromgrossincomeforfederalincometaxpurposes,theownershipordispositionof,ortheaccrualorreceipt of intereston,such2015SeriesThreeBondsmayotherwiseaffecta2015SeriesThreeBond Owner's federalorState taxliability.Thenatureandextent of theseothertaxconsequenceswilldependuponthe2015SeriesThreeBond Owner's particulartaxstatusandthe2015SeriesThreeBond Owner's otheritems of incomeordeduction.Bond Counselexpressesnoopinionregardinganyothertaxconsequencesrelatingtotheownershipordispositionof,or theaccrualorreceipt of intereston,the20I5SeriesThreeBonds.Owners of the20I5SeriesThreeBondsshould consulttheirtaxadvisorsregardingtheapplicability of anycollateraltaxconsequences of owningthe20I5Series ThreeBonds,whichmayincludeoriginalissuediscount,originalissuepremium,purchaseatmarketdiscountorata premium,taxationuponsale,redemptionorotherdisposition,andvariouswithholdingrequirements. BackupWithholding Intereston tax-exempt obligationssuchasthe2015SeriesThreeBondsisinmany casessubjecttoinformationreportinginamannersimilartointerestpaidontaxableobligations.Backup withholdingmaybeimposedonpaymentsmadeafterMarch3I,2007toanybondholderwhofailstoprovide certainrequiredinformationincludinganaccurate taxpayer identificationnumbertoanypersonrequiredtocollect suchinformationpursuanttoSection6049 of theCode.Thisreportingrequirementdoesnotinand of itself affector altertheexcludability of interestonthe2015SeriesThreeBondsfromgrossincomeforfederalincometaxpurposes oranyotherfederaltaxconsequence of purchasing,holdingorseIling tax-exempt obligations. OriginalIssueDiscount The20I5SeriesThreeBondsmaturingI,20andI,20, (the "Discount Bonds")arebeingsoldatanoriginalissuediscount.Thedifferencebetweentheinitialpublic offeringprices,assetforthonthecoverpage,of suchDiscountBondsandtheirstatedamountstobepaidat 26 maturity,constitutes original issue discount treated as interest which is excluded fromgross income forfederal income tax purposes tothe same extent as interest onthe2015Series Three Bonds. The amount of original issue discount whichis treated as having accrued with respect tosuch Discount Bondis added tothe cost basis of the owner in determining,forfederal income tax purposes,gainorlossupon disposition of such Discount Bond (including itssale,redemption or payment at maturity).Amounts received upon disposition of such Discount Bond which are attributable to accrued original issue discount willbe treated astax- exempt interest,rather thanas taxable gain,forfederal income tax purposes. Original issue discount is treated as compounding semiannually,atarate determined by reference tothe yield to maturity of each individual Discount Bond,ondaysthatare determined by reference tothe maturity date of such Discount Bond.The amount treated as original issue discount onsuch Discount Bond fora particular semiannual accrualperiodisequaltothe product of (i)the yield to maturity forsuch Discount Bond (determined by compounding attheclose of eachaccrual period)and(ii)the amount which wouldhavebeenthetaxbasis of such Discount Bondatthe beginning of the particular accrual period if heldbythe original purchaser,lessthe amount of any interest payable forsuch Discount Bond during the accrual period.Thetaxbasisis determined by adding tothe initial public offering priceonsuch Discount Bond thesum of the amounts that have been treated as original issue discount forsuch purposes duringall prior periods.If such Discount Bond issold between semiannual compounding dates,original issue discount whichwould have been accrued forthat semiannual compounding period forfederal income tax purposes istobe apportioned inequal amounts among thedaysinsuch compounding period. Owners of Discount Bonds should consult their tax advisors with respect tothe determination and treatment of original issue discount accrued as of anydateandwith respect tothestateandlocaltax consequences of owning a Discount Bond. OriginalIssuePremium The2015Series Three Bonds maturing I,20_through and including -::----:-_I,20_(collectively,the "Premium Bonds")are being soldata premium.An amount equaltothe excess of theissueprice of a Premium Bond over itsstated redemption price at maturity constitutes premium onsuch Premium Bond.Aninitial purchaser of a Premium Bond must amortize any premium over such Premium Bond's termusing constant yield principles,based onthe purchaser's yield to maturity or,inthecase of Premium Bonds callable prior totheir maturity,by amortizing the premium tothecalldate,based onthe purchaser's yield tothecall dateand giving effect tothecall premium).As premium is amortized,the purchaser's basisinsuch Premium Bond is reduced bya corresponding amount resulting inan increase inthe gain (or decrease intheloss)tobe recognized forfederal income tax purposes uponasaleor disposition of such Premium Bond prior toits maturity.Even though the purchaser's basismaybe reduced,nofederal income tax deduction is allowed.Purchasers of the Premium Bonds should consult with their tax advisors with respect tothe determination and treatment of amortizable premium forfederal income tax purposes andwith respect tothestateandlocaltax consequences of owning a Premium Bond. ChangesinFederalTaxLaw From timetotime,there are legislative proposals inthe Congress andinthe statesthat,if enacted,could alter or amend thefederalandstatetax matters referred to above or adversely affectthe market value of the2015SeriesThreeBonds.It cannot be predicted whether orin what formanysuch proposal might be enacted or whether if enacted itwould apply to bonds issued prior to enactment.In addition,regulatory actions arefromtimetotime announced or proposed and litigation is threatened or commenced which,if implemented or concluded ina particular manner,could adversely affect the market value of the2015Series Three Bonds.It cannot be predicted whether anysuch regulatory actionwillbe implemented,how any particular litigation or judicial action willbe resolved,or whether the2015Series Three Bonds orthe market value thereof would be impacted thereby.Purchasers of the2015Series Three Bonds should consult theirtax advisors regarding any pending or proposed legislation,regulatory initiatives or litigation.The opinions expressed by Bond Counsel are based upon existing legislation and regulations as interpreted by relevant judicial and regulatory authorities as of the date ofissuance and delivery ofthe 2015Series Three Bonds,and Bond Counsel has expressed no opinion as of any date subsequent thereto orwith respect toany pending legislation,regulatory initiatives or litigation. 27 Bond Counsel's opinionisnotaguarantee of aresultandisnotbindingontheInternalRevenueService ("IRS");rather,theopinionrepresentsitslegal judgment baseduponitsreviewofexistingstatutes,regulations, publishedrulings,andcourtdecisionsandtherepresentationsandcovenants of theBondBank.TheIRShasan ongoingprogram of auditingthetax-exemptstatus of theinterestongovernmentalobligations.Ifanaudit of the 2015SeriesThreeBondsiscommenced,undercurrentprocedures,theIRSislikelytotreattheBondBankasthe "taxpayer,"andtheowners of the2015SeriesThreeBonds(the"Owners")wouldhavenorighttoparticipateinthe auditprocess.Inrespondingtoordefendinganaudit of thetax-exemptstatus of theinterestonthe2015Series ThreeBonds,theBondBankmayhavedifferentorconflictinginterestsfromtheOwners.Publicawareness of any futureaudit of the2015SeriesThreeBondscouldadverselyaffectthevalueandliquidity of the2015SeriesThree Bondsduringthependency of theaudit,regardless of itsultimateoutcome. RATINGS FitchRatings("Fitch")andStandard&Poor's RatingsServices("S&P")haveassigned"AA+"and"AA+ (negativeoutlook)"ratings,respectively,tothe2015SeriesThreeBonds.Suchratingsreflectonlytheviews of suchorganizationsandanydesiredexplanation of thesignificanceofsuchratingsshouldbeobtainedfromtherating agencyfurnishingthesame,atthefollowingaddresses:Fitch,OneStateStreetPlaza,NewYork,NewYork10004, (212)908-0500;S&P,55WaterStreet,NewYork,NewYork 10041 (212)438-1000.Generally,aratingagency basesitsratingontheinformationandmaterialsfurnishedtoitandoninvestigations,studiesandassumptions of its own.There isno assurance that such ratings will continue for any given period oftime or that such ratings willnotberevised downward or withdrawn entirely bythe rating agenciesif,inthe judgment of such rating agencies,circumstances so warrant.Anysuch downward revision or withdrawal ofsuch ratings mayhavean adverse effectonthe market price of the2015Series Three Bonds. CONTINUING DISCLOSURE UNDERTAKING Basic Undertaking to Provide Annual Financial Information and Notice ofMaterial Events. Continuing disclosure is provided forthe benefit of Beneficial Owners.PursuanttotheSecuritiesand ExchangeCommission(the"SEC")Rule15c2-12(the"Rule"),theBondBankwillagreetoprovide,orcauseto beprovided,totheMunicipalSecuritiesRulemakingBoard("MSRB")annualfinancialinformationandoperating dataasdescribedbelow.Inaddition,ifanyGovernmentalUnithasoutstandingwiththeBondBankanamount of municipalbondsequaltoorgreaterthan20percent of allBondsOutstanding,suchGovernmentalUnitwillbe contractuallyrequiredtoprovidetheMSRBauditedfinancialstatementspreparedinaccordancewithgenerally acceptedaccountingprinciplesapplicabletogovernmentalentities,assuchprinciplesmaybechangedfromtime totime. Notlaterthan120daysaftertheend of eachBondBankfiscalyear,theBondBankwillnotifyeach GovernmentalUnitthathas(as of thelastday of theBondBank'spriorfiscalyear),anamount of municipal bondsequaltoorgreaterthan20percent of allLoansoutstanding,ofitscontinuingdisclosureundertaking responsibility.Alist of suchGovernmentalUnitswillbeincludedintheBondBank'sannualfinancial informationfiling. TheBondBankwillalsoundertaketoprovideorcausetobeprovidedtotheMSRBanotice of the occurrence of any of thefollowingeventsspecifiedbytheRulewithrespecttothe2015SeriesThreeBonds withintenbusinessdays of theoccurrence of theevent:(a)principalandinterestpaymentdelinquencies;(b) unscheduleddrawsondebtservicereservesreflectingfinancialdifficulties;(c)unscheduleddrawsoncredit enhancementsreflectingfinancialdifficulties;(d)substitution of creditorliquidityproviders,ortheirfailureto perform;(e)adversetaxopinionsoreventsaffectingthetax-exemptstatus of the2015SeriesThreeBonds;(f) defeasances;(g)ratingchanges;(h)tenderoffers;(i)bankruptcy,insolvency,receivershiporsimilar proceeding bytheBondBankor "obligated person."TheBondBankwillalsofilewiththeMSRBanotice of any of the 28 followingeventswithrespecttothe2015SeriesThreeBondswithintenbusinessdays of theoccurrence of such event,ifmaterial:(a)non-payment relateddefaults;(b)modificationtorights of holders of 2015SeriesThree Bonds;(c)bondcalls,otherthanmandatory,scheduledredemptionsnototherwise contingent ontheoccurrence of anevent;(d)release,substitutionorsale of propertysecuringrepayment of the2015SeriesThreeBonds;(e) otherthaninthenormalcourse of business,theconsummation of amerger,consolidationoracquisitioninvolving an "obligated person,"orthesale of allorsubstantiallyall of theassets of theBondBankor "obligated person," ortheentryintoadefinitiveagreementtoundertakesuchanaction,oratermination of adefinitiveagreement relatingtoanysuchactions,otherthaninaccordancewithitsterms;(t)appointment of asuccessororadditional trusteeorthechangeinname of theTrusteeforthe2015SeriesThreeBonds. TheBondBankalsowillprovidetotheMSRBtimelynotice of itsfailuretoproviderequiredannual financialinformation. Type ofAnnual Financial Information Undertakentobe Provided bythe Bond Bank.Theannualfinancial informationthattheBondBankundertakestoprovidewillconsist of (a)annualfinancialstatementsfortheBond Bank,preparedinaccordancewithgenerallyacceptedaccountingprinciplesapplicabletogovernmentalentities, assuchprinciplesmaybechangedfromtimetotime;(b)astatement of authorized,issuedandoutstanding bondeddebt;(c)ReserveFundbalance;and(d)GovernmentalUnitstatisticsinsubstantiallythesameformas AppendixCattachedhereto.ThisinformationwillbeprovidedtotheMSRBnotlaterthan210daysaftertheend of eachfiscalyear of theBondBank(currently,the12-monthperiodendingJune30),assuchfiscalyearmaybe changedasrequiredbyStatelaw,commencingwiththeBondBank'sfiscalyearendingJune30,2016. Amendment of Undertaking.TheBondBank'scontinuingdisclosureundertakingissubjecttoamendment aftertheprimaryoffering of the2015SeriesThreeBondswithouttheconsent of anyBeneficialOwner of any 2015SeriesThreeBond,oranybroker,dealer,municipalsecuritiesdealer,participatingunderwriter,rating agency,ortheMSRB,if (a)theamendmentismadeinconnectionwithachangeincircumstancesthatarisesfrom achangeinlegalrequirements,achangeinlaw,orachangeintheidentity,natureorstatus of theBondBank;(b) theUndertaking,asamended,wouldhavecompliedwiththerequirements of theRuleatthetime of theprimary offering of the2015SeriesThreeBonds,aftertakingintoaccountanyamendmentsorinterpretations of theRule bytheSECandanychangesincircumstances;(c)theBondBankobtainsanopinion of nationallyrecognized bondcounseltotheeffectthattheamendmentwillnotadverselyaffecttheBondBank'scompliancewiththe UndertakingandRule;and(d)theBondBanknotifiesandprovidestheMSRBwithcopies of theopinionsand amendments.Suchamendmentmaybeadoptedwithouttheconsent of anyBeneficialOwner of any of the2015 SeriesThreeBonds,notwithstanding anyotherprovision of thecontinuingdisclosureundertakingsorthe2005 GeneralObligationBondResolution. Thefirstannualreportcontainingamendedoperatingdataorfinancialinformationpursuanttoan amendment of theBondBankcontinuingdisclosureundertakingwillexplain,innarrativeform,thereasonsfor theamendmentanditseffectonthetype of operatingdataandfinancialinformationbeingprovided. Allnotices,financialinformationandoperatingdatarequiredbythisundertakingtobeprovidedtothe MSRBmustbeinelectronicformatasprescribedbytheMSRB.AlldocumentsprovidedtotheMSRBpursuant tothisundertakingmustbe accompanied byidentifyinginformationasprescribedbytheMSRB. Termination.Theobligations of theBondBankunderitsundertakingwillterminateuponthelegal defeasance,priorredemptionorpaymentinfull of allofthe2015SeriesThreeBonds. Remedy for FailuretoComplywithUndertaking.NofailurebytheBondBankand/orGovernmental Unitstocomplywithanyprovisions of theirrespectiveundertakingswillconstituteadefaultinrespectofthe 2015SeriesThreeBonds,andthesoleremedyundertherespectiveundertakingsintheevent of anyfailure of the BondBankoranyGovernmentalUnittocomplywithitsundertakingwillbetherighttoobtainspecific performance of theundertaking. 29 Prior Compliance with Continuing Disclosure Undertakings UndertheRule BondBankBondsIssuedUnderthe2005GeneralObligation Bond Resolution.TheBondBank previouslyenteredintocontinuingdisclosureundertakingsundertheRuleinconnectionwithitsoutstanding Bonds.TheBondBanksubsequentlydiscoveredithadnotfiledcertaineventnoticesinconnectionwithrating downgrades of insurersandunderlyingratingsupgrades.Eventnoticeswere subsequently filed. Inaddition,theBondBankdiscoveredithadnotincludedinitsannualreportstatistics of Governmental UnitssimilartothosefoundinAppendixC of itsofficialstatements,asrequiredbypriorcontinuingdisclosure undertakings.SuchinformationwasincludedinpubliclyavailableofficialstatementspreparedbytheBondBank everyyear of noncomplianceforBondsissuedunderthe2005GeneralBondResolution.Suchinformationwas, however,datedonoraboutthedate of theofficialstatementratherthanas of theend of theBondBank'sfiscal yearend.ThistechnicaldeficiencywascuredandsuchinformationwasfiledwiththeMSRB. OtherBondsIssuedbytheBondBank.TheBondBankpreviouslyenteredintocontinuingdisclosure undertakingsforbondsissuedunderits1976GeneralBondResolutionand20I0Resolution.TheBondBank discoveredthatcertainannualfinancialinformationrelatingtogovernmentalunits participating inthe1976 GeneralBondResolutionpoolandthe20I0Resolutionpoolhadnotbeenfiled.Thistechnicaldeficiencywas curedandsuchinformationwasfiledwiththeMSRB.TheBondBankpreviouslyenteredintocontinuing disclosureundertakingsinconnectionwithcertainrevenuebondsissuedbytheBondBank.TheBondBank discoveredcertainannualfinancialinformationrelatingtogovernmentalunitswasnotfiledundertheterms of suchundertakings.Theserevenuebondsnolongerremainoutstanding. General.TheBondBankhasdevelopedprocedurestoensureitscontinuingdisclosureobligationsare compliedwithinallmaterialrespects.Althoughtherehavebeeninstances of technicaldeficiencieswithits previousundertakings,theBondBankreasonablybelievesithascompliedinthepastfiveyearsinallmaterial respectswithitspreviousundertakingswithregardtotheRule. Governmental Units.In2014itwasdiscoveredthatcertain of theGovernmentalUnitswhotimelyfiled annualfinancialinformationinaccordancewiththeirpriorundertakingsinadvertentlyfailedtoassociatethat annualfinancialinformationwithallBondsissuedand Outstanding underthe2005GeneralBondResolution. EffectiveFebruary20,2014,eachundertakingand/orLoanAgreementexecutedbyGovernmentalUnitsincludes anexpressrequirementthatsuchfilingbelinkedtoallOutstandingBondsissuedunderthe2005GeneralBond Resolution.2 SOURCES OF CERTAIN INFORMATION AsofthedateofthisOfficialStatement,theGovernmentalUnitswhichhaveloanobligationsinanamount of tenpercent(10%)orgreaterinthepoolofloansfinancedwithproceeds of BondsaretheCityandBoroughof Sitka(15.92%),theCityandBorough of Juneau(14.43%),theKenaiPeninsulaBorough(12.52%),andtheCityof Ketchikan(11.29%).TheseGovernmentalUnitshaveprovidedtheinformationappearinginAppendixD of this OfficialStatement. TheBondBankmakesnorepresentationastotheaccuracy of theinformationconcerningtheCityand Borough of Juneau,theKenaiPeninsulaBorough,ortheCityandBorough of SitkafoundinAppendixDofthis OfficialStatement. 2 PriortoOctober 30,2014,aGovernmentalUnitthathadbondswhichconstituted 10 percentormore of outstandingmunicipalbondsheldbytheBondBankunderits 2005 GeneralBondResolutionwasrequiredto providecertainfinancialandoperatingdatatotheMSRB.EffectiveOctober 30,2014,allGovernmentalUnitswith outstandingmunicipalbondsheldbytheBondBankunderits 2005 GeneralBondResolutionarerequiredbythe terms of theirLoanAgreementstofilefinancialstatementswiththeMSRB. 30 DEFINITIONS ThefollowingtermsareusedinthisOfficialStatementwiththefollowingmeanings: "Act"-TheAlaskaMunicipalBondBankAct,codifiedasChapter85,Title44,of theAlaskaStatutes, asamended. "Bond Bank"-TheAlaskaMunicipalBondBank,apublic corporation and instrumentality oftheState of Alaskawithinthe Department of Revenuebutwithlegalexistence independent of andseparatefromtheState. "Bonds"-BondsissuedbytheBondBankunderthe2005GeneralBondResolutionpursuanttoa SeriesResolution.Theseinclude"Loan Obligations"and"ReserveFundObligations"asdefinedbelow. "Code"-Internal RevenueCode of 1986andtheregulationsthereunder,asamended. "Credit Enhancement"-Aletter of credit,aline of credit,acreditfacility,asuretybond,bond insurance,oranyotherinstrumentor arrangement obtainedinconnectionwiththeissuance of aSeries of Bonds tofurthersecurethepayment of theBonds of suchSeriesortosatisfytheReserveFundRequirement. "Credit Enhancement Agency"-AnybankorotherinstitutionthatprovidesCreditEnhancement. "Debt Service Fund"-Afund established bythe2005GeneralBond Resolution tobemaintainedand heldbytheTrustee.The2005GeneralBond Resolution definesandprovidesthatthe"InterestAccount," "PrincipalAccount"and"RedemptionAccount"are maintained withintheDebtServiceFund. "Fees and Charges"-Allfeesandcharges authorized tobechargedbytheBondBankpursuantto Sections44.85.080(8),(15),and(16)of theActandchargedbytheBankpursuanttothetermsandprovisions of theLoanAgreements. "Governmental Unit"-AmunicipalityorsuchotherentityfromwhichtheBondBankisauthorized bylawtopurchaseitsrevenuebonds,generalobligationbonds,notes,orotherformsof indebtedness andwhich otherwise satisfiesconditionsfoundinthe2005GeneralBondResolutionandintheLoanAgreement. "Loan Agreement"-Anagreement,andany amendments thereto,enteredintobetweentheBondBank andaGovernmentalUnitsettingforththetermsandconditions of aloan. "Loan Obligations"-Theamount of BondsandtheBonds themselves issuedbytheBondBankforthe purchase of MunicipalBonds ofa GovernmentalUnit. "Municipal Bonds"-General obligation bonds,revenuebonds,notesorotherevidence of debtissued byanyGovernmentalUnit,asdefinedintheAct,whichhavebeenacquiredbytheBondBankasevidence of a loantotheGovernmentalUnitpursuanttotheAct. "Municipal Bonds Payment"-Theamountspaidorrequiredtobepaid,fromtimetotime,for principalandinterestbya Governmental UnittotheBondBankontheGovernmentalUnit'sMunicipalBonds. "Notes"-Any obligations referredtointhe2005GeneralBond Resolution issuedbytheBondBank otherthanBonds. "Operating Fund"-Afund established bythe2005GeneralBondResolution.Thisfundisnotheld bytheTrusteeandmoneythereinisnotpledgedassecurityforBonds. 31 "Outstanding"-When usedwith reference to Bonds,shall mean,as of anydate,Bonds theretofore or then being delivered under the provisions of the2005 General Bond Resolution,other than Bonds owned orheld byorforthe account of the Bond Bank except:(i)any Bonds cancelled bythe Trustee ator prior to such date,(ii) any Bonds forthe transfer or exchange of orin lieu of orin substitution for which other Bonds shall have been delivered pursuant tothe 2005 General Bond Resolution,and(iii)Bonds deemed to have been paidas provided in the2005 General Bond Resolution. "ReserveFund"-The reserve account established bythe2005 General Bond Resolution andheldby the Trustee pursuant tothe provisions of the2005 General Bond Resolution. "ReserveFundObligations"-Bonds issued bythe Bond Bank to obtain fundsto deposited inthe Reserve Fund. "ReserveFundRequirement"-The amount required tobeon deposit inthe2005 General Bond Resolution Reserve Fundistheleast of thefollowing:(i)10%ofthe initialstated principal amount of eachSeries of Bonds then Outstanding;(ii)maximum annual principal and interest requirements onall Bonds then Outstanding;(iii) 125%of average annual principal and interest requirements onallBondsthen Outstanding;or(iv)suchlesser amount asshallberequiredbylaw.The Reserve Fund Requirement maybe satisfied entirely,orinpart,by Credit Enhancement;provided,however,any Credit Enhancement satisfying alloranypart of the Reserve Fund Requirement aftertheinitial issuance of Bonds orissuedin substitution foranyprior CreditEnhancement previously issuedwillnot,byitself,causea withdrawal or downward revision of theratings maintained byany Rating Agency with respect totheBonds. "RequiredDebtServiceReserve"-As of anydate of calculation,the amount required tobeon deposit inthe Reserve Fund which amount shallat least be equal tothe Reserve Fund Requirement. "SeriesResolution"-A resolution of the Bond Bank authorizing the issuance of a series of Bonds in accordance with the terms of the2005 General Bond Resolution. "2005GeneralBondResolution"-The Bond Bank's 2005 General Obligation Bond Resolution adopted July 13,2005,as amended August 19,2009.(The Bond Bank may adopt additional general obligation resolutions forthe same or different purposes.) MISCELLANEOUS The summaries or descriptions of provisions inthe Bond Resolution andall references to other materials not purporting tobe quoted infullareonly brief outlines of certain provisions thereof anddonot constitute complete statements of such documents or provisions,and reference is hereby madetothe complete documents and materials, copies of which willbe furnished bythe Bond Bank onrequest.The2005 General Bond Resolution has been included hereinas Appendix F. Any statements made inthis Official Statement indicated to involve matters of opinion or estimates are represented as opinions or estimates in good faith.No assurance canbegiven,however,thatthefactswill materialize asso opined or estimated. PRELIMINARY OFFICIAL STATEMENT The Bond Bank hereby deems this Preliminary Official Statement pursuant totheSECRuleI5c2-12asfinal as of itsdate except forthe omission of the information dependent uponthe pricing of theissue,suchas offering prices,interest rates,delivery dateand other terms of the2015Series Three Bonds dependent onthe foregoing matters. 32 OFFICIAL STATEMENT The Bond Bank has authorized the execution and distribution of thisOfficial Statement. ALASKA MUNICIPAL BOND BANK /s/ Deven J.Mitchell Executive Director 33 [THIS PAGE INTENTIONALLY LEFT BLANK] APPENDIX A Form of Legal Opinion [THIS PAGE INTENTIONALLY LEFT BLANK] WOHLFORTH I BRECHT I CARTLEDGE A PROFESSIONAL CORPORATION Julius J.Brecht Cynthia L.Cartledge William A.Earnhart Michael Gatti Nathaniel Parr Eric E.Wohlfarth BoardofDirectors AlaskaMunicipalBondBank P.O.Box110405 Juneau,Alaska 99811 LadiesandGentlemen: ATTORNEYS AT LAW 900 WEST 5TH AVENUE,SUITE 600 ANCHORAGE,ALASKA 99501-2048 September _,2015 TELEPHONE 907.276.6401 FACSIMILE 907.276.5093 WEBSITE WWW.AKATTY.COM WehaveactedasBondCounselinconnectionwiththeissuancebytheAlaska MunicipalBondBank(the"Bank")ofitsGeneralObligationandRefundingBonds,2015 SeriesThree(the"Bonds").Wehaveexaminedthelawandsuchcertifiedproceedings andotherpapersaswedeemnecessarytorenderthisopinion,includingtheopinionsof bondcounseltotheGovernmentalUnitsconcerningthevalidity,enforceabilityofthe MunicipalBonds,theLoanAgreementsandthe Amendatory LoanAgreementssecuring theLoansfinancedorrefinancedwiththeproceedsoftheBonds(assuchtermsare definedintheResolutionsreferredtobelow). TheBondsareissuedundertheAlaskaMunicipalBondBankAct,Chapter85of Title44oftheAlaskaStatutes,asamended(the"Act"),theGeneralObligationBond ResolutionoftheBankentitled"AResolutionCreatingAndEstablishingAnIssue Of BondsOfTheAlaskaMunicipalBondBank;ProvidingForTheIssuanceFromTimeTo Time Of SaidBonds;ProvidingForThePaymentOfPrincipal Of AndInterestOnSaid Bonds,AndProvidingForTheRightsOfTheHoldersThereof,"adoptedJuly13,2005, asamended(the"GeneralBondResolution")andSeriesResolutionNo.2015-04(S), adoptedAugust11,2015(the"SeriesResolution,"andtogetherwiththeGeneralBond Resolution,the"Resolutions"). TheBondsaresubjecttoredemptionpriortomaturityasprovidedintheformof Bonds. InconnectionwiththeissuanceoftheBonds,wehavereviewedtheResolutions andthefederaltaxcertificateoftheBankdatedthedatehereof(the"TaxCertificate"),a CertificateofNoLitigationoftheAttorneyGeneral(counseltotheBank),certificatesof theBank,theTrusteeandothers,andsuchotherdocuments,opinionsandmattersto theextentwedeemednecessarytorendertheopinionssetforthherein. A-I BoardofDirectors AlaskaMunicipalBondBank September _,2015 Page2 Theopinions expressed hereinarebasedonananalysisofexistinglaws, regulations,rulingsandcourt decisions andcovercertainmattersnotdirectlyaddressed bysuchauthorities.Such opinions maybeaffectedbyactionstakenoromittedor eventsoccurring after thedatehereof.Wehavenotundertakentodetermine,orto informanyperson,whether anysuchactionsoreventsaretakenordooccur.We disclaimanyobligationtoupdatethisletter.Wehaveassumedthe genuineness ofall documents and signatures presentedtous (whether asoriginalsorascopies)byany partiesotherthantheBankandthedueandlegalexecutionanddelivery thereof byany partiesotherthantheBank.Wehavenotundertakentoverify independently,andhave assumed,the accuracy ofthefactualmattersrepresented,warrantedorcertifiedinthe documents referredtointheprecedingparagraph.Furthermore,wehaveassumed compliance withthe covenants and agreements containedintheResolutions,theTax Certificate,andthetax certificates ofeachGovernmentalUnit,including(without limitation)covenantsand agreements compliance withwhichis necessary toassure thatfutureactions,omissions oreventswillnotcauseinterestontheBondstobe includedingrossincomeforfederalincometaxpurposes.Wecallattentiontothefact thattherightsand obligations under theResolutions,theBonds,theLoan Agreements, the Amendatory Loan Agreements andtheTax Certificate maybesubjectto bankruptcy,insolvency,reorganization,arrangement,fraudulent conveyance, moratoriumandotherlawsrelatingtooraffecting creditors'rights generally and subject totheexerciseofindividualdiscretionin appropriate casesandtotheapplicationof equitableprinciples.WeexpressnoopinionastotheundertakingbytheBankto provideongoing disclosure pursuant toSecuritiesandExchange Commission Rule 15c2-12. Astoquestionsoffactmaterialtoour opiruon,wehaverelieduponvarious statementsand representations oftheBankcontainedinthe Resolutions andinthe certifiedproceedingsand other certifications ofpublicofficialsfurnishedtouswithout undertakingtoverifythesameby independent investigation. Subjecttotheforegoing,weareoftheopinionthat,under existinglaw: 1)TheBankhastherightandpowertoadopttheResolutions. 2)The Resolutions havebeen duly andlawfullyadoptedbytheBank,arein fullforceandeffectandarevalidandbindingupontheBankand enforceable in accordance withtheirterms(subject,asto enforcement ofremedies,toapplicable bankruptcy,reorganization,insolvency,moratorium,orotherlawsaffecting creditors' rights generally fromtimetotimeineffect). A-2 BoardofDirectors AlaskaMunicipalBondBank September _,2015 Page3 3)The Resolutions createthevalidpledgeand assignment whichthey purporttocreateoftheMunicipalBonds,subjecttotheapplication thereof tothe purposesandontheconditionspermittedbytheResolutions. 4)TheBondsarevalidandbindinggeneral obligations oftheBank, enforceable in accordance withtheirtermsandthetermsoftheResolutions. 5)TheBondshavebeendulyandvalidlyauthorizedandissuedin accordance withtheConstitutionandstatutesoftheStateofAlaska,includingtheAct asamendedtothedateofthisopinion,andin accordance withthe Resolutions. 6)TheBondsarenotadebtorliability,nordothey constitute apledgeofthe faithandcredit,oftheStateofAlaska. 7)Under existinglaws,regulations,rulingsandjudicial decisions,intereston theBondsis excludable fromthegrossincomeoftheowners thereof forfederalincome tax purposes andisnotanitemoftaxpreferenceforpurposesofthefederal alternative minimumtaximposedon individuals andcorporations.However,interest ontheBonds istakeninto account in determining adjustedcurrentearningsfor purposes of computingthefederal alternative minimumtaximposedoncertain corporations.The opinionsetforthinthefirstsentenceofthisparagraphissubjecttotheconditionthatthe Bankandthe Governmental Units comply withallrequirementsoftheInternalRevenue Codeof1986,asamended,thatmustbecompliedwithin order that interest onthe Bondsbe,orcontinuetobe,excludable fromgrossincomeofthe owners for federal incometaxpurposes.TheBankand Governmental Unitshavecovenantedto comply withapplicablerequirements.Failuretocomplywithcertainofsuch requirements may causeinterestontheBondstobeincludedingrossincome thereof forfederalincome taxpurposestoberetroactivetothedateofissuanceoftheBonds. InexpressingouropinionastotheexclusionofinterestontheBondsfromthe grossincomeoftheownersasdescribedabove,wehavereliedon,andassumedtobe correct,the representations,covenants,and agreements oftheBankand Governmental UnitsintheLoan Agreements andthe Amendatory Loan Agreements,tax certificates of, andbondcounselopinionsfor,the Governmental Unitsandinformationfurnishedby andonbehalfoftheBankand Governmental Unitswithrespecttocertainmaterialfacts thataresolelywithintheirknowledgerelatingtotheproposeduseofthe proceeds ofthe BondsorMunicipalBonds. 8)Underexistinglaws,interestontheBondsisfreefromtaxationbythe StateofAlaskaexceptfortransfer,estateand inheritance taxes. A-3 BoardofDirectors AlaskaMunicipalBondBank September _,2015 Page4 Exceptasexpresslystatedabove,weexpressnoopinionregardingany other federalorstateincometax consequences ofacquiring,carrying,owningordisposingof theBonds.OwnersoftheBondsshould consult theirtax advisor regardingthe applicability ofanycollateraltax consequences ofowningtheBonds,whichmayinclude originalissuediscount,originalissuepremium,purchaseatamarket discount orata premium,taxationuponsale,redemptionorother disposition,andvariouswithholding requirements. Wehavenotbeenengagednorhaveweundertakentoreviewtheaccuracy, completeness orsufficiencyofthe preliminary officialstatement,theofficial statement or other offeringmaterialrelatedtotheBonds(excepttotheextent,ifany,statedinthe official statement ora supplemental opiniondatedthedatehereof). Thisopinionisgivenasofthedatehereof,andweassumenoobligationto update,reviseor supplement thisopinionorreflectanyfactsor circumstances thatmay hereafter cometoourattentionoranychangesinlawthatmay hereafter occur. Sincerely, WOHLFORTH,BRECHT &CARTLEDGE Cynthia L.Cartledge A-4 APPENDIXB State Payments to Governmental Units [THIS P AGE INTENTIONALLY LEFT BLANK] Appendix B State Payments to Governmental Units TheState of Alaska(the"State")disbursestoAlaskancitiesandboroughs(the "Governmental Units")fundsthatgenerallyareavailableforusesotherthanpayingmunicipalbonddebtservice.Intheevent of defaultbyaGovernmentalUnitwithrespecttoaLoanAgreement,theBondBankisauthorizedtocause suchfunds,heldincustodybytheStatepriortodisbursement,tobepaidovertotheBondBank.However,the Statemayatanytimereduceorterminatethedisbursementsorprogramsunderwhichtheyaremade.Fourof thedepartments of theStatethatdisbursemoneytoGovernmentalUnitsareasfollows: (1)Department of EducationandEarlyDevelopment.TheDepartment of EducationandEarly Development (DEED)disbursesStateaidforeducationalpurposesprimarilythroughtheschooldebt reimbursement,thefoundationfunding,andpupiltransportationprograms,inadditiontofundingforboarding homes,residentialboarding,youthindetention,specialschools,andtheAlaskaChallengeYouthAcademy programs.ThefirstprogramprovidesasystemunderwhichtheState,subjecttoannual appropriation bythe StateLegislature,willreimbursemunicipalitiesthatoperateschooldistrictsforcertaincosts of school construction.Statereimbursementappliestodebtserviceonlocallyissuedgeneralobligationschoolbonds. Timing of reimbursements isdeterminedby municipalities'debtservicepayments,andismade throughout the year.ThisprogramprovidesthatsubjecttostatutoryandregulatoryconditionsthattheStatewillreimburse municipalitiesforapre-determinedpercentage of debtserviceincurredforsuchbonds,dependingonwhensuch bondswereissuedandtheprojectcomponents.TheStatehasinthepast,andmayinthefuture,appropriateless thanthefullamounttowhichthemunicipalitiesareentitled.Whenappropriationsarelessthan100percent of theentitlement,fundshavebeenallocatedprorataamongtheeligibleschooldistricts. Underthesecondprogram,theStateaidslocalschooldistrictsinthepayment of operating expensesundertheState"K-12foundation"fundingwhichprovides education-related aidforoperatingcosts associatedwithqualifiedK-12schoolsaswellasprogramssuchasthehandicappedfacilitiesandnutrition programs.Theprogramprovidesformonthlydistributionstotheschooldistricts. Underthethirdprogram,thestateaidslocalschooldistrictsforpupiltransportation.Theprogram providesformonthlydistributionstotheschooldistricts. Underthefourthprogram,thestatehasprovidedone-timegrantfunds. (2)Department of Revenue.TheDepartment of Revenuedisbursesshares of variousStatetaxes collectedbythewithinthe jurisdiction of certainGovernmentalUnitsincludingaviationfuel,Commercial PassengerVessel,electric,telephone,liquorandfisheriesresourceslandedandbusinesstaxes.Paymentsare distributedbothsemi-annuallyinJanuaryandJulyandannuallyinOctoberdependinguponthetype oftax. (3)Department of Commerce,CommunityandEconomicDevelopment.The Department of Commerce,CommunityandEconomicDevelopment(DCCED)administersapaymentinlieu of taxesprogram underwhichthefederalgovernmentpaysafeeforuse of land.Thepaymentsreceivedfromthefederal governmentarepassedthroughtheStatetocertainGovernmentalUnits.DistributionsoccurannuallyinJuly. TheStatealsodisbursesmoneytocertainGovernmentalUnitsthroughtheDCCED'sCapitalMatchingGrants programtoprovideassistanceinfinancingcapitalprojects.Distributionsaremadethroughouttheyearas approvedprojectsareconstructed.AdditionallytheStateRevenueSharingprogramprovidesanannualtransfer tocertaingovernmentalunitsbasedonpopulation.Therevenuesharingtransfersoccurinthefirstquarter of thefiscalyear. (4)Department of Corrections.TheDepartment of Correctionstransfersmonthlyamountstopay operationalexpenses of localcommunitiesthathouseprisonersin municipal-owned facilities. B-1 Sources:State ofAlaska,Department ofAdministration,Division ofFinance;State ofAlaska,Office of Management andBudget;andState ofAlaska,Department ofRevenue,TaxDivision.Furtherinformation regarding theState ofAlaska maybe found at http://alaska.gov(thisreferenceisnotahyperlink,and,by thisreference,theState ofAlaska's websiteisnot incorporated intothisOfficialStatement}. B-2 to, w Alaska Municipal Bond Bank Capability to Intercept Funds F'V 201-151"'......Rovenue Shorln/!. Tnlr.&F~r.lIDC F'V2016 DDT FY2016 p'"OJ"Cl.'"F'V 2015 Pr"jo.IOII MIllchl,,!!Grnnb n~of FV 2015 lime Irnn.r.",for Relmhur••ment School Deb'Etlucllllon Supporl August I,201S,..1l11>c F'V2016 Communi!)"lIi-b"",.d "lone 7 cnlrj:turlc.uf 1111 Prnj!;rnul Irun.r.rred o.R.imbur.ccmrnl Irnn<r.n..,t1tn12 Icnl uruwnllowh n.J:.II••Tron~r.n..,dIn 11m.""Odul>cr "mIlken••rype !kbt UI"·.-k.tum"line lrundcrn:doS dcbl l11un1hly In~lollm.hIJ pruJeds lin:cumplclcd 12 r.."d munrhly "rfLscnl}"."r {Ulldlllcd In ••",I·"nnuulJ"(cur ...."!servl••come.duc s.ml-durIn.:n"'ol ,.CH (cuncnlllnd pll,l y."1"",,}menls tlnrln.:l1<cl1l (run'l'nly."r FlscnIYClll"2UIG December "c",,"nouol nnnUllllr (curronf )'.111"(I'urronl yem'"nnunl rll[lll"'!!...."t "c"r (cUlTent y.""IN 2UI-1 PILT unn",,'TlIIUllntucepl Tulul Dobt Cunr,,~ "nnllullYI npproprl"lIun)'1IInll,,1npproprillllnn)opproprll.tlon)lIppruprl"llu.~.)(I)u"nu"I'lppl'oprluU"n)tru.•nr.r"I'pproprlutluu,Cupllbllily Se ...'lce(2)RI,II" Burou~h.~ Aleutians Ea.1 Borough SI.797.534 S459A85 S742.548 S4.91!.913 S4.378.7GU 0 SO 5386,351 S12.676,S91 S~.6lI11.6!l9 4,87 Munieipnlity or A"cl!"rn~e IA33.H46 0 46.194.707 32051.'135 407,O'J7.25fJ 0 "14,642.~19 793,718,557 294.900 2,(,'>1.411 Hnines ROTOUgh (3)591.211 0 975.671 2,619.243 17,353,920 215,954 0 598.985 22)54,9114 1.807.465 ID7 ClI.I·&'Borough "rJlIllI:n"5.14-1.121 0 11.')81.106 38,662.933 11.327Jm u n ~.OJ-I.988 69.151.1125 17.674.6!l9 391 Kcn.li Pom"."I"Ilurough 10402.081 0 2.781.075 79,544,016 18J1I5.802 o "2.124.472 1tJ4,237A46 13,1172.898 '"Ketebiknn (inleway Tlor"'lllh 3.053,022 0 2.6911.978 22.77S.2J3 1:!.786~~77 0 0 625,3;;6 41,938.946 5,944,571 7,05 KoolOk hl~nd BOTOUllh (3)1{.14,O25 0 5,478,067 26,642,170 4.404/122 0 0 61l<J,804 38,8l8,(i81l 7,317,270 no Lake &.Perrin.•uln Borough S557,lI53 SO 1,802.&40 9,15],816 0 0 0 -127,173 11,941.6112 2,428,050 492 Nu/thll1:.1 Ardic Buruugh 2.539 0 4,D58,042 38,]50,H\5,598,289 0 0 -127.138 48.436.941 6,269.410 77] I'clel.h"'g Borough 1.263.718 0 -170,978 5.692_676 6.475.92~173.6~6 512.947 534.072 15.12.\.939 1.[,43_348 "0 Cily'&Tluruullh ufSitkn 1.466.546 "2,410.188 lJ,461,270 31,977.167 391.194 "905.101 50.6110466 13.'J98.IJ02 362 MunicipalilY ufSknllw"j'(]l 4,077.115 "0 7118.925 9,7690467 0 "-1311.183 14.985.690 U90.862 1077 City &.Boroullh OrW""Bcll 369.617 0 ~01.570 3.483.443 4,1191.147 325,~74 0 595,505 9,866,556 3118.27625,41 ClII.s i\dnk 51110.249 S"SO sr SO SO SO 5109,3119 S2119,SSIIS11l4.13K 2711 neillel"S2.632 01 "I 01 14.638,6511 0 11114,164 391.2.52 15.1I36,699 291.8311 5427 Cordovn 1,906,957 0 9~1J,443 3,948,931 2,648,286 135)03 393,230 ~04.262 10,167,412 1,774,665 S 7] Cmil!0 0 0 4,980.634 ~,lll1,4211 322.724 n o 7,421,7116 135.991J 54511 nilli"s.hnmOJ 489.647 0 793,161 6,J-I1.535 90~_119 52(,.1151 422,9117 2011.63(,9.6117.1%257.295 37,65 Hcorah 743.252 0 65,G67 2,196,1197 242,1101 0 1]7,204 133,530 3.519 ...51 107.600 3~71 Homer"139.020 0 0 0 5,375.734 -124,0110 0 337,544 6,276_178 2119.750 2166 Kelchikao"(3)3.031.293 0 o "1].U63.01l]""-1116,957 16,58l,3]]7.369,78~2.25 Kco"'"349.153 n 0 "12.613,595 0 14.252.~36.824 1].413.1\2.4 1711.7911 7502 Ki"gCo"c"01 ~12.655 0 0 0 521,579 0 0 139,926 1,174,160 266,65~'140 K",.link"(])1.274.151 n ",7.386,445 991.552 0 394.074 11l.046,2~2 1i06.209 1657 Nome -19.980 o 213.2211 11.579.603 15.175,7&3 0 438.9-15 268.0111 24,72S.&111I 752.359 3~86 NO/IIIl'ole"52._597 0 n o 2,4116,11115 0 0 199.111111 2,739,370 36.550 7~95 Polmcr·150.128 0 0 0 7,022.7611 n 0 3112,175 7,555.071 11L050 61103 S;llI,1Pui"l"24.1.817 0 0 0 80551 0 "143,1176 396-244 11I]_IIIO 2.16 Sn~flIno"0 0 ,0 769,7011 0 u 115,329 1185,029 12,76]6935 Sewn,d"3)lI~n.1l74 n ,n 211,301,495 3611.952 ,212.%3 29_7113.4114 1.559.9115 1904 SulLlulon"411.090 0 "0 4_1(16.199 0 "297.475 4,451.764 219.07(l 2032 Ul\lllo'~11 11,2111,176 3G6,745 661.449 4,504,557 566,965 4)1,207 763,5114 3111,77915,1I31,462 3,S~I,226 -150 Vnl"ez 8]113611 213,3111 1,619.257 4.664,931 4,7&4,472 354.7~9 703,602 21111,868 13.'1(,7,6~11 341,950 39311 IVnsilla"251.392 n 0 0 11,666,1I~0 0 0 ~1I9,403 12,407,615 4~O,1I19 29,411 Olh.rJurb<.ll.Uol1'l Uoiversity of Alolb (3)(4)3115.9IJO.O(l(J 2,204.110(1 17509 •Cummunlll.s lho.0""luclIT.dIn 0 bu",u~h whlch up.n,t..the publi<s.huul.lo lh.eurnmunU,.um!rc<el~el'hnl relnlcd Educnllun SuppurT FunLllo~ (I)Mutchln/!:~'nn"nI'l'npprnprinl.d hj'lit.All1.kll Stlll.I.A-~""lut.nod clln VD')'ll/!:nlnennlly rrnm yeur In ye"t. (2)IndudH nnnuol debl ,en'l..o...udnted II'llb bur"l,.old under lh.Bood Bonk'.1976 R.sulutluo. (J)Burru,nntu.hblksuc (4)Inleruplnbr.r"-enll."rtlle Unh'•..."II)'of Alud",L'cunlprlud uf dlncl opproprllliluo.r...,m.he Stut.ur AIII..kll. [THIS PAGE INTENTION ALLY LEFT BLANK] APPENDIXC Governmental Unit Statistics Regarding Participation inthe Bond Bank [THIS PAGE INTENTIONALLY LEFT BLANK] APPENDIXC GOVERNMENTAL UNIT STATISTICS REGARDING PARTICIPATION INTHEBOND BANK 2005 GENERAL BOND RESOLUTION OUTSTANDING LOAN PRINCIPAL TO GOVERNMENTAL UNIT BORROWERS OFTHE ALASKA MUNICIPAL BOND BANK ASOF AUGUST 1,2015 (DoesNot Include 2015Series Three Bonds) Outstanding Percent of Borrower Par Outstanding City and Borough ofSitka 147,250,000 15.92% City and Borough of Juneau 133,480,000 14.43% Kenai Peninsula Borough 115,735,000 12.52% Cityof Ketchikan 104,435,000 11.29% Kodiak Island Borough 85,790,000 9.28% Ketchikan Gateway Borough 40,085,000 4.33% Northwest Arctic Borough 39,055,000 4.22% Cityof Seward 36,950,000 4.00% Cityof Unalaska 35,960,000 3.89% Aleutians East Borough 28,610,000 3.09% Municipality of Skagway 21,430,000 2.32% Lake &Peninsula Borough 17,145,000 1.85% Cityof Cordova 18,945,000 2.05% Cityof Kodiak 13,205,000 1.43% Petersburg Borough 11,885,000 1.29% Cityof Dillingham 11,275,000 1.22% Haines Borough 10,535,000 1.14% Cityof Nome 5,425,000 0.59% Municipality of Anchorage 3,735,000 0.40% Cityof Horner 3,475,000 0.38% CityofBethel 2,790,000 0.30% Cityof Valdez 2,725,000 0.29% Cityof Sand Point 2,500,000 0.27% CityofKingCove 2,155,000 0.23% Cityof Soldotna 2,010,000 0.22% Cityof Craig 1,810,000 0.20% CityofKenai 1,615,000 0.17% City and Borough of Wrangell 1,550,000 0.17% CityofWasilla 1,540,000 0.17% Cityof Hoonah 1,135,000 0.12% Cityof Palmer 860,000 0.09% Cityof Adak 825,000 0.09% Cityof North Pole 820,000 0.09% Cityof Saxman 165,000 0.02% Reserve Obligations 17,820,000 1.93% Total Outstanding Par $924,725,000 100.00% C-l [THIS PAGE INTENTIONALLY LEFT BLANK] APPENDIXD Summaries of Borrowers Representing 10%orMore of Outstanding Principal of Bonds Issued Under the2005General Bond Resolution [THIS PAGE INTENTIONALLY LEFT BLANK] Kenai Peninsula Borough -General Fund General Obligation Financial Summary Municioal Financial Posifion I 2010 2011 2012 2013 2014 Averaee PropertyTax Collections Borrower's Prcoertv Tax Rate oer $1,000 $4.50 $4.50 $4.50 $4.50 $4.50 $5.40 MunicipalLevy $28,875,124$29,058,274 $30,419,493 $30,823,497 531,750,392 $29,669,460 CurrentYear's Collections 528,375,677 $28,630,610529,946,804$30,382,636531,332,596$29,252,398 Current Collection Rate 98.27%98.53%98.45%98.57%98.68%98.59% TotalYear's Collections $28,868,219 $29,044,494 $30,396,459$30,729,748 531,332,596 529,611,923 Total Collection Rate 99.98%99.95%99.92%99.70%98.68%99.81% General Fund Total EndingFundBalance $23,025,423 5 21,705,814 $21,466,583 $23,310,985I$24,881,372 . Unreserved Ending FundBalance 5 22,864,839 $21,454,058 $21,268,520 $16,296,148 $15,896,686$19,850,003 Expenditures $70,829,556 $72,163,558 s 71,347,868 5 72,452,478 $73,376,361$66,417,519 Fund Balance/Expenditures 32%30%30%22%22%30% Total Revenues $68,716,762 5 70,799,893 $71,108,637 $74,255,493 $74,945,074$67,188,610 Intergovernmental Revenues $8,987,813 $8,538,331 $9,749,464 $10,392,037 $9,486,455 58,402,746 Percentaee Jnteraovemmental 13%12%14%14%13%12% Overall Municipal Debt Position Revenue Debt-Governmental Funds $$$$$ Revenue Debt-EnterpriseFunds $5 5 $5 Total Revenue Debt $5 $$$ General Obligation Debt ~Governmental Funds(GeneralFundonly)$20,364,000 $33,910,000 5 30,230,000 5 26,820,000 $45,055,000 General Obligation Debt-EnterpriseFunds $$5 $$- TotalGeneral Obligation Debt 5 20,364,000 s 33,910,000 $30,230,000 $26,820,000 $45,055,000 Total Revenue andGeneral Obligation Debt $20,364,000 $33,910,000 $30,230,000 $26,820,000$45,055,000 .'.'cc .'.,..:. Governmental GO Debt/Assessed Value (mrv)0.32%0.53%0.46%0.40%0.65% Enterprise GODebt/Assessed Value(mrv)0.00%0.00%0.00%0.00%0.00% Total Revenue andGO Debt/AV.(mry)0.32%0.53%0.46%0.40%0.65% 'cc ·C."C ...... " ,~. General Obligation DebtPerCapita $380 $612 5536 $473 $792 Total Revenue andGODebtPerCapita 5380 5612 $536 $473 $792 General Economic and Demographic Data I 2010 2011 2012 2013 2014 Annual Growth Rale Population 53,578 55,400 56,369 56,756 56,862 0.19% Assessed Value $6,369,098,000 $6,393,531,000 5 6,633,241,000 5 6,716,010,000 $6,960,'96,00_ Assessed ValuePerCapita 5 118,875 $115,407 $117,675 $118,331 $122,405 Top10 Tax Payersasa %ofTotal Assessed Value 15.77%15.23%14.38%16.18%17.05% (mry):mostrecentyear D-l CentralPeninsulaGeneral Hospital FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited Audited Audited Audited Audited ASSETS Capital Assets (netof depreciation)$68,368,337 $67,842,931 $64,853,893$69,429,959$71,387,990 Cash 23,561,00421,700,30227,803,487 35,197,81335,508,443 CashheldforPlant Replacement 10,528,599 10,097,241 11,421,461 11,322,729 16,447,887 Restricted Assets 1,241,196 3,584,121 633,493 500,000 500,000 Unspent bond proceeds 31,275,450 Other Assets 18,093,771 19,105,718 29,383,574 29,863,006 36,846,307 Total Assets 121,792,907 122,330,313 134,095,908 146,313,507191,966,077 LIABILITIES ANDNET ASSETS Revenue Bonds Payable 32,490,000 GOBonds Payable 37,920,00035,990,00032,255,00030,130,000 27,905,000 Other Liabilities 14,057,58510,965,610 18,041,771 18,176,258 20,336,761 Total Liabilities 51,977,585 46,955,610 50,296,771 48,306,258 80,731,761 NET ASSETS 69,815,322 75,374,703 83,799,137 98,007,249 111,234,316 Operating Revenues 88,941,888 101,279,075116,849,605 123,951,269 126,713,712 Operating Expenses 78,326,691 86,771,449 99,255,770 102,247,165 104,364,018 Depreciation 8,381,029 8,056,595 8,004,562 7,959,305 8,066,688 Operating Income (Loss)2,234,168 6,451,031 9,589,273 13,744,79914,283,006 Non-Operating Revenue (Expense)249,199 (1,105,595)(808,253)(1,541,657)(1,070,583) Net Income (Loss)Before Contribution 2,483,3675,345,436 8,781,020 12,203,142 13,212,423 Capital Contributions 176,391 212,945 52,843 2,004,970 14,644 Change inNet Assets 2,659,758 5,558,381 8,833,863 14,208,112 13,227,067 D-2 II,;IIYANU I U'""I\A GENERAL OBLIGATION FINANCIALSUMMARY Municiual Financial Position 2010 2011 2012 2013 2014 Averaze roperty Tax Coliecttons Borrower'sPropertyTaxRateper SI,OOO $6.00 $6.00 $6.00 $6.00 .6.00 .6.00 Municipal Levv $5,768,331$5,799,400$5,9U4,617$5,957,735 $5,901,738$5,844,470 Lurrent Year's Lollections .5,735,962 "",753,039 .5,874,918 .5,893,452 .5,842,721 .5,798,187 Current Collection Rate 99.44%99.20%99.50%98.92%99.00%99.21% TotalYear'slollections .5,801,822 .5,807,869 .5,909,321 .5,893,452 $5,842,721 .5,833,551 Tota Collection Kate 100.58%100.15%100.08%98.92%99.00 %99.82% Oenerat fund UnreservedEn ing FundBalance I'8,8 3,936I •11,508,475,•13,584,873 I s 14,268,394,•15,996,580,•11,900,919 Expenditures s 23,597,203 1$23,260,649 s 24,075,729 ,$23,691,912 1 s 23,628,379 1s 23,678,555 Fun Balance/Ex enditures 38%49%56%60%68%50.26% Total Revenues 1$24,882,306 1$24,709,916 •26,584,728 1$25,953,885 ,.26,507,173 I'25,760,552 Intergoverrunental Revenues s 2,219,501 1 s 2,380,298 s 2,659,323 1 s 2,693,86U s 2,71,990 s 2,519,688 PercentageIntergovernmental 9%10%10%10%10%9.77% IUverall Municipal Debt Pcsthon RevenueDebt-Enterprise Funds $48,467,078$68,807,401$68,593,411 $106,145,822 $108,940,000 RevenueDebt-Governmental Funds 1$175,500 1$165,750 $156,000'$146,250 s 202,641 Genera Obligation Debt-Governmental FWld.S 1$32,550,000 ,$36,300,000 s 32,290,000 $31,020,OOU s 28,635,000 General Obligation De t-Ente riseFunds I·-1$•-1$'.- Total General Obligation Debt ,$32,550,000 1$36,300,000$32,290,000 1$31,020,000 s 28,635,000 TotalRevenueand General Obligation Debt 1$81,192,578 s 105,273,151 $101,039,411 s 137,312,072 s 137,777,641 ...,......",.--,j; Governmental GU DebtTaxableAssessedValue 3.42%3.69%3.26%3.10%2.91% Total RevenueandGO Debt AV.8.52%10.69 10.20%13.72%14.01 ,..,.:_,.'. .....':'...'.':;"i.':;:: General Dbllgation De t Per l aIta $3,665 $4,138 ~3,607 $3,415 $3,152 otalRevenueand LiU DebtPer Capita .9,142 .12,000 $11,287 $15,116 .15,167 GeneralEconomicandDemographicData 2010 2011 2012 2013 2014 AnnualGrowth Rate Population 8,881 8,773 8,9521 9,0841 9,084 1.47% TaxableAssessedValue $953,574,685 $985,073,129 $990,930,238$1,001,066,784 $983,623,000 0.59% AssessedValuePerCapita 1•107,372 $112,285 •110,694I $110,2011 •108,281 Top10TaxPayersasa %ofAssessedValue 8.21%7.64%7.57%7.57%7.57 D-3 City and BoroughofSitka Electric Enterprise Fund Financial Summary 201020112012 2013 2014 Audited Audited AuditedAuditedAudited Assets Cash 8,868,159 24,320,421 31,450,650 28,803,187 13,505,669 Restricted Assets 7,149,277 6,871,164 3,595,875 21,197,459 18,121,955 Other Assets 4,256,023 5,010,167 7,266,275 13,897,615 11,777,153 Construction inProgress 5,555,467 11,646,987 18,086,724 58,930,539 137,885,040 UtilityPlantinService 64,914,83363,103,15061,775,003 59,900,34359,508,277 Total Assets 90,743,759 110,951,889 122,174,527182,729,143 240,798,094 liabilities and Net Assets liabilities Other Liabilities 636,920 1,722,772 2,477,182 6,355,564 13,017,817 Revenue BondsPayable 28,090,000 48,700,00047,570,000 79,485,000 105,100,000 Deferred loss/premium on bonds (815,343)1,471,509 (1,711,547)5,943,338 6,742,293 Revenue NotePayable 9,054,598 8,800,1888,535,498 7,973,608 7,973,608 Total liabilities 36,966,175 60,694,469 56,871,133 99,757,510 132,833,718 Net Assets 53,777,58450,257,420 65,303,394 82,971,633 107,964,376 Operating Revenues 10,852,914 11,401,523 11,611,319 12,077,554 14,240,772 Operating Expenses Administrative and General 1,699,7371,739,698 2,003,768 1,975,492 2,860,066 Operation and Maintenance 4,366,115 5,257,342 5,914,895 5,152,028 4,964,074 Depreciation 1,994,177 1,987,5581,971,739 1,986,195 1,841,712 Operating Income 2,792,885 2,416,925 1,720,917 2,963,839 4,574,920 Nonoperating revenue (expense) Investment Income 523,298 490,986 459,107 314,600 196,399 Interest Expense (2,369,426)(1,725,198)(2,848,639)(1,678,238)(426,419) Other 208,962 -625,748 572,946 812,866 Net Income before contributions and transfers 1,155,719 1,182,713 (42,867)2,173,147 5,157,766 Capital contributions 2,853,752 4,039,237 5,266,050 17,169,455 19,455,106 Extraordinary Item: NetPensionObligationRelief 119,824 139,806 325,771 379,871 Transfer In(Out)net (23,898)--(998,128)- Change InNet Assets 3,985,573 5,341,774 5,362,989 18,670,245 24,992,743 Population ofCityand Borough 8,881 8,773 8,952 9,084 9,098 #of electric customers 5,278 5,282 5,3095,4035,490 KwH Sold 108,739,970111,795,344111,048,623 111,155,330 111,155,330 Revenue BondDebtService 4,108,407 3,477,9593,467,567 4,529,240 5,045,158 Revenue Bond Coverage (>1.25)1.34 1.41 1.43 1.27 1.34 Note:$1,440,000 transferred intoRate Stabilization Fundin FY2013 Note:Totalof rate Stabilization FundasofJune30,2013 -$2,151,000 D-4 CITYANDBOROUGHOFSITKA HARBOR ENTERPRISE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited Audited Audited Audited Audited ASSETS PlantIn-Service(netof depreciation)15,465,19514,789,299 14,122,59113,550,231 13,153,475 Land 90,000 90,000 90,000 90,000 90,000 Construction Work inProgress 317 20,229 57,838 665,476 7,824,365 Cash 3,014,067 3,733,467 4,735,101 6,599,1876,616,954 Restricted Assets 3,615,663 589,166 Other Assets 987,099 1,342,572 1,339,3891,216,385 1,524,898 TotaI Assets 19,556,678 19,975,567 20,344,919 25,736,94229,798,858 LIABILITIES ANDNET ASSETS RevenueBondsPayable 0 0 0 4,569,486 3,840,000 Other Liabilities 1,500,637 1,405,227 1,156,003 1,144,1381,689,033 Total Liabilities 1,500,6371,405,2271,156,003 5,713,6245,529,033 NET ASSETS 18,056,041 18,570,34019,188,916 20,023,318 24,269,825 Operating Revenues 3,040,330 2,854,858 3,154,885 3,096,419 3,164,252 Operation and Maintenance 2,133,8772,492,110 2,434,329 1,708,210 2,454,599 Administrative andGeneral Depreciation 799,254 899,956986,619668,511 666,074 Operating Income (Loss)107,199 (537,208)(266,063)719,698 43,579 Non-Operating Revenue(Expense)(183,181)46,509 155,306 156,844 776,434 Net Income (Loss)Before Contribution (75,982)(490,699)(110,757)876,542 820,013 Capital Contributions 242,186 1,690,873 2,549,949 0 3,458,599 Net Transfers-In (Out)400,000 3,804,600 675,000 (42,141)(32,105) Special item-NPOIOPEB write off ChangeinNet Assets 566,204 5,004,774 3,114,192 834,401 4,246,507 Population ofCity 8,881 8,773 8,952 9,084 9,098 No payments of RevenueBondCoverage NoHarborBonds NoHarbor Bonds NoHarbor Bonds P&I 5.16 D-5 1<';11 Y OF ""I ""''''''''GENERAL OBLIGATION FINANCIAL SUMMARY Municipal Financial Position 2009 2010 2011 2012 2013 Averaae ropenyax c.ouecnons Borrower'sPro ertv TaxRate er ~1,000 '11>.10 ~6.10 ~6.20 ~6.20 ~6.70 ~6.26 Municipal Levv :>4,868,459 :>4,885,779 :>4,621,143 :>4,648,128 ~5,344,326 :>4,873,567.00 CurrentYear'sCollections :>4,794,074 :>4,689,396 :>4,565,367 :>4,590,563 ~5,276,616 :>4,783,203.20 Current Collection Rate 98.47%95.98%98.79%98.76%98.73%98.15% Total Year's Collections :>4,844,090 :>4,689,396 :J;4,565,367 $4,590,563 ~5,276,616 $4,793,206.40 TotalCollectionRate 99.50%95.98%98.79%98.76%98.73%98.35% \:reneraJ una Unreserved Ending Fund 8alance ~4,649,409 s 5,101,448 s 5,295,406 s 4,285,383 ~4,074,588 $4,681,247 Expenditures s 18,084,246 s 17,159,791 s 18,527,140 s 19,657,738 s 19,509,987$18,587,780 Fund Balance/Expenditures 26%30%29%22%21%25% Total Revenues s 14,019,651 s 13,886,302 s 15,007,571 s 14,949,242 s 15,646,387 $14,701,831 Intergovernmental Revenues $1,348,409 $1,233,173 $1,820,575 $1,644,256 $1,695,138 $1,548,310 Percentage Intergovernmental 10%9%12%11%11%10% Uverall MUIDClpat Debt Position Revenue Debt-Enterprise Funds $57,411,354 $56,995,549 $54,828,636 $52,028,061 $64,183,054 Revenue Debt-Governmental Funds s -$-$- General Obligation Debt-Governrnental Funds s 5,682,565 12,280,863 s 11,452,32815,726,032 s 14,535,682 General Obligation Debt -Enterprise Funds s 1,935,4584,942,967 $5,100,2225,006,445 $2,763,776 Total General Obligation Debt $7,618,02317,223,830 $16,552,550 20,732,477 $17,299,458 Total Revenue andGeneral Obligation Debt $65,029,37774,219,379 $71,381,186 72,760,538 $81,482,512 ".."..........,..:......•.'......,'"7/;01 Governmental GO Debt/Assessed Value tmrvj 0.71%1.53%1.43%1.95%1.70% Enterprise GODebt/Assessed Value NY)0.24%0.62%0.64%0.62%0.32% Total General Obligation Debt/A.V.NY)0.95)'0 2.15%2.07)'0 2.56%2.02)'0 Total Revenue and GO Debt/A.V.rnrv:8.15%9.27%8.91%9.00%9.50% '""'.:,,':':.""..',.'",..'.'.......",;....• .',.,•.~':~ General Obligation Debt Per Ca ita ~1,015 ~2,140 ~2,033 ~2,501 ~2,081 Total Revenue andGO Debt Per Capita :Iill,667 $9,220 $8,767 :Iill,776 $9,802 General Economic and Demographic Data 2009 2010 2011 2012 2013 Annual Growth Rate Population 7,503 8,050 8,142 8,291 8,313 0.27% Assessed Value $798,108,100 $800,947,400 $801,175,000 $808,516,900 $W","'".AssessedValuePerCapita ~106,372 ~99,497 ~98,400 ~97,517 ~103,139 Top10TaxPayersasa %ofTotalAssessedValue 8.73%10.57%10.39%10.42%11.92% Ilmry:most recent year D-6 CITYOF KETCHIKAN KETCHIKAN PUBLIC UTILITIES ENTERPRISE FUND FINANCIAL SUMMARY 2009 2010 2011 2012 2013 Audited Audited Audited Audited Audited ASSETS UtilityPlan In-Service $69,718,266 $67,177,925 $69,018,328 $83,919,407$83,919,407 Construction Work in Progress 8,017,706 14,788,56317,131,918 8,123,495 8,123,495 Cash 13,958,674 12,566,00513,845,368 16,767,88916,767,889 Restricted Assets 4,062,167 3,050,592 2,963,566 2,695,085 2,695,085 Other Assets 8,686,219 12,118,366 11,991,790 6,159,953 6,159,953 Total Assets 104,443,032 109,701,451 114,950,970 117,665,829 117,665,829 LIABILITIES ANDNET ASSETS Revenue Bonds Payable 19,902,223 20,233,232 18,884,282 16,602,060 16,602,060 Other Liabilities 4,045,215 3,983,215 4,847,079 5,443,636 5,443,636 Total Liabilities 23,947,438 24,216,447 23,731,361 22,045,69622,045,696 NET ASSETS 80,495,594 85,485,004 91,219,609 95,620,13395,620,133 Operating Revenues 33,310,53732,975,154 34,172,941 34,802,748 34,802,748 Operation and Maintenance 20,861,336 19,060,63919,997,855 21,992,64221,992,642 Administrative and General 6,034,476 5,603,405 6,097,427 5,408,961 5,408,961 Depreciation 6,086,514 5,932,099 5,892,449 6,872,7676,872,767 Payment inLieuof Taxes Operating Income (Loss)328,211 2,379,011 2,185,210 528,378 528,378 Non-Operating Revenue (Expense)(402,557)(479,652)(363,607)(416,621)(416,621) Net Income (Loss)Before Contribution (74,346)1,899,359 1,821,603 111,757 111,757 Contributions 2,085,231 3,818,051 4,641,002 5,016,767 5,016,767 Special Item Transfer ofNet Assets -Swan Lake-LakeTyee Intertie Project Transfer -Payment InLieuofTaxes**(675,000)(728,000)(728,000)(728,000)(728,000) Change inNet Assets 1,335,885 4,989,410 5,734,605 4,400,524 4,400,524 Population of Service Area 12,984 13,477 12,984 13,477 13,477 Population ofCity 7,503 8,050 7,503 8,050 8,050 #of Electric Customers 7,365 7,418 7,365 7,418 7,418 #of Telephone Access Lines 7,467 6,994 7,467 6,994 6,994 #of Water Customers 3,217 3,207 3,217 3,207 3,207 Revenue Bond Coverage 2.30 2.80 2.30 2.80 2.80 *Water isonly provided withintheCity **Change in accounting standards payment inlieuoftax must bereportedasa transfer D-7 CITYOF KETCHIKAN PORT FINANCIAL SUMMARY 2009 2010 2011 2012 2012 2013 Audited Audited Audited AuditedRestatedAudited ASSETS Cash $4,827,125 $4,364,226$2,373,808 $2,285,517$2,285,517 2,900,167 PortFacilities(net)44,947,62043,642,947 42,020,64047,766,776 47,766,776 53,490,542 Construction WorkinProgress 963,018 1,116,782 5,531,746 5,066,0485,066,048 5,449,151 Restricted Assets 4,819,708 5,307,521 5,623,924 6,082,097 6,082,097 6,595,730 OtherAssets 1,730,443 1,281,312 3,670,192 4,518,553 4,236,551 4,140,133 TotalAssets 57,287,91455,712,78859,220,310 65,718,991 65,436,989 72,575,723 LIABILITIES ANONETASSETS General Obligation BondsPayable 1,035,000 795,000 540,000 270,000 270,000 0 Revenue Bonds Payable 36,540,000 35,830,000 35,090,00034,315,000 34,315,000 33,505,000 Other Liabilities 3,147,9573,134,814 2,847,180 1,072,313 1,072,313 1,699,380 Total Liabilities 40,722,957 39,759,814 38,477,180 35,657,313 35,657,31335,204,380 NETASSETS 16,564,957 15,952,974 20,743,130 30,061,678 29,779,676 37,371,343 Operating Revenues 8,922,228 8,000,492 7,986,404 8,592,255 8,592,255 9,145,920 OperationandMaintenance 5,368,009 5,319,252 3,957,909 3,884,156 3,888,525 4,416,473 Depreciation 1,460,2651,446,527 1,401,7541,359,5131,359,513 1,636,863 PropertyTaxes 154,041 167,219 152,762142,575 142,575165,627 PaymentinLieuofTaxes - OperatingIncome(Loss)1,939,913 1,067,494 2,473,979 3,206,011 3,201,642 2,926,957 Non-Operating Revenue(Expense)(1,718,248)(1,903,421)(2,043,804)201,299223,562 (912,634) NetIncome(Loss)Before Contribution 221,665 (835,927)430,175 3,407,310 3,425,204 2,014,323 Contributions andCapitalGrants 905,943 518,944 4,654,981 6,214,416 6,214,416 8,676,543 Extraordinary Item SpecialItem Transfers (8,178)(8,178)(80,199) Transfer-PaymentinLieuofTaxes••(290,000)(295,000)(295,000)(295,000)(295,000)(319,000) ChangeinNetAssets 837,608 (611,983)4,790,156 9,318,5489,336,442 10,291,667 1.25 x AnnualDebtService 2.45 2.00 2.24 3.36 3.36 3.00 1.0 x AnnualDebt Service/ReservesAccount/Repair andReplacementFund/SPH LeasePayments 1.13 0.99 1.16 1.67 1.67 1.41 *Unaudited #ofShips 36 26 28 34 34 38 #of Calls/Stops 496 429 426 467 462 453 #ofWaterPassengers 937,419 828,929 830,547 885,799885,799 938,124 Reflects statistical information provided bythe Ketchikan VisitorsBureau Beginning in2005,changein accounting standardsrequiredpaymentinlieuoftaxestobereportedastransfers. D-8 CITYAND BOROUGH OF JUNEAU FINANCIAL SUMMARY General Governmental Fund Municinal Financial Position 2010 2011 2012 2013 2014 Averaae roperty .tax \..otjecttons Borrower's Property TaxRateper$1,000 $10.60 $10.51 $10.55 $10.55 $10.66 SilO.57 Municipal Levy $41,048,853$40,739,944$41,751,673$44,252,019 -,965,923 $42,551,682 Current Year's Collections $40,691,450$40,329,083 $41,431,682 $43,987,108 _,818,184 $42,251,501 Current l0 ection Rate ~9.13%98.~~%9~.23%~~.40%99.67%~9.29% otar rear's Co ections :>40,879,741 :>40,5U1,293 :>41,45,,145 m,987,10 $44,18,184 $42,32lS,294 Total Collection Rate 99.59%99.41%99.29%99.40~99.6n 99.4n Ic.;enerall'und .161 sUnassignedPlusEmergencyOperatingRes(GAbB#54)s 5,714,731 s 1,729,385 s 4,374,670 ,$13,644,723 1 s 5,829,534 Expenditures s 49,158,125 s 50,54l,314 s 51,283,781 s 50,497,977 s 53,53,117 I s 50,906,663 Fund Balance/Expenditures 11.63~3.42%6.79%8.66%26.10~11.32% Total Revenues $66,541,842 $66,008,466 Si 50;G30,584 s 52,089,iJ33 $65,370,513 $60,009;288 Intergovernmental Revenues $12,389,683 $14,313,000 $15,464,700 $15,281,700 $29,140,692$17,317,955 Percentage Intergovernmental 19%22%31%29%45%29.03% uverau Murucrpal Debt POSItion RevenueDe t-EntepriseFunds $46,370,845 $45,208,341 $43,679,682 $41,906,067 $40,090,908 Revenue Debt-Governmenta Funds $2,718,662 $3,599,575 :£2,861,747 s 2,091,457 $6,807,086 "'enem Obligation Debt-Governmental Funds $156,356,000 $148,301,000 s 133,446,000 $131,385,000 s 122,068;000 General Obligation Debt-Enterprise Funds $-$--s -- Total General Obligation Uebt s 156,356,OUU s 148,31,000133,446,000 s 131,385,00122,68,000 Total Revenue ana General L blization Debt $205,445,507 s 197,108,916179,987,429 s 175,382,524 is 168,965,994 .'....:'C;C.~~>.-.-:--·~(;lJ Governmental GO Debt/Taxable Assessed Value 3.98%3.72%3.28%3.07%2.79 TotalRevenue and GO Debt/A.V.5.22~4.94%4.42~4.10%3.810'.......'"-.-.'-.:;.,-'"~»'>:....,..... _.,:~:<;-,-:-.-"..~.,..>...-'c';'i'~~~ GeneralL blization De t Per Capita :>4,999 $4,742 $4,113 $4,023 $.',692 Total xevcnue anOl:iU Debt Fer Laita "",5b~$6,302 $',548 $5,370 $5,110 General Economic and Demngranhic Data 2010 2011 2012 2013 2014 I Annual r-opuranon ",Y,61,0".62,441 61,6bU 63,Ub4 I 1.24% Taxable Assessed Value $3,933,364,442 $3,989,344,944$4,071,713,732$4,275,067,217 $4,379,714,933_ Assessed ValuePerCapita $125,767 $127,557 $125,511 $130,896$132,462 Top10TaxPayersasa %of Assessed Value 10.52%13.78%13.73%13.82%13.61% D-9 CITYAND BOROUGH OF JUNEAU HARBOR ENTERPRISE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AuditedAudited AuditedAudited ASSETS Plant In-Service (netof depreciation)$11,923,364 $13,827,335 $12,844,129$11,875,368 $14,325,870 Construction Work in Progress 29,935,711 29,889,294 33,499,769 42,397,974 40,419,697 Cash 4,470,053 4,728,522 4,660,755 3,466,374 4,030,992 Restricted Assets 7,588,584 10,702,703 11,196,479 10,946,32810,554,614 Other Assets 866,059 764,741 847,869 543,407 679,907 Total Assets 54,783,771 59,912,595 63,049,001 69,229,451 70,011,080 LIABILITIESANDNETASSETS Revenue Bonds Payable 9,960,0009,700,0009,691,595 9,380,434 9,033,637 Other Liabilities 1,726,240 2,110,290 2,140,909 1,401,365 2,050,500 Total Liabilities 11,686,24011,810,290 11,832,50410,781,799 11,084,137 NET ASSETS 43,097,531 48,102,305 51,216,49758,447,65258,926,943 Operating Revenues 3,040,330 2,854,858 3,154,885 3,173,272 3,508,430 Operation and Maintenance 2,133,8772,492,1102,434,3292,498,1782,814,717 Administrative and General Depreciation 799,254 899,956 986,619 968,761 1,003,707 OperatingIncome(Loss)107,199 (537,208)(266,063)(293,667)(309,994) Non-Operating Revenue (Expense)(183,181)46,509 155,306 (214,686)128,433 NetIncome (Loss)Before Contribution (75,982)(490,699)(110,757)(508,353)(181,561) Capital Contributions 242,186 1,690,873 2,549,949 7,392,466 660,852 Net Transfers-In (Out)400,000 3,804,600 675,000 500,000 °Special item -NPO/OPEB write off ChangeinNet Assets 566,204 5,004,774 3,114,192 7,384,113 479,291 Population ofCity 31,27531,275 32,441 32,660 33,064 Revenue Bond Coverage 218 1.19 1.79 1.21 1.67 D-lO CITY AND BOROUGH OF JUNEAU PORT DEVELOPMENT SPECIAL REVENUE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AuditedAudited Audited Audited ASSETS Plant In-Service (netof depreciation) Construction Work in Progress Cash 3,414,679 4,428,233 (208,085)(252,013)71,012 Restricted Assets Other Assets 273,317 314,814 269,712 484,639 294,257 Total Assets 3,687,996 4,743,047 61,627 232,626 365,269 LIABILITIES ANDNET ASSETS Revenue BondsPayable Other Liabilities 151,020 349,585 TotalLiabilities 151,020 349,585 NET ASSETS 3,687,996 4,743,047 61,627 81,606 15,684 Operating Revenues 2,856,882 2,557,851 2,634,0802,825,479 2,864,578 Operation and Maintenance 4,500 2,800 5,500 5,500 5,500 Administrative andGeneral Depreciation Operating Income (Loss)2,852,382 2,555,051 2,628,580 2,819,979 2,859,078 Non-Operating Revenue (Expense) Net Income (Loss)Before Contribution 2,852,382 2,555,051 2,628,5802,819,979 2,859,078 Capital Contributions Net Transfers-In (Out)(1,750,000)(1,500,000)(7,310,000)(2,800,000)(2,925,000) Change inNet Assets 1,102,382 1,055,051 (4,681,420)19,979(65,922) Population ofCity 31,27531,275 32,441 32,660 33,064 RevenueBond Coverage N/A N/A N/A N/A N/A D-II Cityand Borough of Juneau Conduit Debt WILDFLOWER COURT(Anotfor profit organziation) FINANCIAL SUMMARY 20102011201220132014 Audited Audited AuditedAuditedAudited ASSETS PlantIn-Service 5,674,338 4,909,305 4,620,9994,734,678 3,771,100 Cash 1,255,867 1,582,1281,752,043 1,437,0851,970,693 RestrictedAssets 1,735,1781,707,402 2,170,928 1,489,3651,450,054 Other Assets 1,312,915 1,399,517 1,444,7491,786,787 1,267,699 TotalAssets 9,978,298 9,598,352 9,988,7199,447,9158,459,546 LIABILITIES ANDNETASSETS BondDebt 13,650,00013,050,000 11,705,00011,596,229 10,204,712 Other Liabilities 878,190 904,428 2,052,663 1,132,323 996,579 TotalLiabilities 14,528,190 13,954,428 13,757,663 12,728,552 11,201,291 NETASSETS(DEFICIT)(4,549,892)(4,356,076)(3,768,944)3,280,637 (2,741,745) Operating Revenues 10,361,60910,859,19510,841,324 11,057,791 11,447,862 Operating Expenses 9,802,944 9,894,3539,594,317 9,666,5309,961,681 Depreciation 937,147 832,579 780,765 935,669 1,008,253 Operating Income(Loss)(378,482)132,263 466,243 455,592477,928 Non-Operating Revenue (Expense)27,924 61,553 120,890 32,71360,964 ChangeinNetAssets (350,558)193,816587,132488,305538,892 RevenueBondCoverage 1.01 1.331.32 1.121.10 TheBondBankhasreceivednotificationfromseniormanagement of WildflowerCourtthatforcalendaryear2013and2014 WildflowerCourtfellshort of therequireddebtservicecoverageratio of 1.15times.Persection5.1(b)of theloanagreement betweentheCityandBorough of JuneauandWildflowerCourt,WildflowerCourtisworkingwiththeCityandBoroughto identifymeasurestoreturnthefacilitytocompliancewiththedebtservicecoveragerequirement ofthe loanagreement. D-12 CITYAND BOROUGH OF JUNEAU BARTLETT REGIONAL HOSPITAL FINANCIAL SUMMARY 2010 2011 2012 2013 2014 AuditedAudited AuditedAudited Audited ASSETS Plant In-Service (netof depreciation)$74,736,663$72,772,410 $74,566,327$74,002,798 $69,208,456 Construction Work in Progress 3,126,6116,866,781 6,202,224 2,826,314 228,425 Cash 18,036,20214,990,30817,386,169 26,113,833 38,596,921 Restricted Assets 8,555,051 10,160,114 6,549,498 5,490,7685,327,673 Other Assets 20,549,93723,011,263 23,462,113 25,230,206 20,528,164 Total Assets 125,004,464 127,800,876 128,166,331 133,663,919 133,889,639 LIABILITIES ANDNET ASSETS Revenue Bonds Payable 26,165,00025,570,000 24,926,795 25,304,67924,346,618 Other Liabilities 11,066,147 11,391,053 8,999,867 8,829,067 11,033,875 Total Liabilities 37,231,147 36,961,053 33,926,662 34,133,746 35,380,493 NET ASSETS 87,773,317 90,839,823 94,239,669 99,530,17398,509,146 Operating Revenues 82,640,681 90,680,836 95,026,37384,250,207 80,198,274 Operation and Maintenance 72,975,632 83,883,38989,411,913 76,967,444 78,820,476 Administrative andGeneral Depreciation 6,270,565 6,552,177 7,145,2907,001,295 7,086,559 Operating Income (Loss)3,394,484 245,270 (1,530,830)281,468 (5,708,761) Non-Operating Revenue (Expense)911,555 1,579,634 3,306,366 4,119,820 3,610,234 Net Income (Loss)Before Contribution 4,306,039 1,824,904 1,775,536 4,401,288 (2,098,527) Capital Contributions 536,697 89,002 471,910134,658 0 Net Transfers-In (Out)1,146,000 1,152,6001,152,4001,123,000 1,077,500 Specialitem-NPOIOPEB writeoff Change inNet Assets 5,988,736 3,066,506 3,399,846 5,658,946 (1,021,027) Population ofCity 31,275 31,275 32,441 32,66033,064 Revenue Bond Coverage 5.15 3.63 3.00 7.34 2.50 D-13 [THIS PAGE INTENTIONALLY LEFf BLANK] APPENDIXE Financial Statements of the Alaska Municipal Bond Bank fortheYearEndedJune30,2014 [THIS PAGE INTENTIONALLYLEFT BLANK] ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of theState of Alaska) Financial Statements FortheYear Ended June30,2014 Together with Independent Auditor's Report Thereon ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of the State of Alaska) Table of Contents Management's Discussion and Analysis Financial Statements Independent Auditor's Report Statement of Net Position and Governmental Funds Balance Sheets Statement of Activities and Governmental Funds Statements of Revenues,Expenditures and Changes in Fund BalanceslNet Position Notes to Financial Statements Supplemental Schedule of Statutory Reserve Accounts -Assets,Liabilities, and Account Reserves Continuing Disclosures Tables Page I-VII 1-2 3 4 5-21 22-23 24-29 ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of theState of Alaska) Management's Discussion and Analysis YearEndedJune30,2014 ThisManagement's Discussion andAnalysis(MD&A)isrequiredbyGASBStatement34,astandard establishedbytheGovernmental Accounting StandardsBoard.Thissectionisintendedtomakethe financialstatementsmore understandable totheaveragereaderwhoisnotfamiliarwithtraditional accountingterminology. Thisfinancialreporthastwointegralparts:thisMD&Aandthefinancialstatementswiththe accompanying notesthatfollow.Together,theypresenttheAlaskaMunicipalBondBank Authority's (BondBank)financial performance duringthefiscalyearendedJune30,2014.Summarizedpriorfiscal yearinformationisshownwithinthisMD&A,asneeded,forcomparativepurposes. Required Financial Statements GASB34requirestwotypes of financialstatements:theStatement of NetPositionandGovernmental FundBalanceSheetsandtheStatement of ActivitiesandGovernmentalFundRevenues,Expenditures andChangesinFund BalanceslNet Position.Thesestatementsreportfinancialinformationaboutthe BondBank'sactivitiesusingaccountingprinciplesgenerallyacceptedintheUnitedStates of America.In additiontothebasicfinancialstatements,theNotestoFinancialStatementsprovideinformationthatis essentialtoafull understanding of thedataprovidedinthebasicfinancialstatements. Financial Highlights Duringfiscalyear2014,theBondBankenteredinto9municipalloanagreementsforprojectsin7 communities.TheBondBankissued$178.5millioninbonds,whichresultedin$191.4millioninloans tocommunitiesforprojects.BondBankbondactivityinfiscalyear2014resultedinpresentvalue savings of approximately$12.7milliontotheborrowingcommunities.Incomparison,theBond Bank's activitylevelinfiscalyear2013wasanissuance of$153.5 million,resultingin$174.5millioninloansto communitiesforprojects,andincluded$25millionusedtodefeaseoldergeneralobligationandrevenue bonds.Duringfiscalyear2013theBondBankenteredinto17municipalloanagreementsforprojectsin 10communities.TheBond Bank's communitybenefitforfiscalyear2013providedpresentvalue savings of approximately$19.8milliontotheborrowingcommunities. Statement ofNet Position TheStatementofNetPositionreportsassets,liabilitiesandnetposition of theBondBank. Assets Assetsrepresent 1)Thevalue of theBondBank'sinvestmentsandinvestmentincomereceivableonthe financialstatementdates,recordedatfairmarketvalue,and2)Bondprincipalandinterestpayments receivablefrommunicipalities.TheinvestmentsgenerateincomefortheBondBank,usedtomeetreserve requirementsandpayoperatingcosts.Historically excessoperatingaccountearningsweretransferredto theState of Alaska's (State)generalfundeachyear.ThefiscalyearendingJune30,2014markedthe seventhconsecutiveyearthattheStateoperatingbudgethasappropriatedanyexcessearnings of the operatingaccounttotheBond Bank's reservefund(HB266,Sec.27).Interestreceivedonbonds purchasedfrommunicipalitiesisusedtopaytheBondBank's corresponding interestpaymentsonthe bondsthatithasissued. -1- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) Management's Discussion and Analysis YearEndedJune30,2014 Liabilities Liabilitiesrepresentclaimsagainstthefundfor1)goodsandservicesprovidedbeforethefinancial statementdatebutnotyetpaidforatthatdate,and2)interestandbondpaymentsduetopurchasers of the BondBank'sbondsafterthefinancialstatementdate. Restricted and Unrestricted Net Position Netpositioniscomprised of twocomponents.Therestrictedportionreflectsmoniesmaintainedin separatetrustaccountswheretheiruseislimitedbyapplicablebondcovenantsforrepayment of bonds. Theunrestrictedportionreflectsmoniesthatareavailableforanyauthorizedpurpose of theBondBank. Thefollowingtableshowsthevalue of BondBankassetssummarizedasofJune30,2014and2013,as wellasliabilitiesandnetposition: Changesfrom2013to2014 AsofJune30,Increase/(Decrease) 2014 2013 Dollars Percent Assets: Cashandinvestments $77,969,569 $76,930,862 $1,038,707 1.35% Bondsandbondinterestreceivable 915,839,560 804,503,292 111,336,268 13.84% Totalassets 993,809,129 881,434,154 112,374,975 12.75% Liabilities: Accountspayableandaccrued liabilities 3,318,954 1,106,446 2,212,508 199.97% Bondsandbondinterestpayable 933,926,183 822,928,810 110,997,373 13.49% Total liabilities 937,245,137 824,035,256 113,209,881 13.74% Net Position: Restricted 40,270,255 43,084,377 (2,814,122)-6.53% Unrestricted 16,293,737 14,314,521 1,979,216 13.83% Totalnet position $56,563,992 $57,398,898 $(834,906)-1.45% TheBondBank'sinvestmentsareallheldinU.S.Governmentsecurities. Theincreaseinaccountspayableandaccruedliabilitiesisduetoanincreaseintheamount of principal andinterestpaymentsalreadyreceivedbythetrusteepriortoJune30,2014for payment datesoccurring on,orafterJuly1,2014. Theincreaseinbondsandbondinterestreceivable,aswellasinbondsandbondinterestpayable,reflects theissuance of approximately $178.5millioninnewbondsandloansduringtheyear,net of principal paymentsonbonds previously issued of approximately$56.6million. -II- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) Management's Discussion and Analysis YearEndedJune30,2014 Statement of Activities The statement of activitiesshowshowtheBond Bank's netpositionchangedduringthemostrecentfiscal year. Revenues Revenuesincludetotalreturnoninvestmentsandinterestpaymentsreceivedfrommunicipalities. Earningsoninvestmentsincludeinterestonfixedincomemarketablesecuritiesandthechangeinfair marketvalue of those investments. Expenses ExpensesincludeinterestpaymentsmadetobondholderswhopurchasedtheBondBank'sbonds, paymentsmadetotheState of Alaskaandoperatingexpenses.Operatingexpensesincludeall expendituresrequiredtoissuebondsduringthecurrentyearandincludein-houseexpenses,aswellas externalconsultantfees.Expensesaresubtractedfromrevenues. ThefollowingisacondensedstatementoftheBond Banks'changesinnetpositionas of June30,2014, and2013: As of June30, Changes from2013to2014 Increase/(Decrease) 2014 2013 Dollars Percent 33,822,568 $930,1572.75% 74,580 785,3121052.98% 33,897,1481,715,4695.06% 35,329,425 277,0070.78% 723,116 117,975 16.31% 36,052,541 394,9821.10% (1,245,510)1,245,510100.00% (3,400,903)2,565,997 75.45% 60,799,801(3,400,903)-5.59% 57,398,898 $(834,906)-1.45% (834,906) 57,398,898 56,563,992 $=~~~~ $34,752,725 $ 859,892 35,612,617 35,606,432 841,091 36,447,523 $ Expenses: Interest expense onbonds payable Operating expenses Total expenses Other fmancing sources Loan forgiveness -IFAbonds Change innetposition Net position,beginning of period Net position,end of period Revenues: Interest incomeonbonds receivable Investment earnings Total income Interestincomeandexpenseonbondsreceivableandpayableareafunction of thetotalamount of bonds outstanding,theage of thebondsandtheinterestratesatwhichtheyareissued.Theincreasesinbothof theselineitems of $0.9million(interestincome)and$0.3million(interestexpense)areconsistentwith theincreaseinbondreceivableandpayablebalances,respectively. -III- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) Management's Discussion and Analysis YearEndedJune30,2014 Investmentearningsareafunction of marketconditions,andactivemanagement.TheBondBankuses otherassetstosubsidizedebtserviceduringtimes of lowinvestmentreturnsinbondreservefunds.The decreaseinnetpositionisprimarilyduetodebtserviceonreserveobligations. Governmental Funds ThegovernmentalfundsincludetheGeneralFund,whichaccountsfortheprimaryoperationsoftheBond Bank,andtheDebtServiceFund,whichaccountsfortheresourcesaccumulatedandpaymentsmadeon thelong-termdebt of theBondBank.Theprimarydifferencebetweenthegovernmentalfundsbalance sheetandthestatement of netpositionistheelimination of inter-fundpayablesandreceivables.Bond proceedsarereportedasotherfinancingsourceinthegovernmentalfundsstatement of revenuesand expensesandthiscontributestothechangeinfundbalance.In thestatement of netposition,however, issuingdebtincreaseslong-termliabilitiesanddoesnotaffectthestatement of activities.Similarly, repayment of debtprincipalisrecordedasexpenditureinthegovernmentalfundsstatementofrevenues andexpensesandreducestheliabilityinthestatement of netassets. Thefollowingtablesshowgovernmentalfunds'condensed balancesheetsandstatementsofrevenues, expendituresandchangesinfundbalancesas of June30,2014,and2013. General Fund Changes from2013to2014 As of June30,Increase/(Decrease) 2014 2013 Dollars Percent Assets: Cash,investments and related accrued interest $17,775,612 $23,423,264 $(5,647,652)-24.11% Bondsandbond interest receivable 1,836,923 2,102,377 (265,454)-12.63% Interfund receivable 3,363,749 3,307,959 55,790 1.69% TotaI assets 22,976,284 28,833,600(5,857,316)-20.31% Liabilities: Accounts payableand accrued liabilities 187,848 299,699 (111,851)-37.32% Fund Balance: Restricted fordebt service 4,956,430 13,016,771(8,060,341)-61.92% Unassigned 17,832,006 15,517,1302,314,87614.92% Totalfund balance 22,788,436 28,533,901(5,745,465)-20.14% Total liabilities andfund balance $22,976,284 $28,833,600 $(5,857,316)-20.31% -IV- ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of theState of Alaska) Management's Discussion and Analysis Year Ended June30,2014 Debt Service Fund Changes from2013to2014 As of June30,Increase/(Decrease) 2014 2013 Dollars Percent Assets: Cash,investments and related accrued interest $60,193,957 $53,507,598 $6,686,35912.50% Bondsandbond interest receivable 914,002,637802,400,915111,601,72213.91% Total assets 974,196,594855,908,513118,288,08113.82% Liabilities: Accounts payable and accrued liabilities 3,131,106 806,7472,324,359 288.11% Interfund payables 3,363,749 3,307,959 55,790 1.69"10 Total liabilities 6,494,855 4,114,7062,380,14957.84% Fund Balance: Restricted fordebt service 967,701,739851,793,807115,907,932 13.61% Total liabilities andfund balance $974,196,594 $855,908,513 $118,288,08113.82% General Fund Changes from2013to2014 As of June30,Increase/(Decrease) 2014 2013 Dollars Percent Revenues: Interest income $281,398 $22,221 $259,1771166.36% Expenditures: Operating expenses 841,091 723,116 117,97516.31% Excess (deficiency)of revenues over expenditures (559,693)(700,895)141,202 20.15% Other fmancing sources (uses)-transfers (5,185,772)13,482,851(18,668,623)-138.46% Excess (deficiency)of revenues and transfers over expenditures (5,745,465)12,781,956(18,527,421)-144.95% Fund balance,beginning of period 28,533,901 15,751,94512,781,956 81.15% Fund balance,end of period $22,788,436 $28,533,901 $(5,745,465)-20.14% -v- ALASKA MUNICIPAL BONDBANK AUTHORITY (a Component Unit of the State of Alaska) Management's Discussion and Analysis Year Ended June 30,2014 DebtServiceFund Changesfrom2013to2014 AsofJune30,Increase/(Decrease) 2014 2013 Dollars Percent Revenues: Interestincomeonbondsreceivable $34,732,354 $33,760,463 $971,891 2.88% Investmentearnings 598,865 114,464 484,401 423.19% Totalrevenues 35,331,219 33,874,927 1,456,292 4.30% Expenditures: Interestpayments 35,947,564 33,406,972 2,540,592 7.60% Principalpayments 56,605,000 52,031,032 4,573,968 8.79% Totalexpenditures 92,552,564 85,438,004 7,114,560 8.33% Excess(deficiency)ofrevenues overexpenditures (57,221,345)(51,563,077)(5,658,268)-10.97% Otherfmancingsources(uses): Bondproceeds 178,525,000 153,490,000 25,035,000 16.31% PaymentstoBondEscrowAgent (24,950,000)24,950,000 100.00% Loanforgiveness-IFAbonds (1,245,510)1,245,510 100.00% Transfers 5,185,772 (13,482,851)18,668,623 138.46% Totalotherfmancingsources(uses):183,710,772113,811,639 69,899,133 61.42% Excessofrevenuesandtransfersover expenditures 126,489,427 62,248,56264,240,865 103.20% Fundbalance,beginningofperiod aspreviouslyreported 851,793,807 789,545,245 62,248,562 7.88% Removalofconduitdebt obligations (10,581,495)(10,581,495)-100.00% Fundbalance,beginningofperiod as restated 841,212,312 789,545,245 51,667,067 6.54% Fundbalance,endofperiod $967,701,739 $851,793,807 $115,907,932 13.61% Long-term Debt At June 30,2014 the Bond Bank had $923,475,000 of bonds and notes outstanding up 15.2%from $801,555,000 at June 30,2013.This excludes conduit debt obligations of the Coastal Energy Loan Program.Payment of principal and interest on the Bond Bank's Coastal Energy Bond is not secured by a pledge of any amounts held by or payable to the Bond Bank under the General Bond Resolution, including the Reserve Account,and is not in any way a debt or liability of the Bond Bank and accordingly,are not included in the basic financial statements.Please see note (7),and note (8)to the financial statements. As discussed in the previous sections,net increase in 2014 long term debt balances is due to new bond issuances for loans to communities. -VI- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) Management's Discussion and Analysis YearEndedJune30,2014 AS44.85.180(c)wasenactedin1975,limitingtheBondBank outstanding bondsatanytimeto$150 million.ThisStatutehasbeenperiodicallyamendedtoraisethelimit,andinfiscalyear2014,thelimit wasincreasedto$1.5875billion,of which$87.5millionisspecificallydesignatedfortheUniversity of Alaska. Outstandinglongtermdebtiscomprised of thefol1owingbondsandloansatyearend: Changes from2013to2014 As of June30,Increase/(Decrease) 2014 2013 Dollars Percent GObondspayable $919,090,000 $783,545,000 $135,545,000 17.30% Revenue bondspayable 4,385,000 18,010,000(13,625,000)-75.65% Coastal Energy notespayable 10,581,495 (10,581,495)-100.00% $923,475,000 $812,136,495 $111,338,50513.71% Contacting theBond Bank's Financial Management Thisfinancialreportisdesignedtoprovideourcustomers,investors,andcreditorswithageneral overview of theBond Bank's financesandtodemonstratetheBond Bank's accountability of itsassets.If youhaveanyquestionsaboutthisreportorneedadditionalfinancialinformation,contacttheExecutive Director of theBondBankat(907)465-3750. -VII- IBDQ Independent Auditor'sReport TotheBoardofDirectors Alaska MunicipaL BondBank Authority Juneau,ALaska Tel:907-278-8878 Fax:907-278-5779 www.bdo.com 3601C Street,Suite600 Anchorage,AK 99503 Report on the Financial Statements WehaveauditedtheaccompanyingfinanciaLstatementsofthe governmentaL activities and each major fundofthe ALaska MunicipaL Bond Bank Authority (the Authority),acomponent unit oftheStateof ALaska,asofand for theyearendedJune30,2014,andthe reLated notestothe financiaL statements,whichcollectiveLycomprisethe Authority's basicfinancial statementsas Listed inthe table ofcontents. Management's Responsibility for the Financial Statements Managementis responsibLe forthe preparation and fair presentationofthese financial statementsinaccordance with accounting principLes generallyacceptedintheUnitedStates ofAmerica;thisincludesthedesign,impLementation,andmaintenanceofinternaLcontroL relevant tothe preparation and fair presentationoffinanciaLstatements that arefreefrom material misstatement,whether duetofraudor error. Auditor's Responsibility Our responsibility istoexpressopinionsonthese financial statementsbasedonour audit.We conductedour audit inaccordance with auditing standardsgenerallyacceptedintheUnited StatesofAmerica.Thosestandardsrequire that we pLan and perform the audit toobtain reasonabLe assurance about whether thefinanciaLstatementsarefreefrommateriaL misstatement.An audit invoLves performing procedurestoobtain audit evidenceaboutthe amountsanddisclosuresinthefinanciaLstatements.Theprocedures seLected dependonthe auditor's judgment,including the assessment oftherisksof material misstatement ofthe financiaL statements,whether duetofraudor error.Inmakingthoserisk assessments,the auditor considersinternaLcontroL relevant tothe entity's preparation and fair presentation ofthe financiaL statementsinordertodesign audit procedures that are appropriate inthe circumstances,butnot for thepurposeofexpressinganopinionontheeffectivenessofthe entity'sinternaLcontroL.AccordingLy,weexpressnosuchopinion.An audit alsoincludes evaLuating theappropriatenessofaccounting poLicies usedandthe reasonabLeness of significant accountingestimatesmadebymanagement,as well as evaLuating theoverall presentationofthefinanciaLstatements.Webelieve that the audit evidencewehave obtainedis sufficient and appropriate toprovidea basis for our audit opinions. Opinions Inouropinion,thefinanciaLstatementsreferredtoabovepresent fairly,inallmateriaL respects,therespectivefinanciaLpositionofthe governmentaL activities andeach major fundofthe Alaska MunicipaL BondBank Authority,asofJune30,2014,andtherespective changes infinanciaLposition for theyearthenendedinaccordance with accounting principlesgenerallyacceptedintheUnitedStatesofAmerica. Emphasis of Matter As discussed inNote8tothe financial statements,theAlaskaMunicipalBondBank Authority has elected tochangetheway it reportsconduitdebtobligations.Thischangeinaccounting principle hasresultedina restatement ofopeningfundbalanceintheDebtServiceFund. Ouropinionisnot modified with respecttothis matter. Other Matters RequiredSupplementary Information Accounting principles generallyacceptedintheUnitedStatesofAmerica require that the management's discussion andanalysison pages I-VIIbepresentedtosupplementthebasic financial statements.Such information,althoughnotapartofthebasic financial statements,isrequiredbytheGovernmentalAccounting Standards Boardwhoconsiders it to beanessential part of financial reporting forplacingthebasic financial statements inan appropriate operational,economic,or historical context.Wehaveapplied certain limited procedurestotherequiredsupplementary information inaccordance with auditing standards generallyacceptedintheUnitedStatesofAmerica,whichconsistedof inquiries of managementaboutthemethodsofpreparingthe information andcomparingthe information forconsistency with management's responses toour tnquiries,thebasic financial statements,and other knowledgeweobtainedduringour audit ofthebasic financial statements.Wedonotexpressanopinionorprovideany assurance onthe information becausethe limited proceduresdonotprovideus with sufficient evidencetoexpressan opinionorprovideany assurance. Supplementary Information Our audit wasconductedforthepurposeofformingopinionsonthe financial statements that collectively comprisetheAlaskaMunicipalBondBank Authority's basic financial statements.Thesupplementalschedulesandtablesnotedinthe table ofcontentsare presentedfor purposes of additional analysisandarenotarequiredpartofthebasic financial statements.The supplementary information isthe responsibility ofmanagement andwasderivedfromandrelates directly totheunderlyingaccountingand other records usedtopreparethebasic financial statements.Such information hasbeen subjected tothe auditing proceduresappliedinthe audit ofthebasic financial statementsandcertain additional procedures,including comparingandreconcilingsuch information directly tothe underlyingaccountingand other recordsusedtopreparethebasic financial statements orto thebasic financial statementsthemselves,and other additional proceduresinaccordance with auditing standards generally acceptedintheUnitedStatesofAmerica.Inouropinion, thesupplementary information is fairly stated,inall material respects,in relation tothe basic financial statementsasawhole. October2,2014 Anchorage,Alaska -2- ALASKA MUNICIPAL BOND BANK AUTHOR[TY (a Component Unit of the State of Alaska) Statement ofNet Positionand Governmental FundsBalanceSheets June 30,2014 Statement ofNet GeneralFundDebtServiceFundTotal Adjustments Position ASSETS Cashandcash equivalents s 1,034,880 $5,889,948 s 6,924,828 s s 6,924,828 Investments,atfairvalue(note4)16,697,983 54,158,511 70,856,494 70,856,494 Accruedinterestreceivable: Bondsreceivable 255 10,232,637 10,232,892 10,232,892 Investmentsecurities 42,749 145,498 [88,247 188,247 Bondsreceivable(note5)1,836,668 903,770,000 905,606,668 905,606,668 Interfund receivables 3,363,749 3,363,749 (3,363,749) Totalassets s 22,976,284 s 974,[96,594 $997,172,878 (3,363,749)993,809,129 LIABILITIES Accounts payable s 66,766 s s 66,766 s $66,766 Dueto Primary Government 121,082 121,082 121,082 Principal andinterestpaymentsreceivedinadvance 3,13[,106 3,131,106 3,131,106 Accruedinterestpayable 10,451,183 10,451,183 Interfund payables 3,363,749 3,363,749 (3,363,749) Long-termliabilities(note6): Portiondueorpayablewithinoneyear: General obligation bondspayable 52,940,000 52,940,000 Revenuebondspayable 130,000 130,000 Portiondueorpayableafteroneyear: Generalobligationbondspayable 866,150,000 866,150,000 Revenuebondspayable 4,255,000 4,255,000 Total liabilities 187,848 6,494,855 6,682,703 930,562,434 937,245,137 FUND BALANCESINET POSITION Fundbalances: Restricted(note2)4,956,430 967,701,739 972,658,169 (972,658,[69) Unassigned 17,832,006 17,832,006 (17,832,006) Totalfundbalances 22,788,436 967,701,739 990,490,175 (990,490,175) Total liabilities andfundbalances s 22,976,284 s 974,196,594 s 997,172,878 Netposition: Restricted(note2)40,270,255 40,270,255 Unrestricted 16,293,737 16,293,737 Totalnetposition $56,563,992 s 56,563,992 The accompanying notestothe financial statements arean integral partofthese statements. -3- ALASKA MUNICIPAL BONDBANK AUTHORITY (a Component Unit of the State of Alaska) Statement of Activities and GovernmentalFundsStatements of Revenues,Expenditures,and Changes in Fund BalanceslNet Position For the Year Ended June 30,20I4 Statement of General Fund DebtService Fund Total Adjustments Activities Revenues: Investmentearnings $261,027 $598,865 $859,892 $$859,892 Interest incomeonbondsreceivable 20,371 34,732,354 34,752,725 34,752,725 Totalrevenues 281,398 35,331,219 35,612,617 35,612,617 Expenditures I expenses: Debt service: Principal payments 56,605,000 56,605,000 (56,605,000) InterestpaymentsI expense 35,947,564 35,947,564 (341,132)35,606,432 Professional services 630,490 630,490 630,490 Personalservices 170,198 170,198 170,198 Administrative travel 28,227 28,227 28,227 Officeexpense 12,176 12,176 12,176 Total expenditures /expenses 841,091 92,552,564 93,393,655 (56,946,132)36,447,523 Excess(deficiency)of revenues over expenditures /expenses (559,693)(57,221,345)(57,781,038)56,946,132 (834,906) Otherfinancingsource/(uses): Proceeds of bonds payable 178,525,000 178,525,000 (178,525,000) Transfers to/from Custodial Fund (5,221,922)5,221,922 Transfers -internal activities 36,150 (36,150) Totalotherfinancingsources I (uses)(5,185,772)183,710,772 178,525,000 (178,525,000) Netchangeinfund balance / netposition (5,745,465)126,489,427 120,743,962 (121,578,868)(834,906) Fundbalances/net position: Beginning of the year,as previously reported 28,533,901 851,793,807880,327,708 (822,928,810)57,398,898 Removalofconduitdebtobligation(note8)(10,581,495)(10,581,495)10,581,495 Beginningof the year,as restated 28,533,901 841,212,312869,746,213 (812,347,315)57,398,898 End of theyear $22,788,436 $967,701,739 $990,490,175 $(933,926,183)$56,563,992 The accompanying notestothe financial statements arean integral partofthese statements. -4- ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of theState of Alaska) Notesto Financial Statements FortheYearEndedJune30,2014 (1)History/Reporting Entity The Alaska Municipal Bond Bank Authority (Authority orBondBank)wascreated pursuant to Alaska Statute,Chapter 85,Title44,asamended,(Act)asapublic corporation and instrumentality of theState of Alaska(State),butwithalegal existence independent of andseparatefromtheState.The Authority isa discretely presented component unit of theState of Alaskafor purposes of financialreporting. The Authority was created forthe purpose of makingmoneysavailableto municipalities withintheState andthe University of Alaskatofinancecapital projects orforother authorized purposes bymeans of issuance of bondsbythe Authority anduse of proceeds fromsuchbondsto purchase fromthe municipalities andthe University of Alaskatheirgeneral obligation andrevenuebonds.The Authority commenced operations in August 1975. Thebondsare obligations of the Authority,payable onlyfrom revenues orfunds of the Authority,andthe State of Alaska isnot obligated topay principal or interest thereon,and neither thefaithand credit nor thetaxing power of theStateis pledged tothebonds.The municipal bondsand municipal bond payments,investments thereof and proceeds of suchinvestments,if any,andallfundsand accounts established bythebond resolution tobeheldbytheTrustee(withthe exception of theCoastal Energy Loan Debt ServiceProgram,whichis administered bythe Authority)are pledged and assigned forthe payment of bonds. AS44.85.I80(c)was enacted in1975,limiting BondBank outstanding bondsatanytimeto$150million. ThisStatuehasbeen periodically amended toraisethelimit.Infiscalyear2014,thelimitis$1.5875 billion,of which$87.5millionis specifically designated forthe University of Alaska.TotalBond Bank bondsandnotes outstanding as of June30,2014are approximately $923.5million.Thus,the limiton additional bond issuance as of June30,2014is approximately $576.5million,and$87.5 millionforthe University of Alaska. (2)Summary of Significant Accounting Policies The Governmental Accounting Standards Board (GASB)isthe accepted standard-setting bodyfor establishing governmental accounting andfinancial principles.Themost significant of the Authority's accounting policiesare described below. (a)Government-wide and Fund Financial Statements The government-wide statement of net position andthe statement of activities report information onall of theactivities ofthe Authority.Forthemostpart,theeffect ofinterfund activityhasbeen removed fromthesestatements.Thebalancesheetand statement of revenues,expenditures and changes in fund balances are provided for governmental funds. (b)Measurement Focus,Basis ofAccounting,and Financial Statement Presentation The government-wide financial statements are reported usingthe economicresourcesmeasurement focus andthe accrualbasis of accounting.Revenues arerecordedwhenearnedandexpensesare recorded whena liability isincurred,regardless of the timing of related cashflows.Governmental fundfinancial statements are reported usingthe current financial resourcesmeasurementfocus and the modified accrualbasis of accounting.Revenues are recognized assoonastheyareboth measurable andavailable.Revenues are considered tobe available whentheyare collectible within -5- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theStateofAlaska) NotestoFinancialStatements thecurrentperiodorsoonenoughthereaftertopayliabilitiesofthecurrentperiod.Forthispurpose, thegovernmentconsidersrevenuestobeavailable if theyarecollectedwithin180days of theend of thecurrentfiscalperiod.Expendituresgenerallyarerecordedwhenaliabilityisincurred,asunder accrualaccounting.However,debtserviceexpendituresarerecordedonlywhenpaymentisdue. TheAuthorityreportsthefollowingmajorgovernmentalfunds: The General Fund isthe Authority's primaryoperatingfund.It accountsforallfinancialresources of theAuthority,exceptthoserequiredtobeaccountedforinanotherfund.TheAuthorityadoptsan annualbudgetfortheoperatingaccountonlywhichdoesnotencompassentireoperations of the GeneralFund,therefore,budgetarycomparisoninformationfortheGeneralFundisnotpresented. The DebtService Fund accountsfortheresourcesaccumulatedandpaymentsmadeforprincipaland interestonlong-termdebt of theAuthority.TheAuthoritydoesnotadoptabudgetfortheDebt ServiceFundbecauseitisnotlegallyrequiredtodoso. Thepurposes of eachofthesefundsaredescribedinthefollowingparagraphs: General Fund TheGeneralFundiscomprised of aCustodianAccountandanOperatingAccount.TheCustodian AccountisestablishedtoaccountforappropriationsbytheState of AlaskaLegislatureavailable tofundtheSpecialReserveAccounts.TheOperatingAccountisestablishedtoaccountforthe ordinaryoperations of theAuthority.Moneysarederivedfromthefollowingsources:(a) amountsappropriatedbytheLegislature,(b)feesandchargescollected,(c)incomeon investments of theStatutoryReserveAccountinexcess of requireddebtservicereservesrequired bybondresolutionsand(d)anyothermoniesmadeavailableforpurposes of theGeneralFund fromanyothersource. AmountsintheOperatingAccountmaybeusedtopay(a)administrativeexpenses of theAuthority, (b)feesandexpenses of theTrusteeandpayingagents,(c)financingcostsincurredwithrespectto issuance of bondsand(d)anyexpensesincarryingoutanyotherpurposethenauthorizedbythe Act.Theexcessrevenues of theOperatingAccountarereturnedtotheState of Alaska.TheState of AlaskamayappropriatetheexcessrevenuestotheBondBankCustodianAccounttofund ReserveAccounts. Debt Service Fund WithintheDebtServiceFund,separateDebtServiceProgramshavebeenestablishedforeachbond resolutiontoaccountfortheportion of bondsaleproceedsusedtopurchaseobligations of the municipalitiesandforthepayment of interestandprincipalonallbonds of theAuthorityissued underitsresolutions.Eachprogramiscomprised of an "interest account"anda "principal account",both of whicharemaintainedbyatrustee.Thereceipts of interestandprincipalfrom themunicipalitiesandtheStatutoryReserveAccountaredepositedintheseprogramsandareused topayinterestandprincipalontheAuthoritybonds.OneadditionalDebtServiceProgramhas beenestablishedtoaccountfortransactionsnotinvolvingbondresolutions.ThisistheCoastal EnergyLoanDebtServiceProgram.TheCoastalEnergyLoanDebtServiceProgramisnot maintainedbyatrustee.Payments of interestandprincipalbymunicipalitieshavingcoastal -6- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) NotestoFinancial Statements energyloansaremadedirectlytothefederal government bythemunicipalitiesandareaccounted forintheCoastalEnergyLoanDebtServiceProgram. EachdebtservicefundprogramcontainsaStatutoryReserveAccountestablishedtoaccountfor(a) moneyavailabletofunddebtservicereservesrequiredbyfuturebondsalesundervariousbond resolutions(CustodianAccount)and(b)debtservicereserveswhichhavealreadybeenestablished undervariousbondresolutionswhicharetobeusedinthecaseofdeficiencyinaDebtService Programinaccordancewithitsrespectivebondresolution(reserveaccounts).Separatereserve accountsexistundereachbondresolutionasfollows: 1976General Bond Resolution -Thereserveaccountiscomprised of anordinaryreservesub- accountandaspecialreservesub-account.Theordinaryreservesub-accountmayfunduptoone- third of therequireddebtservicereserveandcanbefundedwithbondproceedsorwithatransfer fromtheCustodianAccount.Thespecialreservesub-accountmustfundatleasttwo-thirds of the requireddebtservicereserveandmustbefundedwithtransfersfromtheCustodianAccount. Bothsub-accountsaremaintainedbyatrustee. OnAugust23,1999,theAuthorityamendedthedebtservicereserverequirementforthe1976 bondresolutionfromthegreater of themaximumannualdebtservicerequirement of 10%of all municipalloanobligations outstanding tothecurrenttest of theleastof:(i)10%of theoriginal statedprincipalamountofallbondsoutstanding;(ii)themaximumannualprincipalandinterest requirementsonallbondsthenoutstanding;(iii)125%of theaverageprincipalandinterest requirementsonallbondsthenoutstanding;or(iv)suchlesseramountasshallberequiredto maintaintheexemption of interest of allbondsoutstandingfrominclusioningrossincomefor federalincometaxpurposesundertheInternalRevenueCode.Theamendmenttookeffectatthe beginning of fiscalyear2013whenallbondsoutstandingas of thedate of thepassage of the1999 resolutionwereretired.Theshiftinthereserverequirementsignificantlyreducedthe1976 Resolutionreserverequirement.However,perthe1976resolutiontheBondBankcannotremove principalfromthereserve(specialorordinary)untilallreserveobligationsarepaidoff. Consequently,duringfiscal2013theAuthoritydefeasedtheremainingprincipalreserve obligations of the1976resolutionreservesandreleasedexcessfundstotheCustodialAccount. 2004BRevenue Bond Resolution -Thereservefundsmaybefundedwithtransfersfromthe custodianaccount,bondproceeds,orotherfundsavailabletotheBondBank. 2005General Bond Resolution -Thereservefundmaybefundedwithtransfersfromthe custodianaccount,suretypolicies,bondproceeds,orotherfundsavailabletotheBondBank. 2010General Bond Resolution -Thereservefundmaybefundedwithtransfersfromthe custodianaccount,suretypolicies,bondproceeds,orotherfundsavailabletotheBondBank. At June30,2014,the1976 General Bond Resolution,2004BRevenue Bond Resolution,2005 General Bond Resolution,and 2010General Bond Resolution reservesmustbetheleastof:(i) 10%of theinitialprincipalamount of eachSeries of Bondsoutstanding;(ii)themaximumannual principalandinterestrequirementsonallbondsoutstanding;(iii)125%of theaverageannual debtserviceonallbondsthenoutstanding;or(iv)suchloweramountasmaybeallowedbylaw. Amountsinexcess of therequireddebtserviceinanyreservearetransferredtotheOperating Accountonaperiodicbasis. -7- ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of theState of Alaska) NotestoFinancialStatements (c)Adjustments Certainadjustmentsare considered tobe necessary tothegovernmentalfundsinorderto present the Authority's financialpositionandtheresults of itsoperations.Theseadjustmentsincludethe elimination of inter-fund payables andreceivables.Additionally,bondproceedsarereportedas financingsourcesin governmental fundsandthuscontributetothechangeinfundbalance.Inthe statement of netposition,however,issuingdebtincreaseslong-termliabilitiesanddoesnotaffectthe statement of activities.Similarly,repayment of principalisan expenditure inthe governmental fundsandreducestheliabilityinthestatement of netposition. (d)Restricted Assets Certainresourcessetasideforthe repayment of the Authority's bonds,net of certainproceedsfrom additionalbondsissued,are classified as restricted onthestatement of netpositionbecausetheyare maintained inseparatetrustaccountsandtheiruseislimitedbyapplicablebondcovenants.Cash andcash equivalents and investments include$40,270,255 of restrictedassets.Theseassetswere fundedasfollows: OriginalState of Alaskaappropriation 2008appropriation of excess earnings 2009appropriation of excess earnings 2010appropriationof excess earnings 2011appropriation of excess earnings 2012appropriationforloanforgiveness TotalStateofAlaska appropriated equity Restricted for Debt Service: Appropriated amountsresidingin reserve accounts AppropriatedamountsresidinginCustodial account TotalState of Alaskaappropriatedequity BondBankequityresidingin reserve accounts Total restricted fordebt service/net position $ $ $ $ 18,601,414 855,347 819,843 32,628 86,814 13,000,000 33,396,046 28,439,616 4,956,430 33,396,046 6,874,209 40,270,255 (e)Bond Receivables Bondreceivablesaresecuredbytherevenuesoraregeneralobligations of themunicipalities.Interest ratescorrespondwiththe interest ratesontherelatedbondspayablebytheAuthority.Thebond receivablesmatureduringthesame period astherelatedbondpayables.Bondreceivablesare recordedattheparamount of thebondsissued. (f)Long-Term Obligations Inthe government-wide financialstatements,long-termdebtandotherlong-term obligations are reportedasliabilitiesinthe statement of netposition.Any premium ordiscountonbondissuanceor -8- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theStateofAlaska) NotestoFinancialStatements refundingisnotrecordedbytheAuthorityasthepremiumordiscountisrecordedbythe municipalitiesassociatedwiththeissuanceandamortizedbythem,therefore,bondspayableare presentedatpar.Bondissuecostsaregenerallypaidbythe municipality butwhenaportionispaid bytheAuthoritytheyarepaidfromtheGeneralAccountandconsideredoperatingexpenses. (g)Fund Equity Generally,fundequityrepresentsthedifferencebetweenthecurrentassetsandcurrentliabilitiesandis classifiedasfundbalance.BondBank,inaccordancewithGASBStatementNo.54provisions, whichrequireclassification of fundbalanceasnonspendable,restricted,committed,assignedor unassigned,hadfundbalancesinrestrictedandunassignedcategories. Restricted Fund Balance -Restrictedfundbalanceisthatportion of fundequitythathasconstraints placedupontheuse of theresourceseitherbyanexternalpartyorimposedbylaw. Unassigned Fund Balance -thisclassificationrepresentsfundbalancethathasnotbeenrestricted, committedorassignedtospecificpurposeswithinthegeneralfund. TheAuthoritydoesnothaveapolicyforitsuse of unrestrictedfundbalanceamounts,therefore,it considersthatcommittedamountsarereducedfirst (if any),followedbyassignedamounts (if any), andthenunassignedamountswhenexpendituresareincurredforpurposesforwhichamountsinany of thoseunrestrictedfundbalanceclassificationscouldbeused. Inthegovernment-widefinancialstatements,restrictions of netpositionarereportedwhenconstraints placedonnetpositionareeitherexternallyimposedbycreditorsorlawsorregulations of other governmentsorimposedbylawthroughconstitutionalprovisionsorenablinglegislation. (h)Interfund Receivables,Payables and Transfers Interfundbalancesrepresentcashcollectedordisbursedon behalf of anotherfund.Interfundtransfers aretransfersbetweenfundsthatarerequiredwhenrevenueis generated inonefundand expendituresarepaidfromanotherfund. (i)Interest Arbitrage Rebate BondsissuedandfundssegregatedintoreservesafterAugust15,1986aresubjecttoInternalRevenue ServiceincometaxregulationswhichrequirerebatestotheU.S.Government of interestincome earnedoninvestmentspurchasedwiththeproceedsfromthebondsoranyapplicablereservesin excess of theallowableyield of theissue.Amountsowedareexpensedwhenpaidandrefundsare recordedwhenreceivedatthefiveyearanniversarydate of thebondissueoruponfinalrepayment. BeginningforFY2013theBond Bank's arbitragerebateconsultantwillupdateallgeneral obligationbondrebateanalysisannuallyas of June30.As of June30,2014theBond Bank's net arbitragerebateliabilitywas$0. 0)Income Taxes TheAuthorityisexemptfrompayingfederalandstateincometaxes. -9- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) NotestoFinancialStatements (3)Cash TheAuthorityconsidersallhighlyliquidinvestmentspurchasedwithanoriginalmaturity of threemonths orlessatthedate of purchasetobecashequivalents.CashandcashequivalentsatJune30,2014 consistofmoneymarketaccountsheldwithvariousfinancialinstitutions. Thebankbalance of all of the Authority's cashandcashequivalentsare collateralized bysecuritiesheld inthe Authority's namebyitscustodialagent. 4)Investments Thefairvalue of debtsecurityinvestmentsbycontractualmaturityas of June30,2014isshownbelow. Expectedmaturitiesmaydifferfromcontractualmaturitiesbecauseborrowersmayhavetherightto callorprepayobligationswithorwithoutpenalty. Lessthan1 1-5 6-10 Morethan10Total GeneralFund U.S.Treasurysecwities $2,003,516 $8,276,289 $$$10,279,805 U.S.Governmentagencies secwities 6,418,178 6,418,178 2,003,516 14,694,467 16,697,983 DebtServiceFund U.S.Treasurysecwities 4,971,030 34,902,760 39,873,790 U.S.Governmentagencies securities 1,707,448 12,577,273 14,284,721 6,678,478 47,480,033 54,158,511 Totalinvestments $8,681,994 $62,174,500 $$$70,856,494 (a)Investment Policies TheAuthorityhasdistinctinvestmentobjectivesandpoliciesassociatedwithfundsheldinthe CustodianAccount,ReserveFunds,andmunicipaldebtpaymentsreceivedpriortoscheduleddebt servicepaymentdates.Thethreeclasses of fundsarelistedbelow: CustodianAccount TheCustodianAccountinvestmentportfolioisdesignedwiththeobjective of attainingthehighest marketrate of returnsubjecttotherequireduse of theCustodianAccountforoperation,funding transferstothestate,andfundingreserves.WhentheCustodianAccountbalanceallows,a longerinvestmenthorizonisimplementedfortheCustodianAccount,acceptingthelimited probability of short-termlossinexchangeforhigheryieldoninvestments.TheCustodian Accountbalancemustexceed$15million,andbeforecastedtoexceed$15millionforthe subsequent twelve-month period,andananalysis of riskprofileandhistoricalbenefitbetweenthe varyingstrategiesmustbeundertakenbeforeanyshiftintheinvestmentstrategy of theAccount. TheCustodianAccounthastomaintainsufficientliquiditytomeetoperatingrequirements, providethepriorfiscal year's statedividend,andtoallowtransferstoreservesasneededforbond issuanceactivity.Long-term preservation of principalisthethirdobjective of theCustodian -10- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) NotestoFinancialStatements Account's investmentprogram.Investmentsshallbeundertakeninamannerthatminimizesthe probability of long-termloss. oTheCustodianAccountbalanceisacriticalcomponentindetermininganticipatedlife, abilitytodiversify,andinvestmentpolicyinthisaccount.Accordingly,whentheaccount balanceisabove$15millionamoreaggressivepolicymaybeimplemented.Whenthe accountbalanceisbelow$15millionamoreconservativepolicymaybeused. oShiftingfromoneassetallocationtoanothermaybeapprovedbytheInvestment Committeewhenthereisaprojection of acontinuedtrendinaccountbalance justifying the shift. oTherearenoarbitragerestrictions. WhentheCustodianAccountbalanceislessthan$15million,thefollowingpoliciesapply: o20%MoneyMarketFundand80%govemmentagenciesandU.S.Treasurieswith maturities ofless than5years. oPerformance benchmark forthe20%:ThreemonthU.S.TreasuryBill. oPerformancebenchmarkforthe80%:MerrillLynch1-5GovernmentIndex. WhentheCustodianAccountbalanceexceedsandisexpectedtoremaininexcess of $15 million,thefollowingpoliciesapply: oGreater of 10%ora percentage equalto$750,000inmarketvalue:MoneyMarket Fundandupto90%:BroadU.S.BondMarketFund. oPerformance benchmark forthegreaterof10%orthe percentage of thefund investedthatis benchmarked toMoneyMarketFund:Three-monthU.S.Treasury Bill. oPerformance benchmark fortheupto90%:BarclaysCapitalAggregateIndex. ThefollowingtransactionsareprohibitedwiththeCustodianAccountunlessthosetransactions havethepriorwrittenconsent of theInvestmentCommittee: oShortsale of securities(thesaleandsettlement of asecuritynotcurrentlyowned bytheAuthorityandaformalagreementtoborrowthesecuritytofacilitatethe settlement of theshortsale); oPurchases of futures,forwardsoroptionsforthepurpose of speculating(currency futures,forwardsandoptionsarepermittedonlyforhedgingortofacilitate otherwisepermissibletransactions); oBorrowingtoleveragethereturnoninvestments.Extendedsettlement of securities purchasesexecutedtofacilitateorimprovetheefficiency of atransactionwillnot beconsideredborrowing,providedthatsufficientcashequivalentsecuritiesor receivablesareavailabletofacilitatetheextendedsettlement; oPurchases of "privateplacement"orunratedcorporatebonds. -11- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) NotestoFinancialStatements BondReserveFunds Preservation of principalistheforemostobjective of theBondReserveFundsinvestment program.Thesefundsshallbemanagedtoensurethatthecorpusispreserved.Thesefunds willnotbeexpendeduntilthefinalmaturity of thebondissuetheysecure,unlessthereisa failuretopaydebtservicebyacommunity.Asthereislimitedbenefitin maximizing returnit istheleastimportantobjective of theBondReserveFunds.It isanticipatedthattheReserve Fundscumulativeaveragereturnshouldtargettheblendedarbitrageyieldlimit of thebond issuessecured. Bondresolutionslimitallowedinvestment of thesefunds.Investmentriskisexaminedonan annualbasistoensurethatnogreaterthantheminimumlevel of riskrequiredtoachievethe highestprobability of earningthearbitrageyieldlimitonthebondsisincurred. Thebondresolutionslimitinvestmentsto: o100%governmentagenciesandU.S.Treasurieswithmaturities ofiess than5years. oPerformancebenchmarkisMerrillLynch1-5GovernmentIndex. MunicipalDebtPayments Preservation of principalandliquidityaretheforemostobjectives of theMunicipalDebtPayments investmentprogram,asthesefundswillbeexpendedwithinsevenbusinessdays of receipt. Returnoninvestmentisabenefit of holdingthesefundsfortheadvancepaymentperiod,but notthefocus of investingthefunds.Thebondresolutionslimitinvestmentsto: o100%MoneyMarketFund. oPerformance benchmark isthree-monthU.S.TreasuryBill. It isthepolicy of theAuthoritytodiversifyitsinvestmentsandtoensurethesafetyandliquidity of the investmentsbyobservingthefollowingsoundinvestmentpractices: oNotmorethan5%oftheCustodianAccountmaybeinvestedinthecorporatedebtofany oneissuer,atthetime of purchase. oIntheevent of acreditdowngradewhichreducesasecuritybelowtherequiredrating writtennotificationwillbemadetotheInvestmentCommitteesettingforththeparticulars of thedowngradeandrecommendingacourse of action. oNotmorethan50%of theCustodianAccountmaybeinvestedincorporatesecurities,at thetime of purchase. oTheduration of theCustodianAccountmustremainwithin80to120percent of the duration of theprevailing performance benchmark. oPurchases of morethan10%ofa corporatebondissueshallnotbemade. (b)Concentration Risk Concentrationriskistherisk of lossattributedtothemagnitude of the Authority's investmentina singleissuer.Concentrationlimitsarenotestablishedinthebondindenturesandgoverning -12- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnitoftheStateofAlaska) NotestoFinancialStatements agreementsforpledgedinvestments.The Authority's policiessetoutmaximumconcentrationlimits forinvestmentsmanagedbytheexternalinvestmentmanager. (c)Credit Risk Creditriskistherisk of lossduetothefailure of thesecurityorbacker.TheAuthoritymitigatesits creditriskbylimitinginvestmentspermittedintheinvestmentpolicies.U.S.Treasurysecuritiesand securities of agenciesthatareexplicitlyguaranteedbytheU.S.governmentarenotconsideredto havecreditrisk. (d)Custodial Credit Risk TheAuthorityassumeslevels of custodialcreditriskforitsdepositswithfinancialinstitutions,bank investmentagreements,andinvestments.Fordeposits,custodialcreditriskistheriskthat,inthe event of abankfailure,the Authority's depositsmaynotbereturned.Foraninvestment,custodial creditriskistheriskthat,intheevent of thefailure of thecounterparty,theAuthoritywillnotbe abletorecoverthevalue of theinvestmentorcollateralsecuritiesthatareinthepossession of an outsideparty.TheAuthorityhasnot established aformalcustodialcreditriskpolicyforits investments.TheAuthorityhadnoinvestmentsregisteredinthename of acounterparty. (e)Interest Rate Risk Interestrateriskistheriskthatthemarketvalue of investmentswilldeclineasaresult of changesin generalinterestrates.Fornon-pledgedinvestments,theAuthoritymitigatesinterestrateriskby structuringits investments'maturitiestomeetcashrequirements,therebyavoidingtheneedtosell securitiesintheopenmarketpriortomaturity.Forinvestmentsheldintrust,investmentmaturities arestructuredtomeetcashrequirementsasoutlinedinitsbondindenturesandcontractualand statutoryagreements. (5)Bonds Receivable TheGeneralFundincludesbondsreceivablewithinterestratesvaryingfromI%to5%duefromtheCity of Galenawithmaturitiesasfollow: Yearending GeneralFundBonds June30 Receivable 2015 $147,257 2016 162,047 2017 163,675 2018 165,319 2019 166,980 2020-2024 860,403 2025-2026 170,987 $1,836,668 -13- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) NotestoFinancialStatements BondsreceivablebydebtserviceprogramatJune30,2014matureinvaryingannualinstallmentsas follows: Yearending June301976General2005General 2015 $9,125,000 $42,450,000 2016 6,650,000 44,920,000 2017 5,710,000 46,245,000 2018 5,930,000 46,190,000 2019 5,335,000 48,090,000 2020-2024 15,960,000 226,510,000 2025-2029 4,735,000 171,605,000 2030-2034 120,360,000 2035-2039 45,540,000 2040-2044 31,145,000 2045-2049 18,450,000 $53,445,000 $841,505,000 Yearending2004BAnchorage June30 Revenue Total Principal 2015 $130,000 $51,845,000 2016 135,000 51,845,000 2017 140,000 52,240,000 2018 145,000 52,415,000 2019 150,000 53,735,000 2020-2024 865,000 244,210,000 2025-2029 1,090,000 178,460,000 2030-2034 1,405,000 123,000,000 2035-2039 325,000 46,425,000 2040-2044 31,145,000 2045-2049 18,450,000 $4,385,000 $903,770,000 2010General $140,000 140,000 145,000 150,000 160,000 875,000 1,030,000 1,235,000 560,000 $4,435,000 -14- ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of theState of Alaska) Notesto Financial Statements (6)Long-Term Liabilities Bond Bank's longtermliabilitiesconsist of thefollowingas of June30,2014: Debt Service Account Statutory Reserve Account Ordinary Reserve Sub-Account Principal Interest rate outstanding Principal Interest rate outstandingIssue 1976General Bond Resolution Program: 2004BSeries Nome Valdez Petersburg Craig Seward 2004CSeries Kodiak Island Borough Palmer Petersburg 2004DSeries Adak Kodiak Island Borough 2005ASeries Cordova Fairbanks Ketchikan,City of Northwest Arctic Borough Sitka Unalaska 2005BSeries Haines Borough KetchikanGatewayBorough North Pole,City of Palmer Sitka 2005CSeries Haines Borough Petersburg Northwest Arctic Borough 2006ASeries Aleutians East Borough Ketchikan Gateway Borough Lake and Peninsula Borough Nome Wrangell Total 1976 General Bond Resolution Fund 2005Series General Bond Resolution Program 2005-OneSeries Ketchikan,City of Nome Seward 2006-One Series Kenai Peninsula Borough Seward 2006-TwoSeries-Ketchikan,City of 2.00%-4.00% 4.00"10-5.00% 3.00%-5.0a% 2.50%-5.00'}~ 3.00%-5.00% 4.00"10-5.00"10 4.00%-4.35% 3.00%-5.00'l;'O 4.00"10-6.00"10 4.25%-4.75% -15- $340,000 670,000 1,510,000 18,900,000 3,990,000 20,815,000 7,220,000 53,445,000 7,560,000 4,930,000 33,505,000 2.00%-4.0IY% 2.75%-5.00% 5.00"10 4.(XJ% 4.50010-6.00% 5.00% s 350,000 335,000 1,765,000 (continued) ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of theState of Alaska) Notesto Financial Statements DebtService Account Statutory Reserve Account Ordinary Reserve Sub-Account 2.00%-4.00010 7,955,000 2.00%-4.00%975,000 3.00%-4.00%2,140,000 3.()()oIo-4.00%840,000 4.63%-5.40%20,425,000 2.00'10-5.00"/0 9,505,000 3.00"/0 335,000 3.75%~5.0001o 22,915,000 4.50%685,000 4.25%-5.50"10 12,085,000 4.00%415,000 4.25%-5.00010 11,445,000 4.25%-4.50%1,070,000 4.00%-6.00010 5,535,000 4.00%-5.000/0 49,360,000 5.00%3,260,000 Issue 2007-0ne Series Kenai Peninsula Borough Inter-Island Feny Authority Nome Northwest Arctic Borough Petersburg Seward Sitka,City and Borough of Wasilla 2007-TwoSeries Kenai Peninsula Borough Aleutians EastBorough 2007-ThreeSeries Bethel,City of Juneau,City and Borough of 2007-Four Series-Kenai Peninsula Borough 2007-FiveSeries-Kodiak,City of 2ooS-0ne Series Dillingham Kodiak Island Borough Kodiak,City of Seward 2008-TwoSeries Seward Sitka,City and Borough of Skagway 2009-0ne Series Kodiak,Cityof Unalaska,City of 2009-TwoSeries Cordova Nome,City of Unalaska,City of Kodiak,Island Borough 2009-ThreeSeries-Juneau,City andBorough of 2009-A-FourSeries KenaiPeninsulaBorough KetchikanGatewayBorough 2009-B-FourSeries-KetchikanGatewayBorough 201Q.-A-Series One Ketchikan,City of KetchikanGateway Borough Kenai,City of Northwest Arctic Borough Petersburg Unalaska 201Q.-B SeriesOne Kenai,City of Northwest Arctic Borough Petersburg Unalaska 2010-ASeriesTwo Juneau,Cityand Borough of Cordova KingCove,City of 2010-BSeriesTwo Juneau,CityandBorough of Cordova KingCove,City of Interest rate 4.00%-5.50% 4.40%-6.00010 3.00%-5.63% 4.00%-6.00010 5.99%-6.34% 2.0%-3.0% 3.75%-4.91% -16- Principal outstanding 16,640,000 14,960,000 23,980,000 16,740,000 7,415,000 1,280,000 11,405,000 Interest rate 4.00%-5.50% 4.75%-6.00% 4.00%-5.50% 4.00%-6.00% 3.00% Principal outstanding 1,265,000 1,200,000 560,000 1,400,000 325,000 (continued) ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of theState of Alaska) Notes to Financial Statements Debt Service Account Statutory Reserve Account Ordinary Reserve Sub-Account Issue 201O-A SeriesThree Aleutians East Borough Unalaska King Cove,City of 2010-8SeriesThree Aleutians EastBorough Unalaska King Cove,City of 201O-A SeriesFour Kenai Peninsula Borough Ketchikan,City of KetchikanGatewayBorough Sitka,City and Borough of Sitka,City and Borough of(Refunding) Soldotna 2010-8Series Four KenaiPeninsulaBorough Ketchikan,City of Ketchikan Gateway Borough Sitka,City and Borough of Soldotna 201ISeriesOne Kodiak Island Borough Wrangell 2011SeriesTwo Juneau,City and Borough of Sitka,City and Borough of 2011SeriesThree wrangell Aleutians EastBorough Northwest Arctic Borough Ketchikan Gateway Borough Kenai Peninsula Borough Cordova Hoonah Skagway Seward Kodiak Island Borough 2012 SeriesOne Juneau,Cityand Borough of (Wildflower Court) Juneau,Cityand Borough of 2012 SeriesTwo Juneau,Cityand Borough of Ketchikan,City of Ketchikan Gateway Borough Kodiak Island Borough Nome,City of NorthPole,City of Palmer,City of Petersburg Sitka,Cityand Borough of Valdez 2012 Series Three Juneau,Cityand Borough of (School) Juneau,Cityand Borough of(REF) Petersburg Haines Borough Interest rate 2.00%-4.00010 4.93%-5.43% 2.00%-5.00% 1.42%-6.26% 3.00%-5.13% 2.00%-4.38% 2.00%SOO% 1.75%~5.00% 1.50'10-5.00"10 -17- Principal outstanding 2,885,000 6,900,000 21,135,000 49,265,000 7,305,000 9,065,000 73,900,000 14,035,000 49,250,000 20,080,000 Interest rare 2.00%4.00% 3.00% 2.00% 2.00%-5.00% 2.00%-4.00% Principal outstanding 405,000 415,000 815,000 1,390,000 1,900,000 (continued) ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of theState of Alaska) Notesto Financial Statements Debt Service Account Statutory Reserve Account Ordinary Reserve Sub-Account Issue 2013SeriesOne Juneau,City and Borough of (Hospital RevReO Juneau,City and Borough of Kenai Peninsula Borough Ketchikan Gateway Borough Kodiak Island Borough Sand Point,City of Sitka,City and Borough of(Harbor Sitka,City and Borough of(Electric) 2013SeriesTwoA Horrer,City of Ketchikan,City of Ketchikan,City of (REF) Skagway 2013SeriesTwoB KodiakIslandBorough 2013Series Three Juneau,City and Borough of Kenai Peninsula Borough Lake and Peninsula Borough Sitka,City and Borough of 2014SeriesOneA Juneau,City and Borough of Kodiak Island Borough Kenai Peninsula Borough-Exempt KenaiPeninsulaBorough-Taxable 2014SeriesTwoA Ketchikan,City of(Harbor) Ketchikan,City of (Hospital) KingCove,City of Total2005SeriesGeneralBondResolutionFund 2010SeriesGeneralBondResolution Program 2010A-ISeriesOne KetchikanGatewayBorough 2010A-2SeriesOne KetchikanGatewayBorough Total2010SeriesGeneralBondResolutionProgram 2004BMunicipality ofAnchorage RevenueBond TotalRevenueBonds Interestrate 2.00%-5.00010 2.00%-4.00% 3.00010-4.00% 1.50%-5.00% .38%-5.00% 3.00010-5.00% 3.00%-4.00% 5.78%-6.86% 4.00010-4.75% -18- Principal outstanding 93,900,000 18,370,000 17,110,000 72,045,000 61,205,000 45,275,000 841,505,000 735,000 3,700,000 4,435,000 4,385,000 4,385,000 $903,770,000 Principal Interest rate outstanding 19,705,000 $19,705,000 ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) NotestoFinancialStatements DuringtheyearendedJune30,2014the Authority's long-termliabilitieschangedasfollows: Beginning Repayments/End of year New debt Adjus trrcnts of year General obligationbondspayable $783,545,000 $178,525,000 42,980,000 $919,090,000 Revenuebondspayable 18,010,000 13,625,000 4,385,000 Otherlong-term debt 10,581,495 10,581,495 Total $812,136,495 $178,525,000 $67,186,495 $923,475,000 Allbondsaresecuredbybondsreceivableandbyamountsinthereserve account TheActfurther providesthat if amunicipalitydefaultsonitsprincipaland/orinterestpayments,uponwrittennotice bytheAuthority,theState of AlaskamustconsiderpayingtotheAuthorityallfundsduefromthe defaulting municipality fromtheStateinanamountsufficienttoclearthe default TheBondBank ExecutiveDirectorisobligatedperresolutiontoseekandtheStatemayprovideanappropriation annuallytoreplenishreserves, InMarch2013theAuthorityissued$96,05millioningeneralobligationandrefundingbondswith interestratesrangingbetween3.35%and5%.TheAuthorityissuedthebondstoadvancerefund $24,950,000 of theoutstanding2004ACBJRevenuebondswithinterestratesrangingbetween4.38% and6.25%.TheAuthorityusedthenetproceedsalongwithotherresourcestopurchaseU.S. governmentsecurities.Thesesecuritiesweredepositedinanirrevocabletrusttoprovideforallfuture debtserviceontherefundedportion of theseriesbondslistedabove.Asaresult,thesebondsare considereddefeased,andtheAuthorityhasremovedtheliabilityfromitsfinancialstatements.The outstandingprincipal of thedefeasedbondswas$24,950,000atJune30,2013and2014asthebonds werecalledJuly 1,2014. InJune2013,theAuthorityissued$36.3millioningeneralobligationandrefundingbondswithinterest ratesrangingbetween2%and5%.TheAuthorityissuedthebondstocurrentlyrefund$1,245,000 of theoutstanding2002AKetchikanRevenuebondswithinterestratesrangingbetween4.375%and5%. TheAuthorityusedthenetproceedsalongwithotherresourcestoprovideforallfuturedebtserviceon therefundedbondswhichwerecalledwithin90daysfortherefunding.Asaresult,thesebondswere considereddefeasedaspart of acurrentrefundingtransactionandtheAuthorityhasremovedthe liabilityfromitsfinancialstatements.The outstanding principal of thedefeasedbondswas$1,245,000 atJune30,2013and$0atJune30,2014asthebondswerecalledJuly5,2013. -19- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnitoftheStateofAlaska) NotestoFinancialStatements Theabovebondsmatureinvaryingannualinstallments.ThematuritiesatJune30,2014areasfollows: 1976 Yearending June 30 General Reserve 2015 $9,125,000 $ 2016 6.650.000 2017 5,710.000 2018 5,930,000 2019 5,335,000 2020·2024 15,960,000 2025-2029 4,735,000 2030·2034 2035-2039 2040·2044 2045-2049 $53,445,000 $ $ $ 2005 2010 General Reserve General Reserve 42,450,000 1,225,000 $140,000 $ 44,920,000 1,960,000 140,000 46,245,000 425,000 145,000 46,190,000 4,805,000 150,000 4S,09O,OOO 1,035,000 160,000 226,510,000 5,060,000 875,000 171,605,000 3,430,000 1,030,000 120,360,000 1,235,000 45,540,000 1,765,000 560,000 31,145,000 18,450,000 841,505,000 $19,705,000 s 4,435,000 s Year ending 2004BAnchorage June 30 Revenue Total Principal TotalInterest 2015 $130,000 $53,070,000 $42,474,858 2016 135,000 53,805,000 39,732,791 2017 140,000 52,665,000 37,642,039 2018 145,000 57,220,000 35,4S1,379 2019 150,000 54,770,000 33,039,603 2020·2024 865,000 249,270,000 131,442,156 2025·2029 1,090,000 181,890,000 79,570,427 2030·2034 1,405,000 123,000,000 39,270,008 2035-2039 325,000 4S,I90,OOO 17,807,657 2040-2044 31,145,000 8,888,500 2045-2049 18,450,000 2,145,252 $4,385,000 $923,475,000 $467,494,670 (7)Conduit Debt UndertheCoastalEnergyLoanProgram(Program),theAuthorityissued$5,000,0001986SeriesA CoastalEnergyBonds(Bonds)payabletotheNationalOceanicandAtmospheric Administration (NOAA).TheproceedsofthesebondswereusedtopurchaseportrevenuebondsfromtheCity of Nome.TheCityofNomeenteredintoatripartiteagreementwithNOAAandtheAuthorityeffective August2,1994todeferpayment of theprincipalandaccrual of interestfortenyears.EffectiveJanuary 29,2009 asecondamendmenttothetripartiteagreementwasexecuted.Theamendment authorized the issuance of 2009ABondsforthepurpose of refundingbyexchangetheoutstandingCity of Nome, Alaska,PortRevenueBond1986Series A.As of June30,2014theaggregateamount outstanding for conduitdebtobligationswas$4,470,451. AlsoundertheProgram,theAuthorityissued$6,563,0001987SeriesACoastalEnergyBondspayableto NOAA.Theproceeds of thesebondswereusedtopurchaseportrevenuebondsfromtheCity of St. Paul.TheCityofSt.PaulenteredintoatripartiteagreementwithNOAAandtheAuthorityeffective December 14,2000tomodifyandamendtherepaymenttermsincludingprincipalandinterest.On April18,2005,theCity of St.Paulaskedfor NOAA's recommendationforloanforgivenesswhichwas deniedonJanuary 24,2006.Subsequently,onMarch17,2009,NOAAissuedanother determination on requestforrecommendation of CEIPloanforgivenessbutafinalagreementhasnotbeenreached -20- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theStateofAlaska) NotestoFinancialStatements betweentheCity of St.PaulandNOAAas of June30,2014.As of June30,2014theaggregateamount outstandingfortheCity ofSt.Paulconduitdebtobligationswas$6,005,878. Therelatedloanpayablesdonotrepresentageneralobligation of theAuthorityastheyarepayableonly fromproceedsreceivedfromtheCity of NomeandSt.Paul,respectively.Payment of principaland interestontheBond Bank's CoastalEnergyBondisnotsecuredbyapledge of anyamountsheldbyor payabletotheBondBankundertheGeneralBondResolution,includingtheReserveAccount,andis notinanywayadebtorliability of theBondBankandaccordingly,arenotincludedinthebasic financialstatements. TheCoastalEnergyBondsandrelatedaccountsareincludedintheBond Bank's statutorylimitfortotal bondsoutstanding. (8)ChangeinAccountingPrinciple Beginning withfiscalyear14financialstatements,theAuthoritynolongercarriesitsconduitdebt obligationsasdescribedinNote7withinitsbasicfinancialstatementsinordertostreamlinethe financialstatementspresentation.Asaresult of thechangeinpolicy,a$10,581,495adjustmenttothe governmentalfunds'fiscal2014beginningfundbalancewasmadeinordertoremoveconduitdebt obligationbalances. (9)Commitments During2011StateLegislatureappropriated$2,450,000toBondBanktoissuea15-year,onepercent interestloantotheCityofGalenatoretireexistingdebtobligationsandmakecertainutility improvements.Theintent of thelegislaturewasthatloanrepaymentsmadefortheloanbepaidintothe State of AlaskaGeneralFundinaccordancewiththeprovisions of theAS44.85.270(h).Theamount of receiptsavailabletotheAuthorityduringfiscal2014asdiscussedinNote2(d),included$176,528 of City of GalenaloanrepaymentsfortheyearendedJune30,2014.Therewerenoexcessreceiptsover operatingexpendituresduringfiscalyear2014. Theamount of AuthorityreceiptsdeterminedunderAS44.85.270(h)and,asdiscussedinNote2(d), availablefortransferbytheAuthorityand appropriation totheBondBankAuthorityReserveFund underAS44.85.270(a)was$-0-forfiscalyear2014;thecumulativestateappropriatedamount, therefore,remained$33,396,046atJune 30,2014. TheentireCustodianAccountbalanceisavailableforappropriation,atanytime,bytheStateLegislature. (10)SubsequentEvents Subsequenttoyearend,theAuthorityissueda preliminary statementforthe2014SeriesThreegeneral obligationandrefundingbondsissueintheapproximateparamount of $58million.Finalissuanceis expectedtotakeplaceinOctober2014. -21- ALASKA MUNICIPAL BOND BANK AUTHORITY (A Component Unit of theState of Alaska) Supplemental Schedule of Statutory Reserve Accounts -Assets,Liabilities and Account Reserves June30,2014 1976 General 1976 General 2004B Anchorage "Ordinary""Special"2005 Resolution Revenue 2010 Resolution Total Assets Cash $-$26,032 $1,259,426 $18,639 $28,984 $1,333,081 Accrued interest receivable 2,107 13,184 129,561 289 355 145,496 Marketable securities 485,000 5,926,492 47,046,394 325,287 375,338 54,158,511 Interaccount receivables --1,992,752 --1,992,752 $487,107 $5,965,708 $50,428,133 $344,215 $404,677 $57,629,840 Liabilities Interaccount payables $1,824,285 $2,092,620 $$2,219 $11,614 $3,930,738 Bond payable --19,705,000 -19,705,000 Accrued interest payable --218,546 --218,546 1,824,285 2,092,620 19,923,546 2,219 11,614 23,854,284 Reserves Special Reserve -State Appropriated -696,844 27,349,686 -393,086 28,439,616 Special Reserve -Unappropriated 3,243,579 3,286,046 341,931 2,653 6,874,209 Special Reserve -Unrealized gain(loss)-(67,335)(131,145)65 (2,676)(201,091) Ordinary Reserve -Unallocated (1,334,858)----(1,334,858) Ordinary Reserve -Unrealized gain(loss)(2,320)----(2,320) (1,337,178)3,873,088 30,504,587 341,996 393,063 33,775,556 $487,107 $5,965,708 $50,428,133 $344,215 $404,677 $57,629,840 See independent auditor's report. -22- ALASKA MUNICIPAL BOND BANK AUTHORITY (A Component Unit of the State of Alaska) Supplemental Schedule of 1976 Master Resolution Program -Community Concentration June 30,2014 Northwest Arctic Borough Haines Borough Petersburg Borough Ketchikan Gateway Borough City of Ketchikan Aleutians East Borough City and Borough of Sitka City of Unalaska Lake &Peninsula Borough City of Wrangell City of Cordova City of Adak Kodiak Island Borough City of Nome City of Valdez City of Palmer City of Craig City of North Pole Total Outstanding Par Borrower Outstanding Par $14,985,000 12,310,000 4,240,000 3,515,000 2,990,000 2,680,000 2,605,000 2,205,000 1,890,000 1,520,000 1,060,000 980,000 965,000 875,000 225,000 220,000 115,000 65,000 $53,445,000 Percent of Outstanding 28.04% 23.03% 7.93% 6.58% 5.59% 5.01% 4.87% 4.13% 3.54% 2.84% 1.98% 1.83% 1.81% 1.64% 0.42% 0.41% 0.22% 0.12% 100.00% Note1 Pursuant tothe Securities and Exchange Commission Rule 15c2-12 andthe Authority's continuing disclosure undertakings,the Authority is obligated to provide annual financial information.In addition to annual financial statements the Authority must provide a statement of authorized,issued and outstanding bonded debt,reserve fund balances,and government unit statistics in substantially the same formas Appendix C of official statements of the Authority.The following supplementary information related tothe 1976,2010,and2005 master resolutions is provided in compliance with the Appendix C filing requirement." See independent auditor's report -23- ALASKA MUNICIPAL BONDBANK AUTHORITY (A Component Unit of theState of Alaska) Supplemental Schedule 1976Master Resolution Program -Debt Service Requirements June30,2014 Borrower 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Northwest ArcticBorough $2,246,256 $2,250,631 $2,247,506 $2,251,831 $2,251,806 $2,247,431 $2,253,091 $483,625 $481,406 $483,344 Cityand Borough of Sitka 839,050 424,900 425,238 424,938 424,000 427,425 City of Ketchikan 822,250826,750 824,375825,125 Ketchikan Gateway Borough 1,326,138769,888628,688636,688631,500 Lakeand Peninsula Borough 1,000,6001,003,600 Aleutians East Borough 435,135442,135343,335292,935269,135265,935267,273273,198283,328 187,618 City of Wrangell 251,400253,800 255,800 252,400253,800254,800 255,106 City of Petersburg 600,229 433,304435,404 433,404 431,004433,104 434,388 429,818 429,500 433,350 City of Unalaska 424,088 424,688 425,025424,725423,788422,213 Kodiak Island Borough 984,300 City of Nome 96,40194,00191,60194,20196,60193,80195,91492,82094,670 96,310 City of Cordova 204,125 206,125 202,750 204,000204,750 205,000 City of Palmer 228,900 City of Craig 119,600 HainesBorough 1,420,309 1,293,559 1,295,184 1,294,4841,297,2841,293,584 1,292,7431,294,1331,292,9691,289,625 City of Valdez 229,219 City of Adak 112,750114,850116,750113,550115,038116,100112,050 112,888 113,250113,125 City of NorthPole 68,250 - TotalLoan Obligation DS $11,408,999 $8,538,230 $7,291,655 $7,248,280 $6,398,705 $5,759,393 $4,710,564 $2,686,480 $2,695,123 $2,603,371 See independent auditor's report -24- ALASKA MUNICIPAL BOND BANK AUTHORITY (A Component Unit of theState of Alaska) Supplemental Schedule of 2005 Master Resolution Program -Community Concentration June30,2014 Outstanding Percent of Borrower Par Outstanding Cityand Borough of Sitka $134,970,000 15.67% Kenai Peninsula Borough 126,050,000 14.64% Cityand Borough of Juneau 112,610,000 13.08% City of Ketchikan 106,175,000 12.33% Kodiak Island Borough 88,675,000 10.30% Ketchikan Gateway Borough 40,290,000 4.68% City of Seward 38,990,000 4.53% City of Unalaska 34,565,000 4.01% Northwest Arctic Borough 29,500,000 3.43% Aleutians East Borough 27,360,000 3.18% Lake&Peninsula Borough 18,225,000 2.12% City of Cordova 14,400,000 1.67% City of Kodiak 13,520,000 1.57% City of Dillingham 11,905,000 1.38% City of Petersburg 9,265,000 1.08% City of Nome 5,390,000 0.63% Municipality of Skagway 5,230,000 0.61% City of Homer 3,605,000 0.42% City of Bethel 2,940,000 0.34% City of Valdez 2,725,000 0.32% City of Sand Point 2,560,000 0.30% City of KingCove 2,335,000 0.27% City of Soldotna 2,225,000 0.26% City of Wasilla 1,880,000 0.22% City of Kenai 1,695,000 0.20% City of Hoonah 1,190,000 0.14% Haines Borough 1,180,000 0.14% City of Palmer 860,000 0.10% City of North Pole 820,000 0.10% City and Borough of Wrangell 370,000 0.04% Reserve Obligations 19,705,000 2.29% Total Outstanding Par $861,210,000 100.00% See independent auditor's report -25- ALASKA MUNICIPAL BONDBANK AUTIIORITY (A Component Unit oflh,;Slate of Alaska) Supplemental Schedule 2005 Master Resolution Program -Debt Service Requirements June 30.2014 Borrower 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 City of Ketchikan Utility_2005 Lean S 1,330,180 S 1,331,680 S 1,332,480 s ssss s -,-- CityofNome-2005 Loan 302,338 302,R38 299,8311301,433 302.564303,114303,244302.709 301.744 300,150 Kenai Peninsula Borough Cent.Em.Svcs.Dist.-2006 Loan 190.728 19J.128 191.328 19J.171190.809190,071 194.121 192.671 190,890 193,850 Cityof Seward-2005 ponLoen 118,435114,685 116.685118,405114,899116,329117,549118,464119,164 114,570 Cityof Seward-2005 Refunding 21111.750 City ofSeward -2006 Pen Loan 346,380 342,91\0 344,380 345,099 345,405 344,993 344.155 347.760345,510 347.750 Cityof KetchikanPort-2006 loan 2,556,1562.555,069 2.556,9632.553,063 2.548,063 2,550,038 2.543,850 2,544,363 2,541.300 2,539.525 CityofNome-2007 Refunding 181,397179,894 177,419180,247182,8591110,619 178,609 NorthwestArctic Borough -2007 Refunding 256,094 255,856 1.259,8441.249,172 1,248,350 1,248,825 1.245,163 Cityof Petersburg -2007 Refunding 147,131141,944 145.919140,159 144,391 143,681147,991 City of Scwurd-.2007 Refunding 243,859 :m,606 241,044241,709237,394238,363 234,525 239.994 City and BoroughofSilka-2007 Refunding 845,341 847,319 848,781 851,672849,219 Cityof Wasilla -2007 Refunding 422,263420,1119421,6111 42),241 424.5118 Kenai Peninsula Borough-2007 LOaJ1 316,725 313,225312.625 City of Petersburg -2007Loan 118,925 91,431 88,544 90,7711 92,89490,100 92,356 89,425 91,29792,906 Aleulians East Borough-2007 Refunding 1,203,438 945,438947,338 1,772,2381,818,363 1,835,11631,844,9881,856,938 2,121,938 2,271,750 SouthKenai Peninsula Hospital-2007 Refunding 145,300144,700144,100 143,500 142,825146,950 789.450 7811,250 784,350 787,325 Clly ondBoroughof Juneau -2007 III Docie.Loan 748.813 747,175 149515 746,875 749,125 745,500746,000745,500 748.1175 746.125 Cilyof Bethel-2007111Court Facility Loar 295,225291,838 293,038294,125 295,125 290,150 291,000 290,750 290,000 293,625 Kenai Peninsula Borough SouthHospital Service Area 1,129,6001,128,569 1.126,475 1,121,3631,124,313 1,122,9381.119,813 1,119.813 1,117,813 1,119,819 CityofKodiakM&PLoan 126,221128,671 125.971128,121 125,121 127,521125,287 127.11711 125,313 127,593 CityofKodink Lin Loan 244,530 240,~30 240,980 241,330 241,380 242,030 243,271244.186 244,1104 245,126 Kodiak Island Borough 2008OneLoan 624,210622,460 624,960 620,160 624,960 623,960 621,323623,0411 623,360 622,210 Cityof DilIin~ham 2008OneLoan 1,176,0901.179,590 1.176,340 1,178,540 1.174.5401,174,5401.176.3901,176,7531,179,565 1,174.515 Kodiak Police Statton 2008One Loan 531.240 531,990 532,240 529,040 505,640 507,1140 509.128 504,990505.365505.015 City of Seward LongTerm Cure 20011OneLoan 1,911,4131,970,163 1,971,913 1,970,5131,972,713 1,973,313 1,969,750 1,969,41111 1,970.925 1,968,725 Cily und F1orough nf Sitka 2008Two Loan 562,045 565,245 562,845564,725 564,625564,005 562,355 564,645565,610 565,423 Municipality ofSkogway 2008 Two Loan 391,235 393,035 394,435 395,210391.110395,330393,630 396,2[0 392,1115 393,1103 City orseward 2008TwoLoan 393.886 393,886 393,686 393,151394,151393,151 391.176 393.816395,826 392,276 City of Unalaska 2009One Loon 1,916,8001,909,9001,912,9001,909,0251,908,2751,905,525 1,905,6501,903,5251,904,0251,900,694 City ofKodio.k 2009OneBoat Lift Loon 69,613 68,713 67.713 71,588 70.338 69,0118 67,8311 71.463 69.963 68,425 Cityof Unalaska 2009 Two Loan 559,025 5511,715 5511,1100 563,51111 560.413 City ofCorduvn 2009Two Loan 1,370.6811.371,656 1,367,969 1.369,094 1,371,244 1,369,9061.369.906 l,367,906 1.371.7061,371.719 Cily ofNome 2009Two Loan 53,263 52,138 5[,075 55,044 53,694 52,269 55,769 54,019 52.181 55,300 CityandBoroughof Juneau -2009 Three Loan 1,493,075 1,500,6501,485,6001.495,8001.444,1100 1,468,800 Ketchikan Gateway Borough-2009 Four Loan 1,714,769 1,777,769 1,775.5191,7611.232 1.754,104 1,743,479 1.731,390 1,722,642 1.707,107 1,694,654 Kenai Peninsula Borough-2009 Four Lean 1,055,600 Cityof xensr-ao I°One Loan 176,198178,798 [15,]98 176,998 178,398 172,704 172,011171,018164,725 16],433 Ketchikan Gateway Borough-20 10OneLoan 722,050 729,800 725,800 731,000730.000728,000 NorthwestArcuc Borough-201 0One Loan 282,465 283,565283,165282,565281,765 280,765 284.565 281,315 276.127 275.640 Cily of'Pctcrsburg-Ztl10OneLoan 236,269238,044 139,094 234,494 234,794 234,894 234,794238,694 235.849 232,010 CityofVllulasko-2010One Loan 425,999 425,[49 427.149428,749 424,949 425,949426,549 424,299424.017417,835 Northwest ArcticBorough-2010 Refunding 969,350967,200 City and Borough of Juneau -2010 Two Loans 1,141.7941.139,319 1.139,029 1,129,772 1,117.534 1.107,744 2,472,665 1,820539 1.719,639 1,517,673 Cityof Cordova 20 I 0Two Loan 45,905 49,780 48,430 46,1159 45,138 48,1811 46,070 CityofKing Cove 20 I 0 Two Loan 42,112 41.512 45.743 44,762 43.686 42,540 41.363 40.155 38,1147 42.319 AleulinnsEastBorough-2010 Loan 399,003 397,0711398,8711395,3711396,5711 391,966 392,943 390,1177383,441 380.636 Cityof King Cove2010Three Loan 60,942 59,1192511,69262,392 60,992 59,6110 58,205 61,359 59,389 57.419 CilyofUnaluska2010ThreeLoan 438,892 436,267437,267437,867438,067 -133,605 432,617 -129,319 420,652416,616 Kenai Peninsula Borough 2010Four Loan 1,477.2411,46R,022 1,459,11117 1.442,7251,431,305 1,411.7151.395,269 1,376,201 1.3511,9461,338,264 Clty of'Ketehikan 2010FourLoan 631.272 6211,044 623.153 616,549 608,190 603.500 597,854586,163578,214 568,842 Ketchikan Gateway Borough 2010 four Loon 334,573333,976332,198324,287320,209 315,233314,514 3011,091 300,753 292,534 City and Borough ofSitka2010FourLean 4,082.982 4,064,732 4.064.932 4,075,151 4,062,570 4,047,5704,058,510 4,050.6411 4,0]8,926 4,030,419 Cityof Snldetna 20 I °FourLoan 216,905219,070 215,646 216,594211.905 211,752206,3 II 205,509 199.279 1':17.602 See independent auditor's rcpnrt ·26- ALASKA MUNICIPAL BONDBANK AUTIIORITY (A Component Unit ofthe Suue of AI~sb) Supplemental Schedule 2005 Masler Resolution Program-Debt Service Requirements June Hl,2014 Borrower 2015 2016 2017 2018 2019 2020 2021 2022 2023 ~ Citylind Borough ofWrnngcll20IIOneLoan 25,675 25,075 24,475 28,875 28,000 27,000 26,000 Kodiak Island Borough2011One Lean 626,000 621,850 622.550 622,950 621,400 622,800623,600623,800625,513626,275 City lind Borough of Juneau 2011Two Lean 659,63I658,S3I657,831658,S3I 657,300 659,600 655,:!OO City lind Borough ofSilb 2011Two Loan 412,209 407,60940S,009412,134410,090407,590407.390 411,790 407,690 408,071 Aleutians East Borough 20IIThree Refunding 569,125 833,750 976,625 229,375 229,875 226,000 231,625230,625 Kenai Peninsula Borough2011Three Relimding 1,656.275 1,647,050 1.640,4501.630,0751,621,8251,617,850 967,375 958,750953,250 KetchikanGateway Borough 2011Three Refunding 620.325 621,250 616,)00 618,175618,800 615,900 616,875 614,000 609,875 Northwest Arctic Borough 2011 Three Refunding 2,493,1502,484,4002,491,9002,486,775 2,492,025 2,492,7002,488,875 2,485,000 2,485,625 1,681,000 Wmngell 2011Three Refunding 87,600 93,800 41,000 KenaiPeninsulnBorough [CentralHospitaf)2011Three 3,522,725 3,525,050 3.522,125 3,521.750 3520,000 3,521.000 3.525.500 3,528.625 3.533.750 3.520.875 Cityof Curdova 20II Three 56,60054,800 57,875 55,625 53,375 56,250 54,000 56,375 Cityuf Hoonah 20II Three 110,075107,600114,875111,625113,250 90,500 93,125 90,375 92,500 89,500 Kodiak lslund Borough2011Three 301.350 298,600 300,475300.975300,975 301,550 301,625 300.125 298,125 300,500 Municipality ofSkagway 20IIThree 35.025 34.350 33.67537.800 36.800 35,90035,00034.000 37,875 36.625 CityofSewanl2011 Three 242,275243,350 244.175 244,300 244,175 244,350 244,275243,400 242,275245,775 Citylind Borough of Juneau G.O.Refunding 2012One 1,323,700 1,319,1251,091,625 Juneau Wildnower Court Refunding 2012One 1,637,0751.702,025 l.344,900 1,418,1251.486.9251,555,825 437.725 41\4.575 534.966 5113,463 Juneau 2012 rwo 1.892,250 1,902,150 1.920,4001,940.2501.958,400 Cityof Ketchikan 2012Two 358,344 356,944 354,444 356,644352,519 352,019355,894 355,344354,294351,544 Ketchikan Gateway Borough 2012Two 135,450 689,150686,150 682,350 689,250681,625 Kodiak Island Borough2012Two 503.550 1,449.2501,449.1\501.439,5001.447,950 1,439,025 1.442,275 1,433.950 1,433,125 1,433.250 City of'Ncme 2012Two 145,725147,300 148.200 148.900 14M.H25 147.950 I 46,M25 146.100 150,000 l33,250 City ofNorth Pole2012Two 36,55036,550 100,250102,550 99,400 100,775101,900103,200104,250 99,750 City cf Palmer2012Two 37,550 111.050108,050105,800108.450104,850105.725 106.ROO 107.625107.750 Cily of'Pctersburg 2012Two 333,000 494,000490,600 496,600491.075 41\11,125 41\11.375 489.750 4115.250 461\.125 City and Borough ofSitka20 12Two 1,058,0501,455,650 1,456,2.50 1,460,150 1,456,7751,455,6501,456,650 I ,45 I ,'!OO 1,453.0001,450,375 City ofVuldez2012 Two 126,350 341,950347,850 348,250 351,850343,725340,225342,550 344,125 343.500 Haines Borough2012Three 113,919 87,219 85,9111 84,744 82,719 115.344 82,844 115.219117,344114.344 Juneau 2012Three Refunding 903,050 909,050916,950918,950 9211,250 937.125 948,625 947.S75 959,750 973.7~0 Juneau2012 Three School Construction 1,482,!l75 1,455,3751,440,838 1,430,600 1,400.3751,363,625 1,364,8751,363,125 1.363,250 City of'Petersburg 2012Three 103,925101,525 104,1I3R 103,050105,000101,500 102.875 104.000104.875105,500 Kenai Peninsula Borough (Bear Creek Pire)2013One 94,02097,420 95,620 93,820 97,02094,52097,520 95,320 93.120 95.920 Cily and Borough of Juneau {Burtlcllllospil3l)2013One 1.656,2131.652,113 1.657,2131.659,2631.665,563 1.661,1163 1.661.5J3 1,666,7131,665.313 1,667.513 City and Boroughof Juneau 2013 One 204,610 201,010 202,410 203,610 199,610 20~,610 200,210200,810201,210 201,410 Ketchikan Gateway Borough2013 One 610.150608,150 610,550 607,150 608,150 608,400607,600611.000608,400 KodiakIsland Borough 2013One 1,6119,340 1,690,140 1,689,740 1.688,140 1,690,340 1.687,590 1.691,7901,6119,3901.690,5901,690.190 CilyofSlIlllJ Point2013One 11I0,5S0 IH3,ISO 180,580182,9110 180,IHO 1111,6110 183,6110 180,4ll0 182,2110 183,880 Cityend Borough ofSilk II (Harbor)2013One 310,700 310,300309,700303,900307,900310,150308,550 311,750 309,550312,150 City and BoroughofSitka (Eleclric)2013One 1,757,3601,757,3601.757.3601,757,3601.757,3601,757,3601.757.360 1.757.360 1,757,360 1,757.360 City ofllomer 2013Two 287,350289,750292,050 2lS7,850 288,650 289,300293,300291.900290,300 293,500 Cityof Ketchikan 2013Two 1,700,4001,064,4001,069,5001,069,2001,068,4501,072,2501,069,8501,071,6501,072,450 1,077,250 Kodiak Island Borough 2013 TIVo 1,353,61\81,355,5381,356,788 1,355,91111 1.355,11881,360,11181,361,58g1,361,78111,363.0381,367,288 Municipality of Skagway 2013Two 67.550 66,950 71,350 70,300 69,250 68,200 71,800 70,200 68,600 72.000 CityandBoroughof Juneau 2013Three 905.504 902,325 902,475 903,650 905,450 903,650 902,125 902.000905,000 902,000 Kenai Peninsula Borough 1,627,5041,628,7251,627,300 1,626,550 1,625,550 1.626,600 1.627,325 1,628,5001,627,675 1,630,175 Lake and Peninsula Borough2013 Three 1,421,220 1,424,450 1,420,088 1,421.950 1,419,850 1.423.900 1.423,2501,424,2501,423,500 1,422.000 City andBorough nlSitka 2013Three 1,547,6781.274,975 1.274.975 1,274,975 1.274.975 1,274,975 1.274.9751.274.9751.274.975 1,274,975 Kenai Peninsula Burough 2014One 2.959,268 2,958,056 2,956.2802,956.670 2,960.067 2,960.062 2.959,103 2.955,849 2,957,500 2,955,500 Kodiak Island Borough 2014One 1,776,1851,775,6631,777,1131,774,7131,772,7131,775,1131,772,113 1,776,363 1,773,1131,772,613 City lind BoroughofJuneau2014One 403,1159403,1811 403,8n 407,11311 404,838406,538 403,138 404.6311405,638406,1311 City of KetchikanHospital (G,O,)2014 Twu 1.666.015 1.753,7001.753,700 2,553,700 2.553,700 2,551.700 2.552.700 2,556.450 2557.700 2.556.450 City of'Ketchikan Harbor(G,O,)2014 Twu 199,04/1 207,500203,900205,300 205,550205,550205,300204,Il00209,050 207,800 Cityof King Cove Electric 2014 TIVo 160.873165,250160,650161,050160,050163,800 42,050 41,050 40,050 ~ TotalLoan Dbligctitm DS S 81.313,241 S 81,493,230 S 81,088.153 s 79,236.233 S 79,181,723 s 75,344.903 S 72.562,151 s 69.609.175 S 69.264,990 S 64,752,495 Sec independentauditor's report -27- ALASKA MUNICIPAL BOND BANK AUTHORITY (A Component Unit of theState of Alaska) Supplemental Schedule of2010 Master Resolution Program -Community Concentration June30,2014 Borrower Ketchikan Gateway Borough Total Outstanding Par Outstanding Par $4,435,000 $4,435,000 Percent of Outstanding 100.00% 100.00% See independent auditor's report -28- ALASKA MUNICIPAL BONDBANK AUTHORITY (A Component UnitoftheStateofAlaska) Supplemental Schedule20I0Master Resolution Program-DebtService Requirements June30,2014 Borrower KetchikanGatewayBorough TotalLoanObligationDS 2015 $404,744 $404,744 2016 $400,544 $400,544 2017 $400,544 $400,544 2018 $399,644 $399,644 2019 $403,444 $403,444 2020 $400,474 $400,474 2021 $395,791 $395,791 2022 $390,819 $390,819 2023 $385,558 $385,558 2024 $380,007 $380,007 See independent auditor'sreport -29- APPENDIXF 2005 General Obligation Bond Resolution [THIS PAGE INTENTIONALLY LEFf BLANK] TABLEOFCONTENTS ARTICLEI STATUTORYAUTHORITYANDDEFINITIONS Section101-AuthorityforThisResolution. Section102•ResolutionConstitutesContract.. Section103-Definitions.. ARTICLEII AUTHORIZATIONANDISSUANCEOFBONDS Section201-AuthorizationofBondsandInterestRateExchangeAgreements..15 Section202-IssuanceandDeliveryofBonds..16 Section 203·ProvisionsforIssuanceofBonds..16 Section204-ProvisionsforRefundingBonds..19 GENERAL OBLIGATION BONDRESOLUTION ALASKA MUNICIPALBONDBANK ARTICLEIII GENERALTERMSANDPROVISIONSOFBONDS Section301-DescriptionofBonds;Payment. Section302-Legends.. Section303•ExecutionandAuthentication.. Section304-InterchangeabilityofBonds. Section305-Negotiability,TransferandRegis!IY.. Section306-Repulalions with Respect10ExchangesandTransfers.. Section 307·BondsMUlilated,Destroyed,SiolenorLost.. Section308-PreparationofDefinitiveBonds;TemporaryBonds.. Section309-CancellationandDestructionofBonds. ARTICLEIV REDEMPTIONOFBONDS Section401-RedemptionProvisions ... Section402•NoticeofRedemption.. Section403-PartiallyRedeemedFullyRegisteredBonds. 21 23 23 2. 24 25 25 26 27 28 2. 30 AdopledJuly13,2005 ARTICLEV CUSTODYANDAPPLICATIONOFCERTAINPROCEEDSOFBONDS Section501-ApplicationofCertainProceeds..31 Section502•Loans..31 Section503-RelentionandInspectionofDocuments.32 ARTICLEVI ESTABLISHMENTOFFUNDSANDACCOUNTSANDAPPLICATIONTHEREOF Section601•Pledge..33 Section602-EstablishmentofFundsandAccounts..33 ARTICLEX SERIESRESOLUTIONANDSUPPLEMENTALRESOLUTIONS Section1001-ModificationandAmendmentwithoutConsent.67 Section1002-SupplementalResolutionsEffectivewilhConsentof Bondholders....68 Section 1003·GeneralProvisionsRelalingtoSeriesResolutionsand SupplementalResolutions.68 ARTICLEXU DEFAULTSANDREMEDIES Section1201•TrusteetoExercisePowersofStatutoryTrustee..73 Section1202-EventsofDefault...73 Section1203-Remedies..74 Section1204•PriorityofPaymentsAfterDefault.76 Section1205-TerminationofProceedings..78 Section1206-Bondholders'DirectionofProceedings..78 Section1207-LimitationonRightsofBondholders..79 Section1208-PossessionofBondsbyTrusteeNotRequired...............80 Section1209-RemediesNotExclusive..80 Section907-AccountsandReports.58 Section90B-PersonnelandServicingofPrograms.59 Section909-WaiverofLaws..59 Section 910·FeesandCharges.59 Section911-AdministralionofReserveFund..60 Section912 -Issuance ofAdditionalObligations..61 Section913-LoanAgreemenlProvisions..62 Section914-ModificationofLoanAgreementTerms..64 Section915-SaleorMunicipalBondsbyBank..65 Section916-DisposilionoftheProceedsofSaleorRecemouonofMunicipal Bonds.65 Seclion917-EnforcementofMunicipal Bonds..65 Section918-ContinuingDisclosure;Bankruptcy..66 Section919-Tax Covenants..66 Section603-ReserveFund..34 Section604•interestAccount,Principal Account andRedemption Account..36 Section605-RebateFund..39 Section 606-Operating Fund.41 Section607-ReductionofRequiredDebt Service Reserve.42 Section608-Trustee's Maintenance ofRecordsonPaymentofBonds..42 Section 609-Obtaining Credit Enhancements and Interest Rate Exchange Agreemenls..42 Section 610-Creation of Additional Funds,Accounts and Subaccounls;Separate Credit Enhancement Funds;Pledge with Respect 10 Credit Enhancements and Interest Rate Exchange Agreements..43 ARTICLE VII SECURITY FOR DEPOSITS AND INVESTMENT OF FUNDS Section701-SecurityforDeposits..44 Section702-Investment ofFundsandAccountsHeldbytheTrustee.44 Section703 -Liablhty ofTrusteeforInvestments..46 ARTICLEVIII THETRUSTEEANDTHEPAYINGAGENTS Section801-AppointmentandAcceptanceofDutiesofTruslee.46 Section802-APpointmentandAcceptanceofDutiesofPayingAgents..46 Section803-ResponsibilitiesofFiduciaries.47 Section804•EvidenceonWhichFiduciariesMayAcl.49 Section805-Compensation.50 Section806-PermittedAclsandFunctions...50 Section807-ResignationofTrustee..50 Section80B-RemovalofTrustee.51 Section809-AppointmentofSuccessorTrustee.51 Section810-TransferofRightsandPropertytoSuccessorTrustee.52 Section811•MergerorConsolidation..52 Section812-ResignalionorRemovalofthePayingAgentsandAppointmentof Successors.53 Section813-EvidenceofSignaturesorBondholdersandOwnershipof ecnos..53 ARTICLEIX COVENANTSOFTHEBANK Section901•PaymentofBonds.55 Section902-ExtensionofPaymentofBonds..55 Section903-OfficesforServicingBonds.55 Section904-FurtherAssurances.56 Section905-PowertoIssueBondsandMakePledges............56 Section 906-GeneralCovenantsofthe Bank..57 ALASKA MUNICIPAL BOND BANK TabJoofCOJ11w1!:f (AmOlll1<Hl} '..-..31QlX>OI_"""""""-W~""","",,,R"""',,,,_ ARTICLEXI AMENDMENTS Section1101-Powersof Amendment . Section1102-ConsentofBondholders. Section1103-ModificationsbyUnanimousConsent. Section1104-MailingandPublication... Section1105-ExclusionofBonds.. Section1106-NotaliononBonds. Pago 1 69 70 72 72 .72 73 ALAS/(A MUNIDPAL BONO BANK T.t>IeofConr.'!!:f (A1Mlld8d} '..-..31"'lal'~_W __R_",,_Pllgll2 F-I ALASKA MUNIDPAL BOND 8ANK TaoleofConr.'!!I {Am ...d8d} '..-..31<ZlCOl__W_..............""...Page 3 Section1210-NoWaiverofDefault. Section1211-NoticeofEventof Default. ARTICLEXIII DEFEASANCE Section1301•Defeasance. ARTICLEXIV MISCELLANEOUS Section1401-PreservationandInspectionofDocuments. Section1402-Partiesof Interest.. Section1403-NoRecourseUnderResolutionoronBonds.. Section 1404·Severability .. Section1405-Headings. Section1406•Conflict.. Section1407-Goveming Law.. Section1408-EffectiveDate.. AUlSKA MUNICIPAL 80NO BANI< f.tll8 ofConNnr.(Am8RIIod} ,\Doa",.=OO"".-.,"""I2lII:lI ........""O·_""""R'"""'on_ 80 80 81 84 84 84 85 85 85 85 85 Pago4 GENERAL OBLIGATION BONORESOLUTION ARESOLUTIONCREATINGAND ESTABLISHING AN ISSUEOFBONDSOFTHEALASKAMUNICIPALBOND BANK;PROVIDINGFORTHEISSUANCEFROMTIME TOTIMEOFSAIDBONDS;PROVIDINGFORTHE PAYMENTOFPRINCIPALOFAND INTEREST ONSAID BONDS;ANDPROVIDINGFORTHERIGHTSOFTHE HOLDERSTHEREOF. BEITRESOLVEDbytheBoardofDirectorsoftheAlaskaMunicipalBondBank asfollows: ARTICLEI STATUTORY AUTHORITY AND DEFINITIONS Section101 -Authority forThisResolution.This Resolutionisadoptedpursuant totheprovisionsoftheAct. Section102-Resolution Conslitutes Contract.Inconsiderationof\hepurchase and acceptance oftheBondsbythosewhoshallholdthesamefromtimetotime,the provisionsofthisResolutionshallbeapartofthe coruract oftheBankwiththeHolders ofBondsandshallbedeemedtobeandshallconstituteacontractbetween\heBank, theTrusteeandtheHoldersfromtimetotimeoftheBonds.Thepledge hereof andthe provisions,covenantsand agreements hereinsetforthtobeperformed byoron behalf oftheBankshallbeforthebenefit,protectionandsecurityoftheHoldersofanyand allofsuchBonds.EachBond,Credit Enhancement facility,andInterestRate ExchangeAgreement,regardlessofthetimeorlimesof its issueormaturity,shallbe ofequalrankwithoutpreference,priorityordistinctionoveranyotherBond,Credit Enhancement facility,orInterestRateExchange Agreement exceptasexpressly providedinthisResolution. Section103•Delinaions.Thefollowingtermsshall,forallpurposesorthis Resolution,havethefollOWingmeaningsunlessthecontextshallclearlyindicatesome othermeaning: "Accountant's Ceruncete"shallmeanacertificatesignedbyan independent cerlifiedpublicaccountantorafirmof independent certifiedpublicaccountantsselected bytheBank. "AccretedAmount"shallmean,withrespecttoCapital Appreciation ofBondsof anySeriesandasofthedateofcalculation,theamountestabushed pursuant tothe SeriesResolutionauthorizingsuchCapital Appreciation Bondsastheamount representingtheinitialpublicofferingprice,plusthe accumulated and compounded principaland interest onsuchBonds. ~Act~shallmeantheAlaskaMunicipalBondBankAuthorityAct,constiluting Chapter85,Title44,oftheAlaska srarctes,asamendedtothedateofadoptionofthis Resolution. "Aumlnlstrauve Expenses"shallmean(heBank'sexpensesof canying outand administering its powers,dutiesandfunctions,asauthorizedbytheAct,andshall include,withoutlimitingthe generality oftheforegoing:administrative andoperating expenses,legal,accounling and consultant's servicesandexpenses,paymentsto pension,retirement,healthand hospltenzauonfunos.andanyotherexpensesrequired orpermittedtobepaidbytheBankunderIheprovisionsoftheActorIhisResolution orotherwise. ~Aggregate Debt Service'foranyperiodshallmean,asofanydateofcalculation andwithrespecttoallBonds,thesumoftheamountsofDebtServiceforsuchperiod. "AnnualDebtService"shallmeanthetotalamountofDebtServiceforany Outstanding BondsinanyFiscalYear. ~Authorized Dencmlnencns''with respecttoanySeriesofBondsissued hereunder,hasthemeaning specified intherelatedSeriesResolution. ~Authorized Officer"shallmeantheChairman,ViceChairman,Executive Secretary,orExecutive Directorof theBankandanyotherdirector,officeroremployee oftheBankauthorizedbyresolutionoftheBanktoperformsuchactordiSChargesuch debt. 'Bank"shallmeantheAlaskaMunicipalBondBank,apublicbodycorporateand politicconstitutedasapubliccorporationand instrumentality oftheStateofAlaska withinthe Department ofRevenuebuthavingalegalexistence independent ofand separatefromtheStateexercisingpublicand essential govemmental functionsand createdbytheAct,oranybody,agencyor instrumentality oftheStatewhichshall hereafter succeedtothepowers,dutiesandfunctionsoftheBank. ~Beneficial Owner"shallmeanthepersoninwhosenameaBondisrecordedas thebeneficialownerofsuchBondbytherespectivesystemsofDTCand\heDTC ParticipantsortheHolderoftheBond if theBond is notthenheldin book-enlry form. "Bond"or ~Bondsft shallmeananyAlaskaMunicipalBondBankBondorBonds, orAlaskaMunicipalBondBankAuthorityBondorBonds,asthecasemaybe, authenticated anddeliveredunderthisResolutionpursuanttoaSeriesResolution. ~Bondholder"or ~Holder"orwordsofsimilarimport,whenusedwithreference 10aBondorBonds,shallmeananypersonwhoshallbetheregisteredownerofany Outstanding BondorBondsissuedinfullyregisteredformorthebearerofanyBond orBondsissuedinbearerformorreqrsterectobearer.WhenallBondscraSeriesare heldbyasecuritiesdepository,"Bondholder"or"Holder"shallmeanthebeneficial ownerofthe Seriesinquestiondeterminedundertherules oubet securitiesdepository; otherwise "aonchoioer"or"Holder"meansownerofrecordonthebondregister maintainedbythePayingAgent.Tothe extent thatlhe fullpaymentoftheintereston andprincipalofBondsofaSeriesissecuredbyCreditEnhancement,theCredil Enhancement Agencyshallbeconsideredtobethe "Bondholder"or ~Holder"ofallthe BondsofthatSeriesforpurposesofexercisinganyrightswithrespect10supplements and amendments tothisResolutioniftheCreditEnhancement Agreement soprovides. "BondYear"shallmeaneachone-yearperiodthatendsonananniversaryof\he dateofissueoftheBonds. "Book-Entry System-shallmeanthesysteminwhichtheBonds(represented byoneBondcertificateforeach maturity oftheBonds)aredeliveredintothe possession ofOTC andareissuedand fully-registered astoprincipalandinterestinthe nameofCede &Co.,andwherebybeneficial interests intheBondsarepurchasedby investorsthroughDTCParticipants,such interests shownandtransfersthereofeffected onlythroughtherecords maintained bytherespectiveDTCParticipantsfromwhom eachsuchinvestoracquiredsuchbeneficialinterest. ALASKA MUNICIPAL BOND 8ANl{ eM1lIII1 Obligation Bond_obrian (AmMd&d) '\'b..\".,.",.,,--.>IXI'I ......""~-'1Ion:lR"","on..;:d Page2 F-2 ALASKA MUNICIPAL BOND 8ANl{ eM"""OIIiIgatiOll SOlId Raolltl"on (AmWld8<l} 'lDoa\ll""""~""""Cb"_"""'_Pago 3 "Business Day"shallmeananydayotherthana Saturday or Sunday orany otherdayonwhichbanksinNewYork,Alaska,orthestateorstatesinwhichany Trustee appointed hereunder performs itsduties hereunder are authorized orrequired tobeclosedorareclosed "Capital Appreciation Bonds"shallmeanBonds,the interest onwhich(a)is compounded and accumulated attheratesandonthedatessetforthintheSeries Resolution authorizing the issuance ofsuchBondsand designating themasCapital Appreciation Bonds,and(b)ispayableupon maturity or redemption ofsuchBonds, "Continuing Disclosure Certificate"shallmean,foreachSeries.the continuing tnsctosure certificate executed by theBankfor(he purpose of satisfying the continuing disclosure requirements ofRule 15c2-12 ofthe Securities and Exchange Commission withrespecttosuchSeries,assuch continuing disclosure certificate is originally executed andasitmaybe amended fromtimetotimein accordance with ns terms, "Counsers Opinion"shallmeananopinionsignedbyan attorney orfirmof attorneys of nationally recognized standing inthefieldoflawrelatingtostateand municipal financing (whomaybecounseltotheBank)selected bytheBankand acceptable totheTrustee. "Credit Enhancemenr shallmeanaletterofcredit,alineofcredit,acredit facility,asuretybond,bond insurance,orany other instrument or arrangement obtainedin connection withthe issuance ofaSeriesof Bonds to further securethe payment oftheBondsofsuchSeriesortosatisfythe Reserve Fund Requirement. "Credit Enhancement Agency"shallmeananybankor other institution that provides Credit Enhancement. "Current Interest Bonds"shallmeanBondsnot constituting Capital Appreciation Bonds.InterestonCurrentInterestBondsshallbe payable periodically onthe Interest Payment DatesprovidedthereforinaSeries Resolution. "DebtService"shallmeanforanySeriesof Bonds Outstanding.an amount equaltothesumof(a)all interest payableduringsuchperiodof calculation,plus(b) the Principal Installments,ifany.payableduringsuchperiodof calculation onsuch SeriesofBonds. "Executive Director'"shallmeantheExecutive Director orActing Executive Director oftheBank. "Fees and Chames"shallmeanallfeesandcharges authorized tobecharged bytheBank pursuant tosection 44.85.080(8),(15)and (16)oftheActandchargedby theBankto Govemmental Units pursuant tothetermsand provisions ofLoan Agreemenls. ftFiduciary-or "Fiduciaries"shallmeantheTrustee,andPayingAgent,oranyor allofthem,asmaybe appropriate. "FiscalYear"shallmeananytwelve (12)consecutive calendar months commencing withthefirstdayofJulyandendingonthelastdayofthefollowingJune orsuchotherdaleasis authorized bystatuteand/orselectedbytheBank. "Fitch ft shallmeanFitchRatings,organized andexistingunderthelawsofthe Stateof Delaware,its successors andtheirassigns,and,'Ifsuch organization shallbe dissolved or liquidated orshallno longer perform the functions ofa securities rating agency,"Filch~shallbe deemed torefertoanyother nationally recognized securities ratingagency(otherthan Standard &Poor'sorMOOdy's)designated bythe Authorized Officer, "Government Ob!igations~shallmeandirect obligations of,or obligations ofthe payment ofand interest onwhichare unconditionally guaranteed by,theUnitedStates ofAmerica. "Governmental Unit"shallmeana municipality orsuchotherentityofwhichthe Bankis authorized bylawtopurchaseitsrevenuebonds,general obligation bonds, notes,or olher formsof indebtedness andwhich otherwise satisfies conditions found hereinandintheLoan Agreement. ~Governmental UnifsAilocable Proportionftshallmeanthe proportionate amount ofthetotal requirement inrespectofwhichthetermisused determined bythe ratio that ALASKA MUNICIPALBOND BANI< G..IIIIII OllJlg.rlon Bond R"'D~IOfI(Am"'rJed' l~l'1O:101_~Go""'Cb_!lond~"""",,,,,"'"Page 4 A/.ASKA MUNICIPAL BONO BANI< GOtIlIIIIlObllll.rlDII BOfId RaOlullOfl (AmDnrJedJ '''''''''\JI..,ml~''''-Cb_'''''''''''''''"""",Page5 theLoanthen outstanding tosuch Governmental UnitbearstothetotalofaULoans then oulstanding toall Governmental Units. "Interest Accounf shallmeanthe account bythatname established bySection 602. "Interest Payment Date"shallmeananydateuponwhich interest onanyBonds is payable in accordance withthetermsthereof. "Interest RateExchange Agreement~shallmeanan agreement enteredintoby theBankortheTrustee,onbehalfoftheBank,providingforan interest ratecap,floor orswapwithrespecttoanyBondsor Municipal Bonds. "Investment Securities"shallmeanthefollowingtotheextent permitted bythe ActandthelawsoftheStateofAlaska: (1)GovemmentalObligations; (2)Bonds,debentures,notesorother evidence of indebtedness issuedor guaranteed by anyofthe followingfederal agencies and provided such obligations arebackedbythefullfaithandcreditoftheUnitedStatesof America (stripped securities areonly permitted if theyhavebeenstrippedbytheagency itself); (a)FarmersHome Administration ("FmHA")Certificates of Ownership; (b)FederalHousing Administration ("FHN)Debentures; (c)GeneralServicesAdministration Participation certificates; (d)GovemmentNationalMortgageAssociation ("GNMN or "GinnieMae")GNMA-guaranteed mortgage-backed bondsor GNMA- g~aranteed pass-through obligations (participation certificates); (e)UnitedStatesMaritime Administration Guaranteed Tille XI financing; (f)UnitedStatesDepartmentofHousingandUrban Development rHUD~)ProjectNotesLoea'Authon'tyBonds; (3)Bonds,debentures.notesorother evidence of indebtedness issuedor guaranteed byanyofthefollowing government agencies (stripped securities areonly permitted iftheyhavebeenstrippedbytheagencyitself); (a)FederalHomeLoanBankSystem.Seniordebt obligations (Consolidated debt obligations); (b)FederalHomeLoanMortgageCorporation.("FHLMC"or ~Freddie Mac~)rated AAA by Standard &Poor'sandAaabyMoody's Participation Certificates (Mortgage-backed securities)Seniordebt obligations; (c)FederalNationalMortgageAssociation.("FNMA"or 'Pannle Mae")rated AAA by Standard &Poor'sandAaabyMoody's Mortgage-backed securities and senior debt obligations (excluded are strippedmortgage securities whicharevalued greater thanparonthe portionofunpaidprincipal); (d)StudentLoanMarketAssocialion.("SLMAftor"Sallie Mae ft) Seniordebtobligations; (e)ResolutionFundingCorp.("REFCORP")Onlytheinterest component or REFCORP stripswhichhavebeenstrippedbyrequestof theFederalReserveBankofNew York in beck-entry formare acceptable;and (f)FarmCreditSystem.Consolidated systemwide bonds. (4)Money market fundsregisteredundertheFederal Investment Company Actof 1940,whosesharesare registered undertheFederal Securities Actof 1933.andhavingaratingbyS&Pof ~AAArrrG,~~AAAm~or~AAmft orby Moody'sof ·Aaa~including fundsfromwhichthe Trustee orrts affiliates receive feesfor investment advisory or omer servicestosuchfund; (5)Certificates of Deposit rCD~)securedatalltimesbycollateral described in(a)andlor (b)above.CD'smusthavea one-year orlessmaturity. Such certificates mustbeissuedbycommerctarbanks.savings andloan AlASICA MUNIc/PAL BONO BANK GOtIIHaIObIlgllflOfl &>nd RetoaIrJon (Am<mded) 1~1'2D:XI1~e.-.Cb_""",,R""'...._Page 6 F-3 A/.ASKA MUNIC/PAL BOND BANI( GOtIIIIIII OI:>IIg.tJOfIBOfId R"DlnIon rAm<mdod} 11Do<oI.1"2D:XI1~e..-Cb_",,",,""""'...._Page7 associationsormutualsavingsbankswhoseshort-termobligationsarerated ftA_I+~orbetterbyS&P,and "Pnme-t''orbetterbyMoody's.Thecollateralmust beheldbyathirdpartyandthethirdpartymusthaveaperfectedflrstsecurity interestinthecollateral: (6)Certificatesofdeposit,savingsaccounts,deposit accounts or money market depositswhicharefullyinsuredbytheFederalDepositInsurance Corporation rFDIC"),includingBankInsuranceFund ("BIF~)andSavings AssociationInsuranceFund ("SAIF~): (7)Commercialpaperrated "Prtme-t"byMoody'sand ftA_1 +ftorbetter byS&Pandwhichmaturesnotmorethan270daysafterthedateofpurchase: (8)Bondsornotesissuedbyanyslateormunicipalitywhichareraled by Moodys andS&Pinthehighestrena-termralingcategoryassignedbysuch agencies: (9)Federalfundsorbankersacceptanceswithamaximumtennof oneyearofanybankwhichhasanunsecured,uninsuredandunguaranteed obligationratingof "Prrme-t''byMoody'sand ~A_1+ft byS&P; (10)RepurchaseagreementsprovidingforIhetransferofsecunues fromadealerbankorsecuritiesfinn(sellerlborrower)to amunicipal entity (buyerflender),andthetransferofcashfromamunicipal entity tothedealer bankorsecuritiesfinnwithanagreementthaIthedealerbankorsecuritiesfinn willrepaythecashplusayieldtothemunicipalentityinexchangeforlhe securitiesata specified date;provided,however,thattherepurchaseagreement mustsatisfycertaincrileriaarticulatedinwritingtotheBankbytheRaling Agenciesandsuchagreementmustbeapprovedinwrilingpriortoitsacquisition byeachbondinsurertheninsuringanySeriesofBonds;and (11)Investmenlcontractswithprovidersthelongterm.unsecureddebl obligationsofwhichareratedatleast"Aaa"bytheRatingAgencies. "Loan"shallmeanaloanheretoforeorhereaftermadebytheBank10a GovemmentalUnitpursuanttoIheActandmoreparticularlydescribedintheapplicable SeriesResolution. "LoanAgreement"shallmeananagreement,andanyamendmentsthereto. heretoforeorhereaflerentered intobetweentheBankanda Govemmental Unitsetting forththetermsand conditions ofaLoan. "Loan Obncetoo"shallmeanthaiamountofBondsandtheBondsthemselves issuedbytheBankforthepurchaseorMunicipalBondsofaGovernmentalUnit. ~Maximum AnnualDebtService"shallmean,withrespecttoanyOutstanding SeriesofBonds,thehighestremainingAnnualDebtServiceforsuchSeriesofBonds. "MOOdy's"shallmeanMoody'SInvestorsService,Inc.,acorporationdUly organizedandexistingunderandbyvirtueofthelawsoftheSlateofDelaware,and us successors andassigns,exceptthaiifsuchcorporationshallbedissolvedor liquidatedorshallnolongerperfonnthefunctionsofasecuritiesratingagency,then theterm ~Moody's"shallbedeemedtorefertoanyothernationallyrecognized securitiesratingagency(otherthanFitchorStandard&poor's)designatedbythe AuthorizedOfficer. "MunicipalBonds"shallmeangeneralobligationbonds,revenuebonds,notes orotherevidencesofdebtissuedbyany Govemmental Unitasnoworhereafter definedin the Actwhichhaveheretoforebeen orwill hereafterbeacquiredbytheBank asevidenceofaLoantolheGovemmentalUnitpursuanttotheAct. ~Municipal BondsInterestPayment"shallmeanthatportionofaMunicipal BondsPaymentmadeorrequiredtobemadebyaGovernmentalUnittotheBank whichrepresentstheinterestdueortobecomedueontheGovemmentalUnit's MunicipalBonds. "MunicipalBonds Payment ft shallmeantheamountspaidorrequiredtobepaid, fromtimetotime,forprincipalandinterestbyaGovernmentalUnittotheBankonthe GovernmentalUnit's Municipal Bonds. ALASKA MUNiCIPAL BOND BANK G..,,,,,,/ObIll1MJon Bond Resr>lutlr>n(Am8n9d),"""'""',.;'I:OO,__oIOlXl>Go_Cl<8"""......R-.n""..,.,Pago 8 AUlSKA MUNICIPAL BOND BANK G"",.,../OI>IJI1_flon Br>ndR<tlr>/ufllHl (Am8nrlfi1j ,\llo:a\3,.zxol_l'2DlISe.-w Cl<~"""_~-.n",,_Pago9 "MunicipalBondsPrincipalPayment"shallmeanthatportionofaMunicipal BondsPaymenlmadeorrequiredtobemadebyaGovernmentalUnit10theBank whichrepresentstheprincipaldueor10becomedueontheGovernmentalUnit's MunicipalBonds. "Notes"shallmeananyobligalionsreferredtohereinissuedbytheBankother thanBonds. ~Operating Fund"shallmeanthefundbythatnameestablishedbySection602. "Outstanding~whenused with referencetoBonds,otherthanBondsreferredto inSection1105hereof,shallmean,asofanydate,allBondstheretoforeorthereupon beingauthenticatedanddeliveredunderthisResolulion except (1)AnyBondscanceledbytheBankortheTrusteeatorpriortosuchdate; (2)Bondsforthetransferorexchangeofor in lieuoforinsubstitutionfor which otherBondsshallhavebeenauthenticatedanddeliveredpursuanttothis Resolution;and (3)Bondsdeemedtohavebeenpaidasprovidedinsubsection(B)of Section1301. "Paying Agent ft fortheBondsofanySeriesshallmeanthebankortrust companyanditssuccessororsuccessors.whichmayincludetheTrustee,designated bytheBankasPayingAgentpursuanttotheprovisionsofthisResolutionandaSeries ResolutionoranyotherresolutionortheBankadoptedpriortoauthenticationand deliveryofBondsforwhichsuchPayingAgentorPayingAgentsshallbesoappointed. "PrincipalAccount"shallmeantheaccountbythatnameestablishedbySection 602. "Principallnstallmenr shall mean,asofanydateofcalculationandwithrespect totheOutslandingBondsofanySeries,(i)theprincipalamountofsuchBondswhich aredueonacertainfuturedate,reducedbytheaggregatepnncipalamountofsuch Bonds which wouldberetiredbyreasonofthepayment when dueandapplicationin accordancewiththisResolutionofSinkingFundPaymentspayablebeforesuchfuture datefortheretirementofsuchBondsor(ii)theunsatisfiedbalanceoranySinkingFund PaymentdueonacertainfuturedateforsuchBonds,plustheaggregateamountofthe premiums,ifany,whichwouldbeapplicableonsuchfuturedateupontheredemplion ofsuchBondsbyapplicationofsuchSinkingFundPaymentsinaprincipalamount equaltosaidunsatisfiedbalanceor(iii)if suchfuturedatescoincideastodifferent BondsofsuchSeries,thesumofsuchprincipalamountofBonds,unsatisfiedbalance andapplicablepremiums,if anyor(iv)foranyparticularSeriesofBondstheamount specifiedintheSupplementalResotuncnauthorizingsuchSeriesofBonds. "PulBond"shall meananyBondthatispartofaSeriesofBondssubject10 mandatorypurchasebyIheBank,nsagentorathirdpartyfromtheOwnerortheBond pursuant toprovisionsoftheSeriesResolutionauthorizingtheissuanceoftheBond. "Rating Agencies~shallmeanMoody's,Standard&Poor'sandFitchortheir respectivesuccessorsandassignsenozoreucnothersecuritiesratingagencyselected bytheBanktoprovidearatingwithrespecttoaSeriesofBonds,oranyportionthereof, whichRatingAgency,asoftheapplicabledate,shalfhaveassignedaratingtoany SeriesofBondsoranyportionthereof. "RebateCalculationDate"shallmean,withrespecttoeachSeriesofBonds,Ihe interestpaymentdatenextprecedingthefifthanniversaryoftheissuedateorsuch SeriesofBonds,each fifthanniversaryoftheinitialRebateCalculationDaleforsuch SeriesofBonds,andthedaleofretirementor the lastbondforsuchSeries. "RebateFund"shallmeanthefundbythatnameestablishedbySection602. "RebateRequirement"shallmeantheamountofarbitragepromseamedfrom theinvestmentofgrossproceedsoftheBondsinnonpurposeinvestmentsdescribed inSection148(1)(2)of the Codeanddefinedas"RebateAmount"inSection1.148-3 oftheTreasuryRegulations,whicharepayabletotheUnitedStatesatthetimesand in theamountsspecifiedinSection 148(0)(3)oftheCodeandSection1.148-3ofthe TreasuryRegulations. "RecordDate"shallhavethemeaningsetforthintheSeriesResolution authorizingthe pertcutar SeriesofBonds. ALASKA MUNICIPAL BOND 8A/IIK G..,.",/ObIII1M1onBond Re:llHiflon (Am8ntnd)'""",,,-,":lOOO,~e.-Cl<_ Pago '0 F-4 ALASKA MUNICIPAL BONO BAM< G..,.,.,ObNI1MJon Bond Re:lr>/uUon(Am8nd«S) '~'l!lCO,~e.-Cl<_",",,_Paga'1 "Redemption Accounf shallmeantheaccountbythatnameestablishedby Sedion 602. "RedemptionPrice"shallmean,withrespect (0 anyBond,theprincipalamount thereof,plustheapplicablepremium,ofany,payableuponredemptionthereof pursuanttotheprovisionsofsuchBond,thisResolutionandtheSeriesResolution pursuant towhichthesamewasIssued. "RefundingBends"shallmeanallBonds,whetherissuedinoneormoreseries, authenticatedanddeliveredonoriginalissuanceforthepurposeofrefundingBonds orotherobligationsoftheBankandallBondsthereafterauthenticatedanddelivered uponthe transferor exchangeof orin lieuof orin subsutuncnforsuchBondpursuant tothisResolution. "Regular RecordDate"shallmean,unlessotherwiseprovidedinaSeries Resolution,withrespecttotheBonds,thefifteenth(15th)dayimmediatelypreceding eachInterestPaymentDate(ortheBusinessDayimmediatelyprecedingsuchfifteenth (15th)day,ilsuchfifteenth(15th)dayisnotaBusinessDay). "ReguiredDebtServiceReserve"shallmeanasofanydateofcelcuranon.the amountrequiredtobeondepositintheReserveFundwhichamountshallbeatleast equaltotheReserveFundRequirement. "ReserveFund-shallmeanthe2005GeneralObligationBondResojufion ReserveAccountestablishedbySection602withintheAlaskaMunicipalBondBank ReserveFundcreatedbySection44.65.270oftheAct. "ReserveFundObligations"shallmeantheamountofBondsissuedbytheBank toobtainfundsdepositedintheReserveFund. "ReserveFund Reguirement ft shallmeantheleastof (i)MaximumAnnualDebt ServicewilhrespecttoallBondsOutstanding;(ii)125%of Average AnnualDebt Service with respecttoallBondsOutstanding;(iii)10%ofthelniue!principalamount ofeachSeriesofBondsthenOutstanding,or (IV)suchloweramountasmaybe requiredbylaw.TheReserveFundRequirementmaybesatisfiedentirely,or in part, byCreditEnhancementasprovidedforherein;provided,however,anyCredit Enhancementsalisfying allorany partoflhe ReserveFundRequirementaftertheinitial issuanceofBonds orissued insubstitutionforanypriorCreditEnhancementpreviously issuedshallnot,byitself,causeawithdrawal or adownwardrevisionoftheralings maintainedbyanyRatingAgencywithrespecttotheBonds. "Resolution"shallmeanthisGeneralObligationBondResolutionasfromtime tolimeamendedorsupplementedbySupplementalResolutionsorSeriesResolutions inaccordance with thetermsandprovisionshereof. "security Instrument"shallmeananinstrumentorotherdeviceissuedbya SecurityInstrumentIssuertopay,ortoprovidesecurityorliquidityfor,aSeriesof Bonds.Theterm"SecurityInstrument"includes,bywayofexampleandnotof limitation,lettersofcredit,bondinsurancepolicies,standbybondpurchase agreements,linesofcreditandothersecurityinstrumentsandcreditenhancementor liquiditydevices;provided,however.thatnosuchdeviceorinstrumentshallbea "Security Instrument"forpurposesoflhisResolutionunlessspecificallysodesignated inaSeriesResolutionauthorizingtheuseofsuch device or instrument "SecurityInstrumentAgreement"shallmeananyagreemententeredintobythe BankandaSecurityInstrumentIssuerpursuanttoaSeries Resolution andforthe applicableportionsofaSeriesResolutionprovidingfortheissuancebysuchSecurity Inslrumentlssuer ofaSecurityInstrument. "SecurityInstrument Costs"shallmean,withrespecttoanySecurityInstrument, allfees,premiums,expensesandsimilarcosts,otherthanSecurityInstrument RepaymentObligations.requiredtobepaidtoaSecurityInstrumentIssuerpursuant toaSecurityInstrumentAgreementortheSeriesResolutionauthcrizlnqtheuseof suchSecurity Instrument SuchSecurityInstrumentAgreementorSeriesResolution shallspecifyanyfees,premiums,expensesandcostsconstilutingSecurityInstrument Costs. "SecurityInstrumentIssuer"shallmeananybankorotherfinancialinstitution, insurancecompany,suretycompanyor otherinstilution issuingaSecurity Instrument ALASKA MUNiCiPAL BOND B1tNK G....~I ObIIII_tlDfI B""d R.alutlan {Amandod} ,~"1!XlO'_~e.-.Wa""'""""A-"""_Page 12 ALASKA MUNICIPAL BOND BANK G....QI1I/ObIIII_tlon Bond Raaiution {Ama_1 1\DoQo'.3""""'_""",,_Cb~·__A-"..,_Page13 "Security InstrumentRepaymentObligations"shallmean,asofanydateof calculationandwithrespecttoanySecurityInstrumentAgreement,anyoutstanding amountspayablebytheBankundertheSecurityInstrumentAgreementortheSeries ResolutionauthorizingtheuseofsuchSecurityInstrumenttorepaytheSecurity InstrumentIssuerforpaymentspreviouslyorconcurrentlymadebytheSecurity InstrumentIssuerpursuant10aSecurityInstrument.Thereshallnotbeincludedinthe calculationoftheamountofSecurityInstrumentRepaymentObligationsany Security InstrumentCosts.EachSecurityInstrumentAgreementortheSeriesResolution authcrtzinqtheuseofsuchSecurityrnsuumentshall specify anyamountspayable underitwhich,whenoutstanding,shallconstituteSecurityInstrumentRepayment Obligalions andshallspecifythe portions ofanysuchamountsthatareallocableas principalofandasinterestonsuchSecurityInstrumentRepaymentObligations. "Series of Bonds"or "Bonds ofa Series"crworos ofsimilarmeaningshallmean theSeriesofBondsauthorizedbyaSeriesResolution. "Series Resolution"shallmeanaresolutionoftheBankauthorizingtheissuance ofaSeriesofBondsinaccordance with thetermsandprovisionshereofandadopted inaccordance with ArticleX. "Sinking FundInstallment"shallmean,asofanyparticulardateofcalculation andwithrespecttotheOutstandingBondsoranySeries,theamountrequiredtobe paidatalleventsbytheBankonasinglefuturedatefortherenrernentofBondsof suchSerieswhichmatureaftersaidfuturedate,butdoesnotincludeanyamount payablebytheBankbyreasononlyofthematurityofaBond. "Standard &Poor's"shallmeanStandard &Poor'sRatingsServices,aDivision ofTheMcGraw-HiliCompanies,tnc.,anditssuccessorsandassigns,exceptthaiif suchcorporationordivisionshallbedissolvedorliqUidatedorshallnolongerperform thefunctionsofasecuritiesratingagency,thentheterm"Standard &Poor's"shallbe deemedtorefertoanyothernationallyrecognizedsecuritiesratingagency(otherthan Moody'SorFitch)designatedbytheAuthorizedOfficer. "State"shallmeantheStateofAlaska. ·Supplemental Resolution-shallmeanaresolutionsupplementaltoor amendatoryofthisResolution,(otherthanaSeriesResolution)adoptedbytheBank inaccordancewithArticleX. irustee"shallmeanthebankortrustcompanyappointedpursuanttoSection 801toactastrusteehereunder,anditssuccessororsuccessorsandanyotherbank ortrustcompanyat anytime subatifutedin itsplace pursuant tothisResolution. "VariableRate Bonds"shallmean,asofanydateofcalculation,Bondsthe termsofwhichonsuchdateofcalculationaresuchthat intereslthereon for anyfulure periodoftimeisexpressedtobecalculatedata rate whichisnotsusceptibletoa precisedetermination. Wordsofthemasculinegendershallbedeemedandconstruedtoinclude correlativewordsofthefeminineandneuter genders.Unlessthecontextshall otherwiseindicate,wordsimportingthesingularnumbershallincludethepluralnumber andviceversa,andwordsimporting persons shallincludecorporationsand associations,inclUdingpublicbodies,aswellasnafuralpersons. Theterms "hereby,-"hereor."-hereto,""herein,""hereunder,"andanysimilar terms.asusedinthisResolution,refertothisResolution. ARTICLEII AUTHORIZATIONANDISSUANCEOFBONDS Section201-AuthorizationofBondsandInterestRateExchangeAgreements. (A)Bondsareherebyauthorizedforissuance hereunder bytheBank.TheBondsmay beissuedinoneormoreSeriespursuant10oneormoreSeriesResolutionswhich shallstatethepurposeorpurposes for whicheachSeriesofBondsisbeingissuedas hereinafterprovidedwithoutlimitationastoamountexceptasprovidedinthis Resolutionorasmaybelimitedbylaw.InterestRateExchangeAgreementsmayonly beexecutedanddeliveredbytheBankinconnectionwiththeissuanceanddeliveryof aSeriesofBondshereunderorinconnectionwiththerenewal,substitutionor extensionofanInterestRateExchangeAgreement. AUlSKA MUNICIPAL BOND BANK G""....I ObIIIIMJOII BOild Raalutl.."(AmMdadj ''OocloUT'XUlI~e-W_""""~"""",,,,_Page 14 F-5 ALASKA MUNiCiPAL BOND BANK G""....,OblIIl~DfIBond ~alutlO/l(Ama~ I~I'''''''\~_W__'''''''''''_Pege 15 (B)Thereishereby created bythisResolution,inthemannerandtotheextent providedherein,a continuing pledgeandlientosecurethefullandfinalpaymentofthe principalorRedemptionPriceof,interestonandSinkingFundInstallmentsfor,allof theBonds issued pursuanttothisResctcuon.TheBondsshallbegeneralobligations oftheBankpayableasto principal orRedemptionPriceof,intereston,andSinking Fund Installments fortheBondssolelyfromthesourcesprovidedinthisResolutionand anySeriesResolution.The State shallnotbeliableontheBondsandtheBondsshall notbeadebtorliabilily,orconstituteapledgeorloanofthefaithandcredit,ofthe State.TheBondsshallcontainonthefacethereofastatementtotheeffectthatthe Bankis oblIgatedtopaytheprincipalorRedemption Price,if any,oftheBondsandthe interestthereononlyfromrevenuesorfundsoftheBankandthattheStateisnot obligatedtopaysuch principal or Redemption Price,ifany,orinterestandthatneither thefaithandcreditnorthetaxingpoweroftheStateispledgedtothepaymentofthe principalorRedemptionPrice,jfany,of,ortheintereston,theBonds. Section202•IssuanceandDelivervofBonds.Aftertheirauthorizationbya SeriesResolution,BondsofaSeriesmaybeexecutedby oron behalfoftheBankand deliveredtotheTrusteeforauthenticationand,uponcompliancebytheBankwiththe requirements,ifany,setforthinsuch Series Resolutionandwiththerequirementsof Section203or,inthecaseofRefundingBonds,Section204,theTrusteeshall thereuponauthenticateanddeliversuchBondstoorupontheorderoftheBank. Section203-ProvisionsforIssuanceofBonds.(A)TheissuanceoftheBonds shallbeauthorizedbyaSeriesResolutionorSeriesResolutionsoftheBankadopted subsequentheretoandtheBondsmaybeissuedinoneormoreSeries.TheBonds ofeachSeries,includingRefundingBonds,shall,in addition tothetitle"Alaska MunicipalBondBankGeneralObligationBonds,"containsuchfurtherappropriate particulardesignationsaddedtosuchtitleandtheappropriateSeriesdesignationas theBankmaydetermineinsuchSeriesResolution.EachBondshallbearuponitsface thedesignationssodetenninedfortheSeriestowhichitbelongs. (B)EachSeriesResolutionauthorizingtheissuanceofaSeriesofBondsshall specify: (1)Theauthorized principal amountofsaidSeriesorBonds; (2)ThepurposesforwhichsuchSeriesofBondsisbeingissued,whichshall beoneormoreofthefollowing:(i)makingLoanstoGovemmentalUnits,(ii)making paymentsintotheReserveFund,(iii)thefundingofNotestheretoforeissuedbythe BankforanypurposesforwhichBondsmayhavebeenissued,(iv)therefundingof Bondsandrelatedpurposes,asprovidedinSection204,and(v)anyotherpurpose authorizedbylaw; (3)Thedaleandthematuritydateordatesandamountsofeachmaturityofthe BondsofsaidSeriesorthemethodordeterminingthesame; (4)(i)Theinterestrateorrates(ifany)ormaximuminterestrateoftheBonds ofsuchSeries,orthemethodofdetenniningsuch rate orrates(Whichmaybe determinableatoneormorespecifiedtimessetforthintheSeriesResolution,which mayaccrereorcompoundwithsuch frequencies orinsuchmannerasshallbe specifiedinsuchSeriesResolutionandwhichshallbeasotherwise specified inthe SeriesResolution),andtheInterestPaymentDatesandRecordDatesmereforand(ii) amannerofcalculatingaccretedvalueorcompoundedprincipalvalueduringallorany partofthetermoftheSeriesofBondsbeingauthorized,ifinterestisnotpayable currentlyandtheBank detennines thatitisnecessaryorappropriate; (5)Thedenominationordenominationsof,andthemannerofnumberingand lettering,theBondsofsuchSeries,providedthateachBondshallbeofthe denominationof$5,000oramultiplethereof,notexceedingtheaggregateprincipal amountoftheBondsofsuchSeriesmaturingintheyearofmaturityoftheBondfor whichthedenominationistobespecifiedunlessotherwiseprovidedintheSeries ResolutionauthorizingtheissuanceofsuchBonds; (6)ThePayingAgentorPayingAgentsandtheplaceorplacesofpaymentof theprincipalandRedemptionPrice,ifany,ofandinterestontheBondsofsuchSeries orthemannerofappointinganddesignatingthesame; AlASKA MUNICIPAL BONO BANK G"".,..I Obllg.rlOIl Bond RaDlurioll (Atn.nd8dJ 1_"Z>:O\~_c...;,._EIonO~oo<M"'r,>l Pogo16 AlASKA MUNICIPAL 80NO BANK G....,..,ObIIg.rton Bond Raolurlon (Am.llrJocJ} 1""'-""1OOCI-.zlQ'Ic.....O:O~"""_R.......,_Pogo17 (7)TheRedemptionPriceorPrices,ifany,and,subjecttotheprovisionsof Article IV,theredemptiontermsfortheBondsofsuchSeriesorthemethodof detenniningthesame; (8)TheamountandduedateofeachSinkingFundInstallment,ifany,for BondsoflikematurilyofsuchSeries,orthemethodofdeterminingsuchSinkingFund Installment; (g)TheformorformsoftheBondsofsuchSeriesandoftheTrustee's certificateofauthentication; (10)ThemannerofexecutionoftheBondsofsuchSeries; (11)If,atthetimeofissuanceortheBondsofsuchSeries,anInterestRate ExchangeAgreementwillapplytosuchBondsorsuchBondsaretobesecuredby CreditEnhancement,thefonnofCreditEnhancementorInterestRate Exchange Agreementtobeobtained,the identily oftheCreditEnhancementAgencyorofthe counlerpartytotheInterestRateExchangeAgreement,andthesubstantialrormofthe significantdocumentsrelatingtotheCreditEnhancementorInterestRate Exchange Agreement; (12)IfBondsofsuchSeriesaretocontainanytenderorputoptionsorthelike, whethersuchBondsaretoberemarxeteoand,ifso,theidentilyofanyrernarketing agentandthesubstanualformofany remarketing agreementrelatingtosuchBonds; and (13)AnyotherprovisionsdeemedadvisablebytheBank,notinconflictwiththe provisionsofthisResolution. AllBondsofeachSeriesoflikematurilyshallbeidenticalinallrespects,except astodenominations,interestrate,andnumbersandletters. (C)All(butnotlessthanall)theBondsofeachSeriesshallbeexecutedbythe BankforissuanceundertheResolutionanddeliveredtotheTrusteeandthereupon shallbeauthenticatedbytheTrusteeandbyitdeliveredtotheBankortosuchother partyasmaybespecified in awrittenorderoftheBank,butonlyuponthereceiptby theTrusteeof: (1)ACounsel'sOpiniontotheeffectthat(i)theBankhastherightandpower toexecuteanddeliverthisResolutionandtheSeriesResolutionauthorizingsuch SeriesundertheActasamendedtothedateofsuchOpinion;(ii)thisResolutionand suchSeriesResolutionhasbeendulyandlawfullyexecutedanddeliveredbytheBank, isin fuJi forceandeffectandisvalidandbindingupontheBankandenforceablein accordancewithitsterms(subject,astoenforcement of remedies,toapplicable bankruptcy,reorganization,insolvency,moratorium,orotherlawsaffectingcreditors' rightsgenerallyfrom time to time ineffect);(iii)thisResolutionandsuchSeries Resolution createsthevalidpledgeandassignmentwhichitpurportstocreateofthe MunicipalBonds,subjecttotheeppncenonthereoftothepurposesandonthe conditionspennittedbythisResolution;(iv)theBondsofsuchSeriesarevalidand bindinggeneralobligationsoftheBank,enforceableinaccordancewiththeirtermsand thetermsofthisResolutionandsuchSeries Resolution;and(v)theBondsofsuch Serieshavebeendutyandvalidlyauthorizedandissuedinaccordancewiththe constitution andstatutesoftheState,inclUdingtheActasamendedtothedateofsuch Opinion,andinaccordancewiththisResolution; (2)AwrittenorderastothedeliveryofsuchBonds,signedbyanAuthorized Officer; (3)EitheranoriginaloftheSeriesResolutionauthorizingsuchSeriesoracopy thereofcertifiedbyanAuthorizedOfficer; (4)Except inthecaseofRefundingBonds,acertificateofanAuthorizedOfficer statingthattheBank;snotindefaultintheperfonnanceofanyofthecovenants, conditions,agreementsorprovisionscontainedintheResolution; (5)Suchfurtherdocuments,moneysandsecuritiesasarerequiredbythe provisions of thisSection203,and Section 204,orArticleX,oranySeriesResolution orSupplementalResolutionadopted pursuant toArticleX. Section204-ProvisionsforRefundingBonds.(A)Alloranypartofoneor moreSeriesofRefundingBondsmaybeauthenticatedanddeliveredtorefundall OutstandingBondsoranypartofoneormoreSeriesofOutstandingBonds.Refunding ALASKA MUNICIPAL BOND BAN/{ G"".,..I ObJII1.rio11BOIld RaolJlJOII (AmMdtil)l_r<XOl'1~e..-o:o ..,_ Pogo16 F-6 ALASItA MUNiCiPAL BOND BANK G.......,OIJNg8t1D11Bond RaO.lnlDII (AmfH>d«l) ''''''-''1....,.,'~Goo.-O:O_EIonO-.,.,_Pogo19 Bondsshallbeissuedinaprincipalamountsufficient,togetherwithothermoneys availabletherefor,toaccomplishsuchrefundingandtomakesuchdepositsasare requiredbytheprovisionsoftheAct,thisSectionandoftheSeriesResolution authorizingsaidSeriesofRefundingBonds. (B)ASeriesofRefundingBondsmaybeauthenticatedanddeliveredonlyupon receiptbytheTrustee(inadditiontothereceiptbyitofthedocumentsrequiredby Section203)of: (1)InstructionstolheTrusteetogiveduenoticeofredemption(whichnotice, inthecaseofanoptionalredemption,shallstatethattheredemptionisccncntonecby theTrusteeonthereceiptofsufficientfundsfor reoemctcn)of atr theBondstobe refundedontheredemptiondatespecifiedinsuchinstructions; (2)Either(i)moneys(whichmayincludealloraportionofIheproceedsofthe RefundingBondstobeissued)inanamountsufficienttoeffectpaymentatthe applicableRedemptionPriceoftheBondsorotherobligationstoberefunded,together withaccruedinterestonsuchBondsorotherobligationstotherecemouondate,or(ii) directobligationsof(includingobligationsissuedorheld In book-entry formonthe booksof)theDepartmentoftheTreasuryoftheUnitedStatesofAmericawhicharenot subjecttoredemptionpriortothedatesonwhichamounts will beneededtomake paymentsontheBondsorotherobligalionstoberefundedandtheprincipalofand interestonwhichwhendue,togetherwiththemoneys(whichmayincludeallora portionoftheproceedsof the RefundingBondstobeissued),ifany, contemporaneously depositedwiththeTrustee,willbesufficienttopaywhenduethe applicableRedemptionPriceoftheBondsorctherobhqationstoberefunded,together withaccruedinterestonsuchBondsorotherobligationsto the redemptiondate,which moneysorInvestmentSecuritiesshallbeheldbytheTrusteeor anyone ormoreofthe PayingAgentsoranescrowagenlortrusteeforotherobligationsinaseparateaccount irrevocablyintrustforandassigned10therespective Holders oftheBondsorother obligationstoberefunded;and (3)AcertificateofanAuthorizedOfficercontainingsuchadditionalstatements asmaybereasonablynecessarytoshowcompliance with therequirementsof subsection(A)andthissubsecucn(B)ofthisSection204. (C)FromandafterthedeliveryoftheRefundingBondsofaSeries,theTrustee shallmakeappropriateadjustmentbetweentheInterestAccountandPrincipalAccount whendisbursingandapplyingMunicipalBondsPaymentsdepositedintheDebtService FundpursuanttotheprovisionsofSection604to the endthatsuchportionofthe MunicipalBondsPaymentasshallrepresentMunicipalBondsInterestPaymentnot requiredfordeposnintheInterestAccountforthepurposeofpayinginterestaccruing upontheBondsshallbedepositedinthePrincipalAccount.Anysurpluswhichmight resultuponandaftersuchdepositshallbedisposedofinthemannerspecifiedinthe SeriesResolutionauthorizingsuchSeries. (D)NeitherInvestmentSecuritiesnormoneysdepositedwiththeTrusteeoran escrowagentortrusteeforotherobligationspursuanttoparagraph(B)(2)ofthis SectionnorprincipalorinterestpaymentsonanysuchInvestmentSecuritiesshallbe withdrawn orusedforanypurposeotherthan,andshallbeheldintrustfor,the paymentoftheapplicableRedemptionPriceoftheBondsorotherobligationstobe refunded,togetherwithaccruedinterestonsuchBondsorotherobligationstothe redemptiondate,andanycashreceivedfromsuchprincipalorinterestpayments,ifnot thenneededforsuchpurpose,shall,totheextentpracticable,bereinvestedinsuch InvestmentSecuritiesasaredescribedinclause (i1)ofsaidparagraphmaturingat timesandinamountssufficient10paywhenduetheapplicableRedemptionPriceor suchBondsorotherobligations,togetherwithsuchaccruedinterest. ARTICLEIII GENERALTERMSANDPROVISIONSOFBONDS Section301-DescriptionofBonds'Payment (A)TheBondsofeachSeries issuedundertheprovisionshereofmaybeissuedonlyasregisteredbondsandsubject toSection303hereof,eachBondsharibeentitled"GeneralObligationBonos"and shallbearsuchadditionalleiterornumberseriesdesignationasshallbedetermined AlASKA MUNiCiPAL BONO BANK Gw".~1 ObIIQ.IJlHl BlHld R8IO/IJfilHl (Amonded) ''''''''''''''ZXI>I_o'ZQ';C__OoO~_''-'..,_Pogo20 AlASKA MUNICIPAL BOND BANK GlI/I'~1 Oblll1ftllHl Band R8IalUllon (Am.ndwI) '''''''''''2OXll_oI>lnIGonoo>lOoO_ll<o>:l~00<M..,_PlIgo 21 intheSeriesResolutionauthorizingtheBondsoftheSeriesofwhichsuchBondisone. UnlessotherwisespecifiedintheSeriesResolutionauthoriZingsuchSeriesofBonds, BondsofeachSeriesshallbeinAuthorizedDenominationseachoranyintegral multiplethereof,shallbenumberedconsecutivelyfrom1upwardsandshallbear interestpayableonInterestPaymentDates. (B)TheBondsofeachSeriesissuedhereundershallbedatedasofandbear interestfromthedatespecifiedin the SeriesResolutionthatauthorizedsuchSeries, whichdatemaybe contemporaneous withorpriortoorafterthedateofissuanceof suchBonds. (C)BoththeprincipalofandtheinterestontheBondsshallbepayableinany coinorcurrencyoftheUnited States ofAmerica,asattherespectivetimeofpayment shallbelegaltenderforpaymentofpublicandprivatedebts.Paymentoftheinterest onanyBondshallbemade10the person appearingontheBondregistrationbooksof theBankkeptforsuchpurposeby the Trustee,theregistrarhereinafterprovidedforas theHolderthereof,bycheckordraftmailedtotheHolderatherorhisaddressasit appearsonsuchregistrationbooksortoownersof$1,000,000ormoreinaggregate principalamountofBondsbywiretransfertoabankaccountdesignatedbytheHolder inwritteninstructionsfurnishedtoIheTrustee.TheinterestonBondssopayable,and punctuallypaidordulyprovidedfor,onanyInterestPaymentDatewillbepaidtothe personwhoistheHolderthereofatthecloseofbusinessontheapplicableRecord Dateforsuchinterest.Theprincipalofandpremium,ifany,onBondsarepayable uponpresentationandsurrenderthereofattheprincipalcorporatetrustofficeorthe Trustee,aspayingagent,exceptasotherwiseprovidedbySeriesResolution.Allsuch paymentsshallbevalidandeffectualtosatisfyanddischargetheliabilityuponsuch Bond to theextentofthesumorsumssopaid. (D)TheBondsofeachSeriesmaycontainorhaveendorsedthereonsuch provisions,specificationsanddescriptivewordsnotinconsistentwiththeprovisions hereofasmaybenecessaryordesirabletocomplywithcustom,therulesofany securitiesexchangeorcommissionorbrokerageboardorotherwise,asmaybe specifiedintheSeriesResolutionauthorizingsuchSeriesofBonds. Section302-Legends.TheBondsofeachSeriesshallcontainorhave endorsedthereonastatementtotheeffectthaitheStateshallnotbeliablethereonand thatsuchBondshallnotbeadebtof the Stateandmaycontainorhave endorsed thereonsuchprovisions,specificationsanddescriptivewordsnotinconsistent with the provisions ofthisResolutionasmaybenecessaryordesirabletocomplywithcustom, orotherwise,asmaybedeterminedbytheBankpriortothedeliverythereoftothe Bondholder. Section303-ExecutionandAuthentication.(A)TheBondsshallbeexecuted inthenameoftheBankbythemanualorfacsimilesignatureof its ChairmanorVice- Chairmananditscorporateseal(orafacsimilethereof)shallbethereuntoaffixed, imprinted,engravedorotherwisereproduced,and attested bythemanualorfacsimile signatureofilsSecretaryorsuchofficeroremployeeoftheBankasshallbedirected bytheSeriesResolutionauthorizingtheissuancethereof,orinsuchothermanneras mayberequiredbylaw.Incase anyone ormoreoftheofficersoremployeeswho shallhavesignedorsealedanyoftheBondsshallceasetobesuchofficeror employeebeforetheBondssosignedandsealedshallhavebeenactually authenticatedanddeliveredbylheTrustee,suchBondsmay,nevertheless,be authenticatedanddeliveredashereinprovided,andmaybeissuedas if the persons whosignedorsealedsuchBondshadnotceasedtoholdsuchofficesorbeso employed.AnyBonds ofa Seriesmaybesignedandsealedon behalfofthe Bankby such persons asattheactualtimeoftheexecutionofsuchBondshallbeduly authorized orholdtheproperofficeinoremploymentbytheBank,althoughatthedate oftheBondsof such Seriessuch persons maynothavebeensoauthorizedorhave heldsuchofficeoremployment. (B)TheBondsoreachSeriesshallbearthereona certificate ofauthenlication, intheformsetforthintheSeriesResolutionauthorizingsuchBonds,executed manuallybytheTrustee.OnlysuchBondsasshallbearthereonsuchcernncateof AlASKA MUNiCiPAL BOND BANKG.,,,,,,,OOIJI1-'1lHlBandR_oJut1an (Am __, l~r~l~Gonoo>lOoO _ Pago 22 F-7 ALASKA MUNICIPAL BOND BAMr; G.,..",'00IJ111f1""Bond R8Iolnl""(Am.ndwI) '"""'"""'ZXI>l~"""~ll<o>:l _PlIga23 authentication shallbeentitledtoanyrightorbenefitundertheResolutionandnoBond shallbevalidorobligatoryforanypurposeuntil such certificate ofauthenticationshall havebeendulyexecutedbytheTrustee.SuchcertificateoftheTrusteeuponany Bondexecutedon behalf oftheBank shall beconclusive evidence thattheBondso authenticated hasbeenduly authenticated anddeliveredundertheResolutionandthat theHolderthereofisentiUedtothebenefitsoftheResolution. Section304-Interchangeability ofBonds.Bonds,uponsurrenderthereofatthe corporatetrustofficeoftheTrusteewithawritten instrument oftransfer satisfactory to theTrustee,duly executed bytheregisteredownerortheirattorneydulyauthorizedin wnting,may,attheoptionofIheregisteredownerthereof,beexchangedforanequal aggregateprincipalamountofregisteredBondsofthesameSeries,maturity,and interestrateasthe surrendered Bond. Section305-Negotiability Transfer andRegis!ry.AlltheBondsissuedunder thisResolutionshallbenegotiableasprovidedinIheAct.SUbjecttotheprovisionsfor registrationandtransfercontainedinthisResolutionandintheBonds.Solongasany oftheBondsshallremainOutstanding,theBankshallmaintainandkeep,atthe corporatetrustofficeofIheTrustee,booksfortheregistrationandtransferofBonds: and,uponpresentationthereofforsuchpurposeatsaidoffice,theBankshallregister orcausetoberegisteredIherein,andpermittobetransferredthereon,undersuch reasonableregUlationsasitortheTrusteemayprescribe,anyBondentitledto registrationor uansrer.SolongasanyofIheBondsremainOutstanding,theBank shallmakeallnecessaryprovisions10permittheexchangeofBonds althe corporate trustofficeofIheTrustee. TheBankandeachFiduciarymaydeemandtreatthepersoninwhosename anyBondshallberegisteredupontilebooksoftheBankastheabsolute ownerof such Bond,whelhersuch Bondshallbeoverdueornot,forIhepurposeofreceivingpayment of,oron accountof,theprincipalandRedemptionPrice,ifany,ofandinterestonsuch Bondandforallotherpurposes,andallsuchpaymentssomadetoanysuchregistered owneroruponhisordershallbevalidand effectual tosausrvanddischargetheliability uponsuchBondtotheextentofthesumorsumssopaid,andneithertheBanknorany Fiduciaryshallbeaffectedbyanynoticetothecontrary.TheBankagreesto indemnify andsaveeach Fiduciary harmless fromandagainstanyandanloss.cost,charge, expense judgment or liability incurredbyit,actingingoodfaithandwithoutnegligence underthisResolulion,insotreatinganysuchregisteredowner. Section306-RegulationswithRespecttoExchangesandTransfers.Inall casesinwhichtheprivilegeof exchanging BondsortransferringBondsisexercised. theBankshallexecuteandtheTrusteeshallautbenuceteanddeliverBondsin accordance withtheprovisionsofthisResolution.AllBonds surrendered inanysuch excnenqesor nansrers shallforthwithbecancelledbytheTrustee.Foreverysuch exchangeortransferofBonds.whether temporaryordefinitive,theBank orthe Trustee may,asaccndluon precedent totheprivilegeofmaking such exchangeortransfer, makeacharge sufficient toreimburseitforanytax,feeorother governmental charge requiredtobepaidwithrespecttosuchexchangeortransfer.Notwithstanding any otherprovision ofthisResolutionthecostofpreparingeachregisteredBonduponeach exchangeortransfer,andanyotherexpensesoftheBankortheTrusteeincurredin connectiontherewith(exceptanyapplicabletax,feeorother governmental charge) shallbepaidbytheBankasan Administrative Expense.Neither theBankor jhe Trusteeshallberequired(i)tomakeanyexchangeortransferofBondsofanySeries duringtheten(10)days(orsuchotherperiodoftimeasmaybespecifiedintheSeries ResolutionauthorizingsuchSeries)nextprecedinganinterestpaymentdaleonthe BondsofsuchSeriesorprecedinganyselectionofBondofsuchSeriestobe redeemedor(ii)totransferorexchangeanyBondspreviouslycalledforredemption. Section307-BondsMutilatedDestrovedStolenorLos\.IncaseanyBond shallbecome mulilated orbedestroyed,stolenorlest.theBankshallexecuteandthe Trusteeshall authenticate anddeliveranewBondoflikeSeries,maturityandprincipal amountastheBondsomutilated.destroyed,stolenorlost,inexchangeand substitutionforsuchmutilatedBond.upon surrender andcancellationofsuchmutuateo BondorinlieuofandsubstitutionfortheBonddestroyed.stolenorlost,uponfilingwith ALASKA MUNlCtPAl BO/'IOBAJoI/( G""81111O/)//I1.tion Bond RaDian/on (Amond'lId) '1Do<z":"'~,~G..-W_Bond~-"'01..;.l Pllge 24 ALASKA MUIIIIClPAL BOIIID BA/'IK G""OI'lII OIIJ/fI.t1D11BDnd ResDlur/on (AmondodJ '''-''l'>D:D'~""""'''W_"'''''''''''''""",,,,,Pagll25 theBankevidence salisfactory totheBankandtheTrusteethaisuchBondhavebeen destroyed,stolenorlostandproofof ownership thereof.anduponfurnishingtheBank andtheTrusteewith indemnity eauetactorv tothemandcomplyingwithsuchother reasonableregulationsastheBankandtheTrusteemayprescribeandpayingsuch expensesastheBankandtheTrusteemayincurinconnectiontherewith.AllBonds sosurrendered10theTrusteeshallbecancelledby it andevidenceofsuch cancellationshallbegiventotheBank.AnysuchnewBondsissuedpursuanttothis sectioninsubs!itutionforBondsallegedtobedestroyed.stolenorlostshallconstitute originaladditionalcontractualobligationsonthepartoftheBank,regardlessofwhether theBondssoallegedtobedestroyed,stolenor lost beatanytime enforceable by anyone,andshallbeequallysecuredbyandentitledtoequaland proportionate benefitswithallotherBondsissued under thisResolution,inanymoneysorsecunnes heldbytheBankortheFiduciariesforthebenefitoftheBondholders.Ifa Bondholder satisfiestheconditionssetforthinthissectionforthe replacement ofamutilatedBond oraBondallegedtobedestroyed.stolen.orlostandsuchBondhasmaturedorall principalthereofandinterestthereonshallbecomedueforanyotherreason,thenthe TrusteemaypaysuchprincipalofandinterestonsuchBondwithoutissuinga replacement Bond. Section308-Preparationof Definitive Bonds'Temporary Bonds.Unlilthe definitiveBondsofanySeriesareprepared.theBankmayexecute.inthesame mannerasisprovidedinSection303.andupontherequestoftheBank,theTrustee shallauthenticateanddeliver,inlieuofdefinitiveBonds,butsubject10thesame provisions.limitationsand conditions asIhedefinitiveBonds,exceptastothe denominations thereofandasto exchangeability forregisteredBonds,oneormore temporaryBonds.substantiallyofthetenorofthedefinitiveBondsinlieuofwhichsuch temporaryBondorBondsareissuedinsuch denominations asmaybeauthorizedby theBank.andwithsuchomissions.insertions andvariationsasmaybeappropriateto temporaryBonds.TheBankatitsownexpenseshallprepareandexecuteand.upon the surrender thereofofsuchtemporaryBonds10theTrustee.TheTrusteeshall authenticate and,withoutchargetotheholderthereof,deliverinexchange therefor definitive BondsofthesameaggregateprincipalamountandSeriesand maturity as the temporary Bondssurrendered.Untilsoexchanged.the temporary Bondsshallin allrespectsbeentitledtothesamebenefitsandsecurityasdefinitiveBonds authenticated andissuedpursuanttothisResolution. IftheBankshallauthorizetheissuanceoftemporaryBondsinmorethanone denomination,theholderofany temporary BondorBondsmay,athisoption.surrender thesametotheTrusteeinexchangeforanother lemporary BondorBondsoflike aggregate principal amount,Seriesand maturity ofanyotherauthorized denomination or denominations,andthereupontheBankshallexecuteandtheTrusteeshall authenticate and.inexchangeforthetemporaryBondorBondssosurrenderedand uponpaymentofthetaxes.feesandchargesprovidedforinSection306.shalldeliver atemporaryBondorBondsoflikeaggregateprincipalamount,Seriesand maturity in suchotherauthorized denomination or denominations asshallberequestedbysuch holder. All temporary BondssurrenderedinexchangeeitherforanothertemporaryBond orBondsorforadefinitiveBondorBondsshallbeforthwithcancelledbyIheTrustee. Section309-CancellationandDestructionofBonds.AllBondspaidor redeemed.eitheratorbeforematurity,shallbedeliveredtoIheTrusteewhensuch paymentorredemptionismade,and such Bonds,togetherwithallBondspurchased bytheTrustee.shallthereuponbepromptlycancelled.Bondssocancelledmay,atany time,becrematedorotherwisedestroyedbytheTrustee,whoshallexecutea Certificateofcremationordestructioninduplicatebythe signalure ofoneofits authorized officersdescribingtheBondssocrematedorotherwisedestroyed.andone executedCertificateshallbefiledwiththeBankandtheotherexecuted Certificale shall beretainedbytheTrustee. AUlSKA MUNICIPAL BOND BAN/{ G"OI'lII ObIJI1I1rJDIIBDlldRaDlnl'OIl (Amond'lld} LID:a\31...:o;,,~G..-W_Bond_"'"Pagll 26 F-8 ALASKA MUIII/CtPAL BO/'IO BANK G""lIIIIl OblIfI~DII8ondRa"lnl'on (Am0ndlld},,,,,,,,,,,r...:o;,t__w_.....,_,,,,..;.l Page 27 ARTICLEIV REDEMPTIONOFBONDS Seclion401-RedemptionProvisions.TheBondsofeachSeriesmaybesubject toredemptionpriortomaturityatsuchtimesanduponsuchtermsasshallbefixedby therelatedSeriesResolution.IflessthanalloftheBondsof anyone maturity ofa Seriesshallbecalledforredemption.theparticularunitsofBonds,as determined in accordancewilhSection403herein,toberedeemedshallbeselectedby 101 bythe Trustee,orinanymannerastheTrustee,inilssalediscretion.maydeemappropriate andfair. Section402-NoticeofRedemption.(A)IntheeventanyoftheBondsareto beredeemed,theRegistrarshallcausenoticetobegivenasprovidedinthisSection 402.Unless otherwise specifiedintheSeriesResolulionauthorizingtheissuanceof theapplicableSeriesofBonds,noticeofredemption(i)shallbefiledwiththepaying agentdesignatedfortheBondsbeingredeemedand (Ii)shallbemailedbyfirstclass mail,postageprepaid.toallBondholderofBondstoberedeemedattheiraddresses astheyappearontheregistrationbooksoftheTrustee,atleastthirty(30)daysbutnot morethansixty(60)dayspriortothedalefixedforredemption.Suchnoticeshallstate the followlng information: (1)thecompleteofficialnameoftheBonds,includingSeries, toberedeemed,theidentificationnumbersofBondsandtheCUSIP numbers,ifany,oftheBondsbeingredeemed.providedthatanysuch noticeshallslatethatnorepresentationismadeastothecorrectnessof CUSIPnumberseitherasprintedonsuchBondsorascontainedinthe noticeofredemptionandthatreliancemaybeplacedonlyonthe identificationnumberscontainedinthenoticeorprintedonsuchBonds; (2)anyotherdescriptiveinformationneededtoidentify accuratelytheBondsbeingredeemed.including,butnottimitedto,the originalissuedateordateddateofandinterestrateonsuchBonds; (3)inthecaseofpartiatredemptionofanyBonds,lhe respectiveprincipalamountsthereoftoberedeemed; (4)thedateofmailingofredemptionnoticesandthe redemptiondate; (5)theredemption price; (6)Ihatontheredemptiondatetheredemplionpricewill becomedueandpayableuponeachsuchBondorportionthereofcalled forredemption,andthatinterestthereonshallceasetoaccruefromand aftersaiddate;and (7)theplacewheresuchBondsaretobesurrenderedfor paymentoftheredemptionprice,designatingthenameandaddressof theredemptionagent with thenameofacontactpersonandtelephone number. (B)Inadditiontotheforegoing,furthernoticeofanyredemptionofBonds hereundershallbegivenbytheTrustee,atleast two(2)BusinessDaysinadvanceof themailednoticetoBondholders,byregisteredor certified mailorovemightdelivery service,10auregisteredsecuritiesdepositoriesthen in thebusinessofholding substantialamounts(asreasonablydeterminedbytheaononorcers)ofobligationsof typescomprisingtheBondsandtoatleasttwonationalinformationservicesthat disseminatenolicesofredemptionofobligationssuchastheBonds.Suchfurther noticeshallcontainthetnrormetlcnrequiredinclause(a)above.Failuretogiveallor anyportionofsuchfurthernoticeshallnotinanymannerdefeattheeffectivenessof acallforredemption. (C)UponthepaymentoftheredemptionpriceofBondsbeingredeemed,each checkorothertransferoffundsissuedforsuchpurposeshallbeartheCUSIPnumber identifying,byissueandmaturity,theBondsbeingredeemed with theproceedsofsuch checkorothertransfer. (D)Ifatthetimeofmailingofanynoticeofredemptionthereshallnotbeon depositwiththeTrusteemoneyssufficienttoredeemalltheBondscalledfor ALASKA MUNICIPAL BONO BANK G""..,.I OblIQ.f101l Bonll Raolufl""(Am.ndo<I)''''''''"'''.:'IXI>I_oQIXI>c.r....lklt~....,_"......,,''''r,>l Page 28 AlASKA MUNICIPAL BOND BANK G"".",I OIIJIQ.r1011Bond Raoluflan {AmanllodJ ,\D:a13"""""'_=........O>~....,......R.......""_Pogo29 redemption,suchnoticeshallstatethatsuchredemptionissubjectto the deposilofthe redemptionmoneyswith the Trusteenotlaterthantheredemptiondateandthatsuch noticeshallbeofnoeffectunlesssuchmoneysaresodeposited. (E)Asecondnoticeofredemptionshallbegiven,notlaterthanninety(90)days subsequenttotheredemptiondate,toBondholdersofBondsorportionsthereof redeemedbutwhofailedtodeliverBondsforredemptionpriortothe60thdayfollowing suchredemptiondate.Anynoticemailedshallbeconclusivelypresumedtohavebeen dulygiven,whetheror notthe ownerof suchBondsreceivesthenotice.Receiptofsuch noticeshallnotbeaconditionprecedenttosuchredemption.andfailuresotoreceive anysuchnoticebyanyofsuchBondholdersshallnot affecl thevalidityofthe proceedingsfortheredemptionoftheBonds. (F)IncaseanyBondistoberedeemedinpartonly,thenoticeofredemption whichrelatestosuchBondshallslatealsothatonoraftertheredemptiondate,upon surrenderofsuchBond,anewBondinprincipalamountequalto the unredeemed portionofsuchBond will beissued. Section403-PartiallyRedeemedFullyRegisteredBonds.Unlessotherwise specifiedintheSeriesResolutionauthorizingtheissuanceofthe applicable Seriesof Bonds,incaseanyregisteredBondshallberedeemedinpartonly,uponthe presentationofsuchBondforsuchpartialredemption,theBankshallexecuteandthe Trusteeshallauthenticateandshalldeliverorcausetobedeliveredtooruponthe written orderoftheHolderthereof,attheexpenseoftheBank,aBondorBondsofthe sameSeries,interestrateandmaturity,inaggregateprincipalamountequal 10 the unredeemedportionofsuchregisteredBond.UnlessotherwiseprovidedbySeries Resolution.aportionofanyBondofadenominationofmorethantheminimum AuthorizedDenominationtoberedeemedwillbein the principalamountofthe minimumAuthorizedDenominationoranintegral multiple thereof.andinselecting portionsofsuchBondsforredemption,theTrusteewilltreateachsuchBondas representingthatnumberofBondsoftheminimumAuthorizedDenominationwhichis obtainedbydividingthe principal amountofsuchBondsby\heminimumAuthorized Denomination. ARTICLEV CUSTODYANDAPPLICATIONOFCERTAINPROCEEDSOFBONDS Section501•AoplicationofCertainProceeds.(A)EachSeriesResolution authorizingtheissuanceofaSeries of Bonds,aportion of theproceedsderivedfrom thesaleofwhichistobeappliedtothepurchaseofMunicipalBonds,shallspecifythe nameofeachGovemmentalUnit which istoreceiveaLoanby the Bankfromsuch proceedsandtheamountofsuchproceedstobeappliedtothemakingofeachsuch Loan which shallbetheamount of eachsuchLoan.Contemporaneously withthe issuance,saleand delivery ofanySeriesofBonds,the Bankshallapplytheamount oftheproceedsderivedfrom the saleofsuchSeriesofBonds,if any,asshallbe specified insaidSeriesResolutionfor the purposeofmakingsuchLoanstoeachofthe GovernmentalUnitsspecifiedintheSeriesResolution authorizing Iheissuanceofsuch SeriesofBonds. (B)Accrued interest,if any,receiveduponthedeliveryofsuchSeriesofBonds shallbedepositedintheInterestAccount.Theamountreceivedasapremiumover theprincipalamountofsuchSeriesofBonds,ifany,uponIhedeliveryofsuchSeries ofBondsshallbeappliedasprovidedintheSeriesResolution authorizing suchSeries ofBonds. (C)Theamount,ifany.necessarytocausetheamountondepositinIhe ReserveFundtosatisfy the ReserveFundRequirement. (D)AnyremainingproceedsderivedfromthesaleofaSeriesofBondsshallbe appliedasprovidedintheSeriesResolutionauthorizingsuchSeriesofBonds. Section502 -Loans.(A)ALoantoeachGovernmentalUnitshallbemadefrom theportionoftheproceedsderivedfromthesaleofeachSeriesofBondsspecifiedin theSeriesResolution authorizing theissuanceofsuchSeriesofBondsandtheamount ofeachsuchLoanshallbetheamountspecifiedinsuchSeriesResolution.Allsuch paymenlsmadepursuanttosuchSeriesResolutionshallbesubjectto the provisions ALASKA MUJ.llCIPAL BOM)BANK G..,....I OblIQ.r1on Bond Rwokrrlon (AmMdPr1) ''O:aI31''lOXIr--=~Cl<__R'''''''''_Poge30 F-9 ALASKA MUNICIPAL BOND BANK G",,_'OblIQ.r1Otl Bonll Ra,,/Uffon (Amett6l<l) '\00Qr\31'ZX<lI~e.--Cl<__"""""O'l-?O Page 31 andrestrictionsofthis Article V,andtheBankcovenantsthatitwillnotcauseorpermit tobepaidfromsuchportionoftheproceedsderivedfromthesaleofsuchSeriesof Bondsanysumsexceptin accordance withsuchprovisionsandrestrictions. (B)TheTrusteeshallpaytoeach Govemmental Unilthe amountoftheLoan uponreceiptbytheTrusteeof: (1)awritlenrequisitionoftheBanksignedbyan Authorized Officerstating (i)thenameofthe Govemmental Unittowhichthepaymentistobe made;and (ii)theamounttobepaid; (2)acertificatesignedbyanAuthorizedOfficerandattachedtotherequlsitlcn certifyingthatthetermsandprovisionsoftheLoan Agreement providingforsuchLoan areincompliancewithSection913,andthattotheknowledgeofsuchAuthorized Officersuch Govemmental Unitisnotindefault under anyofthetermsorprovisions ofsaidLoanAgreement; (3)aCounsel'sOpinionstatingthatsuchMunicipalBondsarevalidobligations ofsuch Govemmental UnitasrequiredbytheActandthattheLoan Agreement has beendulyauthorizedandexecutedbythe Govemmental Unitand constitutes avalid andbindingobligationofthe Governmental Unit enforceable inaccordancewithits terms;and (4)suchMunicipalBondsofsuch Govemmental Unit,registeredastoboth principalandinterestinthenameoftheBankortheTrusteeanddeliveredin accordancewiththeAct. Uponreceiptofsuchrequisition,accompanying certificate,Counsel's Opinion andMunicipalBonds,theTrusteeshallpaysuch amounl direcllytothe Governmental Unitentitledmeretoasnamedinsuchrequisition. Section503-RetentionandInspectionofDocuments.All requisilions and certificatesandCounsel'sOpinionsandMunicipalBondsreceivedbytheTrustee,as requiredinthisArticleVasconditionsofpaymentmayberelieduponbyandshallbe retainedinthepossessionoftheTrustee,subjectatalltimesduringnormalbusiness hourstotheinspectionoftheBankand,afterwrittenrequestreceivedbytheTrustee atleastfivebusinessdayspriortothedateofinspection,byanyHolderofatreastfive percentinprincipalamountoftheSeriesofOutstandingBonds. ARTICLE VI ESTABLISHMENT OFFUNDSAND ACCOUNTS AND APPLICATION THEREOF Section601-Pledge.(A)TheBondsshallbedirectandgenerat obligations of theBank,anditsfullfaithandcreditarepledgedtothepaymentoftheprincipaland redemptionpremium,ifany,ofand interest ontheBonds,subjecttoany agreements heretoforeand hereafter madewiththeHoldersofanyothernotesorbondsofthe BankpledginganyparticularrevenuesorassetsnotpledgedunderthisResolution. (B)TheMunicipalBondsand the MunicipalBondsPayment,the investments thereofandtheproceedsofsuchinvestments,ifany,andallfundsandaccounts established bythisResolution10beheldbytheTrusteeareherebypledgedand assignedforthepaymentoftheprincipalof,RedemptionPriceof,intereston,and SinkingFund Installments for,theBondsin accordance withthetermsandprovisions ofthisResolution,subjectonlytotheprovisionsofthisResolutionpermittingthe applicationthereofforthepurposesandonthetermsandconditionssetforthinthis ResolutionauthorizingtheBanktocreateSecurityInterestsinsaidMunicipalBonds and Municipal BondsPaymentinfavorofCredit Enhancement Agenciesand ccunterparues toInterestRateExchange Agreements.Subjecttotheprovisionsof Section805ofthisResolution,thispledgeshallbevalidandbindingfromand after the dateofadoptionofthisResolution,andtheMunicipalBondsandtheMunicipalBonds Paymentandallothermoniesandsecuritiesinthefundsandaccounts established by thisResolutiontobeheldbytheTrusteeherebypledgedshallimmediatelybesubject tothelienofsuchpledgewithoutanyfurtheract,andsuchlienshallbevalidand bindingasagainstallpartieshavingclaimsofanykindintort,contractorotherwise againsttheBank,regardlessof whether suchpartieshavenoticethereof. Section602-Establishment ofFundsandAccounts.(A)TheAlaskaMunicipal BondBankDebtServiceFund(the"DebtServiceFund")ishereby established and ALASAAMUNICIPAL BOND BANI( a""e",1 ObIIII.UOSIBOIId RaalUUon (AmllncJod) '1lI«>'''''XIC01~''''''''W_l\on:1''-'",,_Pago 32 ALASKA MUNICIPALBOND BJWI( G""I>I3IOb11l1alon Bond RaOIUH""(Amendlld)'''''''"'''.XICO'_oI<Q:lI ......W..,.__R........,_Pago 33 shallbemaintainedandheldbytheTrusteepursuanttotheprovisionsofthis Resolution.ThereisherebycreatedandestablishedintheDebtServiceFundan "InterestAccount,"a"PrincipalAccount"anda "Redemption Account"eachofwhich shallbeheldbytheTrustee.AmountsintheInterestAccount,thePrincipalAccount andtheRedemptionAccountshallbeusedsolelyforthepurposeofpayingthe principalof,Redemplion Priceof,interestonandSinkingFund Installments for,the BondsandofretiringsuchBondsatorpriortomaturityinthemannerprovidedherein andinanySeriesResolution.Amountsdepositedinthe interest Account andthe Principal Account shallbedisbursedandappliedbytheTrusteeatthetimesandinthe mannerprovidedinthisArticleVIandinparagraph(3)ofSection203. (B)ThereisherebyestablishedwithintheAlaskaMunicipalBondBankReserve FundcreatedbySection44.85.270oftheAct,a2005GeneralObligationBond ResolutionReserveAccount(the"ReserveFund")whichshallbemaintainedandheld bytheTrusteepursuanttotheprovisionsof this Resolution. (C)Thereishereby established aRebateFund,andwithinsuchfund,a separateaccountforeachSeriesofBonds. (D)ThereisherebyestablishedanOperatingFundwhichshallbeheldbythe BankpursuanttotheprovisionsofthisResolution. Section603-ReserveFund.(A)Onorbeforethefirstdayofeachmonth,the TrusteeshallsetasidefromamountsintheReserveFundderivedfromincomeor interestearnedandprofilsrealizedbytheReserveFunddue10the investmenl thereof, anamountwhich,whenaddedtotheamounts theretofore setasideforsuchpurpose andnotpaidintotheInterestAccount.willonsuchdaybeequal10theunpaidinterest ontheReserveFundObligationsaccruedand10accruetothelastdayofsuchmonth. IftheTrusteesodetermines,saidamountsmaybedepositedinanaccountwhichthe Trustee maycreateintheReserveFund under thenameof"ReserveFundObligations Interest Account".OnorbeforeeachinterestpaymentdateoftheReserveFund Obligations,saidamountsshallbedepositedinthe Interest Account. (B)OnorbeforeeachprincipalpaymentdateandSinkingFund Installment paymentdaleofReserveFund Obligations,theTrusteeshallwithdrawfromamounts intheReserveFundanddepositinthePrincipalAccount,anamountwhich,when addedtotheamountthenondepositinthePrincipalAccountandderivedfromsources otherthanMunicipalBondsPayment,willbeequaltothePrincipal Installment ofthe ReserveFundObligationsfallingdueonsuchdale. (C)Onorbefore December 31ofeachyear,aftercomplyingwiththeprovisions ofparagraphs(1)and(2)abovetotheextentrequiredbysuchdate,theTrusteeshall withdrawfromtheReserveFund,anyamountremainingtherein derived fromincome or interest eamedandprofitsrealizedbytheReserveFundduetotheinvestment thereof,andpayoversaidamounttotheBankfordepositintheOperatingFundbut onlytotheextentthatthereremainsaftersuchwithdrawalanamountintheReserve FundatleastequaltotheRequiredDeblServiceReserve. (D)TheReserveFund Requirement maybesatisfied with (i)moniesmade availablebytheStateandpaidtotheBankforthepurposeoftheAlaska Municipal BondBankReserveFundcreatedbySection44.85.270oftheActintheamount providedbyaSeriesResolution;(ii)allmoniespaidtotheBankpursuanttotheActfor thepurposeofrestoringtheReserveFundtotheamountoftheRequiredDebtService Reserve;(iii)such portion oftheproceedsofsaleofBonds,ifany,asshallbeprovided byanySeriesResolution;(iv)Credit Enhancement;(v)anyoihermonieswhichmaybe madeavailabletotheBankforthepurposesoftheReserveFundfromanyother sourceorsources;or(vi)any combination oftheforegoing. (E)Intheeventthereshallbe.onany interest paymentdate,a deficiency inthe InterestAccount,or,intheeventthereshallbe,onanyprincipalpaymentdateor SinkingFund Installment paymentdate,a deficiency inthePrincipalAccount,the Trusteeshallmakeupsuch deficiencies fromtheReserveFundbythewithdrawalof cashtherefromforthatpurposeandbythesaleorredemptionofsecuritiesheldinthe ReserveFund,ifnecessary.insuch amounts aswill,attherespectivetimes,provide moniesintheInterest Account andPrincipal Account sufficient tomakeupanysuch ALASKA AJUNICJPALBOND BANK G.,ltfalOblillftl""Bond Raottrlon (Ame~'lO:aUl'XIC01__W ..,~Page34 F-lO ALASKA MUNICIPAL BOND BAN/( G...,ltfaIOblJllftlCIII Bond Raolltlon (Amended) '''''''''''''XIC01~''''''W __''''''''''''_Page3S deficiency.Ifadeficiency still exists immediately priortoadebtservicepaymentdate andafterthewithdrawalofcash,theBankshallthendrawfromanyCredit Enhancementfor the Bondsinsufficient amounlto makeupsuchdifference.Drawings undertheCreditEnhancementshallbemadeonapro-ratabasis(inproportiontothe respectivemaximumcoverages)availableundertheCreditEnhancement.Suchdraw shallbemadeatsuchurnesandundersuchconditionsassuchCreditEnhancement shallprovide. Section604 •InterestAccountPrincipalAccountandRedemptionAccount. (A)Exceptasolherwiseprovidedinparagraph(3)ofSection204,theTrustee shalldepositMunicipalBondsInterestPaymentsandanyothermoniesavailableforthe paymentofinterestintheInterestAccountuponreceiptthereof.TheTrusteeshall,on orbeforeeachinterestpaymentdateoftheBonds,pay,outofamountsthenheldfor thecreditoftheInterestAccount,toitselfandthePaying Agents,theamountsrequired forlhepaymentbyitandsuchPayingAqentsoftheinterestbecomingdueonthe Bondsonsuchinterestpayment date,andsuchamountssowilhdrawnarehereby irrevocablypledgedforandshallbe applied tothepaymentofsuchinterest.The Trusteeshallalso pay cutoftheInterestAccountto itself andtheappropriatepaying Agents,onorbeforeanyredemptiondateforBondsbeingrefundedbyRefunding Bonds,theamountrequiredforthepaymentofinterestontheBondsthentobe redeemed,totheextentnototherwiseprovidedinthisResolution. (B)TheTrusteeshalldepositMunicipalBondsPrincipal Payments andany othermoniesavailableforthepaymentofprincipalinthePrincipalAccount,upon receiptthereof.TheTrusteeshall,onorbeforeeachprincipalpaymentdateofor SinkingFundInstallmentdatefor,theBonds,pay,outofthemoniesIhenheldforthe credit ofthePrincipalAccount,toitselfandthePayingAgents,theamountsrequired forlhepaymentbyitandsuchpayingAgentsoftheprincipalorSinkingFund Installment dueontheBondsonsuchdate,andsuchamountssowithdrawnare herebylrrevocabty pledgedforandshallbeappliedtothepaymentofsuchprincipalor SinkingFund Installment (C)TheTrusteeshallestablishintheRedemptionAccountaseparatesub- accountfortheBondsofeachSeriesOutstanding. (1)AnymoniesdepositedintotheRedemptionAccountfromanysourceother thanpursuanttoSection607orSection916shallbe applied tothepurchaseor redemptionofBondsinamannertobedeterminedbytheBankinaccordancewith ArticleIV.AnymoniesdepositedintotheRedemptionAccountpursuanttoSection607 shallbeappliedtothepurchaseorredemptionofReserveFundObligations in a mannertobedeterminedbytheBankinaccordancewithArticleIV. (2)TheBankshalldepositorcausetobedepositedin the RedemptionAccount suchportionofthemoniesreceivedastheproceedsofsaleorredemptionofMunicipal Bonds,asrequiredbySection916hereof,and,uponanysuchdeposit.shalladvisethe TrusteeinwritingoftheSeriesofBondstowhichthesamerelates.Uponreceipt,such moniesshallbesetasidebytheTrusteeintheappropriateSeriessub-account. Moniessoheld In eachseparatesub-accountbytheTrusteeshallbeappliedtothe purchaseorretirementoftheBondsoftheSeriesinrespectofwhichsuchsub-account wascreatedasfollows: (i)TheTrusteeshallpromptlyapplysuchmonies tl?thepurchaseof BondsoflheSeriesinrespectofwhichsuchsub-accountwascreated having thesamematuritydateordatesandinthesameprincipalamountwithineach maturityastheMunicipalBondsPrincipalPaymentsrequiredtobemadefor the MunicipalBondssoldbytheBankorredeemedbytheGovernmentalUnitatthe mostadvantageouspriceobtainablewithreasonable diligence.suchprice, however,nottoexceedtheRedemptionPricewhichwouldbepayableonthe nextensuingdateonwhichtheBondsoftheSeriessopurchasedare redeemableaccordingtotheirterms.TheTrusteeshallpaytheinterestaccrued ontheBondssopurchased to thedateofsaleorredemptionoftheMunicipal BondsfromtheInterestaccountandthebalanceofthepurchasepricefrom the applicablesub-accountintheRedemptionAccount,ashereinaboveprovided, butnosuchpurchaseshallbemadebytheTrusteewithin the period offorty-five ALASItA MUNICIP/lL BaM)BANK G"".,../OlJJlg.liOll SOlId R..,olulion (Am'ndfHI) 1""""'l"1IX<l'~"""""'W,,,,,,6<o'>d~_,",_Page 36 ALASKA MUNICIPALBOND BANK G""..,./Obllfi/InJOIISOlId R..,olllllon (Amf/ldvd)11C<D""·2I:m'_o'JlXl>c......W9·_.......~_~_PageJ7 (45)daysnextprecedingadateonwhichsuchBondsaresubjecttoredemption undertheprovisionsoftheSeriesResolutionauthorizingtheissuancethereof. (ii)IntheeventtheTrusteeisabletopurchasetherequisiteprincipal amountofBondsfromasub-accountinaccordancewithandunderthe foregoingprovisionsofthissubparagraph(b)atapurchasepricelessthanthe sumofthedepositstosuchsub-accountfromtheproceedsfromthesaleor redemptionofMunicipalBondsandtheapplicabletransfersfromtheInterest Account,uponthepaymentbytheTrusteeofthepurchasepriceofsuchBonds, theTrusteeshalltransferthebalanceofmoniesremaininginsuchsub-account totheBankfordepositintheOperatingFund. (iii)IntheeventtheTrusteeisunabletopurchasetherequisiteprincipal amountofBonds the 'trustee shallcallforredemptiononthenextensuing redemptiondatesuchamountofBondsof the Seriesinrespectofwhichsuch sub-accountwascreatedhavingthesamematurity date ordatesandinthe sameprincipalamountwithineachmaturityasthe Municipal BondsPrincipal PaymentsrequiredtobemadefortheMunicipalBondssoldbytheBankor redeemedbytheGovernmentalUnit,as,attheRedemptionPricethereof,will exhaustsaidsub-accountas neartyaamaybe.Suchredemptionshallbemade pursuant10theprovisionsofArticleIVhereof.TheTrusteeshallpaytheinterest accruedontheBondssoredeemed10thedateofsaleorredemptionofthe MunicipalBondsfromtheInterestAccountandthebalanceofsuchinterestto thedateofredemptionoftheBondsandtheRedemptionPricefromthe applicablesub-account. (3)TheBankmay,fromtimetotime,bywritteninstructionsdirecttheTrustee tomakepurchasesundersubparagraph(b)aboveonlyafterreceiptoftenders.The Bankmayspecifythelengthofnoticetobegivenandthedateonwhichtendersare tobeacceptedormayauthorizetheTrusteetodeterminethesameinitsdiscretion. AUsuchtendersshallbebysealedproposalsandnotendersshallbeconsideredor acceptedatanypriceexceedingthepricespecifiedundersubparagraph(b)abovefor thepurchaseofBonds.TheTrusteeshallaccepttenderswiththelowestprice,as determinedbytheTrustee,and if thememesavailableforpurchasepursuanttosuch tendersarenotsufficienttopermitacceptanceofalltendersandthereshallbetenders atanequalpriceabovetheamountofmoniesavailableforpurchasethentheTrustee shallselectbylot,insuchmannerastheTrusteeshalldetermineinitsdiscretion,the Bondstenderedwhichshallbepurchased.NopurchaseofBonds,eitherontenders orotherwise,shallbemadebytheTrusteewithintheperiod offcrty-ffve (45)daysnext precedinganydateonwhichsuchBondsaresubjecttoredemption. (D)MoniessetasidefromtimetotimewiththeTrusteeandPaying Agents for thepaymentofprincipalorRedemptionPriceof,interestonandSinkingFund Installmentsfor,lheBondsshallbeheldin trust fortheHoldersoftheBonds.Untilso setasideforthepaymentofsuchprincipal,RedemplionPrice,interest,andSinking FundInstallments,anmoniesinsuchaccountsshallbeheldintrust forthe benefit of theHoldersofallBondsatthetimeOutstandingequallyandratablyandwithoutany preferenceordistinctionasbetweenBondsofdifferentSeries,exceptthatmonieson depositintheseparatesub-accountsestablishedintheRedemptionAccountshallbe heldintrustforandappliedtothepaymentoftheBondsoftheSeriesforwhichthe applicable sub-account wasestablished. Section605-RebateFund.(A)TheTrusteeshallestablishandthereafter maintain,solongastheBondsareOutstanding,aRebateFundwhichshallbeheld separateandapartfromallotherfundsandaccountsestablishedunderIhisResolution andfromallothermoneysoftheTrustee. (B)AllamountsintheRebateFund,includingincomeearnedfrominvestment ofthefund,shallbeheldbytheTrusteefreeandclearofthelienofthisResolution.In theeventtheamountondepositintheRebateFundexceedstheaggregateamount oftheRebateRequirementforallSeriesofBonds,as verified inwritingbyan independentpublicaccountantoretherqualifiedprofessionalselectedbytheBankat thelimetheRebateRequirementisdetennined,lessamountsoftheRebate Requirement meretctcre pad totheUnitedStatesforallSeriesofBonds,the Trustee ALASKA MUNICIPAL BOND BANK G..,...,OlIIJfIfIJ""Bond R..,OltliOll (1lmenrHd)''£Io:a\J1'2I:m'_"",-W__-..,,,,_Pogo JB F-ll ALASKA MUNICIPAL SaND BANK G""enI 0bIIfi/.rJ""SOlId R..,lHIlion (Am....a.d) '_"2I:m'~~Cl>"_"""'-"",,_PageJg shall,upontheBank'srequest,withdrawfromtheRebateFundandpaytooruponIhe orderoftheBankanamountnottoexceedsuchexcesstotheBankfordepositinthe OperatingFund. (C)TheBankshalldelerminetheamountoftheRebateRequirementwith respecttoeachSeriesofBondsoneachapplicable RebateCalculation Date.TheBank shalldepositintotheRebateFundtheRebateRequirement,jfany,wilhrespecttoeach SeriesofBonds.TheBankshallinstructtheTrustee10withdrawfromtheRebateFund andpayovertotheUnitedStatesGovernmentwilhrespecttoeachSeriesofBonds: (1)notlessfrequentlythanonceeachfive years commencingnolaterthan 60 days afterthefirstRebate Calculation DateforsuchSeriesofBondsanduponeachfifth anniversaryofsuchdale,anamountwhichwhenaddedtoallpreviousrebate paymentsmadewithrespecttosuchSeriesofBondsequals90%ofthesumofthe RebateRequirementpertainingtosuchSeriesofBondsplustheamount,ifany,of RebateRequirementtheretoforepaidtotheUnitedStateswithrespect10suchSeries ofBonds,and(2)notlaterthan 60 daysaftertheretirementofthelastBond of such Series,100%oftheRebateRequirementwithrespecttosuchSeries.The determinationofrebatablearbitragemadewithrespecttoeachsuchpaymentdateand withrespecttoanywithdrawalandpaymenttotheBankfromtheRebateFund pursuanttothisResolutionmustbeverifiedinwritingbyanindependentpublic accountantorother qualified professionalselectedbytheBank. (D)TheTrusteeshall,atleastsixty (60)dayspriortoeachRebateCalculation Date,notifytheBankoftherequirementsofthisSection.Byagreeingtogivethis notice,theTrusteeassumesnoresponsibilitywhatsoeverforcompliancebytheBank withtherequirementsofSection148oftheCodeoranysuccessor.TheBank expresslyagreesthat(notwithstandinganyolherprovisionofthisResolution)any failureoftheTrusteetogiveanysuchnotice,foranyreasonwhatsoever,shallnot causetheTrustee10beresponsibleforanyfailureoftheBanktocomplywiththe requirementsofsaidSection148oranysuccessorthereof. (E)TheTrustee,onbehalfoftheBank,shallkeepandretain,unlitthedatesix yearsaftertheretirementofthelastoftheBondsofeachSeries,recordswithrespect toeachSeriesoftheBondsandtheinvestmentandexpenditureofamountsondeposit with theTrusteetocomplywiththe aforementioned arbitrage rebaterequirements, includingwithoutlimitationacompletelistofallinvestmentsandreinvestmentsof amountsondepositwithIheTrustee with respecttoeachSeriesoftheBonds.For purposesofIhecomputationrequiredabove,theTrusteeshall,uponrequest,fumish totheBankallinformationintheTrustee'scontrolwhichisnecessaryforsuch computations. (F)TheBankherebycovenantsandagreesthatitwillnotenter,andwillnot causetheTrusteetoenterinto,anytransactionorcauseanytransactiontobeentered intowithrespecttotheinvestmentofgrossproceedsoftheBonds,orotherwise,which reducestheamountwhichmayberequiredtobepaidtotheUnitedStatespursuant tothearbitragerebaterequirementsspecifiedhereinabove,becausesuchiransacuon resullsinasmaller prolil oralargerlossIhanwouldhaveresultedifthetransactionhad beenatarm'slengthandhadtheyieldoneachSeriesoftheBondsnotbeenrelevant toeitherparty. (G)TheprovisionsofthisSectionmaybeamendedordeleted,wilhrespectto anyorallseriesoftheBonds,fromthisResolutionuponreceiptbytheBankandthe TrusteeofanopinionofbondcounselIhatsuchamendmentordeletionwillnot adverselyaffecttheexclusionfromgrossincomeofinterestontheBonds. Seclion606-OperatingFund.ThereshallbedepositedintheOperatingFund allFeesandChargescollectedbyIheBankortheTrustee.totheextentnototherwise encumberedorpledged,andanyothermonieswhichmaybemadeavailabletothe BankforthepurposesoftheOperatingFundfromanyothersourceorsources including,without limiting thegeneralityoftheforegoing,amountstransferredpursuant toparagraph(3)ofSection603,subparagraph(b)(ii)ofparagraph(3)ofSection604 andtheamountreceivedasapremiumovertheprincipalamountofaSeriesofBonds, ifany,totheextentprovidedintheSeries Resolution authorizingsuchSeries.Monies ALASKA MUNICIPAL BONO BANI( G"""",I ObI/Il"II"n S""II R..."tlrI""rAmonClOdJ 1~";>XI01 1QtICD~D:j0"'....l\on<!"-''''_pago 40 ALASKA MUNICIPAL BOND BANI( GDtlo",1 Obl/Il"rlon B"nll RaolurlDn (Amon<lodJ '~1"'''':'"_.-.I2D'J>G''''''''''''''_"''''''''''''''''''_Paga 41 atanytimeheldforIhecreditofIheOperatingFundshallbeusedforandapplied solelytothefollowingpurposes: (a)TopaytheAdministrativeExpensesoftheBank; (b)TopaythefeesandexpensesoftheTrusteeandPayingAgents; (c)Topayfinancingcostsincurredwithrespect10aSeriesofBonds,including feesandexpensesoftheattorneys,initial Trustee'sandPayingAgents'feesand expenses,costsandexpensesoffinancialconsultants,printingcostsandexpenses, the paymenttoanyofficers,departments,boards,agencies,divisionsandcommissions of,or relmbcrsement to,IheStateofanystatementofcostandexpenseoradvances renderedtotheBankpursuanttotheAct,andallotherfinancingandother miscellaneouscosts;and (d)Topayanyexpensesincanyingoutanyotherpurposethenauthorizedby theAct. AllamountsintheOperatingFundshallbefreeandclearofanylienorpledge createdbythisResolutionbutshallbeheldandappliedinaccordancewiththissection. Section 607-ReductionofReguiredDebtServiceReserve.Whenever the amountoftheRequiredDebtServiceReserveisreduced,theTrustee,onlyuponthe writtenrequestoftheBanksignedbyanAuthorizedOfficer,shallwithdrawfromany amountsondepositintheReserveFundanddeposilintheRedemptionAccountany amountnotexceedingIheamountofsuchreductionoftheRequiredDebtService Reserve.TheamounttobewithdrawnfromIheReserveFundineachinstance pursuanttotheprovisionsofthisparagraphshallbedeterminedbytheBankandthe amountthereofcertified10IheTrusteeinwritingsignedbyanAulhorizedOfficer. Section60B•Trustee'sMaintenanceofRecordsonPaymentofBonds.In connectionwiththepayment,redemptionorpurchaseofallBondsundertheprovisions ofthisResolution,theTrusteeshallkeepaccuraterecordsofthesourceofthemonies usedtopay,redeemorpurchasesuchBonds. Section609-ObtainingCreditEnhancementsandInterestRateExchange Agreements.ExceptasotherwiseprovidedinaSeriesResolutionauthorizingthe issuanceofaSeriesofBonds,theBankmayobtainCreditEnhancementoranInterest RateExchangeAgreementwithrespecttosuchBondseitherattherimeofissuance ofIheBondsoranylimethereafter. Section610-Creationof Additional FundsAccountsand Subaccounls' SeparateCreditEnhancementFunds'PledgewithRespecttoCreditEnhancements andInterestRateExchangeAgreements.(A)TheTrusteeshallestablishwithinany FundsuchAccountsinadditiontotheAccountshereinestablishedastheBankshall bySeriesResolutionorSupplementalResolutiondetermineandshallinlikemanner establishwithinanyAccountsuchadditional subaccounls forthepurposesofsuch AccountastheBankshallsodetermine. (B)TheBankmayatanylimebyexecutionofaSeriesResolutionor SupplemenlalResolutionestablishaFundorAccountinwhichtoholdanyCredit EnhancementandIheproceedsthereofordrawingsthereunder(a"Credit EnhancementFund-)forthebenefitofanySeriesofBondstowhichsuchCredit Enhancementhasbeenpledged,whichpledgemaybe(bulisnotrequiredtobe) exclusivelyforthebenefitofsuchSeriesofBondsorcertaindesignatedSeriesof BondsandnotequallyandratablyamongalltheSeriesofBonds.Amountsheldina CreditEnhancementFundshallnotbeconsideredapartoftheMun'lcipalBonds Paymentbut,rather,shallbesubjecttosuchlienandpledgeasmaybecreatedinthe SeriesResolutioncreatingsuchCreditEnhancementFund. (C)IfIheBankcreatesaCreditEnhancementFund,theBankmaydirect,inthe SeriesResolutioncreatingsuchCredit Enhancement Fund,thattheTrusteepay,and ifsodirectedinwritingbytheBanktheTrusteeshallpay,principal(includingpremium, ifany)orandinterestontheBondssecuredbysuchCredilEnhancementFunddirectly fromamountsinsuchCreditEnhancementFundandthattheTrusteereimburse,and ifsodirectedinwritingbytheBanktheTrusteeshallso reimburse,suchCredit EnhancementFundforsuchpaymenlfromtheCredilEnhancementFund;provided, however,thattheBankmay,intheSeriesResolulionauthonzlnqtheSeriesofBonds tobesecuredbyCreditEnhancement,treatany,oranypartofany,obligationowedor ALASKA /./lJIIIIClPAL BONO BANK G"""",I 0bI11l.u""Bonll RolIOtlt/""(AmfHJl1fKJ} '1I:b:lO\:l1....,.,,~Go<.-D:j""""'"""'__Paga42 F-12 ALASKA MUN/CJPAL BOND BANK G"""",'OlIIJg.u""S""IIR..."tlrlCIII rAmNId8dJ ,,,,,,,,,,,,,,zO:l1--...zm~D:j_,,,,,,,_,,,_Pago 43 whichmayinthefuturebeowedtotheCredit Enhancement Agency pursuanlto the Credit Enhancement Inslrument astheSeriesofBondssecuredbysuchCredit Enhancement ifIheCorporation,atthelimeofissuanceofsaidSeriesofBondsand atthe time ofthecreationofanysuchobligalionsatisfiesthe requirements ofSection 203,inwhichcasetheTrusteeshallpaytheprincipalofandinterestonanysuch obnqencnsin accordance wrlh theterms orthts Resolutionlreatingsuch obligations as aSeriesofBonds.InaSeriesResolutionauthorizingaSeriesofBondssecuredbya Credit Enhancement FundtheBankmay fix provisionsrelatingtosuchFundpursuant tothetermsofaSeriesResolution.Inadditiontotheforegoing,theBankmayagree topermitaCredit Enhancement Agencytobesubrogated10therighlSofany Bondholders whoseBondsaresecuredbytheCredit Enhancement providedIhatsuch Credit Enhancement Agencyisnotin default undersuchCredit Enhancement. ARTICLE VII SECURITY FORDEPOSITSAND INVESTMENT OFFUNDS Section701-Security forDeposits.Allmoniesheld hereunder bytheTrustee shallbe continuously andfullysecured,forthebenefitoftheBankandtheHoldersof theBondsinsuch manner asmaythenberequiredor permitted byapplicableStateor federallawsandregulationsregardingthe security for,orgrantingapreferenceinIhe caseof,thedepositoftrustfunds.TheTrusteeoranyPayingAgentshallnotbe requiredtogive security forthedepositofanymonieswiththemheldintrustforthe paymentoftheprincipalorRedemptionPriceoforinterestonanyBonds,orforIhe 'trustee togive security foranymonieswhichshallberepresentedbyobligations purchasedundertheprovisionsofthisResolutionasaninvestmentofsuchmonies. Section702 -Investment ofFundsandAccountsHeldbytheTrustee.(A)Upon thedepositofanyamountsinanyfundoraccountheldbytheTrusteeunderthe provisionsofthisResolution,inthemannerhereinaboveprescribed,theBankmay fumishtheTrusteewithascheduleofdatesonwhich il isestimatedbytheBankthat suchmoniesinsaidfundoraccountwillberequiredtobeexpended.TheBankmay fromtimetotimeamendtheschedulesofumished.Uponreceiptofsuchscheduleor amendedschedule,theBankmaydirecttheTrusteeto,orintheabsenceofreceiptof suchscheduleorsuchdirectionthe 'trustee shall,investandreinvestinInvestment Securitiesthemoniesinsaidfundoraccountsothatthematuritydateordateof redemptionattheoptionoftheholderofsuchobligationsshallcoincideasnearlyas practicablewithIhelimes at whichmoniesareneededbytheBank10besoexpended. TheBankalsomaydirecttheTrusteethatallorpartoftheamountsintheInterest AccountandthePrincipalAccountinIheDebtServiceFundnotbe invested for specifiedperiodsoftime. (B)Obligationspurchasedasaninvestmentofmoniesinanyfundoraccount heldbytheTrusteeundertheprovisionsofIhisResolution shall bedeemedatalltimes tobeapartofsuchfundoraccountandtheincomeorinterestearned,profitsrealized orlossessufferedbyafundoraccountdue10the investment thereofshallberetained in,crecnedorcharged,as!hecasemaybe,tosuchfundoraccount,exceptthatIhe incomeorinterestearnedandprofitsrealizedbytheReserveFundduetothe investmentthereofshallbetransferredbytheTrusteein accordance withandtothe extentprovidedbyparagraphs(1),(3)and (5)ofSection603. (C)IndeterminlnqwhetherornottheamountintheReserveFund is atleast equaltotheReserveFundRequirement,theTrusteeshallincludetheamountof interesteamedoraccruedthereonasofthedateofevaluationandshallalsoinclude, butonly if anyother requirement thereforspecifiedinaSeriesResolutionhasbeen satisfied,theprincipal component ofanyCredil Enhancement thenondepositinthe ReserveFund. (D)exceptasotherwiseprovidedintheResolulion,theTrusteeshallsellatthe bestpriceobtainable,orpresentforredemptionorexchange,anyobligationpurchased byitasan investment pursuanttothis Resolulion whenever itshallberequested in wrilingbyan Authorized OfficeroftheBanktodosoor whenever itshallbenecessary inordertoprovidemoniestomeetanypaymentortransferfromthefundoraccount forwhichsuch investment wasmade.TheTrusteeshalladvisetheBank in wriling,on orbeforethetwentielh day ofeach calendar month,ofthedetailsofallinvestments AlASKA MUNICIPAL BOND BANK GlI/lllfllObllgM1on SOlid RIls"lufiOll (AmOll<llldJ 1~1.1<OO'_.-...I:'OC!lGo<oo""0:<~""'_"""""""'"Pogo 44 ALASKA MUNICIPAL BONO BANI{ G.....,.t OIlJlgM1on Bond R .....lullOll(AmollClod) 'ICo<o'J"llXWl'~Go<oo"O:i~""'_R""'..."",Page 45 heldforthecreditofeachfundandaccountinitscustodyunderiheprovisionsofIhis Resolulionasoftheendoftheprecedingmonth. Section703-UabilityofTrustee forInvestments.TheTrusteeshallnotbeliable orresponsibleforthemakingofanyinvestmentauthorizedbytheprovisionsofthis Article,inthemannerprovidedinthis Article,orforanylossresullingfromanysuch investment somadeexceptforusownnegligenceordefault. ARTICLEVlII THETRUSTEEANDTHEPAYINGAGENTS Section801-Appointment and Acceptance ofDuliesofTrustee.J.P.Morgan TrustCompany,NationalAssociation,atrust company orbankhavingthepowersof atrustcompanydoingbusinessandhavingacorporatetrustofficeinSeattle, Washington,ishereby appointed asTrusteefortheHoldersfromtimetotimeofthe Bonds.TheTrusteeshall signifyils acceptanceofthedutiesandobligationsimposed uponilbythisResolutionby executing thecertificateof authentication endorsedupon theBonds,and,by executing suchcertificateuponanyBond,theTrusteeshallbe deemed10haveacceptedsuchdutiesandobligationsnotonlywithrespecttotheBond so authenticated,butwithrespecttoalltheBondsthereaftertobeissued,bulonly, however,uponthetermsandconditionssetforthintheResolution. Section 802-Appointment and Acceptance ofDuliesofPayingAgents.The BankshallappointoneormorePayingAgentsfortheBondsofanySeriesintheSeries Resolution aulhorizing suchBondsorshallappointsuchPaying Agenl orPaying Agentsbyorpursuant10aresolutionoftheBankadoptedpriortothe authentication anddeliveryofsuchBonds,andmayatanytimeorfromtimetolimeappointoneor moreotherPayingAgentsinthemannerandsubject10theconditionssetforthin Section812forthe appointment ofa successor PayingAgent.The Trustee maybe appointedtoactasPayingAgenl nolwiths!anding thatitmaythenbeactinginthe capacity orTrustee.Each Paying Agentshallsignifyits acceptance ofthedutiesand obligalions imposeduponitbythisResolutionbywritten instrument ofacceptance executedanddeliveredtotheBankandtheTrustee.Theprincipalorcorporatetrust officesofthePayingAgentsarehereby designated astherespectiveagenciesofthe BankforthepaymentoftheinterestonandprincipalorRedemptionPrice of theBonds. Section803-Responsibilities ofFiduciaries.(A)Therecitals offact hereinand intheBondscontainedshallbetakenasthe statements oftheBankandthe Fiduciariesassumeany responsibility forthe correctness ofthesame.NoFiduciary shallbedeemed10makeany representations astothe validity or sufficiency ofthis ResolutionorofanyBondsissued hereunder or in respectofthe security affordedby thisResolution,andnoFiduciaryshallincurany responsibility inrespectthereof.The Trusteeshall,however,be responsible forits representations containedinitscertificate ontheBonds.No Fiduciaryshall be underanyresponsib'lIityordutywith respecuo any olherFiduciary.NoFiduciaryshallbeunderanyobligationor duty toperformanyact whichwouldinvolveitinexpenseor liability orto lnsuune ordefendanysuitinrespect hereof,or10advanceanyof its ownmoneys,unlessindemnifiedtoitssatisfaction.No Fiduciary shallbeliable in connecnonwiththe performance ofitsduties hereunder exceptforitsownnegligenceorwillful misconduct.Neither theTrusteenoranyPaying Agentshallbeunderany responsibility ordutywithrespecttothe applicalion ofany moneyspaidto anyone ofthe others ortheuseorapplicationbytheBankofIhe BondsorIheproceedsIhereof. (B)Exceplduringthe continuance ofanEventofDefault,theTrustee undertakes10performsuchdutiesandonlysuchdutiesasare specifically setforthin thisResolulion,andnoimpliedcovenantsor obligations shallbereadintothis ResolutionaqalnsttheTrustee,and,intheabsenceofbadfaithonitspart,theTrustee mayconcrusiveiyrely,astothetruthofIhe statements andthecorrectnessofthe opinionexpressedtherein,uponcerttncatesoropinions furnished 10theTrustee and conforming10me requirements ofthisResolution. (C)IncaseanEvenlofDefaulthasoccurredandiscontinuing,theTrusteeshall exercise suchofIhe rights andpowersvestedinitbythisResolutionandusethesame degreeofcareandskillintheirexerciseasaprudentpersonwouldexerciseoruse underthe clrcumstences intheconductofhisownaffairs. ALASKII MUNICJPAL BONO BAM< GlI/lOlaJ ObIlgM1onBOIId R..._OII (Amo_i ''''''''JT'<'OCO'~_I;IbI__""",,,,,,,,,Page 46 F-13 ALASKA MUNICIPAl.BOND BANK G........,OIJJlgM1""S""d R......lullon (Amo_J L~T4<'OCO'~_D:lI~-'__..._Pogo 47 (D)No provision ofthis Resolution shallbe construed torelievethe Trustee from liability foritsown negligent action,itsown negligent failure toact,oritsownwillful misconduct,except that(1)the Trustee shallnotbeliableforany error of judgment madeingoodfaithbya responsible officer,unless itshallbe proved Ihatthe Trustee was negligent in ascertaining the pertinent facts,(2)the Trustee shallnotbeliablewith respect toanyactiontakenor omitted tobetakenbyitingoodfaith in accordance with the direction ofthe Holders ofa majority in principal amount ofthe Outstanding Bonds relatingtothetime,melhod andplaceof conducting any proceeding forany remedy available tothe Trustee,or exercising anytrustorpower conferred uponthe Trustee, under this Resolution,and(3)no provleicn ofth'ls Resolution shallrequirethe Trustee toexpendorriskitsownfundsor otherwise incurany financial liability inthe performance ofanyofitsduties hereunder,orinthe exercise ofanyof its rights or powers,Hltshallhave reasonable grounds for believing that repayment ofsuchfunds or adequate indemnity against suchriskor liability isnot reasonably assured toit. Except as otherwiseexpressly provided herein,the Trustee shall determine whether any conditions or requirements setforthhereinforany purpose havebeenmet,and such determination bythe Trustee shallbe conclusive. (E)Regardless of whether itis therein expressly soprovided,every provision ofthis Resolution,anySeries Resolution,oranyrelated document relatingtothe conduct or affecting the liability ofor affording protection tothe Trustee shallbe subject tothe provisions ofthisArticle. (F)The Trustee shallbeunderno obligation to exercise anyoftherightsor powers vestedinitbythis Resolution atthe request or direction ofanyofthe Bondholders pursuant 10this Resolution,unless such Bondholders shallhave offered tothe Trustee security or indemnity toits satisfaction against thecosts,expenses and liabilities whicll might be incurred byitin compliance withsuch request or direction. (G)The Trustee shallnotbeboundtomakeany investigation intothefactsor matters statedinany resolution,certificate,statement,instrument,opinion,report, notice,request.direction,consent,order,bond,debenture,orother paperordocumenl. (H)The Trustee may execute anyorthetrustsor powers hereunder or perform anyduties hereunder either directly orbyorthrough agents or attorneys.andthe Trustee shallnotbe responsible forany misconduct or negligence onthepartofany agentor attorney appointed with duecarebyit hereunder. (I)The permissive rightofthe Trustee todo things enumerated inthis Resolution shallnotbe construed asaduty. (J)In accepting thetrusls hereby created.the Trustee actssolelyas Trustee for the Bondholders andnotinits individual capacity andall persons,including,without limitation,the Bondholders andtheBank having anyclaim against lhe Trustee arising fromthis Resolution shalllookonlytothefundsand accounts heldbythe Trustee or its agent hereunder for payment except as otherwise provided herein,Under no circumstances shallthe Trustee beliableinits individual capacity forthe obligations evidenced bythe Bonds. Section 804-Evidence on Which Fiduciaries MayAct.Each Fiduciary mayrely andshallbe protected inactinguponanynotice,resolution,request,consent,order, certificate,report,opinion,bondor other paper or document believed byittobe genuine,andtohavebeen signed or presented bythe proper partyor parties,Each Fiduciary may consult with counsel,who mayor maynotbeof counsel totheBank,and theopinionofsuchshallbefulland complete authorization and protection in respect ofanyactiontakenor suffered or omitted byit hereunder ingoodfaithandin reliance thereon.Whenever any Fiduciary shalldeemit necessary or desirable thata matter be proved or established prior totakingor suffering or omitting any action hereunder, including payment of moneys outofanyFundor Account,such matter (unless other evidence inrespect thereof beherein specifically prescribed)maybe deemed tobe conclusively provedand established bya certificate signedbyan Authorized Officer, andsuch certificate shallbefull warrant foranyactiontakenor suffered ingoodfaith underthe provisions ofthis Resolution uponthefaiththereof,butinits discretion Ihe Fiduciary mayin lieu thereof accept other evidence ofsuchfactor matter ormay requiresuch further or additional evidence astoilmayseem reasonable.Except as AlASKA MUNICIPALBOND BANK G""e...IObllS1ftIOll BOIIlt RuotlUolI {AmR~ 1\Oo:aIJ1'1COO,~e-"'O::<Q""'_R"""",_Page 48 AUlSKA MUNICIPALBONOBANK G8I1R,..'ObIJI1.rlOII BOl1lt R....oIuU""(AmRnltocJJ 1\D:a'~"2<lWlI_"""""""c...""OoIQ""'''''''_''''_Pago49 otherwiseexpressly provided herein,anyrequest,order,noticeor other direction required or permitted tobe furnished pursuant toany provision hereof bytheBankto any Fiduciary shallbe sufficiently executed if executed inthenameoftheBankbyan Authorized Officer. Section 805 -Compensation.TheBankshallpaytothe Trustee andtoeach Paying Agent fromtime10time reasonable compensation forall services rendered under this Resolution,andalsoall reasonable expenses,charges,counselfeesand other disbursements,inclUdingthoseof its attorneys.agentsand employees,incurred inandaboutthe performance oftheir powers and duties under this Resolution,andthe Trustee andeach Paying Agent shallhavealien therefor onanyandallfundsatany limeheldbyit under this Resolution.TheBank further agrees to indemnify andsave the Trustee andeachPaying Agent harmless against any liabilities whichitmayincur inthe exercise and perfonnance ofits powers and duties hereunder,andwhicharenot duetoits negligence or default. Section 806-Permitted Actsand Functions.The Trustee andany Paying Agent may become the owner ofanyBonds,withthesamerightsitwouldhaveifitwerenot such Trustee or Paying Agent.The Trustee andany Paying Agent mayactas depository for,and permit anyofits officers or directors toactasa member of,orinany other capacity with respect to,any committee formed to protect therightsof Bondholders orto effect oraidinany reorganization growing outofthe enforcement of theBondsorthis Resolution,whether ornotanysuch committee shall represent the Holders ofa majority in principal amount oftheBondsthen Outstanding. Section 807-Resignation of Trustee.The Trustee mayatanytimeresignand be discharged ofthe duties and obligations created bythis Resolution bygiving not less thanninety(90)days'writtennoticetotheBankandtothe registered owners ofBonds, specifying thedatewhensuch resignation shalltake effect andsuch resignation shall take effect immediately uponthe appointment ofa successor Trustee pursuant to Section B09 hereof. Section 808-Removal of Trustee,The Trustee shallbe removed bytheBank ifatanytimeso requested byan instrument or concurrent instruments inwriting,filed withthe Trustee andtheBank,andsignedbythe Holders ofa majority in principal amount oftheBondsthen Outstanding or their attomeys-in-fact duly authorized, excluding any Bonds heldbyorforthe account oftheBank.TheBankmay remove the Trustee atanytime,except duringthe existence ofanEventof Default,forsuch cause asshallbe determined inthesole discretion oftheBankbyfilingwiththe Trustee an instrument signedbyan Authorized Officer oftheBank. Section B09-Appoinlment of Successor Trustee.Incaseatanytimethe Trustee shallresignorshallbe removed orshall become incapable ofacting,orshall be adjudged a bankrupt or insolvent,orifa receiver,liquidator or conservator ofthe Trustee,orof its property,shallbe appointed,oriranypublic officer shalltakecharge orcontrolofthe Trustee,orofits property or affairs.theBank covenants andagrees thatitwill thereupon appoint a successor Trustee,TheBankshall provide written noticeofsuch appointment tothe registered ownersofthe Bonds. Ifina proper caseno appointment ofa successor Trustee shallbemade pursuant tothe foregoing provisions ofthis Section within forty-five (45)days after the Trustee shallhavegiventotheBank written notice,as provided in Section 807,or after a vacancy intheofficeofthe Trustee shallhave occurred by reason ofits inability to act.the Trustee orthe Holder ofanyBondmayapplytoany court of competent jurisdiction to appoint a successor Trustee.Saidcourtmay thereupon,after such notice,ifany,assuch court maydeem proper and prescribe,appoint a successor Trustee. Any Trustee appointed under the provisions ofthis Section 809in succession tothe Trustee shallbeatrust company orbankingood standing having the powers of atrust company within or outside theState,andhavinga capital and surplus aggregating atleastFifty Million Dollars ($50,000.000)iftherebesuchatrust company orbankwillingandableto accept the office on reasonable and customary terms and authorized bylawto perform alltheduties imposed upon it bythis Resolution. ALASKA MUNICIPAL BONO BANI( G"""",'OlIIIS1.uon Bonlt RMOtlliOl1 {~ 1\Oo:aIJ1'2<lWlI~e.--00I__-""",_Pago50 F-14 ALASKA MUNICIPALBOND 8ANJ( G""e...IOb/JS1.uOllBOIIltR....oJurf""(Am_J l'O:aUl.2CIOO'........-.zme.--00I__.........""'_Pago51 Section810 •Transfer ofRightsand property to Successor Trustee.Any successor TrusteeappointedunderthisResolutionshallexecute,acknowledgeand delivertoitspredecessorTrustee,andalsototheBank,an instrument acceptingsuch appointment,andthereuponsuchsuccessorTrustee,without anyfurtheract,deedor conveyance,shallbecomefullyvestedwithallmonies,estates,properties,rights, powers,dutiesandobligationsofsuch predecessor Trustee,withlikeeffectasif originallynamedasTrustee;buttheTrusteeceasingtoactshallnevertheless,onthe writtenrequestoftheBank,orofthesuccessorTrustee,execute,acknowledgeand deliversuchinstrumentsofconveyanceandfurtherassuranceanddosuch otherthings asmayreasonablyberequiredformorefUllyandcertainlyvestingandconfirmingin such successor Trusteealltheright,titleandinterestorthe predecessor Trusteeinand toanypropertyheldbyit under thisResolution,andshallpayover,assignanddeliver tothe successor Trusteeany money orotherproperty subject tothetrustsand conditionshereinsetforth.Shouldanydeed,conveyanceorinstrumentinwritingrrom theBankberequiredbysuchsuccessorTrusteeformore fully andcertainlyvestingin andconfirmingtosuch successor Trusteeanysuchestates.rights,powersandduties, anyandallsuchdeeds,conveyances andinstrumentsinwritingshall,onrequest,and sofarasmaybeauthorizedbylaw,beexecuted,acknowledgedanddeliveredbythe Bank.Anysuch successor TrusteeshallpromptlynotifythePayingAgentsofits appointment asTrustee.TheBankshallpaytheexpensesofeffectingatransferunder thisSection. Section811-Mergeror Consolidation.AnycompanyintowhichtheFiduciary maybemergedorconvertedorwithwhichitmaybeconsolidatedoranycompany resultingfromanymerger,conversionorconsolidationtowhichitshallbeapartyor anycompanytowhichFiduciarymaysellortransferallofitscorporatetrustbusiness, shallbethesuccessortosuchFiduciarywithout the executionorfilingofanypaperor the performance ofanyfurtheract,provided thai suchcompanyshallbeatrust companyorbankwhichisqualifiedtobea successor totheTrusteeunderSection809 orwhichisqualifiedtobea successor tothePayingAgentunderSecUon812. Section812-ResignationorRemovalofthePayingAgentsand Appointment ofSuccessors.AnyPayingAgentmayatanylimeresignandbedischargedofthe dutiesandobligationscreatedbythisResolutionbygivingatleastsixty(60)days writtennoticeto the Bankand the Trustee.AnyPayingAgentmayberemovedatany timebyan lnsnument filed with suchPayingAgentandtheTrusteeandsignedbyan AuthorizedOfficerof the Bank.Any successor PayingAgentshallbeappointedbythe Bankandshallbealrustcompanyorbankhaving the powersofatrustcompany havingacapitalandsurplusaggregatingatleastFiftyMillionDoflars ($50,000,000),and willingandabletoaccepttheofficeorPayingAgentonreasonableand customary termsandauthorizedbylawtoperformallthedutiesimposedupon it bythis Resolution. IntheeventoftheresignationorremovalofanyPayingAgent,suchPaying Agentshallpayover,assignanddeliverany monies heldbyittoitssuccessor,orif therebeno successor thenappointed,totheTrusteeuntilsuch successor be appointed.In the eventthat foranyreasonthereshallbeavacancyintheofficeof PaYIng Agent,the TrusteeshallactassuchPayingAgent. Section813-Evidenceof Signatures ofBondholdersandOwnershipofBonds. (A)Anyrequest,consentorother instrument whichthisResolutionmayrequire orpermittobesignedandexecutedbythe Bondholders maybe in oneormore instruments ofsimilartenor.andshallbesignedorexecutedbysuch Bondholders in personorby their attorneysappointedin writing.Proofor(i)theexecutionofanysuch instrument,orofaninstrumentappointinganysuchattorney,or(ii)theholdingbyany personoftheBondsshallbesufficientforanypurposeorthisResolution(exceptas otherwisehereinexpresslyprovided)if madeinthefollowingmanner,buttheTrustee may nevertheless initsdiscretionrequirefurtherorotherproofincaseswhereitdeems thesamedesirable: (1)Thefactanddateoftheexecutionbyany Bondholder orhis attorneyofsuch instrument maybeprovedbythecertificate,whichneednotbe acknowledgedorverified,oranofficerofabankortrust company satisfactory AlASKA MUNICIPAL BOND BANK G""etal ObJlgKlon S""d RlIIalUlI""(Amgnde<l) '1e>"'.'31....""-....a:l>Go.....""""_"""'R.........,_Pago52 AlASKA MUNICIPAL SOND BANK GlI/IOlaIObllg.f1on &HId RlIIalUtiDII (Arn""~J ,"""'""''';'1:0;11''-....--000__........''''_Page>53 totheTrusteeorofanynotarypublicorotherofficerauthorizedtotake acknowledgments ofdeedstoberecordedinthestateinwhichshepurportsto act,thatthepersonsigningsuchrequestorother instrument acknowledgedto himtheexecutionthereof,orbyanaffidavitofawitnessofsuchexecution,duly sworntobeforesuchnotary public orotherofficer.Theauthorityofthe person orpersonsexecutinganysuchinstrumentonbehalfofacorporate Bondholder maybeestablishedwithoutfurtherproofifsuch instrument issignedbyaperson purportingtobethepresidentoravicepresidentofsuchcorporation with a corporatesealaffixedandattestedbyapersonpurportingtobeitssecretaryor anassistantsecretary; (2)TheamountofBondstransferablebydeliveryheldbyanyperson execunnqsuchrequestorother instrumenl asaBondholder,andthenumbers andotheridentificationthereof,and the dateofhisholdingsuchBonds,maybe provedbyacertificate,whichneednotbe acknowledged or verified,satisfactory totheTrustee,executedbyanofficerofa trust company,bank,financial institutionorother depository or member oftheNationalAssociationof SecuritiesDealers,Inc.whereversituated,showingthatatthedaletherein mentioned such personexhibited 10 suchofficerorhadondeposit with such depository theBondsdescribedinsuchcertificate.Continuedownershipafter thedatestatedinsuchcerttncaremaybeprovedbythepresentationofsuch certificateifthecertificatecontainsa statement bysuchofficerthat the depositoryheldthatBondsthereinreferredtoontnedateofthecertificateand thattheywillnotbesurrendered withoulthe surrenderofthecertificate 10 the depository,except with theconsentoftheTrustee,andacertificateofthe Trustee,whichneednotbe acknowledged orverified,that suchconsenthasnot beengiven. (B)ExceptinthecaseofBondstransferablebydeliveryonly,theownershipof Bondsandtheamount,numbersandotheridentification,anddateofholdingthesame shallbeprovedbytheregistrybooks.Anyrequest,consenl crvote orIheownerofany BondshallbindallfutureownersofsuchBondinrespect ofanylhing doneorsuffered tobedonebytheBankorany Fiduciary in accordance therewith. ARTICLE IX COVENANTS OFTHEBANK TheBankcovenantsandagrees with theHoldersoftheBondsasfollows: Section901-PaymentofBonds.TheBankshalldulyand punctually payor causetobepaidtheprincipalorRedemptionPrice,if any,ofeveryBondandthe interest iherecn,atthedatesandplacesandin the mannerstatedintheBonds accordingtothetrueintentandmeaningthereof,andshalldUlyand punctually pay,or causetobepaid,allSinkingFundInstallments,ifany,becomingpayablewith respect toanySeriesofBonds. Section902-ExtensionorPaymenlorBonds.TheBankshallnotdirectlyor indirectlyextendorassenttotheextensionofthematurityofanyoftheBondsorthe timeofpaymentofanyclaimsforinterestbythepurchaseorfundingorsuchBondsor claimsfor interest orbyanyether arrangement andincasethematurityofanyofthe Bondsorthetimeforpaymentofanyclaimsforinterestshallbeextended,suchBonds orclaimsforinterestshallnotbeentitledincaseofanydefaultunderthisResolution tothe benefit ofthisResolutionortoanypayment out ofanyassetsoftheBankorthe funds(exceptrundsheldintrustfor the paymentofparticularBondsorclaimsfor interest pursuanttothisResolution)priortobenefitsaccordedtoorthe payment ofthe principalofallBondsissuedand Outstanding thematurityofwhichhasnotbeen extendedandofsuchportionoftheaccrued interest ontheBondsasshallnotbe representedbysuchextendedclaimsfor interest Nothinghereinshallbedeemedto limit the rightofIheBanktoissueRefundingBondsasprovidedinSection203and suchissuanceshallnotbedeemedtoconstituteanextensionof maturity ofBonds. Section903-OfficesforServicinoBonds.The Bankshallatalltimesmaintain anofficeoragencywhereBondsmaybepresentedfortransferorexchange,and wherenotices,presentations anddemandsupon the BankinrespectoftheBondsor ofthisResolutionmaybeserved.TheBank hereby appointstheTrusteeasusagent ALASKA MUNICIPAL BOND BANK G..""I ObIIg.aDII Bond RMoMlDII (AirIencJIod} ''''''''''ll':ICUll~_''''",,_Pogo54 F-15 ALASAA MUNICIPAL SOND BANI< G""OlaI ObIIg.tlon Bond RMotlrlOll (Arn_J ''''''''''l'':ICUllll~_''''__'''''''",,_Page>55 to maintain such office or agency forthe transfer or exchange ofBondsandforthe serviceofsuchnouces.presentations and demands upontheBankandmay appoint oneormore co-registrars forsuch purposes.TheBank hereby appoints the Trustee as Paying Agentand hereby appoints thePaying Agent asitsagentto maintain such officesor agencies forthe payment or Bonds. Section 904-Further Assurances.Atany andall limes theBankshall,sofaras nmaybe authorized bylaw,pass,make,do.execute,acknowledge and deliver,alland everysuch further resciuuons.acts,deeds,conveyances,assignments,transfers and assurances asmaybe necessary forthebener assuring,ccnveynq.granting, assigning,connrming alland singular therights,Mun'lc'lpal Bonds Payments,the Municipal Bonds and other monies,securities,fundsand property hereby pledged or assigned.or intended sotobe,or which theBankmay hereafter become boundto pledgeorassign. Section 905-Power to Issue BondsandMake Pledges.TheBankisduly authorized pursuant tolawto authorize and issue theBondsforthe purposes herein authorized andtoadoptthis Resolution andtopledgethe Municipal Bonds Payments, the Municipal Bondsand other monies,securities,fundsand property purported tobe pledgedbythis Resolution inthe manner andtothe extent provided inthis Resolution. The Municipal Bonds Payments.the Municipal Bonds.and other monies,securities, fundsand property so pledged areandwillbefreeand clear ofanypledge,lien,charge or encumbrance thereonorwith respect thereto prior to,orofequalrankwilh,the pledge created bythis Resolution,exceptfortheliensinfavorofthe Trustee and Paying Agents provided in Section 805hereof,andall corporate or other actiononthe partoftheBanktothatendhasbeendulyandwillbedulyand validly taken.The Bondsandthe provisions ofthis Resolution areandwillbethevalidand legally enforceable obligations oftheBankin accordance with theirterms.TheBankshallat alltimes,totheextent permitted bylaw,defend,preserve and protect thepledgeofthe Municipal Bonds Payments,the Municipal Bondsand other monies.eecunues.funds and property pledged underthis Resolution andalltherightsofthe Bondholders under this Resolution againstallclaimsand demands ofall persons whomsoever. Section 906-General Covenants oftheBank.(A)TheBank shall doand perform orcause10bedoneand performed allactsandthings required (0bedoneor performed byoron behalf oftheBank under lawandthis Resolution in accordance with theterms hereof. (B)Uponthedateof issuance ofanyoftheBonds,all conditions,actsand things required bylawandthis Resclutlcn toexist,tohave happened andtohavebeen performed precedent toandinthe issuance ofsuchBondsshallexist,have happened andhavebeen performed andthe issue ofsuchBonds,together withall other indebtedness oftheBank,shallbewithineverydebtand other limit prescribed bythe lawsofthe Stale. (C)TheBankdoes hereby pledgetoandagreewithlhe Holders ofthe Bonds thatifwillnotcause(heStatetolimitor alter therightsvestedbytheActintheBank tofulfillthetermsofany agreements madewith Bondholders,orinanyway impair the rightsand remedies ofsuch Holders untiltheBonds,together withthe interest thereon, with interest onany unpaid installments ofinterest,andallcostsand expenses in connection withanyactionor proceeding byoron behalf ofsuchHolders,arefully met and discharged. (0)Uponfailureofa Governmental Unittomakeany principal or interest payment onthedate specified in.andas required by,the applicable Loan Agreement securing payment ofthe Municipal Bonds,the Trustee shall immediately notify the Executive Director oftheBankwhoshallthentakethe following actions: (i)the Executive D'rector shallwithln twodaysofthe Governmental Unit's failure tomakethe Municipal Bonds Payment pursuant tothetermsofthe applicable Loan Agreement,contact such Govemmental Unitand request payment; ALASKA MUNiCiPAL BOND BANK ClIrlO11ll0bllrl.:lon Bond R""olulton (AmendodJ L\i);a\]"2OXI1~G...."'O:t8__""""R"""DO"'"Poge 56 ALASKA MUNICIPAL BOND BIlNK ClIrlllllll Ol>J'rl~OlI SOlId RIIIOIIIIIOll{lIme1lrledJ,"""""'"2I»O,_........=....-O:tQO",,EIoodROOlMDO..,.,Pogo57 (ii)inthe event payment isnotmadebythe Governmental Unit pursuant to(i)above,the Trustee shallmakeupsuch deficiencies fromthe Reserve Fund as provided forin Section 603(E)ofthis Resolulion; (iii)intheevent payment isnotmadebythe Governmental Unit pursuant to(i)above,andthe Reserve Fund is drawnupontomakeupsuch deficiency pursuant to(il)above,the Executive Direclorshall initiate intercepl proceedings withthe applicable State agencies pursuant to Section 917ofthis Resolulion; (iv)intheevent amounts collected pursuant to(iii)aboveare insufficient to replenish amounts heldinthe Reserve Fundtothe Reserve Fund Requirement,the Executive Directorshall contact the Governor oftheStateand theState legislature assetforthin Section 911(B)ofthis Resolution;and (v)ifthere remains a deficiency inthe Reserve Fund after the Execulive Director has exhausted the requirements foundin(i)through(iv)above,the Executive Director shall request aloanfromthe Department of Revenue pursuant toAS 44.85.270(i)and provide forsuchloantobeusedtocausethe amount intheReserveFundto satisfy the Reserve Fund Requirement. Section 907-Accounts and Reports.(A)TheBankshallkeep.orcausetobe kept,proper booksofrecordand account in which complete and correct entriesshall bemadeofits transactions relaling toall Municipal Bonds Payments,Municipal Bonds. theFeesand Charges andallfundsand accounts established bythis Resolution,which shallatall reasonable timesbe subject tothe inspection ofthe Trustee orthe Holders ofan aggregate ofnotlessthan twenty-five percentum(25%)in principal amount of Bondsthen Outstanding ortheir representatives duly authorized in wriling. (B)TheBankshall annually.onor before thelastdayof January ineachyear, filewiththe Trustee acopyofanauditforthe preceding FiscalYear,accompanied by an Accountant's Certificate,andanannualreportsettingforthin complete and reasonable detail:(a)its operancne and accomplishments;(b)its receipts and expenditures during such FiscalYearin accordance withthe categories or classifications established bytheBankforits operating andcapitalouUay purposes;(c) itsassetsand liabilities attheendofsuchFiscalYear,inclUdinga schedule ofits Municipal Bonds Payments,Municipal Bonds,Feesand Charges andthe status of reserve,fundsandthefundsand accounts established bythis Reecluttcn:and(d)a schedule ofitsBonds Outstanding and other obligations outstanding attheendofsuch FiscalYear,together witha statement ofthe amounts paid,redeemed and issued duringsuchFiscalYear.A ropy ofeachsuchannualreportand Accountant's Certificate shallbemailed promptly thereafter bythe Trustee 10each Bondholderwho shallhavefiledhisnameand address withtheBankforsuch purpose. Section 908-Personnel and Servicing of Programs.(A)TheBankshallatall times appoinl,retainand employ competent personnel forthe purpose of carrying out its respecuve programs andshall establish and enforce reasonable rules,regulalions, testsand standards goveming the employment ofsuch personnel at reasonable compensation,salaries,feesand charges andall persons employed bytheBankshall be qualified fortheir respective positions. (B)TheBankmaypaytothe respective State agency,governmental unitor political subdivision oftheStatefromthe Operating Fundsuch amounts asare necessary to reimburse the respective Stateagency,govemmental unitor political subdivision ofthe slate forthe reasonable costs ofany services performed forthe Bank. Section 909-Waiver ofLaws.TheBankshallnotatany lime insistuponor pleadinany manner whatsoever,orclaimortakethebenefitor advantage ofanystay or extension lawnoworatanytime hereafter inforcewhichmay affect the covenants and agreements contained inthis Resolution orinany Series Resolution orinthe Bonds.andallbenefitor advanlage ofanysuchlaworlawsis hereby expressly waived bytheBank. Section 910·Feesand Charges.TheBankshall establish,make,maintain and charge suchFeesand Charges toeach Govemmenlal Unitto which aLoanismade, andshallfromtimetotimerevisesuchFeesand Charges whenever necessary,sothat suchFeesand Charges actually collected fromeach such Governmental Unitwillatall ALASKA MUNiCiPAL BOND BANK GlIrl"""ObIlg.:l""BondR.,oanJ""(Am~ '~1'XO>'~"""O:t_EIood""""'on...;<l Page 58 F-16 ALASKIlMUNICiPAL BOND BANK C....~I 00IliI.u0ll Bond RIIIQlur!on(Jlmended} 1"""""'7~'~"""O:t_""""""""'_"'"Page 59 times produce monieswhich,together withsuch Govemmental Unit's Allocable Proportion ofother monies available underthe previsions ofthis Resolution,andother monies available therefor,inclUdinganygrantsmadebytheUnitedStatesofAmerica oranyagency-or instrumentality thereoforbytheStateorany agencyor instrumentality thereof and amounts applied therefor from amounts transferred tothe Operating Fund pursuant to paragraph (3)of secnen 603,willbeatleast sufficient: (a)Topay,asthesame become due,the Governmental Unit's Allocable Proportion ofthe Administrative Expenses oftheBank;and (b)Topay,asthesame become due,the Governmental Unit's Allocable Proportion ofmefeesand expenses oftheTrusteeandPayingAgents. TheBankshallprovidetheTrusteewitha schedule oftheFeesand Charges to bepaidbyeach Govemmental Unit,andofeachrevisionthereof,andshallrequire each Governmental Unll tomake payment oftheFeesand Charges requiredtobepaid byit direclly totheTrustee.TheTrusteeshall promptly advisetheBankofeachand everyfailure ofa Govemmental Unittomake payment ofFeesand Charges whendue in accordance withthe applicable schedule. Section 911-Administration ofReserveFund.(A)TheBankshall establish and maintaintheReserveFundin accordance withthe provisions ofthisReeoruucn.All monies and securities heldintheReserveFundshallbeused,disbursed andapplied onlyin accordance with the provisions ofthis Resolution andfornoother purpose. Moniesand securities heldintheReserveFundshall not bewithdrawn therefrom at anyume in such amount aswouldreducethe amount insuchFundtoanamountJess thantheRequiredDebtServiceReserveexceptas otherwise provided inthis Resolution. (B)TheBankshallcausethe Chairman ortheBoardof Directors oftheBank annually,beforeeach January 30,tomakeanddelivertothe Govemorof theStateand tothe legislature his certificate statingtheamount,ifany,requiredtorestoretheAlaska Municipal BondBankReserveFundtotheamountoftheRequiredDebtService Reserveandacopyofsuch certificate shallbe promptly delivered bytheBanktothe Trustee.MoniesreceivedbytheBankfromtheState pursuant tosucha certification, in accordance withthe provisions ofSection44 .85.270(g)oftheActshall,totheextent such certification was occasioned bythefactthattheamountintheReserveFundwas lessthanthe Required DebtServiceReserve,be deposited inthe Reserve Fund,as requiredby paragraph (0)of Section 603. (C)TheBankshall annually submit totheStateabudgetrequestforan appropriation tocause,if necessary,amounts heldintheReserveFundtoequalthe ReserveFund Requirement.(Amendment:Effective August 19,2009) Section 912•Issuance of Addilional Obligations.(A)The Bankshallnot subsequent tothe issuance oftheinitialSeriesofBondsunderthis Resolution create orpermitthecreationoforissueany obligations orcreateany additional indebtedness whichwillbesecuredbyachargeand lien onthe Municipal Bonds andthe Municipal Bonds Payments orwhichwillbe payable fromtheDeblServiceFundortheReserve Fund,exceptthat additional Seriesof Bonds maybeissuedfromtimetotime pursuant toaSeriesResolution subsequent tothe issuance oftheinitialSeriesof Bonds under this Resolution onaparitywithIheBondsofsuchinitialSeriesof Bonds andsecured byanequalChargeandlienonthe Municipal Bondsandthe Municipal Bonds Payments andpayableequallyand ratably fromtheDebt Service FundandReserve Fundforthe purposes of(i)makingLoansto Govemmental Units,(ii)making payments intotheInterestAccount,(iii)making payments intotheReserveFund,(iv)fundingof Notes theretofore issuedbytheBankforany purposes forwhichBondsmayhavebeen issued.and(v)subjeclto the provisions andumnauonsofSection203.the refunding ofanyBondsthen Outstanding,underthe conditions andsubjecttothe limitations in thisSection912provided. (B)No additional SeriesofBondsshalfbeissued subsequent 10the issuance oftheinitialSeriesofBondsunderthisResolutionunless: (1)the aggregate principalamountorBondsandNotesoftheBank outstanding atlhe timeof issuance and delivery ofsuch addilional Bonds including the principal amountofsuch additional Bondswillnotexceedanylimitthereonimposedbylaw; ALASKA MUNICIPAL BONO BANi<. G""e",1 OlIJIII_lJor.Bor.d RaalulJ<>tI (Amorlfhrl) '1D:co\:l",,,,,,,,,~,,,,-w_lb'>d""""',,""""Pago60 AI.ASKA MUNIC/PIlL BOND BANK Gen_",'ObJIII_tlo"Bo""Raohstll)fl (Amondod) ,\00Q0\3,.""""-=e.-.oCl<Q,""lb'>dR"""",,,,,,,,,,,Pago 61 (2)thereisalthetimeofthe issuance ofsuch additional Bondsno deficiency inthe amounts requiredbythis Resolution oranySeries Resolution tobepaidintothe DebtServiceFundandintotheReserveFund; (3)the amount oftheReserveFund,uponthe issuance and delivery ofsuch additional Bondsandthe deposit intheReserveFundofany amount provided therefor intheSeries Resolution authorizing the issuance ofsuch additional Bonds,shallnot belessthantheRequiredDebtServiceReserve;and (4)the maturities of,orSinkingFund Installments for,the additional Bondsthen beingissued representing Loan Obligations,unlesssuch edcluonal Bondsarebeing issuedtorefund Outstanding Bondsin accordance withthe provisions of Section 203, shallbeequaltothe scheduled Municipal Bonds Principal Payments tobemadein respectoftheLoanswithrespecttowhichsuch addilional Bondsaretobeissued. (C)TheBank expressly reservestherighttoadoptoneormore other general obligation bond resolutions andreservestherighttoissue Noles andanyother obligations solongasthesamearenotachargeorlienonthe Municipal Bonds,the Municipal Bonds Payments andtheFeesand Charges or payable fromtheDebt ServiceFundortheReserveFundcreated pursuant tothis Resolution. Section913-Loan Agreement Provisions.NoLoanshallbemadebytheBank fromthe proceeds ofthesaleofBonds,andno Bonds sharrbeissuedbytheBankfor the purpose of providing funds withwhichtomakeaLoan,unlesstheLoan Agreement underwhichsuchLoanistobemadeshallcomplywith,andnoBondsshallbeissued bytheBank to fundNotes orto refundBondsunlesstheLoan Agreement undervYhdl theLoanwasmadefromthe proceeds ofsuchNotesorBonds,shallalsocomplywith, thefollowingterms,conditions,provisions and limitations: (a)The Govemmental UnitwhichisapartytosuchLoan agreement mustbe a Govemmental Unitas defined bythe Resolution andtheLoan Agreement mustbe executed in accordance withexistinglaws; (b)The Govemmenlal Unit,priortoor simultaneously withthe issuance of BondsoftheBankissuedtomakeaLoantothe Governmental Unit,shallissue Municipal Bondswhicharevalid obligations ofthe Govemmental Unitasrequiredby uieAct; (c)The Municipal Bonds Interest Payments 10bemadebythe Govemmental Unit undersuchLoan Agreement shallbenotlessthanthe interest payments theBank isrequiredtomakeontheLoan Obligation andshallbe scheduled bytheBankinsuch manner andatsuchtimes (notwithstanding the dales of payment asstatedinthe Municipal Bonds)astoprovidefunds sufficient topay interest ontheLoan Obligation asthesame becomes due; (d)The Municipal BondsPrincipal Payments tobemadebythe Govemmental UnitundersuchLoan Agreement shallbe scheduled bythe Bankin such manner and atsuchtimes (notwithstanding thedatesof payment asstatedinthe Municipal Bonds) astoprovidefunds sufficient topaytheprincipaloftheLoan Obligalion asthesame matures; (e)The Govemmental UnitshallbeoblIgatedtopayFeesand Charges tothe Bankatthetimesandinthe amounts whichwillenabletheBankto comply withthe provisions of Section 910; (f)The Govemmental Unitshallagreethatintheeventthe amounts referredto in paragraphs (c)and(d)arenotpaid byitto theBankonorbeforethetimes specified intheLoan Agreement,any money payabletothe Govemmental Unitbyany department oragencyoftheStateshallbewithheldfromsuch Governmental Unitand paidover directly totheTrusteeactingunderthe General Obligation Bond Resolution andthatthesaid agreement shallbefullwarrant,authority anddirectiontomakesuch peyrnentto anyofficialoftheState responsible forsuch payment uponnolicetosuch officialbytheBankasprovidedintheAct: (9)The Bankshallnotsellandthe Govemmental Unitshallnotredeempriorto maturity anyofthe Municipal Bonds withrespectto whIch theLoanismadeinan amount greater thanthe Outstanding BondsissuedwithrespecttosuchLoanwhichare then redeemable,andintheeventofanysuchsaleor redemption ofsuch Municipal Bonds,thesameshallbeinan amount notlessthanthe aggregate of(i)the principal ALASItA MUNICIPAL BOND BANK G........~.rtlNl8<NIdRaOWlNl(Am_) L'Oo<ZIJ"'''''''''-.........xa.......w_.............''''......Pago62 F-17 AI..ASItAMUNICIPAL BOND BANI< G"""",'ObJIQ.rtOil BlNld RaolltllNl (Amondod}I~"""""~_w ",,_Pago63 amountoftheLoanObligationsotoberedeemed,(ii)theinteresttoaccrueonthe LoanObligationsotoberedeemedtothenextredemptiondatethereofnotpreviously paid,(iii)theapplicablepremium,ifany,payableontheLoanObligationsotobe redeemed,and(iv)thecostsandexpensesoftheBankineffectingtheredemptionof tneLoanObligationsotoberedeemed;provided,however,thatintheeventtheLoan ObligationhasbeenrefundedandtheRefundingBonds therefor wereissuedina principalamountinexcessoforlessthantheLoanObligationremainingunpaidatthe dateofissuanceofsuchRefundingBonds,theamountwhichthe Govemmental Unit shallbeobligatedto payor theBankshallreceive under item(i)aboveshallbethe principalamountofsuchRefunding Bonds Outstanding.IntheeventtheLoan ObligationhasbeenrefundedandtheinteresttheBankisrequiredtopayonthe RefundingBondsthereforislessthanthe interest thattheBankwasrequiredtopay ontheLoanObligation,theamountwhichthe Govemmental Unitshallbeobligaledto payor theBankshallreceiveunderitem(ii)aboveshallbetheamountofinterestto accrueonsuchRefundingBonds Outstanding. (h)The Governmental UnitshallgivetheBankatleastfifty(50)days'noticeof intentionto redeem itsMunicipalBonds. Section914-Mod'ificationofLoan Agreement Terms.TheBankshallnot consenttothemodificationof,ormodify,therateorratesofinterestof,ortheamount ortimeofpaymentofany installment ofprincipaloforinterestonanyMunicipalBonds evidencingaLoan,orIheamountorlimeorpaymentofanyFeesandChargespayable withrespecttosuchLoan,orthesecurityfororanytermsorprovisionsofsuchLoan ortheMunicipalBondsevidencingthesame,ina manner which adversely affectsor diminishestherightsofthe Bondholders;provided,however,that,intheeventtheLoan ObligationisbeingorhasbeenrefundedandtheRefundingBondsthereforareina principalamountinexcessororlessthantheprincipalamountoftheBondsrefunded, theBankmayconsenttothemodificationofandmodifyIheLoanagreementrelating tosuchLoanandtheMunicipalBondsevidencingthesame,andtheMunicipalBonds Paymentstobemadethereundersolon9assuchMunicipalBondsPaymentsare sufficientinamountandpayableatthetimesrequiredforthepaymentoftheprincipal ofandinterestonsuchRefundingBonds,andfurtherprovided,however,that,inthe eventtheLoanObligationhasbeenrefundedandtheinteresttheBankisrequiredto payontheRefundingBondsissuedforlhepurposeofrefundingsuchoriginalBonds islessthantheinteresttheBankwasrequiredtopayonsuchoriginalBondsrefunded bytheBank,theMunic·lpalBondsInterestPaymentstobemadebythe Govemmental UnitinrespectofsuchLoanmaybereducedsothattheamountsrequiredtobepaid shallbesufficient10payinterestonsuchRefundingBondsOutstanding. Section915-SaleofMunicipalBondsbyBank.TheBankshallnotsellany MunicipalBondsexceptasprovided in subsection(g)ofSeclion913. Section916•Disposition ofIheProceedsofSaleor Redempllon ofMunicipal Bonds.InIheeventMunicipalBondsorother obligations securingaLoanshallbesold bytheBankorredeemedbythe Govemmental Unit inaccordance with termsofthe applicableLoanAgreement,theBankshall,uponsuchsalebytheBankorredemption bythe Govemmental Unit,depositIheproceedsorsuchsaleorredemption,exceptan amountthereofequaltothecostsandexpensesoftheBank in effectingthe redemptionoftheBondstoberedeemed,intotheapplicable sub-account orsub- accounts in theRedemptionAccountandshallapplythesametothepurchase, retirementorredemptionoftheappropriateBondsin accordance withtheprovisions ofthisResolution.Thebalanceinsuch applicable sub-account or sub-accounts of suchproceedsofsaleorredemptionofMunicipalBonds after theredemptionofthe BondstoberedeemedshallbedepositedintheOperatingFund. Section917•Enforcementof Municipal Bonds.TheBankshalldiligently enforce,andtakeall reasonable steps,actionsand proceedings necessary forthe enforcement of,allterms,covenants andconditionsofallLoan Agreemenls andIhe MunicipalBondsevidencingLoansmadebytheBank,includingthepromptcollection, andthegivingofnoticetothe Commissionerof Revenue,Commissioner ofCommerce, Community and Economic Development andthe Commissioner of Administration and anyother department oragencyoftheSlatewhichiscustodianoranymoneypayable ALASKA AWNICJPAL BONO BANK G8I1RlII1 ObllQRfJonBond RflSolufJon (A",.mIvd) 1""""","xo:l'_~C",,,"'''''~''"'"_~OOOu1'''''''''PagEl64 ALASKA MUNICJPAL BOND BANK G8I111J'111 DbllgRllM Bond Rao1ltlo"(AmRndRrI) 11<b:oI3"xo:l'~_cr<~'_"",,"R_........PagEl65 tothe Governmental Unitofanyfailureordefaultofthe Governmental Unitinthe paymentofitsMunicipalBondsPaymentandshallprompUytransferanysuchmonies, uponreceiptthereof,totheTrusteeand,insuchevent,or n suchmoniesarepaid directlytotheTrustee,theTrusteeshalldepositanysuchmoniesinthePrincipal AccountandInterestAccountinplaceofsaidunpaidMunicipalBondsPaymentorin theeventdeficienciesinsaidAccountscreatedbysuchdefaultshallhavebeenmade upbytheReserveFundpursuanttoparagraph(5)ofSection603,intheReserveFund totheextentofsuchdeficiencies. Section916•ContinuingDisclosure·Bankruptcy.(A)TheBankhereby covenantsandagreesthat it willcomplywithandcarryoutallthe provisions ofeach ContinuingDisclosureCertificate.Notwithstanding anyotherprovisionofIhis Resofuuon.failureoftheBanktocomplywithanyContinUingDisclosureCertificate shallnotbeconsideredanEventofDelault,andany Bondholdermay takesuchactions onlyasmaybeprovidedinsuch Continuing DisclosureCertificate. (B)TheBankherebycovenantsandagreesthat it willnotifytheRating AgenciesthenralingtheBondsofanychangeintheActwhichwould permit it or requireittodeclarebankruptcyundertheBankruptcyCode. Section919-TaxCovenants.TheBankshallnotknowinglytakeorcauseany actiontobetakenwhichwouldcauseinterestonanyBondstobecometaxablefor federalincometaxpurposes.TheBankshallatantimesdoandperformallactsand thingsnecessaryordesirable,including,butnotlimitedto,complying with therebate provisionsofSection148oftheCode,asapplicable,andcomplyingwiththeprovisions ofanyleiterofinstructionsfrombondcounsel,inordertoassurethatinterestpaidon Bondsshall,forpurposesoffederalincometaxation,beexcludablefromthegross incomeoftherecipientsthereofandexemptfromtaxation.TheBankshallnotpermit atanytlrneortimesanyproceedsofanyBondsoranyamountsheld hereunder tobe used,directlyorindirectly,inamannerwhichwouldresultintheexclusionofanyBond fromthetreatmentaffordedbysubsection(a)ofSection103oftheCode. ARTICLE X SERIESRESOLUTIONAND SUPPLEMENTAL RESOLUTIONS Section1001-Modificationand Amendment withoutConsent.Notwithstanding anyotherprovisionsofthisArticleX,orArticleXI,theBankmayadoptatanytimeor fromtime10timeSeriesResolutionsor Supplemental Resolutionsfor anyone ormore ofthe(allowingpurposes,andanysuchSeriesResolutionor Supplemental Resolution shallbecomeeffectivein accordance with itstermsuponthefilingwiththeTrusteeof acopythereofcertifiedbyan Authorized Officer: (A)ToprovidefortheissuanceofaSeriesofBonds pursuant totheprovisions ofthisResolutionandtospecifyanddeterminesuchmattersandthingsreferredtoin ArticleIIof(hisResolutionandto prescribe thetermsandconditions pursuant towhich suchBondsmaybeissued,paidorredeemed; (B)Toaddtothecovenantsand agreements oftheBankforthepurposeof furthersecuringthepaymentoftheBonds,providedsuchadditional covenants and agreements arenotcontrarytoor inconsistent withthecovenantsand agreements of theBankcontainedinthisResolution; (C)Toprescribefurther limitations andrestrictionsupontheissuanceofBonds andthe incurring of indebtedness bytheBank Yklich arenotcontraryto orinconsistent wilh theumltencnsandrestrictionsthereon theretofore ineffect; (D)Tosurrenderanyright,powerorprivilegereservedtoorconferreduponthe BankbythetermsofthisResolution,providedthatthe surrender ofsuchright,power or privilege isnot contrarylo orinconsistent withthe covenants and agreements ofthe BankcontainedinthisResolution; (E)Toconfirmasfurtherassuranceanypledgeunderandthesubjectiontoany lien,claimorpledgecreatedor10becreatedbytheprovisionsofthisResolutionofthe MunicipalBondsandMunicipalBondsPayments orof anyothermonies,securitiesor funds; (F)Tomodifyanyoftheprovisions ofthis Resolutionoranypreviouslyadopted SeriesResolutioninanyotherrespect;providedthatsuch modifications shallnotbe ALASII:A MUNICIPAL BOND BARK G8I11lt111 ObIlg.tJon BDnd R..O~on (AmRfldRrl) ,1<b:oI3,Ql;(JO,-.......zm ......ao_""""_"".....PagEl66 F-18 ALASKA MUNICIPAL BOND BJWI( G......,OOIIQWon BondR..o1lfJClII(ArnRrldwl) 11<b:oI31·xo:l'~_ao_Bcn:l_.....PagEl 67 effectiveuntilafterallBondsofanySeriesofBondsOutstandingasofthedateof adoptionofsuch Series Resolutionor Supplemental Resolutionshallceasetobe Outstanding,andallBondsissuedundersuchmodifiedresolutionsshallcontaina specificreferencetothemodifications; (G)TocureanyambiguityordefectorinconsistentprovisioninthisResolution ortoinsertsuchprovisionsclarifyingmattersorquestionsarising under thisResolution asarenecessaryordesirableintheeventanysuch modifications arenotcontraryto orinconsistentwiththisResolutionastheretoforeineffect. Section1002•SupplementalResolutionsEffectivewithConsentof Bondholders.TheprovisionsofthisResolutionmayalsobemodifiedoramendedat anytimeorfromtimetotimebya Supplemental Resolution,with theconsentof BondholdersinaccordancewithandSUbjecttotheprovisionsofArticleXIwhich Supplemental Resolution,uponthe filing withtheTrusteeofacopythereof,certified byanAuthorizedOfficeranduponcompliancewiththeArticleXt,shallbecomefully effectiveinaccordancewithitstermsasprovidedinsaidArticle. Section1003-GeneralProvisionsRelatingtoSeries Resolutions and Supplemental Resolutions.ThisResolutionshallnotbemodifiedoramendedinany respectexceptasprovidedinandinaccordancewithandsubjecttotheprovisionsor thisArticleXandArticleXI.NothingcontainedinthisArticleXorArticleXIshallaffect orlimittherightsorobligationsoftheBanktoadopt,make,do,executeordeliverany resolution,actorother instrument pursuanttotheprovisionsofSection904ortheright orobligationoftheBanktoexecuteanddelivertotheTrusteeoranyPayingAgentany instrument whichelsewhereinthisResolutionitisprovidedorpermittedtobedelivered totheTrusteeoranyPayingAgent. AcopyofeverySeriesResolutionand Supplemental Resolution adoptedbythe BankwhenfiledwiththeTrusteeshallbe accompanied bya Counsel's Opinionstating thatsuchSeriesResolutionor Supplemental Resolutionhasbeendulyandlawfully adoptedinaccordancewiththeprovisionsofthisResolution,isauthorizedorpermitted bythisResolutionandisvalidandbindingupontheBankand enforceable in accordancewithitsterms(SUbject,asto enforcement ofremedies,toapplicable bankruptcy,reorganization,insolvency,moratorium,orotherlawsaffectingcreditor's rightsgenerallyfromtimetotimeineffect). TheTrusteeisherebyauthorizedtoacceptdeliveryofacertifiedcopyofany SeriesResolutionor Supplemental Resolutionpermittedorauthorizedpursuanttothe provisionsofthisResolutionandtomakeall further agreementsandstipulationswhich maybecontainedtherein,and,intakingsuchaction,theTrusteeshallbefully protectedinrelyingon Counsel's OpinionthatsuchSeriesResolutionor Supplemental ResolutionisauthorizedorpermittedbytheprovisionsofthisResolution. NoSeriesResolutionor Supplemental Resolutionchanging,amendingor modifyinganyoftherightsorobligationsoftheTrustee orof anyPayingAgentmaybe adoptedbytheBankwithoutthewrittenconsentortheTrusteeorPayingAgent affectedthereby. ARTICLEXI AMENDMENTS Section1101-Powersor Amendment.Anymodificationor amendment ofthis Resolutionandoftherightsand obligations oftheBankandofthe Holders ofthe Bonds,inanyparticular,maybemadebya Supplemental Resolution,withthewritten consentgivenas hereinafter providedinSection1102,(a)oftheHoldersofatleast two-thirdsinprincipalamountoftheBondsOutstandingatthetimesuchconsentis given,or(b)in caselessthanalloftheseveralSeriesofBondsthenOutstandingare affectedbythemodificationoramendment,oftheHoldersofatleasttwo-thirdsin principalamountoftheBondsofeachSeriessoaffectedandOutstandingatthetime suchconsentisgiven;provided,however,thatsuch modification or amendment shall not(i)permitachangeinthetermsofredemptionormaturityoftheprincipalofany OutstandingBondorofany installment of interest thereonorSinkingFund Installment therefor,(ii)orareductionintheprincipalamountortheRedemptionPrice thereof or intherateof interest thereon,or(iii)areductionorthepercentageofthe Holders of whichisrequiredtoeffectanysuch modification oramendment,or(iv)permitthe Al.ASKA MUNICIPAL BOND BANK C."e,..1 OblII1.tion Bond Raalu!Jon (Am""dodJ 11D:aI31·1IXll1~e.-c..o__..........,_Pogo 68 ALASKA MUNICIPAL BOND BANK G.""""ObJll1.r1at1Bond Raa/uflon (AmendoHlJ 1""""14"""'_=~C>:<~""",_"-'''''_Pogc 69 creationofanylienpriortooronaparitywiththeliencreatedbythisResolution(except inthe manner providedbythisResolution)ordeprivetheHoldersoftheBondsofthe liencreatedbythisResolution,withouttheconsentoftheHoldersofalltheBonds OutstandingoroftheSeriesofBondsaffectedbysuchmodificationoramendment. ForthepurposesofthisSection,aSeriesshallbedeemedtobeaffectedbya modification or amendment ofthisResolution if thesameadverselyaffectsor diminishestherightsoftheHoldersofBondsofsuchSeries. Section1102-ConsentofBondholders.(A)TheBankmayatanytimeadopt a Supplemental Resolutionmakingamodificationor amendment permittedbythe provisionsofSection1101,totakeeffectwhenandasprovidedinthisSection.Acopy ofsuch Supplemental Resolution(orbriefsummarythereoforreferencethereto), togetherwitharequesttoBondholdersfortheirconsentthereto,shallbetoby,oron behalfof,theBank'sto Bondholders.Such Supplemental Resolutionshallnotbe effectiveunlessanduntilthereshallhavebeenfiledwiththeTrustee(a)thewritten consentsofHoldersofthepercentagesofOutstandingBondsspecifiedinSection1101 and(b)aCounsel'sOpinionstatingthatsuchSupplementalResolutionhasbeenduly and lawfully adoptedandfiledbytheBankinaccordancewiththeprovisionsofthis Resolution,isauthorizedorpermittedherebyandisvalidandbindingupontheBank and enforceable inaccordancewithitsterms,and(ii)anoticeshallhavebeenmailed as hereinafter providedinthisSection. (B)Theconsentofa Bondholder to any modification or amendment shallbe effectiveonly if accompanied byproofoftheholding,atthedateofsuchconsent,orthe Bondswithrespecttowhichsuchconsentisgiven,whichproofshallbesuchasis permittedbySection813.AcertificateorcertificatesbytheTrusteefriedwiththe Trusteethatithasexaminedsuchproofandthatsuchproofis sufficient in accordance withSection813shallbe concrusive thattheconsentshavebeengivenbythe Holders oftheBondsdescribed in suchcertificateor certificates oftheTrustee.Anysuch consentshallbebindingupontheHolderoftheBondsgivingsuchconsentandupon any subsequent HolderofsuchBondsandofanyBondsissuedinexchangetherefor (regardlessof whether such subsequent Holderthereofhasnoticethereof)unlesssuch consentisrevokedinwritingbythe holder ofsuchBondsgivingsuchconsentora subsequent holder thereof byfilingwiththeTrustee,priortothetimewhenthewritten statementoftheTrustee hereinafter providedforinthisSectionisfiled,suchrevocation and,ifsuchBondsaretransferablebydelivery,proofthatsuchBondsareheldbythe signerofsuchrevocationinthe manner permittedbySection813.Thefactthata consenthasnotbeenrevokedmaylikewisebeprovedbyacertificateoftheTrustee filedwiththeTrusteetotheeffectthatnorevocationthereofison filewilh theTrustee. (C)AtanytimeaftertheHoldersoftherequired percentages ofBondsshall havefiledtheirconsentstothe Supplemental Resolution,theTrusteeshallmakeand file with theBankandtheTrusteeawritten statement thattheHoldersofsuchrequired percentagesofBondshavefiledsuchconsents.Such written statement shallbe conclusivethatsuchconsentshavebeensofiled.Atanytime thereafter notice,staling insubstancethatthe Supplemental ResolutionadoptedbytheBankonastaleddale, acopyofwhichisonfilewiththeTrustee,hasbeenconsentedtobytheHoldersofthe requiredpercentagesofBondsandwillbeeffectiveasprovidedinthisSection,maybe given10Bondholders bytheBankbymaitingsuchnoticetoBondholdersatleastonce notmerethanninetydays(90)afterthe Holders of therequiredpercentagesofBonds shallhavefiledtheirconsentstothe Supplemental Resolutionandthewritten statementoftheTrustee hereinabove providedforisfiled.TheBankshallfile with (he Trusteeproofofthepublicationofsuchnoticeand,if thesameshallhavebeenmailed 10Bondholders,ofthemailingthereof.Arecord,consistingofthepapersrequiredor permittedbythisSectiontobefiledwiththeTrustee,shallbeproofofthe matters thereinstated.Such Supplemental Resolution making such amendment or modificationshallbedeemed conclusively bindingupontheBank,theFiduciariesand the Holders ofallBondsattheexpirationofforty(40)daysafterthefilingwiththe Trusteeoftheproofofthefirst publication ofsuchlastmentionednotice,exceptinthe eventofafinaldecreeofacourtof competent jurisdictionsettingasidesuch SupplementalResolutioninalegalactionorequitableproceedingforpurpose ALASKA MUNICIPALBOND BANK G"""",I OblII1.r1D11 Bond RaaanJan (AmMdod} 1""","""1IXll'~"""'C>:<__"""",,,,_Pogo 70 F-19 AlASKA MUNICIPALBOND BANK G.""""OblII1.r1Otl BOtld RaaanJOtl (AJn~ IW'.'.,314awl'_.:lJC&Go<.-c>:<__............,_Page71 commenced within suchfortydayperiod;exceptthatany Fiduciary andtheBankduring suchfortydayperiodandanysuch further periodduringwhichanysuchactionor proceeding maybependingshallbeentitledin their absolute discretion totakesuch action,ortorefrainfromtakingsuchaction,withrespecttosuch Supplemental Resolution astheymaydeem expedient. Section 1103·Modifications bv Unanimous Consent.Thetermsand provisions of this Resolution andtherightsand obligations oftheBankandoftheHoldersofthe Bonds maybemodifiedor amended inanyrespectuponthe adoption andfilingwith theTrusteeby the Bankofacopyofa Supplemental Resolution certifiedbyan Authorized Officerand the consent ofthe Holders ofall of the Bonds then Outstanding, such consent tobegivenasprovidedin Section 1102,except thatnonoticeto Bondholders eitherbymailingor publication shallberequiredprovided,however,that nosuch modification or amendment shallchangeor modil'y anyofrnerightsor obligations oftheTrusteeorPayingAgentswithoutthefilingwiththe Trustee ofits writtenassenttheretoinadditiontothe consent of Bondholders. Section 1104-Mailing and Publication.AnyprovisioninthisArticleforthe mailingofanoticeorother document to Bondholders shallbefUllycompliedwithifit ismailed postage prepaidonly(i)toeachregisteredownerofBondsthen Oulstanding athis address,ifany,appearingupontheregistrybooksoftheBank,(ii)toeachHolder ofanyBondpayabletobearerwhoshallhavefiledwithIhe Trustee anaddressfor notices,and(iii)totheTrustee. Section1105-ExclusionofBonds.Bonds ownedorheldbyorforthe account oftheBankshallnotbe deemed Outstanding forthe purpose ofconsentor other action orany calculation of Outstanding Bonds providedfor in thisResolution,andtheBank shallnotbeentitledwithrespecttosuchBondstogiveany consent ortakeanyother action provided forinthis Resolution.Attherimeofanyconsentorotheractiontaken underthisResolution,theBankshall fumish theTrusteea certificate ofan authorized Officer,uponwhichtheTrusteemayrely,describing allBondssotobe excluded. Section 1106-Notation onBonds.Bondsdeliveredafterthe effective dateof anyactiontakenasinArticleXorXlprovidedmay,andiftheTrusteeso determines, shall,bearnotaucnby endorsement or otherwise inform approved bytheBankandthe Trusteeastosuchaction,andinthatcaseupondemandoftheHolderofanyBond Outstanding atsuch effective dateandupon presentauon ofhisBondforsuchpurpose atthe corporate trustofficeofthe Trustee suitable notationshallbemadeonsuch BondbytheTrusteeastoanysuch action.IftheBankortheTrusteeshallso determine,newBondsso modified asintheopinionorthe Trustee andtheBankto conformtosuch action shallbe prepared anddelivered,andupon demand ofthe HolderofanyBondthen Outstanding shallbe exchanged,withoutcost10such Bondholder,forBondsofthesameSeriesand maturity then Outstanding,upon surrender ofsuchBonds. ARTICLE XII DEFAULTS AND REMEDIES Section 1201-TrusteetoExen:;jse Powers of Stalul0N Trustee.TheTrustee shallbeand hereby isvestedwithallofthe rights,powersanddutiesofatrustee appointed by Bondholders pursuant toSection 44.85.310 and320oftheActandthe rightof Bondholders toappointatrustee pursuant toSection 44.85.310 and320 otthe Actis hereby abrogated pursuanlto Section 44.85.220(18)oftheAct. Section1202-EventsofDefault.Eachofthefollowingeventsis hereby declared an "Event of Default,"thatistosay;if (a)theBankshalldefaultinthe payment ofthe principal or Redemption Price of,SinkingFund Installment for,or interest on,anyBondwhenandasthesameshall becomeduewhetherat malurity oruponcallfor redemption,or otherwise;or (b)theBankshallfailorrefuseto comply with the provisions ofSection 44.85.270(g)oftheAct,orsuch amounts asshallbecertifiedbytheChairoftheBank tothe Governor andtothe legislature pursuant tosuch provisions oftheActshallnot be appropriated andpaidtotheBankprior10the termination ofthethencurrentState fiscalyear;or ALASM MUNICIPAL SOND BANK G",,_IObl/Q8fionSOIlltRallluUon(Am_nltocJ, 1""",",-,,.:mcI~""""Cl<~''''''lb>:l'''''''',,"_Pago 72 ALASKA MUNICJPAL BOND BANK GIltI.ral Db/ill_tlon Brmlt R"'O~I!on {Am<mltocJJ'",,",",-,1'2OCI01.-e-wCl<..,_Pago73 (c)IheBankshallfailorrefuseto comply withthe provisions oftheAct,other Ihanas provided in(b)above,orshalldefaultinthe performance or observance ofany otherofthe covenants,agreements orconomonsonitspartinthis Resolution,any Series Resolution,any Supplemental Resolution,orintheBonds contained,andsuch failure,refusalordefaultshall conlinue foraperiodofforty-five(45)daysafterwritten notice thereof bytheTrusteeorthe Holders of notless than twenty-nve percentum (25%)in principal amount ofthe Outstanding Bonds. Provided,however,that anEventof Default shallnotbe deemed toexist under the provisions ofthis paragraph (c)uponthefailureoftheBanktomakeandcollect Feesand Charges required10bemadeandcollectedbythe provisions ofthis Resolution oruponthefailureoftheBanktoenforceany obligation undertaken bya Govemmental Unit pursuant toa loan Agreement including the making ofthe stipulated Municipal Bonds Payment solongasIheBankmay otherwise be directed bylawandsolongastheBankshallbe provided with monies fromtheStaleor olherwise,otherthan withdrawals fromor reimbursements oftheReserveFund, sufficienl inamounttopaytheprincipalofand interest onallBondsasthesameshall become dueduringtheperiodforwhichtheBankshallbe directed bylawtoabstain frommakingandcollectingsuchFeesand Charges andfrom enforcing the obligations ofa Govemmental Unitunderthe applicable loan Agreement. Section 1203-Remedies.(A)Uponthe happening and oontinuance ofany Eventof Default specified in paragraph (a)ofSection1202,theTrusteeshallproceed, oruponthe happening and continuance ofanyEvent ofDefaull specified in paragraphs (b)and(c)of Section 1202,theTrusteemayproceed,anduponthewritten request of theHoldersofnotlessthan twenty-five percentum(25%)in principal amount ofthe Outstanding Bondsshallproceed,in itsownname,toprotectandenforceitsrightsand therightsofthe Bondholders by such ofthe following remedies,astheTrustee,being advisedbycounsel,shalldeemmost effectual toprotectand enforce such rights: (1)by mandamus orothersuit,actionor proceeding atlaworinequity,enforce allrightsofthe Bondholders,including therighttorequiretheBanktomakeandcollect Feesand Charges and Municipal Bonds Payments adequate (0 carryoutthe covenants and agreements asto,andpledgeof,suchFeesand Charges and Municipal Bonds Paymenls,andother properties andtorequiretheBanktocarryoutanyothercovenant or agreement with Bondholders andto perform itsdutiesundertheAct; (2)bybringingsuitupontheBonds; (3)byactionorsuitinequity,requiretheBanktoaccountasifitwerethe trusteeofanexpresstrustfortheHoldersoftheBonds; (4)byactionorsuitinequity,enjoinanyactsorthingswhichmaybeunlawful orin vcrauon ortherightsoftheHoldersoftheBonds; (B)Uponthe occurrence ofanEventof Default underSection1202(a),unless theprincipalofalltheBondsshallhave already become dueandpayable,theTrustee, bynoticeinwritingtotheBank,may,anduponthewrittenrequestoftheHoldersofnot lessthana majority in aggregate principal amountoftheBondsat the time outstanding, shall,in accordance withthe provisions oftheAct,declare the principal ofallthe Bonds then outstanding,andthe interest accruedthereon,tobedueandpayable immediately, anduponanysuch declaration thesameshall become andshallbe immediately due andpayable,anythinginthis Resolution orintheBonds contained tothe contrary notwithstanding. Thisprovision,however,is subject totheconditionthatif,atanytimeafterthe principal oftheBondsshallhavebeenso declared dueandpayable,andbeforeany judqrnent ordecreeforthe payment ofthe monies dueshallhavebeenobtainedor entered,theBankshall deposit withtheTrusteeasum sufficient topayallprincipalon theBonds matured priortosuch declaration andall matured installments of interest (if any)uponalltheBonds,with interest on such overdue installments of principal atthe ratebornebythe respective Bonds,andthe reasonable expenses oftheTrustee,and anyandallether defaults knowntothe Trustee (otherthaninthe payment of principal ofand interest onthe Bonds dueand payable solelybyreasonofsuch declaration) shallhavebeenmadegoodorcuredtothe satisfaction ofthe Trustee orprovision deemed bytheTrusteetobe adequate shallhavebeenmadetherefor,then,andin Al.ASM MUNICJPIU.BOND BANK GIfl_1 ObJlg.uOll BonltRMoanJon (Am_fI$d) '",,",",-,l':mc,~Goo.-Cl<_Pago 74 F-20 ALASKA IJUNICJPAL BOND BAlIK 0 ...,.,/OblIg.uon Bonlt Raolltion (A""'ndeJ'\CloQo\3>'ZlCOI~""'-Cl<,,"_Page75 everysuchcase,theHoldersofatleastamajorityinaggregateprincipalamountofthe Bondsthenoutstandinq.bywrittennoticetotheBankandtotheTrustee,may,on behalf oftheHoldersofallofthebonds,rescindandannulsuchdeclarationandits consequencesandwaivesuchdefault;butnosuchrescissionandannulmentshall extendtoorshallaffectanysubsequentdefault,orshallimpairorexhaustanyrightor powerconsequentthereon. (C)IntheenforcementofanyremedyunderthisResoluucn.theTrusteeshall beentitledtosuefor,enforcepaymentonandreceiveanyandallamountsthenor duringanydefaultbecoming,andatanytimeremaining,duefromtheBankfor principal,RedemptionPrice,interestorotherwise,underanyprcvlsronofthis ResolutionoraSeriesResolutionoroftheBonds,andunpaid,withinterestonoverdue paymentsattherateorratesofinterestspecifiedinsuchBonds,togetherwithanyand allcostsandexpensesofcollectionandofallproceedingshereunderandundersuch Bonds,withoutprejudicetoanyotherrightorremedyoftheTrusteeorofthe Bondholders,andtorecoverandenforcea judgmenl ordecreeagainsttheBankfor anyportionofsuchamountsremainingunpaid,withinterest,costsandexpenses,and tocollectfromanymoniesavailableforsuchpurpose,inanymannerprovidedbylaw, themoniesadjudgedordecreedtobepayable. Seclion1204-PriorityofPaymentsAfterDefault,Duringthecontinuanceofan EventofDefault,intheeventthatthefundsheldbytheTrusteeandPayingAgents shallbeinsufficientforthepaymentofinterestandprincipalorRedemptionPricethen dueontheBonds,suchfunds(otherthanfundsheldforthepaymentorredemptionof particular Bondswhichhave uiererofore becomedueatmaturityorbycallfor redemption)andanyothermoniesreceivedorcollectedbytheTrusteeactingpursuant totheActandthisArticleXII,aftermakingprovisionforthepaymentofanyexpenses necessary in theopinionoftheTrusteetoprotecttheinterestsoftheHoldersofthe Bonds,andforthepaymentofthechargesandexpensesandliabilitiesincurredand advancesmadebytheTrusteeoranyPayingAgentsintheperfonnanceoftheir respective duties underthisResolution,shallbeappliedasfollows: (a)UnlessIheprincipalofalloftheBondsshallhavebecomeorhavebeen declareddueandpayable, FIRST:Tothepaymenttothepersonsentitledtheretoofallinstallments ofinterestthendueintheorderofthematurityofsuchinstallments,together withinterestonoverdueinstallmentsofinterestand,iftheamountavailableshall notbesufficienttopayinfullanyinstallment,thentothepaymentthereof ratably,accordingtotheamountsdueonsuchinstallment,tothepersons entitledthereto,withoutanydiscriminationorpreference;and SECOND:Tothepaymenttothepersonsentitledtheretooftheunpaid principalorRedemptionPriceofanyBondswhichshallhavebecomedue, whetheratmaturityorbycallforredemption,intheorderoftheirduedatesand, iftheamountsavailableshallnotbesufficienttopayinfullalltheBondsdueon anydate,thentothepaymentthereofratably,accordingtotheamountsof principalorRedemptionPricedueonsuchdate,tothepersonsentitledIhereto, withoutanydiscriminationorpreference. (b)IftheprincipalofalloftheBondsshallhavebecomeorhavebeendeclared dueandpayable,tothepaymentoftheprincipalandinterestthendueandunpaid upontheBondstogetherwithinterestonoverdueinstallmentsofinterestwithout preferenceorpriorityofprincipaloverinterestorofinterestoverprincipal,orofany installmentofinterestoveranyotherinstallmentofinterest,orofanyBondoverany outer Bond,ratably,accordingtotheamountsduerespectivelyforprincipaland interest,tothepersonsentitledtheretowithoutanydiscriminationorpreferenceexcept astoanydifferenceintherespectiveratesofinterestspecifiedintheBonds. WhenevermoniesaretobeappliedbytheTrustee pursuantto theprovisions ofthisSection1204,suchmoniesshallbeappliedbytheTrusteeatsuchtimes,and fromtimetotime,astheTrusteeinitssalediscretionshalldetennine,havingdue regardtotheamountofsuchmoniesavailableforapplicationandthelikelihoodof additionalmoneybecomingavailableforsuchapplicationinthefuture;the deposit of suchmonieswiththePayingAgenls,orotherwiseseUingasidesuchmonies in trust AlASKA MUNICiPAL BOND BM'/I( G""e...1 Ob1JQIIt/.."Srmd Raso~rJ""(Am.n_J '''''''''''l'2CW'_o'JOO>Go_'''''~"'''''!lond''''''''",,_Pago76 AlASKA MUNlClPALBOND 8Jl.NK GlIIle...IOblJ"Rti""S""d Raoullon (AmRndrH1J '''''''"'''.XUI'_.I2tm'*-Cli_......R-.......-;>o Pago77 fortheproperpurpose,shallconstituteproperapplicationbythe Trustee;andthe TrusteeshallincurnoliabilitywhatsoevertotheBank,toanyBondholderortoany otherpersonforanydelayinapplyinganysuchmonies,solongastheTrusteeacts withreasonable diligence,havingdueregardforthecircumstances,andUltimately appliesthesameinaccordancewithsuchprovisionsofIhisResolutionasmaybe applicableatthetimeofapplicationbythe 'trustee.WheneverIheTrusteeshall exercisesuchdiscretioninapplyingsuchmonies,itshall fixthedale(whichshallbean InterestpaymentdateunlesstheTrusteeshalldeemanotherdatemoresuitable)upon whichsuchapplicationistobemadeanduponsuchdaleInterestontheamountsof principaltobepaidonsuchdateshallceasetoaccrue.TheTrusteeshallgivesuch nonceasitmaydeemappropriateforthefixingofanysuchdale.TheTrusteeshallnet berequiredtomakepaymenttotheHolderofanyunpaidBondunlesssuchBondshall bepresentedtotheTrusteeforappropriateendorsement orfor cancellation iffully paid. InterestonoverdueinstallmentsofinterestshallbeequaltotherateontheBondas towhichtheinterestinstallmentisoverdue. TheprovisionsofthisSecUon1204areinallrespectssubjecttotheprovisions ofSeclion902. Section1205-TenninaUonofProceedings.Incaseanyproceedingtexenby theTrusteeonaccountofanyEventofDefaultshallhavebeendiscontinuedor abandonedforanyreason,thenineverysuchcasetheBank,theTrusteeandthe Bondholdersshallberestoredtotheir fanner positionsandrightshereunder, respectively,andallrights,remedies,powersandduties of theTrusteeshallcontinue asthoughnosuchproceedinghadbeentaken. Section1206-Bondholders'DirecUonofProceedings.Anythinginthis Resolutiontothe contrary notwithstanding,theHoldersofthemajorityinprincipal amountoftheBondsthenOutstandingshallhavetherightbyaninstrumentorccn- currentinstrumentsinwritingexecutedanddeliveredtotheTrustee,todirectthe methodofconductingallremedialproceedings10betakenbyIheTrusteehereunder, providedthatsuchdirectionshallnotbeotherwisetheninaccordancewilhlaworthe provisionsofthisResolution,andthattheTrusteeshallhavetherighttodeclineto followinganysuchdirectionwhichintheopinionoftheTrusteewouldbeunjustly prejudicialtoBondholdersnotpartiestosuchdirection. Section1207-LimitationonRightsofBondholders.No Hcrderof anyBondshall haveanyrighttoinstituteany suit,acuon.mandamusorotherproceedinginequityor atIawhereunder,orfortheprotectionorenforcementofanyrightunderthisResolution oranyrightunderlawunlesssuchHoldershallhavegiventotheTrusteewrittennotice oftheeventof default orbreachofdutyonaccountofwhichsuchsuit,action or proceedingis10betaken,andunlesstheHoldersofnotlessthantwenty-fiveper centum(25%)inprincipalamountoftheBondsthenOutstandingshallhavemade writtenrequestoftheTrusteeaftertherighttoexercisesuchpowersorrightofaction, asthecasemaybe,shallhaveoccurred,andshallhaveaffordedtheTrusteea reasonableopportunityeithertoproceedtoexercisethepowershereingrantedor grantedunderthelawor10institutesuchaction,suitorproceedinginitsnameand unless,also,thereshallhavebeenofferedtotheTrusteereasonablesecurityand indemnityagainstthecosts,expensesandliabilitiestobeincurredIhereinorthereby andtheTrusteeshallhaverefusedorneglectedtocomplywithsuchrequestwithina reasonabletime;andsuchnonrtcanon.requestandofferofindemnityarehereby declaredineverysuchcase,at theoptionoftheTrustee,10beconditionsprecedent totheexecutionofthepowersunderthisResoiunonorforanyotherremedyhereunder orunderlaw.It isunderstoodandintendedIhatnooneormoreHoldersoftheBonds herebysecuredshallhaveanyrightinanymannerwhateverbyhisortheiractionto affect,disturborprejudicethesecurityofthisResolution,ortoenforceanyright hereunderorunderlawwithrespecttotheBondsorthisResolution,exceptinthe mannerhereinprovided,andthatallproceedingsatlaworinequityshallbeinstituted, hadandmaintainedinthemannerhereinprovidedandforthebenefitofallHoldersof theOulstandingBonds.Notwilhstanding theforegoingprovisionsofthisSectionorany etherprovisionsofIhis Article XII,theobligationoftheBankshallbeabsoluteand unconditionaltopaytheprincipalorRedemptionPriceofandinterestontheBondsto AlASKA MUNiCiPAL BOND BIlNX G...RtIIl ObIIQRlIon BDnd RelohlIon (AmRBd9dj,"""""1QXIC,-........eoo-.et<_......_....-;>o Page 78 F-21 AIASJCIlMUN/CJPAL BDNO BIlNK G........./~RfrmB""dR.oillIon(AmRt1dRd) '~I.:lCIXl'~_Cli_......_....-;>O Poga79 therespectiveHoldersthereofattherespectiveduedatesthereof,andnothingherein shallaffectorimpairtherightofaction,whichisabsoluteandunconditional,ofsuch Holderstoenforcesuchpayment. Section1208-PossessionofBondsbyTrusteeNotRequired.Allrightsof action underthisResolutionorunderanyoftheBonds,enforceable bytheTrustee, maybeenforcedbyitwithoutthepossessionofanyoftheBondsortheproduction thereof onthetriatorotherproceedingrelativethereto,andanysuchsuit,actionor proceedinginstitutedbytheTrusteeshallbebroughtinitsnameforthebenefitofall theHoldersofsuchBonds,subjecttotheprovisionsofthisResolution. Section1209-RemediesNotExclusive.Noremedyhereinconferreduponor reservedtotheTrusteeortotheHoldersoftheBondsisintendedtobeexclusiveof anyotherremedyorremedies,andeachandeverysuchremedyshallbecumulative andshallbeinadditiontoanyotherremedygiven hereunder ornowor hereafter existingatlaworinequity,orbystatute. Section1210-NoWaiverofDefault.Nodelayoromissionof the Trusteeorof anyHolderoftheBondstoexerciseanyrightorpoweraccruinguponanydefaultshall impairanysuchrightorpowerorshallbeconstruedtobeawaiverofanysuchdefault oran acquiescence therein;andeverypowerandremedygivenbythisResolutionto theTrusteeandthe Holders oftheBonds,respectively,maybeexercisedfromtimeto limeandasoftenasmaybedeemedexpedient. Section1211-NoticeofEventofDefault.TheTrusteeshallgivetothe BondholdersnoticeofeachEventofDefaulthereunderknowntotheTrusteewithin ninety(90)daysafterknowledgeofthe occurrence thereof,unlesssuchEventor Defaultshallhavebeenremediedorcuredbeforethegivingofsuchnotice;provided that,exceptinthecaseof default inthepaymentoftheprincipalorRedemptionPrice ofor interest onanyoftheBonds,orin themakingofanypaymentrequiredtobemade intotheDeblServiceFundortheReserveFund,theTrusteeshallbeprotectedin withholdingsuchnotice if andsolongastheboardofdirectors,theexecutive committee,oratrust committee ofdirectorsorresponsibleofficersoftheTrusteein goodfaith determines thatthewithhOldingofsuchnoticeisintheinterestsoflhe Bondholders.EachsuchnoticeofEventof Default shallbegivenbytheTrusteeby mailingwrittennoticethereof:(1)toallregisteredHoldersofBonds,asthenamesand addressesofsuch Holders appearuponthebooksforregistrationandtransferof BondsaskeptbytheTrustee;(2)tosuch Bondholders ashavefiledtheirnamesand addresseswiththeTrusteeforthatpurpose;and(3)tosuchotherpersonsasis requiredbylaw. ARTICLEXIII DEFEASANCE Section1301-Defeasance.(A)IftheBankshall payor causetobepaidtothe HoldersoftheBonds,theprincipaland interest and Redemplion Price,ifany,to becomeduethereon,atthetimesandinthe manner stipulatedthereinandinthis Resolution,andalsoshall payor causetobepaidallothersumspayablehereunder bytheBank,includinganyamountspayable10lheUnitedStates,thenthepledgeof anyrevenuesandassetsherebypledgedandallotherrightsgrantedherebyshall,at IheelectionoftheBank(evidencedbyacertificateofanAuthorizedOfficerfiledwith theTrustee,signifyingtheintentionoftheBanktodischargeallsuch indebtedness and thisResolutionandany Supplemental Resolution),and notwithstanding thatanyBonds shallnothavebeensurrenderedrorpayment,bedischargedandsalisfied.Insuch event,theTrusteeshall,upon(hewrittenrequestoftheBank,executeand deliver to theBankallsuchinstrumentsasmaybedesirabletoevidencesuchdischargeand satisfactionandtheFiduciariesshallpayoverordelivertotheBankallmoneysor securitiesheldbythempursuanttothisResolutionwhicharenotrequiredforthe paymentorredemptionofBondsnot theretofore surrendered forsuchpaymentor redemption. (B)If fundsshallhavebeensetasideandshallbeheldintrustbyFiduciaries forthepaymentofprincipal,interestandRedemptionPrice(throughdepositbythe Bankoffundsforsuchpaymentorredemptionorotherwise)atlhe maturity oruponthe dateuponwhichsuchBondshavebeendulycalledforredemptionthereof,suchBonds ALASKA MUNICIPALBONDBANK G""IIIlIIOllI/g8tlorr Bond Raolurlon (Am.nrJodj 1\Ilo:>:K\l":lCO'l'~Go<.....rO:<~""",""""H""".....,.,Pogo80 ALASKA MUNICIPALBOND flANK G""....,Obllg8rlon Bond RaolUl1an (AmortdodJ L\Ilo:>:K\ll,:l«IQ'_I>U>!I~O:<.""'"",""H"""..,_Page 81 shallbedeemedtohavebeenpaidwithinthemeaningandwiththeeffectexpressed insubsection(A)ofthisSection.AllOutstandingBondsshall,priortothe maturity or redemptiondatethereof,bedeemedtohavebeenpaidwithinthemeaningand with the effectexpressedinsubsection(A)ofthisSectionif (i)incaseanyofsaidBondsareto beredeemedonanydatepriortotheirmaturity,theBankshallhavegiventothe Trusteeinform satisfactory toitirrevocableinstructionstopublishasprovidedin Article IVnonceofredemptiononsaiddateofsuchBonds,(ii)thereshallhavebeendeposited withtheTrusteeeitherfundsinanamountwhichshallbesufficient,or Investment Securitieswhicharenotsubjecttoredemptionpriortothedatesonwhichamountswill beneededtomakepaymentsontheBondsdefeasedandtheprincipalofandthe interestonwhichwhendue will providemoneyswhich,togetherwiththemoneys,if any,depositedwiththeTrusteeatthesame time,shallbesufficientintheopinionof an Accountant deliveredtotheTrustee,topaywhenduetheprincipalorRedemption Price,ifany,and interest dueandtobecomedueonsaidBondsonanydatepriorto theredemptiondaleormaturitydatethereof,asthecasemaybe,(iii)intheeventsaid Bondsarenolbytheirtermssubjecttoredemptionwithinthe next succeeding sixty (60) days,theBankshallhavegiventheTrusteeinformsatisfactorytoitirrevocable insuuctions tomailanoticetotheHoldersofsuchBondsthatthedepositrequiredby (ii)abovehasbeenmadewiththeTrusteeandthatsaidBondsaredeemedtohave beenpaidinaccordancewiththisSectionandstatingsuchmaturityorredemptiondate uponwhichmoneysaretobeavailableforthepaymentoftheprincipalorRedemption Price,if any,ofsaidBondsand(iv)aCounsel'sOpinionstatingthatall conditions precedent to the satisfaction anddischargeofthisResolutionhavebeencompliedwith, the defeasance complieswiththetermsofthisResolution,andthe defeasance willnot adverselyaffectthetaxstatusoftheBonds.Neither Investment Securitiesormoneys depositedwiththeTrusteepursuanttothisSectionnorprincipalorinterestpayments onanysuch Investment Securities shallbewithdrawnorusedforanypurposeother than,andshallbeheldintrustfor,thepaymentoftheprincipalorRedemptionPrice, if any,ofandinterestonsaidBonds;providedthatanycashreceivedfromsuch principalorinterestpaymentsonsuch Investment Securitiesdepositedwiththe Trustee,ifnotthenneededforsuchpurpose,shall,totheextentpracticable,be reinvestedin Investment Securitiesmaturingattimesandinamounts sufficient topay whenduetheprincipalorRedemptionPrice,ifany,andinteresttobecomedueonsaid Bondsonandpriortosuchredemptiondateor maturity datethereof,asthecasemay be,and interest eamedfromsuch reinvestments shallbepaidovertotheBank,as receivedbytheTrustee,freeandclearofanytrust,lienorpledge. (C)If,throughthedeposilofmoneysbytheBankorotherwise,theFiduciaries shallhold,pursuanttothisResolution,moneys sufficient topaytheprincipaland interesttomaturityonallOutstandingBondsortopay,inthecaseofBondsinrespect ofwhichtheBankshallhavetakenallaction necessary toredeempriortomaturity,the RedemptionPriceandinteresttosuchredemptiondate,thenatthewrittenrequestof theBankallmoneysheldbyanyPayingAgentshallbepaidovertotheTrusteeand, togetherwithothermoneysheldbyithereunder,shallbeheldbytheTrusteefor(he paymentorredemptionofOutstandingBonds (D)AnythinginthisResolutiontothecontrary notwithstanding,anymoneysheld byaFiduciaryintrustforthepaymentanddischargeofanyoftheBondswhichremain unclaimedforoneyearafterthedatewhenalloftheBondshavebecomedueand payable,either attheirstated maturity datesorbycallforearlierredemption,ifsuch moneyswereheldbythe Fiduciary atsuchdate,orforoneyearafterthedateof depositofsuchmoneys if depositedwiththeFiduciaryafterthesaiddatewhenallof theBondsbecamedueandpayable,shallberepaidbytheFiduciarytotheBank,as itsabsoluteproperlyandfreefromtrust,andtheFiduciaryshallthereuponbereleased anddischarged. (E)Thereferencesinthis section to "lnvesfment Securitiesdescribedinclause (1)ofthedefinition thereof'shallincludeonlydirectandgeneralobligationsofthe UnitedStales which arenot-callablepriortothe scheduled maturityintherelated escrowdeposit agreement wherethe Outstanding Bondstobedeemedtobepaidupon ALASIto\MUNiCiPAL BOND BANK G""...I 0b/I~8tl0il BondRaolullon (Am.rtdodJ '."""'31'''''"''-.-...zm_~""""_...,,,,,Paga 82 F-22 ALASKA MUNiCiPAL BONO BAJlK G"""",'OllIlg8tlon Bond Raolullon (Am8lld8d.l '\Ilo:>:K\ll....,.,~~.........O:<_""'""R__Pago 83 the deposit thereof areinsuredbya municipal bond insurance company licensed and authorized to issuethe poTicyintheState. ARTICLE XIV MISCELlANEOUS Section1401 •Preservation and Inspection of Documents.All documents receivedbytheTrusteeoranyPayingAgenlunderthe provisions ofthisResolutionor anySeries Resolution shallberetainedinits possession andshallbesubject at all reasonable limestothe inspection ortheBank,the TrusteeoranyPaying Agent and, aflerwritlen requestreceivedbytheTrustee at leastfive business dayspriortothedate of inspection,byanyHolderoffive percent inprincipalamountofanySeriesof Outstanding Bonds.andtheiragentsand representatives,anyofwhommaymake copiesthereof. Section 1402-Parties ofInterest.NothinginthisResolutionorinanySeries Resolution adopted pursuant to the provisions hereof,expressed orimplied,is intended toorshallbe construed toconferuponortogivetoanypersonorpartyotherthanthe Bank,Trustee,Paying Agents andtheHoldersoftheBonds.remediesorclaimsunder orbyreasonofthis Resolulion oranySeriesResolutionorany covenants,conditions orstipulations thereof;andall covenants,stipulations,promises and agreements inthis Resolu!ionandanySeries Resolution contained byoronbehalfoftheBankshallbe forthesoleand exclusive benefitoftheBank,TrusteeandPaying Agents andthe HoldersfromlimetolimeoftheBonds. Section 1403-No Recourse Under Resolution oronBonds.AU covenants. stipulations.promises,agreements and obligations oftheBank contained inthis Resolution shallbe deemed 10 bethecovenants,stipulations,promises,agreements and obligations oftheBankandnotofanymember,officeror employee oftheBank inhis individual capacity,andnorecourseshallbehadforthe payment oftheprincipal or Redemption priceofor interest ontheBondsorforanyclaimbasedIhereonoron thisResolutionagainstanymember,officer or employee oftheBankoranynatural person executing IheBond. Section1404-Severability.If anyone ormoreofthe covenants,suoulaucns. promises,agreements or obligations,provided inthis Resolution onIhepartofthe Bank,TrusteeoranyPayingAgent to be performed shouldbe determined byacourt of competent jurisdiction tobecontrarytolaw,thensuchcovenantor covenants, stipulation or stipulations,promise orpromises,agreement or agreements,obligation or obligations shallbe deemed and construed tobe severable fromthe remaining covenants.snputauons.promises.agreements and obligalions herein contained and shallinnowayaffectthevalidityoftheother provisions ofthis Resolution. Section 1405 -Headings.Any headings preceding thetextsoftheseveral ArticlesandSectionshereof,andany(ableofcontentsor marginal notes appended to copies hereof.shallbesolelyfor convenience of reference andshallnot constitute a partofthisResolution,norshallthey affeci its meaning,construction oreffect. Section 1406 •Conflict.All resolutions orpartsof resolutions orother proceedings oftheBankin conflict herewith beand the samearerepealedinsofaras suchconflictexists. Section1407•Governing Law.This Resolution andtheBondsshallbe construed in accordance with,and governed by,thelawsoftheStateofAlaska. Section 1408-EffectiveDate.This Resolution shalltake effect immediately uponitsadoption. ALAS/Ul MUNICIPAL BONO BANK G.....~I OllJIIl_lIon Bond R...oaJUon (Itm.nIhrJJ ''''''-'''''lOOO1~eo-.rCtO~""",""",R''''''",,_ [THIs PAGE 1N'TENn0/lli\LLYLEFTBlA/IIK) Page 84 F-23 1tl.AS/Ul MU1>/ICJPALBOND BANK G...,....,Obllll_lIon Bond R...oaJUon (ltm.nlhrJi 1'O:a\l1'2CW1_"""",e:-.-CtO~"",,,_R........._ [THIs PAGE OOENTIO/llAI.I.Y LEFT BI.ANKl Page 85 [THIS PAGEINTENTIONALLY LEFf BLANK] APPENDIXG DTCand Book-Entry System [THIS PAGE INTENTIONALLY LEFT BLANK] DTCAND BOOK-ENTRY SYSTEM 1.TheDepositoryTrustCompany("DTC"),NewYork,NY,willactassecuritiesdepositoryforthe 2015SeriesThreeBonds.The2015SeriesThreeBondswillbeissuedasfully-registeredsecuritiesregisteredin thenameofCede &Co.(DTC'spartnershipnominee)orsuchothernameasmayberequestedbyanauthorized representativeofDTC.Onefully-registeredcertificatewillbeissuedforeachmaturityofthe2015SeriesThree Bondsintheaggregateprincipalamount of suchmaturity,andwillbedepositedwithDTC. 2.DTC,theworld'slargestsecuritiesdepository,isalimited-purposetrustcompanyorganizedunderthe NewYorkBankingLaw,a"bankingorganization"withinthemeaningoftheNewYorkBankingLaw,amember oftheFederalReserveSystem,a"clearingcorporation"withinthemeaningoftheNewYorkUniform CommercialCode,anda"clearingagency"registeredpursuanttotheprovisionsofSection17AoftheSecurities ExchangeActof1934.DTCholdsandprovidesassetservicingforover3.5millionissuesofU.S.andnon-U.S. equityissues,corporateandmunicipaldebtissues,andmoneymarketinstruments(fromover100countries)that DTC'sparticipants("DirectParticipants")depositwithDTC.DTCalsofacilitatesthepost-tradesettlement amongDirectParticipantsofsalesandothersecuritiestransactionsindepositedsecurities,throughelectronic computerizedbook-entrytransfersandpledgesbetweenDirectParticipants'accounts.Thiseliminatestheneed forphysicalmovementofsecuritiescertificates.DirectParticipantsincludebothU.S.andnon-U.S.securities brokersanddealers,banks,trustcompanies,clearingcorporations,andcertainotherorganizations.DTCisa wholly-ownedsubsidiary of TheDepositoryTrust &ClearingCorporation("DTCC").DTCCistheholding companyforDTC,NationalSecuritiesClearingCorporationandFixedIncomeClearingCorporation,allofwhich areregisteredclearingagencies.DTCCisownedbytheusersofitsregulatedsubsidiaries.AccesstotheDTC systemisalsoavailabletootherssuchasbothU.S.andnon-U.S.securitiesbrokersanddealers,banks,trust companies,andclearingcorporationsthatclearthroughormaintainacustodialrelationshipwithaDirect Participant,eitherdirectlyorindirectly("IndirectParticipants").DTChasaratingfromStandard &Poor's of AA+.TheDTCRulesapplicabletoitsParticipantsareonfilewiththeSecuritiesandExchangeCommission. MoreinformationaboutDTCcanbefoundatwww.dtcc.com. 3.Purchases of 2015SeriesThreeBondsundertheDTCsystemmustbemadebyorthroughDirect Participants,whichwillreceiveacreditforthe2015SeriesThreeBondsonDTC'srecords.Theownership interestofeachactualpurchaserofeach2015SeriesThreeBond("BeneficialOwner")isinturntoberecorded ontheDirectandIndirectParticipantsrecords.BeneficialOwnerswillnotreceivewrittenconfirmationfrom DTCoftheirpurchase.BeneficialOwnersare,however,expectedtoreceivewrittenconfirmationsproviding detailsofthetransaction,aswellasperiodicstatementsoftheirholdings,fromtheDirectorIndirectParticipant throughwhichtheBeneficialOwnerenteredintothetransaction.Transfersofownershipinterestsinthe2015 SeriesThreeBondsaretobeaccomplishedbyentriesmadeonthebooks of DirectandIndirectParticipantsacting onbehalf of BeneficialOwners.BeneficialOwnerswillnotreceivecertificatesrepresentingtheirownership interestsin20I5SeriesThreeBonds,exceptintheeventthatuseofthebook-entrysystemforthe2015Series ThreeBondsisdiscontinued. 4.Tofacilitatesubsequenttransfers,all20I5SeriesThreeBondsdepositedbyDirectParticipantswith DTCareregisteredinthenameofDTC'spartnershipnominee,Cede &Co.,orsuchothernameasmaybe requestedbyanauthorizedrepresentativeofDTC.Thedepositof2015SeriesThreeBondswithDTCandtheir registrationinthename of Cede &Co.orsuchotherDTCnomineedonoteffectanychangeinbeneficial ownership.DTChasnoknowledge of theactualBeneficialOwnersofthe2015SeriesThreeBonds;DTC's recordsreflectonlytheidentity of theDirectParticipantstowhoseaccountssuch2015SeriesThreeBondsare G-l credited,which mayor maynotbethe Beneficial Owners.The Direct and Indirect Participants will remain responsible for keeping account of their holdings on behalf of their customers. 5.Conveyance of notices andother communications byDTCto Direct Participants,by Direct Participants to Indirect Participants,andby Direct Participants and Indirect Participants to Beneficial Owners will be governed by arrangements among them,subject toany statutory or regulatory requirements asmaybein effect fromtimetotime.Beneficial Owners of 2015Series Three Bonds maywishtotake certain stepsto augment the transmission tothem of notices of significant eventswith respect tothe2015Series Three Bonds,suchas redemptions,tenders,defaults,and proposed amendments tothe2015Series Three Bond documents.For example,Beneficial Owners of 2015 Series Three Bonds maywishto ascertain that the nominee holding the20I5 Series ThreeBondsfor their benefit has agreed to obtain and transmit notices to Beneficial Owners.Inthe alternative,Beneficial Owners maywishto provide theirnamesand addresses tothe registrar and request that copies of notices be provided directly tothem. 6.Redemption notices shallbesenttoDTC.If lessthanall of the2015 Series Three Bonds within a maturity arebeing redeemed,DTC's practice isto determine bylotthe amount of the interest of each Direct Participant insuch maturity tobe redeemed. 7.Neither DTCnor Cede &Co.(noranyotherDTC nominee)will consent orvotewith respect to2015 Series Three Bonds unless authorized bya Direct Participant in accordance with DTC's MMI Procedures.Under itsusual procedures,DTC mails an Omnibus Proxy totheBondBankas soon as possible aftertherecorddate. The Omnibus Proxy assigns Cede &Co.'sconsenting or voting rights to those Direct Participants to whose accounts 2015Series Three Bonds are credited onthe record date (identified ina listing attached tothe Omnibus Proxy). 8.Payments onthe2015Series Three Bonds willbe made toCede&Co.,orsuch other nominee asmay be requested byan authorized representative of DTC.DTC's practice isto credit Direct Participants'accounts uponDTC's receipt of fundsand corresponding detail information fromthe Bond Bank orthe Trustee,on payable datein accordance with their respective holdings shown on DTC's records.Payments by Participants to Beneficial Owners willbe governed by standing instructions and customary practices,asisthecasewith securities heldforthe accounts of customers in bearer formor registered in "street name,"andwillbethe responsibility of such Participant andnot of DTC,the Bond Bank orthe Trustee,subject toany statutory or regulatory requirements asmaybein effect fromtimetotime.Payment of principal and interest payments onthe Bonds toCede&Co.(orsuch other nominee asmaybe requested byan authorized representative ofDTC)isthe responsibility of the Bond Bank orthe Trustee,disbursement of such payments to Direct Participants willbethe responsibility of DTC,and disbursement of such payments tothe Beneficial Owners willbethe responsibility of Direct and Indirect Participants. 9.DTCmay discontinue providing its services as depository with respect tothe2015Series Three Bonds atany time by giving reasonable noticetotheBond Bank orthe Trustee.Under such circumstances,inthe event that a successor depository isnot obtained,2015Series Three Bond certificates are required tobe printed and delivered. 10.TheBond Bank may decide to discontinue use of the system of book-entry-only transfers through DTC(ora successor securities depository).In that event,2015Series Three Bond certificates willbe printed and delivered toDTC. G-2 II.The information inthis section concerning DTCandDTC's book-entry system hasbeen obtained from sources that theBondBank believes tobe reliable,buttheBond Bank takes no responsibility forthe accuracy thereof. G-3 [THIS PAGE INTENTIONALLY LEFT BLANK] [THIS PAGE INTENTIONALLY LEFT BLANK] [THIS PAGE INTENTIONALLY LEFT BLANK] Printed br ImageMaster.LLC !NWW.,magemaster.com New Issue Book-Entry Only OFFICIAL STATEMENT DATED AUGUST 26,2015 Fitch Rating:AA+ Standard &Poor's Rating:AA+(negative outlook) (See "Ratings"herein.) Inthe opinion of BondCounsel,basedonan analysis of existing statutes,regulations,rulings andcourt decisions,and assuming,among otherthings,compliance bythe Bond Bank andthe Governmental Units with covenants relating to certain requirements in the Internal RevenueCode of 1986,as amended (the "Code"), interest onthe 2015 SeriesThree Bonds is excludable from gross income of owners thereoffor federal income tax purposes.Interest onthe 2015 SeriesThree Bonds isnottreatedasa tax preference item for purposes ofeither the individual orcorporate alternative minimum tax.However,interest onthe 2015 SeriesThreeBondsistaken into account in determining adjusted current earnings for purposes of computing thefederal alternative minimum tax imposed on certain corporations.See"TAXMATTERS"herein. Dated:Date of Delivery $96,210,000 ALASKA MUNICIPAL BOND BANK General Obligation Bonds,2015 Series Three Due:As shown on inside cover The Alaska Municipal Bond Bank (the "Bond Bank")is issuing $96,210,000 principal amount of General Obligation Bonds,2015 Series Three (the "2015 Series Three Bonds").The2015 Series Three Bonds initially will be issued asfully registered bonds,in book-entry form only,registered in the name of Cede &Co.,as nominee ofThe Depository Trust Company ("DTC"),which will serve as depository for the 2015 Series Three Bonds.Individual purchases of the 2015 Series Three Bonds will be made in principal amounts of$5,000or integral multiples thereof within asingle maturity.Purchasers of the 2015 Series Three Bonds will not receive certificates representing their beneficial ownership interests inthe2015 Series Three Bonds.Interest on the 2015 Series Three Bonds will accrue from the date of delivery of the 2015 Series Three Bonds,or from the most recent interest payment date to which interest has been paid,and is payable on each April1 and October 1,commencing April1,2016. The Bank of NewYorkMellon Trust Company,N.A.,ofSan Francisco,California,as the Trustee and Paying Agent forthe2015 Series Three Bonds,will make principal and interest payments toDTC.Disbursement of such payments toDTC Participants is the responsibility of DTC.Disbursement of such payments to the Beneficial Owners is the responsibility of the DTC Participants.See"DESCRIPTIONOFTHE2015SERIESTHREEBONDS"and "APPENDIXG -DTCAND BOOK-ENTRY SYSTEM." The2015 Series Three Bonds are subject to redemption prior to their stated maturity dates.See"DESCRIPTION OFTHE2015SERIESTHREEBONDS -Optional Redemption,-Mandatory Redemption." The2015 Series Three Bonds are general obligations ofthe Bond Bank,and the full faith and credit of the Bond Bank are pledged for the punctual payment of the principal of and interest on the 2015 Series Three Bonds.The2015 Series Three Bonds are equally and ratably secured by the pledge and assignment ofall Municipal Bonds acquired bythe Bond Bank under the Bond Bank's 2005 General Bond Resolution ona parity with other Bonds of the Bond Bank heretofore or hereafter issued under the 2005 General Bond Resolution.The2015 Series Three Bonds are the thirty-third series of Bonds issued under the 2005 General Obligation Bond Resolution. The 2015 Series Three Bonds do not constitute a debt or other liability of the State of Alaska,and the 2015 Series Three Bonds do not directly,indirectly or contingently obligate the State of Alaska to levy any form of taxation or make any appropriation for the payment of the 2015 Series Three Bonds. Neither the faith and credit nor the taxing power of the State of Alaska is pledged for the payment of the 2015 Series Three Bonds.The Bond Bank has no taxing power.See "SECURITY FOR THE 2015 SERIES THREE BONDS." The2015 Series Three Bonds are offered when,as and if issued,subject to the approving legal opinion of Wohlforth,Brecht &Cartledge of Anchorage,Alaska,Bond Counsel.Certain legal matters will be passed upon for the Governmental Unitsby their respective bond counsel and for the Underwriters by their counsel,Foster Pepper PUC of Seattle,Washington.Itis expected that the 2015 Series Three Bonds indefinitive form will be issued and available by Fast Automated Securities Transfer for delivery through the facilities of DTCinNewYork,NewYork, on or about September 16,2015. RBC Capital Markets BofA Merrill Lynch Goldman,Sachs &Co. $96,210,000 Alaska Municipal Bond Bank General Obligation Bonds 2015Series Three MA TURITIES,AMOUNTS,INTEREST RATES,YIELDS AND CUSIP NUMBERS Due October 1,2016 October I,2017 October I,2018 October 1,2019 October 1,2020 October I,2021 October I,2022 October 1,2023 October 1,2024 Amount $375,000 390,000 1,960,000 2,050,000 2,175,000 2,300,000 2,415,000 2,540,000 2,670,000 Interest Rate 2.00% 2.00% 4.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% Yield 0.60% 0.93% 1.22% 1.46% 1.78% 2.11% 2.35% 2.52% 2.69% CUSIP Number'? 01179R MK6 ML4 MM2 MNO MP5 MQ3 MR1 MS9 MT7 Due October 1,2025 October 1,2026 October 1,2027 October 1,2028 October 1,2029 October 1,2030 October 1,2031 October 1,2032 October 1,2040 Amount $2,805,000 2,715,000 2,855,000 3,000,000 3,160,000 3,300,000 3,455,000 3,645,000 4,745,000 Interest Rate 5.00% 5.00% 5.00% 5.00% 5.00% 4.00% 5.25% 5.25% 4.00% Yield 2.82%* 3.00%* 3.11%* 3.22%* 3.29%* 3.84%* 3.36%' 3.41%' 4.24% CUSIP Number''' 01179R MU4 MV2 MWO MX8 MY6 MZ3 NA7 NB5 NG4 $16,045,0005.25%Term Bond due October 1,2036;yield 3.56%* CUSIP Number 0 1179R NC3 $12,950,0005.00%Term Bond due October I,2039;yield 3.76%* CUSIP Number 0 1179R NE9 $20,660,0004.00%Term Bond due October 1,2044;yield 4.29% CUSIP Number 01179R NF6 (1)Copyright ©2015CUSIPGlobalServices.CUSIPisaregisteredtrademarkoftheAmericanBankersAssociation.CUSIPGlobalServicesismanaged on behalf oftheAmericanBankers Association by Standard &Poor's.Thesenumbersarenotintendedtocreateadatabaseanddonotserveinanyway asasubstitutefortheCUSIPService.CUSIPnumbersareprovidedfortheconvenienceofreferenceonly.CUSIPnumbersaresubjecttochange.The BondBanktakesnoresponsibilityfortheaccuracyofsuchCUSIPnumbers. ,PricedtoApril 1,2025 optionalredemptiondate. ThisOfficialStatementisfurnishedbytheBondBanktoprovideinformationregardingthesaleofthe2015Series ThreeBondsreferredtohereinandmaynotbereproducedorbeused,inwholeorinpart,foranyotherpurpose. ThedeliveryofthisOfficialStatementdoesnotimplythatinformationhereiniscorrectasofanytimesubsequentto thedatehereof.Nodealer,salesmanoranyotherpersonhasbeenauthorizedbytheBondBankortheUnderwriters togiveanyinformationortomakeanyrepresentationotherthanascontainedinthisOfficialStatementin connectionwiththeofferingdescribedhereinand,ifgivenormade,suchotherinformationorrepresentationmust notberelieduponashavingbeenauthorizedbytheforegoing.ThisOfficialStatementdoesnotconstituteanoffer ofanysecuritiesotherthanthosedescribedonthecoverpageoranoffertosellorasolicitationofanoffertobuyin any jurisdiction inwhichitisunlawfultomakesuchanoffer,solicitation,orsale. TheinformationandexpressionsofopinionsetforthinthisOfficialStatementhavebeenfurnishedbytheBond BankandincludeinformationfromothersourcesthattheBondBankbelievestobereliable.NeitherthisOfficial Statementnoranystatementwhichmayhavebeenmadeorallyistobeconstruedasacontractwiththeownersof anyofthe2015SeriesThreeBonds. TheUnderwritershaveprovidedthefollowingsentenceforinclusioninthisOfficialStatement.TheUnderwriters havereviewedtheinformationsetforthinthisOfficialStatementinaccordancewith,andaspartof,their responsibilitiestoinvestorsunderthefederalsecuritieslawsasappliedtothefactsandcircumstancesofthis transaction,buttheUnderwritersdonotguaranteetheaccuracyorcompletenessofsuchinformation. UPONISSUANCE,THE2015SERIESTHREEBONDSWILLNOTBEREGISTEREDUNDERTHE SECURITIESACTOF1933,ASAMENDED,ANDWILLNOTBELISTEDONANYSTOCKOROTHER SECURITIESEXCHANGE.NEITHERTHESECURITIESANDEXCHANGE COMMISSION NORANY OTHERFEDERAL,STATE,OROTHERGOVERNMENTALENTITYORAGENCY,OTHERTHAN THEBONDBANK,WILLHAVEPASSEDONTHEACCURACYORDETERMINEDTHEADEQUACY OFTHISOFFICIALSTATEMENTORAPPROVEDTHE2015SERIESTHREEBONDSFORSALE. THE2005GENERALBOND RESOLUTION WILLNOTBEQUALIFIEDUNDERTHETRUST INDENTUREACTOF1939,ASAMENDED. The remainder of this page has intentionally been left blank. ALASKA MUNICIPAL BOND BANK 333 Willoughby Avenue,11th Floor P.O.Box110405 Juneau,Alaska 99811-0405 (907)465-2388 http://treasury.dor .alaska.gov/ambba/ Board of Directors Mark Pfeffer -Chair Luke Welles -ViceChair Gregory Gursey-Member Chris Hladick -Member (MichaelLamb-First Delegate toChrisHladick) Randall Hoffbeck -Member (Pamela Leary -First Delegate to Randall Hoffbeck) Executive Director Deven ].Mitchell Finance Director RyanS.Williams Bond Counsel Wohlforth,Brecht,&Cartledge,APC Anchorage,Alaska Trustee The Bank of NewYork Mellon Trust Company,N.A. SanFrancisco,California Municipal Advisor Western Financial Group,LLC Portland,Oregon The reference abovetotheBondBank'swebsiteiscontact information provided onlyfor convenience.The referenceisnotahyperlinkand,bythis reference,theBondBank'swebsiteisnot incorporated intothis Official Statement. TABLEOF CONTENTS Page Introduction 1 Purpose ofthe2015SeriesThreeBonds 1 Authorization andPurpose 1 2015SeriesThreeBonds 1 SourcesandUsesofFunds 2 Description ofthe2015SeriesThreeBonds 3 General Description 3 2015 SeriesThreeBonds 3 Optional Redemption 3 Mandatory Redemption 3 Noticeof Redemption 4 Selection of2015SeriesThreeBondsfor Redemption 4 Securityforthe2015SeriesThreeBonds 5 General 5 Pledge Effected bythe 2005 General Bond Resolution 5 Municipal Bonds 6 2005 General Bond Resolution Reserve Fund 6 State Payments 8 PledgeoftheState 8 TheAlaska Municipal BondBank 9 Organization 9 Boardof Directors 9 Management 10 Future Financing Plans 10 Expansion of Authority 11 DebtPayment Record 11 Bonds Outstanding 12 1976 General Bond Resolution 12 2005 General Bond Resolution 12 2010 Municipal Obligation Bond Resolution 12 Revenue Bond Resolutions 12 CoastalEnergyImpact Program 12 DirectLoans 13 LoansbytheStateofAlaska 13 TotalBondBankBondsIssuedand Outstanding asofAugust1.2015 14 Remaining DebtCapacityAfterthe Issuance ofthe 2015 SeriesThreeBonds 14 DebtService Requirements of Outstanding 2005 General Bond Resolution General Obligation Bonds andthe2015SeriesThreeBonds 15 Summary ofthe 2005 General Bond Resolution 16 2005 General Bond Resolution Constitutes Contract..16 Obligation ofBonds 16 Pledge 16 PowertoIssueBondsandMakePledges 16 General 16 WaiverofLaws 17 Loan Agreement Provisions 17 Modification ofLoan Agreement Terms 18 Enforcement of Municipal Bonds 18 Fundsand Accounts 18 Securityfor Deposits 20 Payment ofBonds 20 Feesand Charges 20 Issuance of Additional Obligations 20 Defeasance 21 Supplements and Amendments 21 EventsofDefaultand Remedies 22 ExcessEarnings 23 Modifications tothe2005 General Bond Resolution 23 Litigation 24 CertainLegalMatters ,24 Underwriting 24 Municipal Advisor 25 Financial Statements 25 TaxMatters 25 Ratings 28 Continuing Disclosure Undertaking 28 Prior Compliance with Continuing Disclosure Undertakings UndertheRule 29 SourcesofCertain Information 30 Definitions 30 Miscellaneous 32 OfficialStatement 32 APPENDIX A APPENDIXB APPENDIXC APPENDIXD APPENDIXE APPENDIXF APPENDIXG FormofLegal Opinion State Payments to Governmental Units Governmental UnitStatistics Regarding Participation intheBondBank -Summaries ofBorrowers Representing 10%orMoreof Outstanding PrincipalofBondsIssued Underthe2005 General Bond Resolution Financial Statements oftheAlaska Municipal BondBankfortheYearEndedJune30,2014 -2005 General Obligation Bond Resolution -DTCand Book-Entry System OFFICIAL STATEMENT $96,210,000 ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS 2015 SERIES THREE INTRODUCTION ThisOfficialStatementisfurnishedbytheAlaskaMunicipalBondBank(the"BondBank")toprovide informationregardingtheBondBankinconnectionwiththesaleofits$96,210,000principalamountofGeneral ObligationBonds,2015SeriesThree(the"2015SeriesThreeBonds").TheBondBankwascreatedpursuantto AlaskaStatutes44.85.005-44.85.420,asamended(the"Act"),fortheprimarypurposeoflendingmoneyto GovernmentalUnitsintheStateofAlaska(the"State")includingthepurchaseofMunicipalBondsissuedbysuch GovernmentalUnits.CertaincapitalizedtermsusedinthisOfficialStatement,andnototherwisedefinedherein,are definedunder"DEFINITIONS." Allreferenceshereintoagreementsanddocumentsarequalifiedintheirentiretybyreferencetothe definitiveformsthereof,andallreferencestothe2015SeriesThreeBondsarefurtherqualifiedbyreferencetothe informationwithrespecttheretocontainedinthe2005GeneralObligationBondResolution,adoptedbytheBoardof DirectorsoftheBondBankonJuly13,2005,asamended(the"2005GeneralBondResolution"),andSeries ResolutionNo.2015-04(s)adoptedbytheBoardofDirectorsoftheBondBankonAugust11,2015(the"Series Resolution,"andtogetherwiththe2005GeneralBondResolution,the"BondResolution").Allbondswhichare issuedunderandpursuanttothetermsofthe2005GeneralBondResolutionarehereafterreferredtoasthe"Bonds." Anystatementsorinformationwhichincludemattersofopinionorestimatesarerepresentedasopinionsor estimatesingoodfaith,butnoassurancecanbegiventhatthefactswillmaterializeassoopinedorestimated. AppendixDcontainsfinancial,economicanddemographicsummaryinformationrelatingtothe GovernmentalUnitswhoseMunicipalBondsrepresent10percentormoreoftheLoanObligationsoutstanding underthe2005GeneralBondResolution. PURPOSE OFTHE2015 SERIES THREE BONDS Authorization and Purpose The2015SeriesThreeBondsarebeingissuedpursuanttothetermsoftheBondResolution,andarethe thirty-thirdseriesofBondsissuedunderthe2005GeneralBondResolution. 2015SeriesThreeBonds The2015SeriesThreeBondproceedsarebeingusedforthefollowingpurposes:(i)tomakefiveloansto GovernmentalUnitsfornewmoneypurposes;and [ii)topayaportionofthecostsofissuanceofthe2015Series ThreeBonds.The2015SeriesThreeBondproceedsusedfornewmoneypurposesinclude:(i)aloantothe UniversityofAlaskatopayaportionofthecostsofconstructinganewCombinedHeatandPowerPlantatthe University's Fairbankscampus;(ti)aloantoHainesBoroughformechanicalsystemupgradesandreplacementof anairhandlingunitatHainesHighSchool;(iii)twoloanstotheKodiakIslandBoroughforexpansionofKodiak HighSchoolandforvariousrenewaland replacement projectsinBoroughschools;and(iv)aloantotheCityof KingCovetopayaportionofthecoststoconstructa run-of-the-river hydroelectricfacility. $96,210,000.00 8,208,651.1 0 $104,418,651.10 SOURCES AND USESTABLE The table below presents thesourcesandusesoffunds related tothe 2015 SeriesThree Bonds. Sources of Funds: Par Amount of2015SeriesThreeBonds Net Original Issue Premium Total Sources ofFunds Usesof Funds: Loantothe University ofAlaska Loanto Haines Borough Loans to Kodiak IslandBorough LoantoCityofKingCove BondBank Reserve FundSurety Premium Costsof Issuance I Underwriters'Discount TotalUsesofFunds (1)Governmental Units'costs of issuance. $92,497,357.05 1,300,028.90 9,001,609.41 1,079,324.52 38,988.49 158,821.25 342.521.48 $104,418,651.10 Theremainderofthispagehas intentionally beenleftblank. 2 DESCRIPTION OFTHE2015 SERIES THREE BONDS General Description The2015SeriesThreeBondsareissuableonlyasfullyregisteredbonds,registered in thenameofCede & Co.,asnomineeforTheDepositoryTrustCompany,NewYork,NewYork("DTC"),assecuritiesdepositoryforthe 2015SeriesThreeBonds.Principalofandinterestonthe2015SeriesThreeBondsarepayablebyTheBankof NewYorkMellonTrustCompany,NA,ofSanFrancisco,California,asTrusteeunderthe2005GeneralBond Resolution,toDTCwhich,in turn,isobligatedtodisbursesuchprincipalandinterestpaymentstoitsparticipants (the"DTCParticipants")in accordancewithDTCprocedures.See"AppendixG-DTCandBook-EntrySystem." 2015SeriesThreeBonds The2015SeriesThreeBondsmatureonthedatesandbearinterestattheratessetforthontheinsidecover pageofthisOfficialStatement.The2015SeriesThreeBondsareissuable in denominationsof$5,000orany integralmultiplethereofwithinasinglematurity,aredatedasofthedateofdeliveryandbearinterestfromtheirdate payableonApril 1,2016,andsemiannuallythereafteroneachOctober1andApril1totheirdateofmaturityor priorredemption,whichevermayoccurfirst. Optional Redemption The2015SeriesThreeBondsmaturingonorafterOctoberI,2025,are subject toredemption in wholeor in partattheoptionoftheBondBankonanydateonorafterApril1,2025,atapriceof100%ofthe principal amount thereof toberedeemedplusaccruedinteresttothedatefixedforredemption.The Governmental Units mayprepaytheirloansonterms identical totheoptionalredemptionprovisionsassociatedwiththe2015Series ThreeBonds. Mandatory Redemption The2015SeriesThreeBondsmaturingonOctober 1,2036,are subject to mandatory sinkingfund redemptiononOctober 1 oftheyearsand in theprincipalamountssetforth in thefollowingtable.Anysuch redemptionshallbeatapriceequalto100percentoftheprincipalamounttoberedeemedplusaccruedand unpaidinterestthereontothedatefixedforredemption,butwithoutpremium. *Maturity Date October I,2033 October I,2034 October 1,2035 October I,2036* 3 Principal Amount $3,835,000 4,050,000 4,265,000 3,895,000 The2015SeriesThreeBondsmaturingonOctober 1,2039,aresubjecttomandatorysinkingfund redemptiononOctober1oftheyearsandintheprincipalamountssetforthinthefollowingtable.Anysuch redemptionshallbeatapriceequalto100percentoftheprincipalamounttoberedeemedplusaccruedand unpaidinterestthereontothedatefixedforredemption,butwithoutpremium. *Maturity Date OctoberI,2037 OctoberI,2038 OctoberI,2039* Principal Amount $4,105,000 4,310,000 4,535,000 The2015SeriesThreeBondsmaturingonOctoberI,2044,aresubjecttomandatorysinkingfund redemptiononOctober1oftheyearsandintheprincipalamountssetforthinthefollowingtable.Anysuch redemptionshallbeatapriceequalto100percentoftheprincipalamounttoberedeemedplusaccruedand unpaidinterestthereontothedatefixedforredemption,butwithoutpremium. *Final Maturity Notice of Redemption Date OctoberI,2041 October 1,2042 OctoberI,2043 October 1,2044* Principal Amount $4,860,000 5,055,000 5,265,000 5,480,000 Atleast30days,butnotmorethan60days,priortothedateuponwhichany2015SeriesThreeBonds aretoberedeemed,theTrusteewillmailanoticeofredemptiontotheregisteredownerofany2015SeriesThree Bondalloraportionofwhichistoberedeemed,atthe owner's lastaddressappearingontheregistrationbooks oftheBondBankkeptbytheTrustee.Whenallofthe2015SeriesThreeBondsareheldundertheDTCbook- entrysystem,suchnoticewillbesenttoDTC,andanynoticetothebeneficialownersofthe2015SeriesThree BondswillbetheresponsibilityofDTCParticipants.NeithertheBondBanknortheTrusteewillprovide redemptionnoticestothebeneficialowners. Selection of 2015Series Three Bondsfor Redemption Iffewerthanallofthe2015SeriesThreeBondsaretoberedeemedpriortomaturity,theBondBankmay selectthematurityormaturitiestoberedeemedattheoptionoftheBondBank.If,atthetimenoticeof redemptionisgiventhe2015SeriesThreeBondsareinbook-entryform,thenDTCwillselectthe2015Series ThreeBondsforredemptionwithinamaturityinaccordancewiththeLetterofRepresentations.The2005 GeneralBondResolutionprovidesthatiflessthanalloftheBondsof anyone maturity of aSeriesarecalledfor redemptionandtheBondsarenotinbook-entryform,theBondstoberedeemedaretobeselectedbylotbythe TrusteeorinanymannerastheTrustee,initssolediscretion,maydeemappropriateandfair.See"Appendix G- DTCandBook-EntrySystem." 4 SECURITY FORTHE2015 SERIES THREE BONDS General The2015SeriesThreeBondsconstitutegeneralobligationsoftheBondBank,andthefullfaithand creditoftheBondBankarepledgedtothepaymentoftheprincipalofandinterestonthe2015SeriesThree Bonds.The2015SeriesThreeBondsdonotconstituteanindebtednessorotherliability of theState of Alaska,andthe2015SeriesThreeBondsdonotdirectly,indirectlyorcontingentlyobligatetheState of Alaskatolevyanyform of taxationormakeanyappropriationforthepayment of the2015SeriesThree Bonds.Neitherthefaithandcreditnorthetaxingpower of theState of Alaskaispledgedforthepayment ofthe 2015SeriesThreeBonds.TheBondBankhasnotaxingpower. AsofAugust 1,2015,theBondBankhasoutstanding$2,520,000ofgeneralobligationbondsissued underits1976GeneralBondResolution,$924,725,000ofBondsissuedunderits2005GeneralBondResolution and$4,155,000ofgeneralobligationbondsissuedunderits2010MunicipalObligationBondResolution. Asadditionalsecurityforpaymentofprincipalofandinterestonthe2015SeriesThreeBondsandother Bondsissuedunderthe2005GeneralBondResolution,theBondBankhasestablishedacommonReserveFund. See"SECURITYFORTHE2015SERIESTHREEBONDS -2005GeneralBondResolutionReserveFund." TheActprovidesthatinordertoensurethemaintenanceoftheReserveFundRequirement,theChairoftheBond Bankisannuallyrequired(beforeeachJanuary30)tomakeanddelivertotheGovernorandtotheState Legislatureacertificatestatingtheamount,ifany,requiredtorestoretheReserveFundtotheamountofthe ReserveFundRequirement.MoneyreceivedbytheBondBankfromtheStatepursuanttosuchcertificationwill, totheextentsuchcertificationwasoccasionedbythefactthattheamountintheReserveFundwaslessthanthe ReserveFundRequirement,bedepositedintheReserveFund.TheStateLegislatureislegallyauthorized,butnot legallyobligated,toappropriatesuchsumsduringthethencurrentStatefiscalyear.ThisprovisionoftheAct doesnotcreateadebtobligationonbehalfoftheStateoralegallyenforceableobligationoftheState. Beginningin2009,andcontinuingthroughthecurrentfiscalyear2016,theBondBankhasbeen obligatedbythe2005GeneralBondResolutiontoseekandhasobtaineda standing appropriationwithinthe State's annualoperatingbudgettoreplenishtheReserveFund,ifnecessary.The2005GeneralBondResolution requirestheBondBanktoseekthisstandingappropriationonanannualbasis.NosuchreplenishmentfromState appropriationhasbeennecessary.IftheBondBankmustdrawontheReserveFundbecauseofadefaultbya GovernmentalUnit,thestandingappropriationprovidesthatanamountequaltotheamountdrawnfromthe ReserveFundisappropriatedfromthe State's GeneralFundtotheReserveFund.Thereisnoguaranteethatthe BondBankwillbeabletosecurefuturestandingappropriationswithinthe State's operatingbudgetfor replenishment oftheReserveFund. PledgeEffectedbythe2005GeneralBondResolution Pursuanttothe2005GeneralBondResolution,allMunicipalBonds,allMunicipalBondsPayments,the investments thereof andtheproceeds of suchinvestments,andallfundsandaccountsestablishedbythe2005 GeneralBondResolution,arepledgedandassignedtotheTrustee,equallyandratably,tosecurethepaymentof theprincipalof,redemptionpremium,ifany,andinterestonallBonds,subjectonlytotheprovisionsofthe2005 GeneralBondResolutionpermittingtheapplication thereof forthepurposesandonthetermsandconditions specifiedinthe2005GeneralBondResolution. 5 TheActandthe2005GeneralBondResolutionprovideamongotherthingsthat (i)anypledgemadein respectoftheBondswillbevalidandbindingfromthetimethepledgeismade,(ii)theMunicipalBonds,the MunicipalBondsPaymentsandallothermoneyandsecuritiessopledgedandthereafterreceivedbytheBond Bankimmediatelywillbesubjecttothelienofsuchpledgewithoutanyfurtheract,and(iii)thelienofanysuch pledgewillbevalidandbindingagainstallpartieshavinganyclaimsofanykindintort,contractorotherwise againsttheBondBankirrespectiveofwhetherthepartieshavenotice. Municipal Bonds UndertheprovisionsoftheActandthe2005GeneralBondResolution,theBondBankcanpurchase MunicipalBondsfromanyGovernmentalUnit.The2005GeneralBondResolutiondefinesMunicipalBondsas "generalobligationbonds,revenuebonds,notesorotherevidencesofdebtissuedbyanyGovernmentalUnitas noworhereafterdefinedintheActwhichhaveheretoforebeenorwillhereafterbeacquiredbytheBondBankas evidenceofaLoantotheGovernmentalUnitpursuanttotheAct." ForeachissueofMunicipalBondsthattheBondBankpurchases,theBondBankwillobtainabond counsel's opinionstatingthat (a)suchMunicipalBondsarevaliddebtobligationsofsuchGovernmentalUnitas requiredbytheActand (b)aLoanAgreementhasbeendulyauthorizedandexecutedbetweentheBondBankand theGovernmentalUnitthatconstitutesavalidandbindingobligationoftheGovernmentalUnit. EachLoanAgreementobligatesaGovernmentalUnitto (a)makeinterestpaymentsonitsMunicipal Bond sufficient inamountandatsuchtimestoprovidetheBondBankfundstomeetinterestpaymentsonits LoanObligationsastheybecomedue;and(b)makeprincipalpaymentsonitsMunicipalBondsufficientin amountandatsuchtimestoprovidetheBondBankfundstomeetprincipalpaymentsonitsLoanObligationsas theybecomedue.PursuanttotheLoanAgreement,theGovernmentalUnitmayberequiredtopayfeesand chargestotheBondBanktomeettheGovernmental Unit's allocableportionofcertainexpenses.EachLoan AgreementalsocontainsrestrictionsonthesaleorredemptionofMunicipalBonds. 2005 General Bond Resolution ReserveFund The2005GeneralBondResolutionestablishedtheReserveFundtobeheldbytheTrusteeand maintainedatanamountequaltotheReserveFundRequirement.TheReserveFundRequirementisequaltothe leastofthefollowing:(i)10%oftheinitialprincipalamountofeachSeriesofBondsthenOutstanding;(ii)Maximum AnnualDebtServicewithrespecttoallBondsOutstanding;(iii)125%ofAverageAnnualDebtServiceonallBonds Outstanding;or (iv)suchloweramountasmayberequiredbylaw.See"DEFINITIONS-RequiredDebtService Reserve."TheReserveFundhasbeenfundedwithBondproceedsandcashdepositsfromtheBondBank.Asofthe datehereof,theReserveFunddoesnotcontainanysuretypoliciesorotherformsofliquidityfacility.TheReserve FundRequirementmay,however,besatisfiedentirely,orinpart,byaletterofcredit,lineofcredit,creditfacility, suretybond,bondinsurance,oranyotherinstrumentorarrangementobtainedinconnectionwiththeissuanceofa SeriesofBonds.Theadditionalreserverequirementresultingfromtheissuanceofthe2015ThreeBondswillbe satisfiedwithasuretyprovidedbyNationalPublicFinanceGuaranteeCorporation ("National").See"DebtService ReserveFundSuretyBond". AsofJune30,2015,thevaluationofassetsintheReserveFundwasapproximately$53.6million (unaudited),anamountsufficienttosatisfytheReserveFundRequirement.Asofthatdate,approximately$40.9 millionrepresenting69.7%oftheassetintheReserveFundwerefundedfromcashdepositsbytheBondBankfrom availablefunds,andthebalanceof$17.8millionrepresenting30.3%fundedfromreserveobligationsoftheBond Bank.Theadditionalreserverequirementresultingfromissuanceofthe2015ThreeBondsisapproximately$5.2 million,whichwillbesatisfiedwithasuretyfromNational. The2005GeneralBondResolutionrequirestheBondBanktoannuallysubmittotheStateabudget requestforanappropriationtoreplenishtheReserveFundtotheReserveFund Requirement intheeventthat 6 thereisadeficiencyasaresultofadefaultbyaborrower.Since2009,andcontinuingthroughfiscalyear2016, theStatehasincludedinitsoperatingbudgetastandingappropriationtoreplenishtheReserveFund,ifnecessary. WhiletheBondBankhasbeenobligatedtoseekandhasobtainedsuchastandingappropriationwithinthe State's annualoperatingbudget,theStateisnotobligated,legallyorotherwise,toincludetheappropriationinitsannual operatingbudget.Thiscreditfeatureisinadditiontothemoralobligationfeaturediscussedbelow. OnorbeforeDecember31ofeachyear,andsubjecttotherequirementsofthe2005GeneralBond Resolution,theTrusteewilltransferfromtheReserveFundanyamountsremainingintheReserveFundderived fromincomeorinterestearnedandprofitsrealizedbytheReserveFundduetoinvestmentsthereoftothe OperatingFund,butonlytotheextentthatthereremainsaftersuchtransferanamountintheReserveFundequal totheRequiredDebtServiceReserve.See"SUMMARYOFTHE2005GENERALBONDRESOLUTION- FundsandAccounts -ReserveFund." DebtServiceReserveFundSuretyBond.ApplicationhasbeenmadetoNationalforacommitmentto issueasuretybond(the"DebtServiceReserveFundSuretyBond").TheDebtServiceReserveFundSurety BondprovidesthatuponnoticefromtheTrusteetoNationaltotheeffectthatinsufficientamountsareondeposit intheDebtServiceFundtopaytheprincipalof(atmaturityorpursuanttomandatoryredemptionrequirements) andinterestontheBonds,NationalwillpromptlydepositwiththeTrusteeanamountsufficienttopaythe principalofandinterestontheBondsortheavailableamountoftheDebtServiceReserveFundSuretyBond, whicheverisless.Uponthelaterof:(i)three (3)daysafterreceiptbyNationalofaDemandforPaymentinthe formattachedtotheDebtServiceReserveFundSuretyBond,dulyexecutedbythePayingAgent;or(ii)the paymentdateoftheBondsasspecifiedintheDemandforPaymentpresentedbytheTrusteetoNational,National willmakeadepositoffundsinanaccountwithU.S.BankTrustNationalAssociation,inNewYork,NewYork, oritssuccessor,sufficientforthepaymenttotheTrustee,ofamountswhicharethenduetotheTrustee(as specifiedintheDemandforPayment)subjecttotheSuretyBondCoverage. TheavailableamountoftheDebtServiceReserveFundSuretyBondistheinitialfaceamount of the DebtServiceReserveFundSuretyBondlesstheamountofanypreviousdepositsbyNationalwiththeTrustee whichhavenotbeenreimbursedbytheBondBank.TheBondBankandNationalhaveenteredintoaFinancial GuarantyAgreementdatedAugust5,2015(the"Agreement").PursuanttotheAgreement,theBondBankis requiredtoreimburseNational,withinterest,withinoneyearofanydeposit,theamountofsuchdepositmadeby NationalwiththeTrusteeundertheDebtServiceReserveFundSuretyBond. NooptionalredemptionofBondsmaybemadeuntiltheInsurer'sDebtServiceReserveFundSurety Bondisreinstated.TheDebtServiceReserveFundSuretyBondisheldbytheTrusteeintheDebtService ReserveFundandisprovidedasanalternativetotheBondBankdepositingfundsequaltotheDebtService ReserveRequirementforoutstandingBonds. MoralObligation.TheBondBankisrequiredtodeliverastatementtotheGovernorandtheState Legislatureannually,beforeJanuary30,statingtheamount,ifany,necessarytorestoretheReserveFundtothe RequiredDebtServiceReserveresultingfromadrawontheReserveFundatanytimeduringtheprioryear.The StateLegislaturemay,butisundernolegalobligationto,appropriatemoneysufficienttorestoretheReserve FundtotheRequiredDebtServiceReserve.TheBondBankhasneverreportedadeficiencyinanyofthereserve fundsheldbytheBondBank. CustodianAccount.MoneynotheldbytheTrusteeintheReserveFundorinreservesforbondsissued underotherbondresolutionsismaintainedbytheBondBankinanaccounthereinreferredtoastheCustodian Account(the"CustodianAccount").TheCustodianAccountcontainsdirectandindirectStateappropriations, prioryearretainedearningsnotsubjecttothestatutoryannualearningstransfer,andcurrentyearinvestment earnings.AsofJune30,2014,theCustodianAccountcashandcashequivalentsandinvestmentsatfairvalue balance(audited)was$17,773,506.AsofJune 30,2015 theCustodianAccountmarketvaluebalance(unaudited) 7 was$14,586,998million.ThechangeinvaluewasprimarilyduetotransferstotheReserveFundandthefunding ofadirectcommunityloan. TheActrequiresthatearningsonfundsdirectlyappropriatedbytheStatetotheBondBankbetransferred totheStateinthefollowingfiscalyear.However,starting infiscalyear2009,andcontinuingthroughthecurrent fiscalyear2016,allfiscalyearearningsduetothe State's generalfundbystatutehavebeenappropriatedtothe Bond Bank's CustodianAccount.TheStateLegislaturemay,butisundernolegalobligationto,appropriate statutoryearningsbacktotheBondBank.TheentireCustodianAccountbalanceisavailableforappropriationby theStateLegislature,withamajorityvoteandthe Governor's concurrenceorathree-quartermajorityvoteto overcomea Governor's vetooftheappropriation,duringanyLegislativesession.TheLegislaturehasnot appropriatedfundsoutoftheCustodianAccountfornon-BondBankrelatedpurposesinthecurrent,oranyprior, fiscalyear. State Payments TheActprovidesthatanydepartmentoragencyoftheState,afternoticefromtheBondBankthata GovernmentalUnitisindefaultonthepaymentoftheprincipaloforinterestonitsMunicipalBondsthenheldor ownedbytheBondBank,willwithholdthepaymentofmoneyheldbyitandpayabletosuchGovernmentalUnit andpayoversuchmoneytotheBondBankforthepurposeofpayingprincipalofandinterestonthebondsofthe BondBank.StatepaymentstoGovernmentalUnitsincludepaymentsthroughtheSchoolDebt Reimbursement ProgramandEducationSupportFundingthroughtheDepartmentofEducationandEarlyDevelopment;and community jail fundingthroughtheDepartmentofCorrections.AtableappearsinAppendixBthatpresentsthe amountofStatepaymentstocommunitiesthathaveborrowedfromtheBondBankaswellasthefiscalyear2016 annualloanpaymentsandassociatedestimatedcoverageprovidedbythoseStatepayments.Capitalspending, whichisthesourceofmatchinggrantfundingtomunicipalitieshasbeenreducedinfiscalyear2015andfurther reducedinthefiscalyear2016budget.Thisdiminishedfundingisexpectedtoresultinagradual diminishment ofthebalancesinthematchinggrantcolumnofAppendixB.Besidesthe constitutionally requirededucation supportfundingthereisnoguaranteethatStatepaymentswillcontinue,andallofthepaymentscouldbereduced fromcurrentlevels. ThepaymentandamountofsuchStatepaymentsisuncertain,andLegislativeauthorizationforsuch paymentsissubjecttoappropriationandamendmentorrepeal.See"APPENDIXB-STATEPAYMENTSTO GOVERNMENTAL UNITS."TheBondBankhasneverimplementedtheStatepaymentinterceptremedy. Pledge of theState PursuanttotheAct,theStatehaspledgedandagreedwiththeholdersoftheBondsthatitwillnotlimitor restricttherightsvestedintheBondBankbytheActto,amongotherthings,purchase,holdanddisposeof MunicipalBondsandfulfillthetermsofanagreement(includingthe2005GeneralBondResolution)madebythe BondBankwithsuchholders,orinanywayimpairtherightsorremediesofsuchholdersuntiltheBonds, includinginterestontheBondsandinterestonunpaidinstallmentsofinterestandallcostsandexpensesin connectionwithanactionorproceedingbyoron behalf ofsuchholders,arefullymet,paidanddischarged. Theremainderofthispagehas intentionally beenleftblank. 8 THE ALASKA MUNICIPAL BOND BANK Organization ThepowersoftheBondBankarevestedintheDirectors.ThemembershipoftheBondBankconsistsof fiveDirectors:theCommissionersoftheDepartmentofRevenueandtheDepartmentofCommerce,Community andEconomicDevelopmentoftheStateandthreeDirectorsappointedbytheGovernor.Thethreeappointeesserve four-yearstaggeredtermsandmustbequalifiedvotingresidentsoftheState.TheCommissionersofthe DepartmentofRevenueandtheDepartmentofCommerce,CommunityandEconomicDevelopmentmayappoint delegatestotheBondBankBoardofDirectorstoserveintheirabsence. Perstatute,theDirectorselectoneoftheirmembersaschairandoneoftheirmembersasvice-chairandalso electasecretaryandtreasurerwhoneednotbeDirectorsinthefirstmeetingofeachfiscalyear.Actionmaybe takenandmotionsandresolutionsadoptedbytheBondBankatanymeetingbytheaffirmativevoteofatleastthree Directors.TheDirectorsappointanExecutiveDirectortomanagethebusinessoftheBondBank. Boardof Directors TheBond Bank's BoardofDirectorsincludesmemberslistedbelow. MarkPfeffer -Chair.TermexpiresJulyIS,2017.Mr.PfefferwasoriginallyappointedtotheBoardon October10,2001.Mr.PfefferisaregisteredarchitectwhoownsanarchitecturalpracticeinAnchorage,Alaska.He isactiveinthedevelopment,designandmanagementofcommercialrealestateprojects,manyofwhichinclude public/privatepartnerships.HeisPresidentofPfefferDevelopment.LLC.Mr.PfefferreceivedaBachelorof ArchitectureDegreefromtheUniversityofNebraskain1980. GregoryGursey -ViceChair.TermexpiresJulyIS,2018.Mr.GurseywasappointedtotheBoardon June22,2009.Mr.GurseybecamePresidentofBenefitBrokers,Inc.in2001,afterworkingasVicePresidentof InvestmentsforWedbushMorganSecuritiesfor 11 years.Mr.GurseyalsoservesasaFINRAindustryarbitrator inbothcivilandindustryarbitrationcases.AftergraduatingfromtheUniversityofAlaskaAnchoragewitha degreeinfinance,Mr.GurseybecameinvolvedwiththeUniversityofAlaskaFoundation.Heservedasthefirst ChairmanoftheUAACollegeofFellows,servedasaTrusteetotheUAFoundation,andwasamemberofthe InvestmentCommitteetotheUAFoundation.Mr.GurseyhasservedonboththeStateofAlaskaDental Examiner's BoardandtheU.S.Treasury Department's TaxpayerAdvocacyPanel.Heservedonthe Investment CommissionfortheMunicipalityofAnchorageandseveralotherlocalboards. LukeWelles -Member.Termcontinuespendingreappointment.Mr.Welleswasoriginallyappointedto theBoardonMay21,2008.Mr.WellesbecameVicePresidentofFinanceoftheArcticSlopeNative Association,LtdinMarch2011.Priortohiscurrent job heservedasChiefFinancialOfficerofLifeMedAlaska, LLC,whichprovidesmedivacservicesinAlaska.Previously,Mr.WelleswastheChiefFinancialOfficerforthe YukonKuskokwimHealthcareCorporationwhichadministershealthcarein52ruralcommunitiesincludinga hospitallocatedinBethel,Alaska.Hehasmanagementexperienceinhealthcare,civilconstructionand commercialrealestate.Overthepast15yearshehasservedonseveraleconomic development commissionsin theState,asacitycouncilmemberinHomer,Alaskaandonmultipleboards.Mr.WellesreceivedaBachelorof ArtsDegreeinForeignServiceandInternationalBusinessfromBaylorUniversityin1989. Michael Lamb -Member.Mr.LambisthefirstdelegateforChrisHladick,Commissioner of the DepartmentofCommerce,CommunityandEconomicDevelopment.Mr.Lambisacertifiedpublicaccountant withover25 years'experienceasa chief financialofficerandhasworkedinprivate,public,andgovernmental financialmanagementpositions.HehasservedasthechieffinancialofficerfortheAlaskaIndustrial DevelopmentandExportAuthorityandtheAlaskaEnergyAuthority.Priortothat,foralmost15yearsMr.Lamb wasthechieffinancialofficerfortheFairbanksNorthStarBorough,Alaska.Foralmost9years,priortothe 9 Borough,hewasthechieffinancialofficerfortheCityofSt.Paul,Alaska.Mr.Lambisagraduatefromthe UniversityofWashington,SchoolofBusinesswithaBachelorofArtsinBusinessAdministration,withan emphasisinaccounting. PamelaLeary -Member.Ms.LearyisthefirstdelegateforRandallHoffbeck,Commissionerofthe DepartmentofRevenue.SheistheDirectorofTreasuryDivisionintheDepartmentofRevenueandactsasthe StateTreasurer.ShepreviouslyservedintheDepartmentasStateComptrollerfrom2007through2013.Ms. LearybeganhercareerasanauditorwithPriceWaterhouseandbecameapartnerinthefirm PricewaterhouseCoopers.AftermovingtoAlaska,Ms.Learyownedandoperatedabusinessbeforereenteringthe accountingprofessionwiththeAlaskaPermanentFundCorporation.Sheholdsa bachelor's degreeineconomics fromtheWhartonSchool,UniversityofPennsylvania,andisacertifiedpublicaccountantintheStateofAlaska. Management Deven].Mitchell,whoalsoservesasStateDebtManagerandInvestmentOfficerintheDepartmentof Revenue-DivisionofTreasury,wasappointedExecutiveDirectoroftheBondBankin1999.Mr.Mitchellhas workedfortheStateDepartmentofRevenuesince1992.HepreviouslyheldseveralpositionsinAlaskafinancial institutions.Mr.MitchellholdsaBachelorofScienceDegreeinBusinessAdministrationfromNorthernArizona University. RyanS.Williams,whoalsoservesasOperationsResearchAnalystintheDepartmentofRevenue- DivisionofTreasury,wasappointedFinanceDirectoroftheBondBankin2014.Mr.Williamshasworkedforthe StateDepartmentofRevenuesince2009.Mr.WilliamsholdsaBachelorofScienceDegreeinBusiness AdministrationfromtheUniversityofSouthernCalifornia,withaconcentrationinInternationalBusiness. Ratherthanemploystaff,theBondBankcontractsintheprivatesectorforawiderangeofprofessional services.TheExecutiveDirectorcoordinatestheactivitiesoftheseprofessionals,whichincludebondcounsel, financialadvisor,accountants,auditors,fundtrustees,bondtrusteesandinvestmentmanagers. Future Financing Plans TheBondBankanticipatesissuingadditionalbondspursuanttoits2005GeneralBondResolutionorother bondresolutionswithinthenext12monthstopoliticalsubdivisionsoftheStatewithinterceptablestateaid.The principalamountofsuchadditionalbondsdependsonthenumberandsizeoftheapplicationsforBondBank financingfromGovernmentalUnits. ThetotalamountofBondBankbondsand notes outstandingat anyone timemaynotexceed$1.793billion, comprisedof$1.5billiontomunicipalities,JointInsuranceAssociations,PortAuthorities,JointActionAgencies,or theUniversityofAlaska;$87.5millionfortheUniversityofAlaska;and$205millionforregionalhealth organizations.AsofAugust 1,2015,thetotalprincipalamountoftheBond Bank's bondsandnotesoutstanding, notincludingthe2015SeriesThreeBonds,was$941,766,862allissuedtomunicipalities. TheBondBankiscurrentlyworkingwithseveralregionalhealthorganizationstodetermineiftheBond Bankwillparticipateinthefinancingofcertainhealthfacilities.TheBondBankdoesnotanticipatethatloansto suchregionalhealthorganizationswillbemadewithproceedsofbondsissuedunderthe2005GeneralBond Resolution. SinceFebruary2006,withtheexceptionofthe2010SeriesA-IandA-2MunicipalObligationBonds,all bondsissuedbytheBondBankhavebeensoldunderthe2005Resolution.TheBondBankhasnoplansatthistime toissueadditionalbondsunderits1976Resolutionorits2010Resolution. 10 2015 Legislation The29thAlaskaLegislaturepassedSenateBill46("SB46"),whichauthorizestheBondBanktomake loanstoJointActionAgencies,makeloanstoRegionalHealthOrganizations,andprovidedtechnicaland conformingamendmenttostatestatute.ThebilladdsJointActionAgenciestothelistofpoliticalsubdivisionsof theStatethatareallowedtoutilizetheBondBankundertheprimary$1.5billionborrowingdebtlimit.Thebillalso added$205millionofauthorityfortheBondBanktolendtoRegionalHealthOrganizationsininstanceswherethe CommissioneroftheStateDepartmentofHealthandSocialServicesdeterminesthatthereisanimprovementinthe localqualityofhealthcareandafinancialbenefittotheStateofAlaska.TheRegionalHealthOrganizationlending islimitedtonomorethan$205millionintotal,nomorethan49%oranysingleprojectwheretheother51%ofthe project's fundingisinplace,andnomorethan$102.5millionforanysingleproject.TheGovernorsignedSB46 intolawonMay26,2015.TheBondBankdoesnotanticipateissuingbondstofinanceregionalhealth organizationsusingthe2005GeneralBondResolution. DebtPayment Record TheBondBankhasalwaysmadeprincipalandinterestpaymentsonitsgeneralobligationandrevenue bondswhendue.NodeficiencieshaveariseninanyBondBankdebtservicefundorreservefund,norhasthere beenaneedtoexercisetheprovisionrequiringthatStatepaymentstoGovernmentalUnitsbepaidtotheBond Bank. The remainder ofthispagehas intentionally beenleftblank. 11 BONDS OUTSTANDING Under the provisions ofthe Act.theBondBankcan issue additional series of Bonds under its 2005 General Bond Resolution orissue bonds under other resolutions.TheBondBank currently has bonds outstanding underthe following resolutions: 1916 General Bond Resolution Asof August 1,2015,theBondBankhas issued $721,985,000 of general obligation bonds under the 1976 General Bond Resolution,$2,520,000 of which remains outstanding. 2005GeneralBond Resolution The 2015 Series Three Bonds arethe thirty-third issueof Bonds underthe 2005 General Bond Resolution. Asof August 1,2015,theBondBankhas issued $1,146,340,000 of general obligation bonds under the 2005 General Bond Resolution (not including the principal amount ofthe 2015 Series Three Bonds),$924,725,000 of which remains outstanding. 2010MunicipalObligationBondResolution On November 2,2010,theBondBank's Board of Directors approved the 2010 Municipal Obligation Bond Resolution ("2010 Resolution").Bonds issued pursuant tothe terms ofthe 2010 Resolution are general obligation bonds,equally and ratably secured bya pledge and assignment ofall obligations acquired bytheBondBank under the 2010 Resolution.Asof August 1,2015,theBond Bank has issued $4,765,000 of general obligation bondsunder the 2010 Resolution,$4,155,000 of which remains outstanding. Revenue Bond Resolutions The Authority (with respect tothe issuance of revenue bondstheBondBankis referred toasthe Authority)hasissued revenue bondsunder stand-alone revenue bond resolutions.The proceeds ofthese revenue bondsare applied toward the purchase of revenue bondsissuedby municipal borrowers.Thereare presently no outstanding revenue bondsissuedbythe Authority. Coastal Energy Impact Program TheBondBank issued bonds to provide loans tolocal governments that qualified foraid under the Coastal Energy Impact Program ("CEIP").CEIPisa federal program designed to provide financial assistance to coastal statesand municipalities facing impacts from offshore oil development.The United States Department of Commerce,National Oceanic and Atmospheric Administration ("NOAA")andtheBondBank entered intoan agreement whereby theBondBankwasthe direct lending agency forthe CEIP inthe State,with$50 million available to make loans to local governments orto establish reserves forloanstolocal governments. TheBondBank issued CEIP bonds,the proceeds of which wereusedto purchase bonds issued bythe Kenai Peninsula Borough,theCityof Seward,theCityof Nome andtheCityofSt.Paul.The total amount of CEIP bonds outstanding asof August I,2015,underthe Coastal Energy Impact Loan Program was $10,366,862,consisting of loans totheCityofSt.PaulandtheCityof Nome. The CEIP loansare administered directly by NOAA without involvement oftheBond Bank.Bonds issued fortheCEIParenot secured bya pledge ofany amounts heldbyor payable totheBondBankunderthe 2005 General Bond Resolution,including the Reserve Fund,norarethey secured directly or indirectly byany reserve account created under the Act. 12 DirectLoans TheBondBankhas purchased certain bond anticipation notes and defeased certain BondBankbondswith moneyfromthe Custodian Account while retaining underlying communities'bonds. Asof August 1,2015,theBondBankholds $1,499,340 ofCityof Galena Utility Revenue Bonds and $163,175 ofCityof Galena appropriationobligations inits financial portfolio.TheloanstotheCityof Galena are theresultof Legislative appropriation totheBondBank specifically forthis purpose. Asof August I,2015 theBondBankholds $3,200,000 of Kenai Peninsula Borough Bonds,the proceeds of whichwere used,in part,to construct the Central Peninsula Hospital's Specialty Clinic Building.Thatloanwas funded withthe Custodian Account andis secured bya pledge ofgross hospital revenues andadebt service reserve fund.Thisloanwasmade directly asitdidnot qualify fortax exemption andwouldhave required aspecialseriesof taxable BondBank bonds combined the relatively short8yearleveldebt service structure. Loans by theStateofAlaska TheBondBankhasthe statutory authority to borrow funds from theStateofAlaska's general fund atthe discretion ofthe Commissioner orthe Department of Revenue.In November 2010 and August 2011 theBondBank borrowed $6.0 million and$7.0 million,respectively,from theStatefor authorized usesoftheBond Bank.TheState ofAlaska's fiscal year 2013 capital budget converted the 2010 and 2011 loans to grants through a $13.2 million appropriation totheBondBankthatwas effective April 15,2012.This amount reflected the original loan amounts plus interest accrued on those loans.TheBondBankdoesnothaveany outstanding loans from theStateatthis time. The remainder ofthispageis intentionally leftblank. 13 TOTALBONDBANKBONDS ISSUED AND OUTSTANDING ASOFAUGUST1,2015 Original Amount AmountIssuedOutstanding I.Total2005GeneralBondResolutionG.O.Bonds'"$1,242,550,000 (1)$1,020,935,000 (1) II.Total1976GeneralBondResolutionG.O.Bonds 721,985,000 2,520,000 III.Total2010ResolutionG.O.Bonds 4,765,000 4,155,000 IV.CoastalEnergyImpactLoanProgram 35,456,04610,366,862 REMAINING DEBT CAPACITY AFTERTHE ISSUANCE OFTHE2015 SERIES THREEBONDS DebtLimit (Section 44.85.180oftheAct) LessOutstandingBonds GeneralObligationBonds 1976GeneralBondResolution 2010Resolution 2005GeneralBondResolution CoastalEnergyLoanProgram TotalOutstandingDebt RemainingDebtCapacity $2,520,000 4,155,000 1,018,935,000 (1) $1,792,500,000 (2) $1,027,610,000 (1) 10,366,862 $1,037,976,862 (1) $754523 138 (1) (1)Includes the 2015 Series Three Bonds. (2)The limit applies toall outstanding bonds or notes issued bythe Bond Bank.Of this total,$87,500,000 maybe issued forthe purpose of making loans tothe University of Alaska (including the loan of proceeds ofthe 2015 Series Three Bonds),$205,000,000 may be issued forthe purpose of making loans to regional health organizations,and $1.5 billion may be issued forall other purposes ofthe Bond Bank.This limit does not apply to the authority ofthe Bond Bank (ora subsidiary corporation ofthe Bond Bank)to issue bonds to assist governmental employers to prepay allora portion of their share ofthe unfunded accrued actuarial liabilities of retirement systems.This authority has never been utilized and there areno plans todoso. 14 DEBT SERVICE REQUIREMENTS OF OUTSTANDING 2005 GENERAL BOND RESOLUTION GENERAL OBLIGATION BONDS ANDTHE 2015 SERIES THREE BONDS (Fiscal Years Ending June 30) 2015 Series 2015 Series Fiscal Existing Three Three Total Year Debt Service Principal Interest Debt Service* 2016 $95,269,176 $2,458,496 $97,727,672 2017 94,431,486 $375,000 4,535,013 99,341,498 2018 97,034,138 390,000 4,527,363 101,951,501 2019 92,249,622 1,960,000 4,484,263 98,693,885 2020 87,062,704 2,050,000 4,393,813 93,506,517 2021 82,877,371 2,175,000 4,288,188 89,340,559 2022 77,877,758 2,300,000 4,176,313 84,354,070 2023 79,791,041 2,415,000 4,058,438 86,264,478 2024 73,110,490 2,540,000 3,934,563 79,585,052 2025 63,318,842 2,670,000 3,804,313 69,793,154 2026 58,702,462 2,805,000 3,667,438 65,174,899 2027 54,697,903 2,715,000 3,529,438 60,942,340 2028 55,508,137 2,855,000 3,390,188 61,753,325 2029 50,811,933 3,000,000 3,243,813 57,055,745 2030 42,485,521 3,160,000 3,089,813 48,735,334 2031 41,506,743 3,300,000 2,944,813 47,751,555 2032 37,408,023 3,455,000 2,788,119 43,651,142 2033 36,913,897 3,645,000 2,601,744 43,160,640 2034 28,680,403 3,835,000 2,405,394 34,920,797 2035 19,497,379 4,050,000 2,198,413 25,745,792 2036 18,363,381 4,265,000 1,980,144 24,608,524 2037 14,014,052 3,895,000 1,765,944 19,674,995 2038 13,739,335 4,105,000 1,561,075 19,405,410 2039 12,123,103 4,310,000 1,350,700 17,783,803 2040 10,303,800 4,535,000 1,129,575 15,968,375 2041 10,304,975 4,745,000 921,300 15,971,275 2042 10,309,700 4,860,000 729,200 15,898,900 2043 10,311,700 5,055,000 530,900 15,897,600 2044 10,315,475 5,265,000 324,500 15,904,975 2045 7,730,200 5,480,000 109,600 13,319,800 2046 5,429,750 5,429,750 2047 5,428,500 5,428,500 2048 2,155,000 2,155,000 2049 2,152,500 2,152,500 $1,401,916,498 $96,210,000 $80,922,865 $1,579,049,363 *Totals maynotfootdueto rounding.The 2015 Series Three Bonds arethe thirty-third Series of Bonds issued under the2005 General Bond Resolution. 15 SUMMARY OFTHE 2005 GENERAL BOND RESOLUTION Thefollowingisasummaryofcertainprovisionsofthe2005GeneralBondResolution.Foracomplete statementoftheprovisionsorcontentsofthe2005GeneralBondResolution,seeAppendixF.Wordsandterms usedinthissummaryaredefinedintheabove-mentioneddocumentandwillhavethesamemeaningshereinas containedinthatdocument,exceptasdefinedinthisOfficialStatement. 2005GeneralBondResolution Constitutes Contract The2005GeneralBondResolutionconstitutesacontractbetweentheBondBank,theTrusteeandthe ownersoftheBonds,andthepledgesmadeinthe2005GeneralBondResolutionandthecovenantsand agreementsthereinsetforthtobeperformedbytheBondBankwillbefortheequalandproportionatebenefit, protectionandsecurityoftheholdersofanyandalloftheBonds,allofwhichwillbeofequalrankwithout preference,priorityordistinction. Obligation of Bonds TheBondsaregeneralobligationsoftheBondBank,andthefullfaithandcreditoftheBondBankare pledgedforthepaymentoftheprincipalorredemptionpriceof,interestonandsinkingfundinstallmentsfor,the Bondssolelyfromthesourcesprovidedinthe2005GeneralBondResolutionandanySeriesResolution.The StatewillnotbeliableforpaymentontheBonds,andtheBondswillnotbeadebtorliability,orconstitutea pledgeorloanofthefaithandcreditoftheState. Pledge TheMunicipalBondsandtheMunicipalBondsPayments,theinvestmentsthereofandtheproceedsof suchinvestments,ifany,andallfundsandaccountsestablishedbythe2005GeneralBondResolutiontobeheld bytheTrusteearepledgedandassignedforthepaymentoftheprincipalof,redemptionpriceof,intereston,and sinkingfundinstallmentsfor,theBondsinaccordancewiththetermsandprovisionsofthe2005GeneralBond Resolution,subjectonlytotheprovisionsofthe2005GeneralBondResolutionpermittingtheapplicationthereof forthepurposesandonthetermsandconditionssetforthinthe2005GeneralBondResolution.TheMunicipal BondsandtheMunicipalBondsPaymentsandallothermoneyandsecuritiespledgedpursuanttothe2005 GeneralBondResolutionimmediatelywillbesubjecttothelienofsuchpledgewithoutanyfurtheract,andsuch lienwillbevalidandbindingasagainstallpartieshavingclaimsofanykindintort,contractorotherwiseagainst theBondBank,regardlessofwhethersuchpartieshavenoticethereof. PowertoIssueBondsandMake Pledges TheBondBankcovenantsthatitisdulyauthorizedbylawtoissuetheBondsandtopledgetheMunicipal BondsPayments,theMunicipalBondsandothermoney,securities,fundsandpropertypurportedtobepledged bythe2005GeneralBondResolutionwhichwillbefreeandclearofanypledge,lien,chargeorencumbrance thereonorwithrespecttheretopriorto,orofequalrankwith,thepledgecreatedbythe2005GeneralBond Resolution,exceptfortheliensinfavoroftheTrusteeandPayingAgentasprovidedinthe2005GeneralBond Resolution.TheBondBankwillatalltimes,totheextentpermittedbylaw,defend,preserveandprotectthe pledgeoftheMunicipalBondsPayments,theMunicipalBondsandothermoney,securities,fundsandproperty pledgedunderthe2005GeneralBondResolutionandalltherightsoftheBondholdersunderthe2005General BondResolutionagainstallclaimsanddemandsofallpersonswhomsoever. General TheBondBankwilldoandperformorcausetobedoneandperformedallactsandthingsrequiredtobe doneorperformedbyoronbehalfoftheBondBankunderlawandthe2005GeneralBondResolutionin accordancewiththetermsthereof. 16 TheBondBankpledgesandagreeswiththeHoldersoftheBondsthatitwillnotcausetheStatetolimit oraltertherightsvestedbytheActintheBondBanktofulfillthetermsofanyagreementsmadewith Bondholders,orinanywayimpairtherightsandremediesofsuchBondholders,untiltheBonds,togetherwith theinterestthereon.withinterestonanyunpaidinstallmentsofinterest,andallcostsandexpensesinconnection withanyactionor proceeding byoronbehalfofsuchHolders,arefullymetanddischarged. Waiver of Laws TheBondBankwillnotatanytimeinsistuponorpleadinanymannerwhatsoever,orclaimortakethe benefitoradvantageofanystayorextensionoflawnoworatanytimehereafterinforcewhichmayaffectthe covenantsandagreementscontainedinthe2005GeneralBondResolutionorinanySeriesResolutionorinthe Bonds,andallbenefitoradvantageofanysuchlaworlawsisherebyexpresslywaivedbytheBondBank. Loan Agreement Provisions NoloanwillbemadebytheBondBankfromproceedsofthesaleofBondsandnoBondswillbeissued forthepurposeofprovidingfundswithwhichtomakealoan,unlesstheLoanAgreementunderwhichsuchloan istobemadewillcomplywith,butnotbelimitedto,thefollowing: (a)TheGovernmentalUnitwhichisapartytosuchLoanAgreementmustbea Governmental Unitasdefinedbythe2005GeneralBondResolution,andtheLoan Agreement mustbeexecutedinaccordancewithexistinglaws. (b)TheGovernmentalUnit,priortoor simultaneously withtheissuanceofBonds, willissueMunicipalBondswhicharevaliddebtobligationsoftheGovernmentalUnitas requiredbytheAct. (c)TheMunicipalBondsPaymenttobemadebytheGovernmentalUnitundersuch LoanAgreementwillbenotlessthantheinterestandprincipalpaymentstheBondBankis requiredtomakeontheLoanObligationsandwillbescheduledbytheBondBankinsuch mannerandatsuchtimesastoprovidefundssufficienttopayprincipalandinterestonthe LoanObligationsasthesamebecomedue. (d)TheGovernmentalUnitwillbeobligatedtopayFeesandChargestotheBond BankatthetimesandintheamountswhichwillenabletheBondBanktocomplywiththe provisionsofthe2005GeneralBondResolution. (e)TheGovernmentalUnitwillagreethatintheeventtheMunicipalBonds PaymentisnotpaidbyittotheBondBankonorbeforethetimesspecifiedintheLoan Agreement,anymoneypayabletotheGovernmentalUnitbyanydepartmentoragencyofthe StatewillbewithheldfromsuchGovernmentalUnitandpaidoverdirectlytotheTrustee actingunderthe2005GeneralBondResolution. (f)TheBondBankwillnotsell,andtheGovernmentalUnitwillnotredeempriorto maturity,anyoftheMunicipalBondswithrespecttowhichtheLoanismadeinanamount greaterthantheOutstandingBondsissuedwithrespecttosuchLoanwhicharethen redeemable,andanysuchsaleorredemptionofsuchMunicipalBondwillbeinanamount notlessthantheaggregateof (i)theprincipalamountoftheLoanObligationtoberedeemed. (ii)theinteresttoaccrueontheLoanObligationsotoberedeemedtothenextredemption date,(iii)theapplicableredemptionpremium,and(iv)thecostsandexpensesoftheBond BankineffectingtheredemptionoftheLoanObligation. 17 (g)TheGovernmentalUnitmustgivetheBondBankatleastfifty(50)days'notice ofitsintenttoredeemitsMunicipalBonds. Modification of Loan Agreement Terms TheBondBankwillnotconsenttothemodificationof,ormodify,theratesofinterestof,ortheamount ortimeofpaymentofanyinstallmentofprincipaloforintereston,anyMunicipalBondsevidencingaLoan,or theamountortimeofpaymentofanyFeesandChargespayablewithrespecttosuchLoan,orthesecurityforor anytermsorprovisionsofsuchLoanortheMunicipalBondsevidencingthesame,inamannerwhichadversely affectsordiminishestherightsoftheBondholders. Enforcement of Municipal Bonds TheBondBankwilldiligentlyenforce,andtakeallreasonablesteps,actionsandproceedingsnecessary fortheenforcementof,allterms,covenantsandconditionsofallLoanAgreementsandtheMunicipalBonds, includingthepromptcollection,andthegivingofnoticetotheCommissionerofRevenue,Commissionerof Commerce,CommunityandEconomicDevelopmentandtheCommissionerofAdministrationandanyother departmentoragencyoftheStatewhichiscustodianofanymoneypayabletotheGovernmentalUnitofany failureordefaultoftheGovernmentalUnitinthepaymentofitsMunicipalBondsPaymentsandwillpromptly transferanysuchmoney,uponreceiptthereof,totheTrusteeandtheTrusteewilldepositanysuchmoneyinthe PrincipalAccountandInterestAccountinplaceofsaidunpaidMunicipalBondsPaymentsorintheevent deficienciesinsaidAccountscreatedbysuchdefaultwillhavebeenmadeupbytheReserveFund,intothe ReserveFundtotheextentofsuchdeficiencies. FundsandAccounts The2005GeneralBondResolutionestablishedaDebtServiceFund,consistingofanInterestAccount,a PrincipalAccountandaRedemptionAccount;aReserveFund;aRebateFund,whichconsistsofaseparatesub- accountforeachSeriesofBonds;andanOperatingFund.TheDebtServiceFund,theRebateFundandthe ReserveFundareheldbytheTrustee.TheOperatingFundisheldbytheBondBank. DebtServiceFund.TheTrusteewilldepositMunicipalBondsInterestPaymentsandanyothermoney availableforthepaymentofinterestintheInterestAccountuponreceiptthereof.TheTrusteewill,onorbefore eachinterestpaymentdate,payout oftheInterestAccounttheamountsrequiredforthepaymentoftheinterest becomingdueoneachseriesofBondsonsuchinterestpaymentdate. TheTrusteewilldepositMunicipalBondsPrincipalPaymentsandanyothermoneyavailableforthe paymentofprincipalinthePrincipalAccountuponreceiptthereof.TheTrusteewill,onorbeforeeachprincipal paymentdateorSinkingFundInstallmentdate,payout ofthePrincipalAccounttheamountsrequiredforthe paymentoftheprincipalorSinkingFundInstallmentdueoneachseriesofBondsonsuchdate. TheTrusteeestablishesintheRedemptionAccountaseparate sub-account foreachSeriesofBonds.Any moneydepositedintotheRedemptionAccountfromanysourceotherthanpursuanttoSection607orSection916 ofthe2005GeneralBondResolutionwillbeappliedtothepurchaseorredemptionofBonds.Anymoney depositedintotheRedemptionAccountfromtheReserveFundbecauseofareductionintheRequiredDebt ServiceReservewillbeappliedtothepurchaseorredemptionofReserveFundObligations. ReserveFund.Monthly,theTrusteewillsetasidefromamountsintheReserveFundderivedfrom investmentearningsandprofitsrealizedbytheReserveFundduetoinvestmentsthereof,anamountwhich,when addedtotheamountstheretoforesetasideforsuchpurposeandnotpaidintotheInterestAccount,willonsuch datebeequaltotheunpaidinterestontheReserveFundObligationsaccruedandtoaccruetothelastdayofsuch month. 18 OnorbeforeeachprincipalpaymentdateandSinkingFundInstallmentpaymentdateofReserveFund Obligations,theTrusteewillwithdrawfromamountsintheReserveFundanddepositinthePrincipalAccountan amountwhich,whenaddedtotheamountthenondepositinthePrincipalAccountandderivedfromsourcesother thanMunicipalBondsPayments,willbeequaltothePrincipalInstallmentoftheReserveFundObligations fallingdueonsuchdate. OnorbeforeDecember31ofeachyear,aftersatisfyingthedepositrequirementssetforthabove,the TrusteewillwithdrawfromtheReserveFundanyamountremainingthereinderivedfrominvestmentearningsor profitsduetoinvestmentsthereof,andpayoversaidamounttotheBondBankfordepositintheOperatingFund, butonlytotheextentthatthereremainsaftersuchwithdrawalanamountintheReserveFundatleastequaltothe ReserveFundRequirement. TheBondBankwillpayintotheReserveFund (a)moneymadeavailablebytheStateandpaidbythe StateforthepurposeoftheAlaskaMunicipalBondBankReserveFundcreatedbytheActintheamount providedbyaSeriesResolution;(b)allmoneypaidtotheBondBankpursuanttotheActforthepurposeof restoringtheReserveFundtotheamountoftheReserveFundRequirement:(c)suchportionoftheproceedsof saleofBonds,ifany,aswillbeprovidedbyanySeriesResolution;(d)CreditEnhancement;and (e)anyother moneywhichmaybemadeavailabletotheBondBankforthepurposesoftheReserveFundfromanyother sourceorsources.TheReserveFundRequirementmaybesatisfiedentirely,orinpart,byaletterofcredit,aline ofcredit,acreditfacility,asuretybond,oranyotherinstrumentorarrangementobtainedinconnectionwiththe issuanceofaSeriesofBonds;provided,however,anycreditenhancement satisfying alloranypartoftheReserve FundRequirementaftertheinitialissuanceofBondsorissuedinsubstitutionofanypriorcreditenhancement previouslyissuedwillnot,byitself,causeawithdrawalordownwardrevisionoftheratingsmaintainedbyany RatingAgencywithrespecttotheBonds. IntheeventtherewillbeadeficiencyintheInterestAccountorinthePrincipalAccount,theTrusteewill makeupsuchdeficienciesfromtheReserveFund. Administration of ReserveFund.MoneyandsecuritiesheldintheReserveFundwillnotbewithdrawn therefromatanytimeinsuchamountaswouldreducetheamountinsuchFundtoanamountlessthanthe ReserveFundRequirementexceptforthepaymentwhendueofdebtserviceonReserveFundObligationsandto cureadeficiencyinthePrincipalAccountortheInterestAccount. RebateFund.TherewillbedepositedintheRebateFundtheamountoftheRebateRequirementforeach SeriesofBonds,andtheTrusteewillpayovertotheUnitedStatesGovernmentsuchamountsasdeterminedby theBondBankandassetforthinthe2005GeneralBondResolution.AllamountsheldintheRebateFund, includingincomeearnedfrominvestmentoftheRebateFund,shallbeheldbytheTrusteefreeandclearofthe lienofthe2005GeneralBondResolution. Operating Fund.TherewillbedepositedintheOperatingFundallFeesandCharges,totheextentnot otherwiseencumberedorpledged,andanyothermoneywhichmaybemadeavailabletotheBondBanktherefor fromanyothersourceorsources.MoneyatanytimeheldforthecreditoftheOperatingFundwillbeusedfor andappliedsolelytothefollowingpurposes:(a)topaytheAdministrativeExpensesoftheBondBank;(b)topay thefeesandexpensesoftheTrusteeandanyPayingAgent;(c)topayfinancingcostsincurredwithrespecttoa SeriesofBonds;and(d)topayanyexpensesincurredincarryingoutanyotherpurposethenauthorizedbythe Act. AllamountsintheOperatingFundwillbefreeandclearofanylienorpledgecreatedbythe2005 GeneralBondResolution. 19 Securityfor Deposits AllmoneyheldbytheTrusteewillbecontinuouslyandfullysecured,forthebenefitoftheBondBank andtheBondholdersinsuchmannerasmaythenberequiredorpermittedbyapplicableStateorfederallawsand regulationsregardingthesecurityfor,orgrantingapreferenceinthecaseof,thedepositoftrustfunds.It willnot benecessaryfortheTrusteeoranypayingagenttogivesecurityforthedepositofanymoneywiththemheldin trustforthepaymentoftheprincipalorRedemptionPriceoforinterestonanyBonds,orfortheTrusteetogive securityforanymoneywhichwillberepresentedbyobligationspurchasedundertheprovisionsofthe2005 GeneralBondResolutionasaninvestmentofsuchmoney. PaymentofBonds TheBondBankwilldulyandpunctually payor causetobepaidtheprincipalorRedemptionPrice,if any,ofeveryBondandtheinterestthereon,atthedatesandplacesandinthemannerprovidedintheBonds accordingtothetrueintentandmeaningthereof,andwilldulyandpunctuallysatisfyallSinkingFund Installments,ifany,becomingpayablewithrespecttoanySeriesofBonds. Feesand Charges TheBondBankmaychargesuchFeesandChargestoeachGovernmentalUnittowhichaLoanismade, andwillrevisesuchFeesandChargesifnecessary,sothatsuchFeesandChargesactuallycollectedfromeach suchGovernmentalUnitwillatalltimesproducemoneywhich,togetherwithsuchGovernmental Unit's AllocableProportionofothermoneyavailableundertheprovisionsofthe2005GeneralBondResolution,and othermoneyavailabletherefor,willbeatleastsufficienttopay,asthesamebecomedue,theGovernmental Unit's AllocableProportionoftheAdministrativeExpensesoftheBondBankandofthefeesandexpensesofthe TrusteeandanyPayingAgent. Issuanceof Additional Obligations TheBondBankmayissueadditionalBondsandrefundingBondspursuanttothetermsofthe2005 GeneralBondResolution;however,noadditionalseriesofBondswillbeissuedunless: (a)theaggregateprincipalamountofBondsandNotesOutstandingatthetimeof issuanceanddeliveryofsuchadditionalBondsincludingtheprincipalamountofsuch additionalBonds,willnotexceedanylimitthereonimposedbyStatelaw; (b)thereisatthetimeoftheissuanceofsuchadditionalBondsnodeficiency in the amountsrequiredbythe2005GeneralBondResolutionoranySeriesResolutiontobepaid intotheDebtServiceFundandintotheReserveFund; (c)theamountoftheReserveFund,upontheissuanceanddeliveryofsuch additionalBonds,willnotbelessthantheRequiredDebtServiceReserve;and (d)thematuritiesof,orSinkingFundInstallmentsfor,theadditionalBonds representingLoanObligations,unlesssuchadditionalBondsarebeingissuedtorefund OutstandingBonds,willbeequaltothescheduledMunicipalBondsPrincipalPaymentstobe madeinrespectoftheLoanswithrespecttowhichsuchadditionalBondsaretobeissued. TheBondBankexpresslyreservestherighttoadoptothergeneralbondresolutionsandreservestheright toissuenotesandanyotherobligationssolongasthesamearenotachargeorlienontheMunicipalBonds,the MunicipalBondsPaymentsandtheFeesandChargesorpayablefromtheDebtServiceFundortheReserve Fund. 20 Defeasance IftheBondBankwill payor causetobepaidtotheholdersofallBondsthenOutstanding,theprincipal andinterestand/orRedemptionPrice,ifany,tobecomeduethereon,atthetimesandinthemannerstipulated thereinandinthe2005GeneralBondResolutionandalsowill payor causetobepaidallothersumspayable underthe2005GeneralBondResolution,includinganyamountspayabletotheUnitedStates,then,attheoption oftheBondBank,asexpressedinaninstrumentinwritingsignedbyanAuthorizedOfficeranddeliveredtothe Trustee,thecovenants,agreementsandotherobligationsoftheBondBanktotheBondholderswillbedischarged andsatisfied.AllOutstandingBondsofanySerieswill,priortothematurityorredemptiondatethereof,be deemedtohavebeenpaidif (a)incaseanyofsaidBondsaretoberedeemedonanydatepriortotheirmaturity, theBondBankwillhavegiventotheTrusteeinformsatisfactorytoitirrevocableinstructionstopublishnoticeof redemptiononsaiddateofsuchBonds,and (b)therewillhavebeendepositedwiththeTrusteeeithermoniesin anamountwhichwillbesufficientorInvestmentSecuritieswhicharenotsubjecttoredemptionpriortothedates onwhichamountswillbeneededtomakepaymentsontheBondsanddescribedinclause (1)ofthedefinition thereof,theprincipalofandtheinterestonwhichwhenduewillprovidemoneywhich,togetherwiththemoney, ifany,depositedwiththeTrusteeorPayingAgentatthesametime,willbesufficient,topay,whendue,the principalorRedemptionPrice,ifapplicable,andinterestdueandtobecomedueonsaidBondsonandpriortothe redemptiondateormaturitydatethereof,asmaybethecase. Supplements and Amendments TheBondBankmayadoptaSeriesResolutionorSupplementalResolutionwithouttheconsentofthe BondholdersortheTrusteeforvariouspurposesnotinconsistentwiththe2005GeneralBondResolution,to providefortheissuanceofadditionalSeriesofBonds,toimposeadditionallimitationsorrestrictionsonthe issuanceofBonds,toimposeotherrestrictionsontheBondBank,tosurrenderanyright,powerorprivilege,orto confirmanypledgeoforlienupontheMunicipalBondsortheMunicipalBondsPaymentsoranyotherfunds. TheBondBankmayalso supplement the2005GeneralBondResolutiontocureanyambiguityordefectinthe 2005GeneralBondResolution,providedsuchmodificationsarenotcontrarytoorinconsistentwiththe2005 GeneralBondResolutionastheretoforeineffect. Anymodificationoramendmentofthe2005GeneralBondResolutionandoftherightsandobligations of theBondBankandoftheBondholdersmaybemadewiththewrittenconsent (a)oftheholdersofatleast two-thirdsinprincipalamountoftheBondsOutstandingatthetimesuchconsentisgiven,or (b)incaselessthan alloftheseveralSeriesofBondsthenOutstandingareaffectedbythemodificationoramendment,oftheholders ofatleasttwo-thirdsinprincipalamountoftheBondsofeachSeriessoaffectedandOutstandingatthetimesuch consent isgiven;provided,however,thatsuchmodificationoramendmentwillnotpermit (i)achangeinthe terms of redemptionormaturityoftheprincipalofanyoutstandingBondorofanyinstallmentofinterestthereon orSinkingFundInstallmenttherefor,(ii)areductionintheprincipalamountortheRedemptionPricethereofor intherateofinterestthereon,(iii)areductionofthepercentageoftheHoldersofwhichisrequiredtoeffectany suchmodificationoramendment,or(iv)thecreationofanylienpriortooronaparitywiththeliencreatedbythe 2005GeneralBondResolution(exceptinthemannerprovidedbythe2005GeneralBondResolution)ordeprive theBondholdersoftheliencreatedbythe2005GeneralBondResolution,withouttheconsentoftheholdersof alltheBondsOutstandingoroftheSeriesofBondsaffectedbysuch modification oramendment.Totheextent thatthefullpaymentoftheinterestandprincipalofBondsofaSeriesissecuredbyCreditEnhancement,the CreditEnhancementAgencywillbeconsideredtobethe Bondholder ofalltheBondsoftheSeriesforpurposes ofexercisinganyrightswithrespecttosupplementsandamendmentstothe2005GeneralBondResolutionifthe CreditEnhancementsoprovides. 21 EventsofDefaultand Remedies EachofthefollowingeventsisanEventofDefaultunderthe2005GeneralBondResolution: (a)theBondBankdefaultsinthepaymentoftheprincipalorRedemptionPriceof, SinkingFundInstallmentfor,orintereston,anyBondwhenandasthesamewillbecomedue whetheratmaturityoruponcallforredemption,orotherwise; (b)theBondBankfailsorrefusestocomplywiththeprovisionsoftheActregarding thecertificationofdeficienciesinthe2005GeneralBondResolutionReserveFund,orsuch amountsaswillbecertifiedtotheGovernorandtotheLegislaturepursuanttotheActwillnot beappropriatedandpaidtotheBondBankpriortotheterminationofthethencurrentState fiscalyear;or (c)theBondBankfailsorrefusestocomplywiththeprovisionsoftheAct,other thanasprovidedin(b)above,ordefaultsintheperformanceorobservanceofanyotherofthe covenants,agreementsorconditionsonitspartinthe2005GeneralBondResolution,any SeriesResolution,any Supplemental Resolution,orintheBondscontained,andsuchfailure, refusalordefaultwillcontinueforaperiodof45daysafterwrittennoticethereofbythe TrusteeortheHoldersofnotlessthan25percentinprincipalamountoftheOutstanding Bonds; provided,however,thataneventofdefaultwillnotbedeemedtoexistundertheprovisionsofclause (c)above uponthefailureoftheBondBanktomakeandcollectFeesandChargesrequiredtobemadeandcollectedbythe 2005GeneralBondResolutionoruponthefailureoftheBondBanktoenforceanyobligationundertakenbya GovernmentalUnitpursuanttoaLoanAgreementincludingthemakingofthestipulatedMunicipalBonds PaymentssolongastheBondBankmaybeotherwisedirectedbylawandsolongastheBondBankwillbe providedwithmoneyfromtheStateorotherwise,otherthanwithdrawalsfromorreimbursementsoftheReserve Fund,sufficientinamounttopaytheprincipalofandinterestonallBondsasthesamewillbecomedueduring theperiodforwhichtheBondBankwillbedirectedbylawtoabstainfrommakingandcollectingsuchFeesand ChargesandfromenforcingtheobligationsofaGovernmentalUnitundertheapplicableLoanAgreement. Uponthehappeningandcontinuanceofanyeventofdefaultspecifiedinparagraph(a)above,theTrustee willproceed,oruponthehappeningandcontinuanceofanyeventofdefaultspecifiedinparagraphs (b)and (c) above,theTrusteemayproceed,anduponthewrittenrequestoftheholdersofnotlessthan25percentin principalamountoftheOutstandingBondswillproceed,initsownname,toprotectandenforceitsrightsandthe rightsoftheBondholdersbysuchofthefollowingremediesastheTrustee,beingadvisedbycounsel,willdeem mosteffectualtoprotectandenforcesuchrights: (a)bymandamusorothersuit,actionorproceedingatlaworinequity,enforceall rightsoftheBondholders,includingtherighttorequiretheBondBanktomakeandcollect FeesandChargesandMunicipalBondsPaymentsadequatetocarryoutthecovenantsand agreementsasto,andpledgeof,suchFeesandChargesandMunicipalBondsPayments,and otherpropertiesandtorequiretheBondBanktocarryoutanyothercovenantoragreement withBondholdersandtoperformitsdutiesundertheAct; (b)bybringingsuitupontheBonds; (c)byactionorsuitinequity,requiretheBondBanktoaccountasifitwerethe trusteeofanexpresstrustfortheholdersoftheBonds; (d)byactionorsuitinequity,enjoinanyactsorthingswhichmaybeunlawfulorin violationoftherightsoftheholdersoftheBonds. 22 UpontheoccurrenceofaneventofdefaultinthepaymentofprincipalofandinterestonBondsthen Outstanding,theTrusteemay,anduponthewrittenrequestoftheholdersofnotlessthanamajorityinaggregate principalamountoftheBondsatthetimeOutstandingwill,declaretheprincipalofalltheBondsthen Outstanding,andtheinterestaccruedthereon,tobedueandpayableimmediately,anduponanysuchdeclaration thesamewillbeimmediatelydueandpayable.Thisprovision,however,issubjecttotheconditionthatifbefore any judgment ordecreeforthepaymentofthemoneyduewillhavebeenobtainedorentered,theBondBankwill depositwiththeTrusteeasumsufficienttopayallprincipalontheBondsmaturedpriortosuchdeclarationand allmaturedinstallmentsofinterestuponalltheBonds,withinterestonsuchoverdueinstallmentsofprincipalat theratebornebytherespectiveBonds,andthereasonableexpensesoftheTrustee,andanyandallotherdefaults knowntotheTrusteewillhavebeenmadegoodorcuredtothesatisfactionoftheTrusteeorprovisiondeemedby theTrusteetobeadequatewillhavebeenmadetherefor,thentheholdersofatleastamajorityinaggregate principalamountoftheBondsthenoutstanding,may,on behalf oftheholdersofalloftheBonds,rescindand annulsuchdeclarationanditsconsequencesandwaivesuchdefault. Bondholders'Direction ofProceedings.TheholdersofamajorityinprincipalamountoftheBondsthen Outstandingwillhavetherighttodirectthemethodofconductingallremedialproceedingstobetakenbythe Trustee,providedthatsuchdirectionwillnotbeotherwisethaninaccordancewithlaworthe2005GeneralBond Resolution,andthattheTrusteewillhavetherighttodeclinetofollowanysuchdirectionwhichintheopinionof theTrusteewouldbeunjustlyprejudicialtoBondholdersnotpartiestosuchdirection. LimitationonRights of Bondholders.NoholderofanyBondwillhaveanyrighttoinstituteanysuit, action,mandamusorotherproceedinginequityoratlawunderthe2005GeneralBondResolution,orforthe protectionorenforcementofanyrightunderthe2005GeneralBondResolutionoranyrightunderlawunless suchholderwillhavegiventotheTrusteewrittennoticeoftheeventofdefaultorbreachofdutyonaccountof whichsuchsuit,actionorproceedingistobetaken,andunlesstheholdersofnotlessthan25percentinprincipal amountoftheBondsthenOutstandingwillhavemadewrittenrequestoftheTrusteeandwillhaveaffordedthe Trusteeareasonableopportunityeithertoproceedtoexercisethepowersgrantedunderlawortoinstitutesuch action,suitorproceedinginitsnameandunless,also,therewillhavebeenofferedtotheTrusteereasonable securityandindemnityagainstthecosts,expensesandliabilitiestobeincurredthereby,andtheTrusteewillhave refusedorneglectedtocomplywithsuchrequestwithinareasonabletime.NoholderoftheBondswillhaveany righttoaffect,disturborprejudicethesecurity of the2005GeneralBondResolution,ortoenforceanyrightwith respecttotheBondsorthe2005GeneralBondResolution,exceptinthemannerprovidedinthe2005General BondResolution,andallproceedingsatlaworinequitywillbeinstituted,heldandmaintainedinthemanner hereinprovidedandforthebenefitofallBondholders. Excess Earnings TheBondBankcovenantsandagreestocalculateRebatableArbitrageandtopayRebatableArbitrageto theUnitedStatesofAmericainthemannernecessarytocomplywiththethenapplicablefederaltaxlaw.Within 30daysaftertheendofeveryfifthBondYear,andwithin60daysofthedatewhenallofeachSeriesofBonds havebeenretired(oratsuchothertimeortimesasmaythenberequiredbytheCodeandtheapplicableIncome TaxRegulations),theBondBankwilldeterminetheRebatableArbitragewithrespecttoeachSeriesofBonds, andpayrebateamountsduetheUnitedStatesofAmericawithrespectthereto,asprovidedinSection148(f)of theCode. Modifications tothe2005GeneralBond Resolution The2005GeneralBondResolutionauthorizesmodificationsofanyprovisionsetforthinthe2005 GeneralBondResolutionbythetermsofa Supplemental Resolution,withsuchmodificationsbecomingeffective afterallBondsofeachSeriesOutstandingasofthedateofsuchSupplementalResolutionauthorizingsuch modificationceasetobeOutstanding.Afirstsupplementalresolution (the"First Supplemental Resolution")was approvedbytheBoardofDirectorsoftheBondBankatameetingheldonFebruary19,2013. 23 TheFirstSupplementalResolutionauthorizesthefollowingmodificationstothe2005GeneralBond Resolution:(i)toauthorizetheTrusteetoreleasetotheBondBankamountsheldintheReserveFundwhich exceedtheRequiredDebtServiceReservewheneverthereisareductionintheRequiredDebtServiceReserve, (ii)toauthorizetheTrusteetoreleasetotheBondBankearningsandprofitsrealizedfrominvestmentsinthe ReserveFundonorbeforeJune30ofeachyearsolongasthebalancethereinequalstheRequiredDebtService Reserve,(iii)toallowforcertainamendmentsandmodificationstothe2005GeneralBondResolutiontobe effectiveuponsecuringtheconsentofHoldersofatleasttwo-thirdsinprincipalamountofBondsthen Outstanding,and(iv)toestablishthatconsentofHoldersofBonds,whenrequiredunderthetermsofthe2005 GeneralBondResolution,specificallyincludestheconsentofanunderwriterorpurchaserofaSeriesofBondsat thetimesuchBondsareissued. Themodificationstothe2005GeneralBondResolutionsetforthintheFirstSupplementalResolution shallbecomeeffectiveafterallBondsissuedpriortothe2013SeriesOneBondsceasetobeOutstandingand compliancebytheBankwithcertainrequirementssetforthinthe2005GeneralBondResolution,atwhichtime thesemodificationswillapplytothe2015SeriesThreeBondsandgoverntherightsandobligationsofthe Holdersthereof. LITIGATION Uponthedeliveryofthe2015SeriesThreeBonds,theBondBankwillfurnishacertificatetotheeffectthat, amongotherthings,thereisnolitigationpendinginanycourttorestrainorenjointheissuanceordeliveryofthe 2015SeriesThreeBonds,orinanywaycontestingthevalidityorenforceabilityofthe2015SeriesThreeBonds,the 2005GeneralBondResolutionoranyBondsormoneypledgedunderthe2005GeneralBondResolution. CERTAIN LEGAL MATTERS Legalmattersincidenttotheauthorization,issuanceandsalebytheBondBankofthe2015SeriesThree BondsaresubjecttotheapprovinglegalopinionofWohlforth,Brecht&CartledgeAPCofAnchorage,Alaska, BondCounseltotheBondBank.TheproposedformoftheopinionofBondCounselisincludedhereinas Appendix A. Certainlegalmatterswillbepasseduponfor (t)theHainesBoroughbyitsbondcounsel,K&LGatesLLP ofSeattle,Washington,(ii)theUniversityofAlaskabyitsbondcounselWohlforth,Brecht&Cartledge,APCof Anchorage,Alaska,(iii)theCityofKingCoveandKodiakIslandBoroughbytheirco-bondcounsel,Foster PepperPLLCofSeattle,Washington,andtheLevesqueLawGroup,LLCofAnchorage,Alaska. CertainlegalmatterswillbepasseduponfortheUnderwritersbytheirspecialcounsel,FosterPepper PLLC,Seattle,Washington.Anyopinionofsuchcounselwillbelimitedinscopeanddeliveredonlytothe Underwriters,andmaynotberelieduponbyinvestors. ThefirmofWohlforth,Brecht&Cartledge,APChassecuredthewrittenconsentoftheBondBankand theUniversityofAlaskaregardingthemultiplerepresentationsofclientsinthistransaction. ThefirmofFosterPepperPLLC,Seattle,WashingtonhassecuredtheconsentoftheUnderwriters,the CityofKingCoveandKodiakIslandBoroughregardingthemultiplerepresentationsofclientsinthistransaction. UNDERWRITING The2015SeriesThreeBondsaretobepurchasedbyRBCCapitalMarkets,LLC,BankofAmerica MerrillLynchandGoldman,Sachs&Co.(together,the"Underwriters")fromtheBondBankatanaggregate purchasepriceof$104,076,129.62(equaltotheaggregateprincipalamountofthe2015SeriesThreeBonds,plus anetoriginalissuepremiumof$8,208,651.10lessan Underwriters'discountof$342,521.48),subjecttothe termsofaBondPurchaseContractbetweentheBondBankandtheUnderwriters.TheBondPurchaseContract 24 providesthattheUnderwriterswillpurchaseallofthe2015SeriesThreeBondsifanyarepurchasedandthatthe obligationtomakesuchpurchaseissubjecttocertaintermsandconditionssetforthintheBondPurchase Contract,includingtheapprovalbycounselofcertainmatters. Theinitialofferingprices(orpricescorrespondingtotheyields)setforthontheinsidecoverofthis OfficialStatementmaybechangedfromtimetotimebytheUnderwriterswithoutpriornoticetoanypersonafter thedateofthesaleofthe2015SeriesThreeBonds.TheUnderwritersmayofferandsellthe2015SeriesThree Bondstocertaindealers,unitinvestmenttrustsormoneymarketfundsatpriceslowerthantheinitialoffering prices(orprices corresponding totheyields)setforthontheinsidecoverofthisOfficialStatement. TheUnderwritersandtheirrespectiveaffiliatesarefull-servicefinancialinstitutionsengagedinvarious activitiesthatmayincludesecuritiestrading,commercialandinvestmentbanking,municipaladvisory,brokerage, andassetmanagement.Intheordinarycourseofbusiness,theUnderwritersandtheirrespectiveaffiliatesmay activelytradedebtand.ifapplicable,equitysecurities(orrelatedderivativesecurities)andprovidefinancial instruments(whichmayincludebankloans,creditsupportorinterestrateswaps).TheUnderwritersandtheir respectiveaffiliatesmayengageintransactionsfortheirownaccountsinvolvingthesecuritiesandinstruments madethesubjectofthissecuritiesofferingorotherofferingoftheIssuerorGovernmentalUnits.The Underwritersandtheirrespectiveaffiliatesmaymakeamarketincreditdefaultswapswithrespecttomunicipal securitiesinthefuture.TheUnderwritersandtheirrespectiveaffiliatesmayalsocommunicateindependent investmentrecommendations,marketcolorortradingideasandpublishindependentresearchviewsinrespectof thissecuritiesofferingorotherofferingsoftheIssuerandGovernmentalUnits. MUNICIPAL ADVISOR WesternFinancialGroup,LLChasactedasfinancialadvisor(the"MunicipalAdvisor")totheBondBank inconnectionwiththeissuanceofthe2015SeriesThreeBonds.TheMunicipalAdvisorisnotobligatedto undertake.andhasnotundertakentomake,anindependentverificationortoassume responsibility forthe accuracy,completeness,orfairnessoftheinformationcontainedinthisOfficialStatement.WesternFinancial Group.LLCisanindependentadvisoryfirmregisteredwiththeSecuritiesandExchangeCommissionandisnot engagedinthebusinessofunderwriting,trading,ordistributingmunicipalsecuritiesorotherpublicsecurities. FINANCIAL STATEMENTS ThefinancialstatementsoftheBondBankincludedasAppendixEtothisOfficialStatementhavebeen auditedbyBDOUSA,LLP,independentcertifiedpublicaccounts,totheextentandfortheperiodsindicatedintheir reportthereon.Suchfinancialstatementshavebeenincludedinrelianceuponthereport ofBDO USA,LLP. TheBondBankhasnotrequestedBDOUSA,LLPtoprovidewrittenconsentforinclusionofthefinancial statementsinthisOfficialStatement. TAX MATTERS 2015SeriesThreeBonds.IntheopinionofBondCounsel,basedonananalysisofexistinglaws, regulations.rulingsandcourtdecisionsandassuming,amongotherthings.compliancebytheBondBankandthose participatingGovernmentalUnitswithcertaincovenants.interestonthe2015SeriesThreeBondsisexcludable fromgrossincomeforfederalincometaxpurposes.Interestonthe2015SeriesThreeBondsisnotataxpreference itemforpurposesofthealternativeminimumtaximposedbytheInternalRevenueCodeof1986.asamended(the "Code")onindividualsorcorporations.However,interestonthe2015SeriesThreeBondsistakenintoaccountin determiningadjustedcurrentearningsforpurposesofcomputingthefederalalternativeminimumtaximposedon certaincorporations. 25 Bond Counsel isalsoofthe opinion,based on existing laws oftheStateas enacted and construed that interest onthe 2015 Series Three Bonds is excludable from taxation bythe State exceptfor transfer,estate and inheritance taxes. The Code imposes various restrictions,conditions and requirements relating tothe exclusion fromgross income for federal income tax purposes of interest on obligations suchasthe 2015 Series Three Bonds.TheBond Bankand Governmental Units have covenanted to comply with certain restrictions designed to assure that interest onthe 2015 Series Three Bonds is excludable from federal gross income.Failure to comply with these covenants may result in interest onthe 2015 Series Three Bonds being included in federal gross income.possibly from thedate of issuance ofthe 2015 Series Three Bonds.Bond Counsel's opinion is subject tothe condition thattheBondBank andthe Governmental Units comply with these covenants and,in addition,willrelyon representations bytheBond Bankandthe Governmental Units andtheir advisors with respect to matters solely within the knowledge ofthe Bond Bank,the Governmental Units andtheir advisors,respectively. Bond Counsel hasnot undertaken to determine (orto inform any person)whether any actions taken (or not taken)or events occurring (ornot occurring)afterthedateof issuance ofthe 2015 Series Three Bonds may adversely affect thetax status of interest onthe 2015 Series Three Bonds. Although Bond Counsel has rendered an opinion that interest onthe 2015 Series Three Bonds is excludable from gross income for federal income tax purposes,the ownership or disposition of,orthe accrual or receipt of interest on.such 2015 Series Three Bonds may otherwise affect a 2015 Series Three BondOwner's federal orState tax liability.The nature and extent of these othertax consequences will depend upon the 2015 Series Three Bond Owner's particular taxstatusandthe 2015 Series Three Bond Owner'sother items of income or deduction.Bond Counsel expresses no opinion regarding anyothertax consequences relating tothe ownership or disposition of,or the accrual or receipt of interest on,the 2015 SeriesThree Bonds.Owners ofthe 2015 Series Three Bonds should consult theirtax advisors regarding the applicability ofany collateral tax consequences of owning the 2015 Series Three Bonds,which may include original issue discount,original issue premium.purchase at market discount orata premium,taxation upon sale,redemption orother disposition,and various withholding requirements. Backup Withholding Interest on tax-exempt obligations suchasthe 2015 Series Three Bonds isinmany cases subject to information reporting ina manner similar to interest paid on taxable obligations.Backup withholding maybe imposed on payments made after March 31,2007 toany bondholder who fails to provide certain required information including an accurate taxpayer identification number toany person required to collect such information pursuant to Section 6049 ofthe Code.This reporting requirement doesnotinandofitselfaffector alterthe excludability of interest onthe 2015 Series Three Bonds from gross income for federal income tax purposes oranyother federal tax consequence of purchasing,holding or selling tax-exempt obligations. OriginalIssue Discount The 2015 Series Three Bonds maturing October 1,2040 and October 1,2044,(the "Discount Bonds ")are being soldatan original issue discount.The difference between the initial public offering prices,asset forth onthecover page,ofsuch Discount Bonds and their stated amounts tobepaidat maturity, constitutes original issue discount treated as interest which is excluded from gross income for federal income tax purposes tothesame extent as interest onthe 2015 SeriesThree Bonds. The amount of original issue discount which is treated as having accrued with respect tosuch Discount Bondis added tothecostbasisoftheownerin determining,for federal income tax purposes,gainorlossupon disposition ofsuch Discount Bond (including itssale.redemption or payment at maturity).Amounts received upon disposition ofsuch Discount Bond which are attributable to accrued original issue discount willbe treated astax- exempt interest,ratherthanas taxable gain.for federal income tax purposes. Original issue discount is treated as compounding semiannually.atarate determined by reference tothe yieldto maturity ofeach individual Discount Bond,ondaysthatare determined by reference tothe maturity dateof such Discount Bond.The amount treated as original issue discount onsuch Discount Bondfora particular 26 semiannual accrual period isequaltothe product of (i)theyieldto maturity forsuch Discount Bond (determined by compounding atthe close ofeach accrual period)and (ii)the amount which would have been thetax basis ofsuch Discount Bondatthe beginning ofthe particular accrual period if held bythe original purchaser,lessthe amount of any interest payable forsuch Discount Bond during the accrual period.Thetax basis is determined by adding tothe initial public offering priceonsuch Discount Bondthesumofthe amounts thathavebeen treated as original issue discount forsuch purposes during allprior periods.Ifsuch Discount Bond issold between semiannual compounding dates,original issue discount which would havebeen accrued forthat semiannual compounding period for federal income tax purposes istobe apportioned in equal amounts among thedaysinsuch compounding period. Owners of Discount Bonds should consult theirtax advisors with respect tothe determination and treatment of original issue discount accrued asofanydateandwith respect tothestateandlocaltax consequences of owning a Discount Bond. OriginalIssuePremium The 2015 Series Three Bonds maturing October 1,2016 through and including October 1,2039 (collectively,the "Premium Bonds")arebeingsoldata premium.An amount equaltothe excess of the issue priceofa Premium Bondoverits stated redemption price at maturity constitutes premium onsuch Premium Bond.An initial purchaser ofa Premium Bondmust amortize any premium oversuch Premium Bond's term using constant yield principles,based onthe purchaser's yieldto maturity or,inthecaseof Premium Bonds callable priortotheir maturity,by amortizing the premium tothecall date,based onthe purchaser's yieldtothecall dateandgivingeffecttothecall premium).As premium is amortized,the purchaser's basisinsuch Premium Bond is reduced bya corresponding amount resulting inan increase inthegain(or decrease inthe loss)tobe recognized for federal income tax purposes upon asaleor disposition ofsuch Premium Bondpriortoits maturity.Even though the purchaser's basismaybe reduced,no federal income tax deduction is allowed.Purchasers ofthe Premium Bonds should consult withtheirtax advisors with respect tothe determination and treatment of amortizable premium for federal income tax purposes andwith respect tothestateand local tax consequences of owning a Premium Bond. ChangesinFederalTaxLaw Fromtimeto time,thereare legislative proposals inthe Congress andinthe states that,if enacted,couldalteror amend the federal andstatetax matters referred to above or adversely affect the market value ofthe 2015 Series Three Bonds.It cannot be predicted whether orinwhat form anysuch proposal mightbe enacted or whether if enacted it would applyto bonds issued priorto enactment.In addition,regulatory actions are from timeto time announced or proposed and litigation is threatened or commenced which,if implemented or concluded ina particular manner,could adversely affect the market valueofthe 2015 Series Three Bonds.It cannot be predicted whether anysuch regulatory action willbe implemented,howany particular litigation orjudicial action willbe resolved,or whether the 2015 Series Three Bonds orthe market value thereof would be impacted thereby.Purchasers ofthe 2015 Series Three Bonds should consult theirtax advisors regarding any pending or proposed legislation,regulatory initiatives or litigation.The opinions expressed by Bond Counsel are based upon existing legislation and regulations as interpreted by relevant judicialand regulatory authorities asofthe dateof issuance and delivery ofthe 2015 Series Three Bonds,andBond Counsel has expressed no opinion asofany date subsequent thereto orwith respect toany pending legislation,regulatory initiatives or litigation. BondCounsel's opinion isnota guarantee ofa result andisnot binding onthe Internal Revenue Service ("IRS");rather,the opinion represents its legal judgment based upon its review of existing statutes,regulations, published rulings,andcourt decisions andthe representations and covenants oftheBond Bank.TheIRShasan ongoing program of auditing the tax-exempt status ofthe interest on governmental obligations.Ifanauditofthe 2015 Series Three Bonds is commenced,under current procedures,theIRSis likely totreatthe Bond Bankasthe "taxpayer,"andthe owners ofthe 2015 Series Three Bonds (the "Owners")would havenorightto participate inthe audit process.In responding toor defending anauditofthe tax-exempt statusofthe interest onthe 2015 Series Three Bonds,theBondBankmayhave different or conflicting interests fromthe Owners.Public awareness ofany future auditofthe 2015 Series Three Bonds could adversely affect the value and liquidity ofthe 2015 Series Three Bonds during the pendency ofthe audit,regardless ofits ultimate outcome. 27 RATINGS Fitch Ratings ("Fitch")and Standard &Poor's Ratings Services ("S&P")have assigned "AA+"and "AA+ (negative outlook)"ratings.respectively.tothe 2015 Series Three Bonds.Such ratings reflect onlythe views of such organizations andany desired explanation ofthe significance ofsuch ratings should be obtained from the rating agency furnishing the same.atthe following addresses:Fitch.OneStateStreet Plaza.New York.NewYork 10004, (212)908-0500;S&P.55Water Street.New York.NewYork 10041 (212)438-1000.Generally.a rating agency bases its rating onthe information and materials furnished toitandon investigations.studies and assumptions ofits own.Thereisno assurance thatsuch ratings will continue foranygivenperiodoftimeorthatsuch ratings willnotberevised downward or withdrawn entirely bytherating agencies if,in thejudgmentofsuchrating agencies,circumstances so warrant.Anysuch downward revision or withdrawal ofsuch ratings mayhavean adverse effectonthemarketprice of the 2015SeriesThree Bonds. CONTINUING DISCLOSURE UNDERTAKING Basic Undertaking toProvide Annual Financial Information and Notice ofMaterial Events. Continuing disclosureisprovidedforthebenefitofBeneficial Owners.Pursuant tothe Securities and Exchange Commission (the "SEC")Rule 15c2-12 (the "Rule").theBondBankwillagreeto provide.orcauseto be provided.tothe Municipal Securities Rulemaking Board ("MSRB")annual financial information and operating dataas described below.In addition.ifany Governmental Unithas outstanding withtheBondBankan amount of municipal bondsequaltoorgreaterthan20percentofallBonds Outstanding.such Governmental Unitwillbe contractually required to provide the MSRB audited financial statementsprepared in accordance with generally acceptedaccounting principles applicable to governmental entities.assuch principles maybe changed fromtime to time. Notlaterthan120daysaftertheendofeachBondBank fiscal year.theBondBankwillnotifyeach Governmental Unitthathas (as ofthelastdayoftheBond Bank's prior fiscal year).an amount of municipal bondsequaltoorgreaterthan20percentofallLoans outstanding,ofits continuing disclosure undertaking responsibility.A listofsuch Governmental Units willbe included intheBondBank's annual financial information filing. TheBondBankwillalso undertake to provide orcausetobe provided tothe MSRB anoticeofthe occurrence ofanyofthe following events specified bytheRulewithrespecttothe 2015 SeriesThreeBonds withinten business daysofthe occurrence ofthe event:(a)principal andinterest payment delinquencies;(b) unscheduled drawsondebtservice reserves reflecting financial difficulties;(c)unscheduled draws oncredit enhancements reflecting financial difficulties;(d)substitution ofcreditorliquidity providers.ortheir failure to perform;(e)adverse tax opinions orevents affecting the tax-exempt statusofthe 2015 SeriesThree Bonds;(f) defeasances;(g)rating changes;(h)tender offers;(i)bankruptcy.insolvency.receivership orsimilar proceeding bytheBondBankor ..obligated person."TheBondBankwillalsofilewiththe MSRB anoticeofanyofthe following events withrespecttothe 2015 SeriesThreeBondswithinten business daysofthe occurrence ofsuch event,if material:(a)non-payment related defaults;(b)modification torightsof holders of 2015 SeriesThree Bonds;(c)bondcalls.otherthan mandatory.scheduled redemptions not otherwise contingent onthe occurrence ofan event;(d)release,substitution orsaleof property securing repayment ofthe 2015 SeriesThree Bonds;(e) otherthaninthe normal courseof business,the consummation ofa merger,consolidation or acquisition involving an "obligated person."orthesaleofallor substantially allofthe assets oftheBondBankor "obligated person." ortheentryintoa definitive agreement to undertake suchan action,ora termination ofa definitive agreement relating toanysuch actions.otherthanin accordance withits terms;(f)appointment ofa successor or additional trustee orthechangeinnameoftheTrusteeforthe 2015 SeriesThree Bonds. TheBondBankalsowill provide tothe MSRB timelynoticeofits failure to provide required annual financial information. 28 Type ofAnnual FinancialInformationUndertakentobeProvidedbythe Bond Bank.Theannualfinancial informationthattheBondBankundertakestoprovidewillconsistof(a)annualfinancialstatementsfortheBond Bank,preparedinaccordancewithgenerallyacceptedaccountingprinciplesapplicabletogovernmentalentities, assuchprinciplesmaybechangedfromtimetotime;(b)astatementofauthorized,issuedandoutstanding bondeddebt;(c)ReserveFundbalance;and(d)GovernmentalUnitstatisticsinsubstantiallythesameformas AppendixCattachedhereto.ThisinformationwillbeprovidedtotheMSRBnotlaterthan210daysaftertheend ofeachfiscalyearoftheBondBank(currently,the12-monthperiodendingJune30),assuchfiscalyearmaybe changedasrequiredbyStatelaw,commencing withtheBondBank'sfiscalyearendingJune30,2016. Amendment of Undertaking.TheBondBank'scontinuingdisclosureundertakingissubjecttoamendment aftertheprimaryofferingofthe2015SeriesThreeBondswithouttheconsentofanyBeneficialOwnerofany 2015SeriesThreeBond,oranybroker,dealer,municipalsecuritiesdealer,participating underwriter,rating agency,ortheMSRB,if(a)theamendmentismadeinconnectionwithachangeincircumstancesthatarisesfrom achangeinlegalrequirements,achangeinlaw,orachangeintheidentity,natureorstatusoftheBondBank;(b) theUndertaking,asamended,wouldhavecompliedwiththerequirementsoftheRuleatthetimeoftheprimary offeringofthe2015SeriesThreeBonds,aftertakingintoaccountanyamendmentsorinterpretationsoftheRule bytheSECandanychangesincircumstances;(c)theBondBankobtainsanopinionofnationallyrecognized bondcounseltotheeffectthattheamendmentwillnotadverselyaffecttheBondBank'scompliancewiththe UndertakingandRule;and (d)theBondBanknotifiesandprovidestheMSRBwithcopiesoftheopinionsand amendments.SuchamendmentmaybeadoptedwithouttheconsentofanyBeneficialOwnerofanyofthe2015 SeriesThreeBonds,notwithstanding anyotherprovisionofthecontinuingdisclosureundertakingsorthe2005 GeneralObligationBondResolution. Thefirstannualreportcontainingamendedoperatingdataorfinancial information pursuanttoan amendmentoftheBondBankcontinuingdisclosureundertakingwillexplain,innarrativeform,thereasonsfor theamendmentanditseffectonthetypeofoperatingdataandfinancialinformationbeingprovided. Allnotices,financialinformationandoperatingdatarequiredbythisundertakingtobeprovidedtothe MSRBmustbeinelectronicformatasprescribedbytheMSRB.AlldocumentsprovidedtotheMSRBpursuant tothisundertakingmustbeaccompaniedby identifying information asprescribedbytheMSRB. Termination.TheobligationsoftheBondBankunderitsundertakingwillterminateuponthelegal defeasance,priorredemptionorpaymentinfullofallofthe2015SeriesThreeBonds. RemedyforFailuretoComplywithUndertaking.NofailurebytheBondBankand/orGovernmental Unitstocomplywithanyprovisionsoftheirrespectiveundertakingswillconstituteadefaultinrespectofthe 2015SeriesThreeBonds,andthesoleremedyundertherespectiveundertakingsintheeventofanyfailureofthe BondBankoranyGovernmentalUnittocomplywithitsundertakingwillbetherighttoobtainspecific performanceoftheundertaking. Prior Compliance with Continuing Disclosure Undertakings UndertheRule BondBankBondsIssuedUnderthe2005GeneralObligation Bond Resolution.TheBondBank previouslyenteredintocontinuingdisclosureundertakingsundertheRuleinconnectionwithitsoutstanding Bonds.TheBondBank subsequently discoveredithadnotfiledcertaineventnoticesinconnectionwithrating downgradesofinsurersandunderlyingratingsupgrades.Eventnoticeswere subsequently filed. Inaddition,theBondBankdiscoveredithadnotincludedinitsannualreportstatisticsofGovernmental UnitssimilartothosefoundinAppendixCofitsofficialstatements,asrequiredbypriorcontinuingdisclosure undertakings.SuchinformationwasincludedinpubliclyavailableofficialstatementspreparedbytheBondBank everyyearofnoncomplianceforBondsissuedunderthe2005GeneralBondResolution.Suchinformationwas, 29 however,datedonoraboutthedate of theofficial statement ratherthanasoftheend of theBondBank'sfiscal year end.Thistechnical deficiency wascuredandsuch information wasfiledwiththeMSRB. Other Bonds Issued bythe Bond Bank.TheBondBank previously enteredinto continuing disclosure undertakings forbondsissuedunderits1976GeneralBond Resolution and2010 Resolution.TheBondBank discovered thatcertainannualfinancial information relatingto governmental units participating inthe1976 General Bond Resolution poolandthe2010 Resolution poolhadnotbeenfiled.This technical deficiency was curedandsuch information wasfiledwiththeMSRB.TheBondBank previously entered into continuing disclosure undertakings in connection withcertainrevenuebondsissuedbytheBondBank.TheBondBank discovered certainannualfinancial information relatingto governmental unitswasnotfiledunderthetermsof such undertakings.Theserevenuebondsnolongerremainoutstanding. General.TheBondBankhas developed procedures toensureits continuing disclosure obligations are complied withinallmaterialrespects.Although therehavebeeninstancesof technical deficiencies withits previous undertakings,theBondBank reasonably believes ithas complied inthepastfiveyearsinallmaterial respectswithits previous undertakings withregardtotheRule. Governmental Units.In2014itwas discovered thatcertainofthe Governmental Unitswhotimelyfiled annualfinancial information in accordance withtheirprior undertakings inadvertently failedtoassociatethat annualfinancial information withallBondsissuedand Outstanding underthe2005 General BondResolution. Effective February 20,2014,each undertaking and/orLoan Agreement executedby Governmental Unitsincludes an express requirement thatsuchfilingbelinkedtoall Outstanding Bondsissuedunderthe2005GeneralBond Resolution.' SOURCES OF CERTAIN INFORMATION AsofthedateofthisOfficialStatement,theGovernmentalUnitswhichhaveloanobligationsinanamount of tenpercent(10%)orgreaterinthepoolofloansfinancedwithproceedsofBondsaretheCityandBoroughof Sitka(15.92%),theCityandBorough of Juneau(14.43%),theKenaiPeninsulaBorough(12.52%),andtheCityof Ketchikan(11.29%).TheseGovernmentalUnitshaveprovidedtheinformationappearinginAppendixDofthis OfficialStatement. TheBondBankmakesnorepresentationastotheaccuracy of theinformationconcerningtheCityand Borough of Juneau.theKenaiPeninsulaBorough,ortheCityandBoroughofSitkafoundinAppendixD of this OfficialStatement. DEFINITIONS ThefollowingtermsareusedinthisOfficialStatementwiththefollowingmeanings: "Act"-The Alaska Municipal BondBankAct,codifiedasChapter85,Title44,ofthe Alaska Statutes. asamended. "Bond Bank"-The Alaska Municipal BondBank,apublic corporation and instrumentality oftheState of Alaska withinthe Department of Revenue butwithlegalexistence independent ofand separate fromtheState. !PriortoOctober30,2014,a Governmental Unitthathadbondswhich constituted 10percentormoreof outstanding municipal bondsheldbytheBondBankunderits 2005 General Bond Resolution was required to providecertain financial and operating datatothe MSRB.Effective October 30,2014,all Governmental Unitswith outstanding municipal bondsheldbytheBondBankunderits2005 General Bond Resolution are required bythe termsoftheirLoan Agreements tofile financial statements withthe MSRB. 30 "Bonds"-BondsissuedbytheBondBankunderthe2005GeneralBondResolutionpursuanttoa SeriesResolution.Theseinclude"LoanObligations"and"ReserveFundObligations"asdefinedbelow. "Code"-InternalRevenueCodeof1986andtheregulationsthereunder,asamended. "Credit Enhancement"-Aletterofcredit,alineofcredit,acreditfacility,asuretybond,bond insurance,oranyotherinstrumentorarrangementobtainedinconnectionwiththeissuanceofaSeriesofBonds tofurthersecurethepaymentoftheBondsofsuchSeriesortosatisfytheReserveFundRequirement. "Credit Enhancement Agency"-AnybankorotherinstitutionthatprovidesCreditEnhancement. "DebtServiceFund"-Afundestablishedbythe2005GeneralBondResolutiontobemaintainedand heldbytheTrustee.The2005GeneralBondResolutiondefinesandprovidesthatthe"InterestAccount," "PrincipalAccount"and"RedemptionAccount"aremaintainedwithintheDebtServiceFund. "FeesandCharges"-AllfeesandchargesauthorizedtobechargedbytheBondBankpursuantto Sections44.85.080(8),(15),and(16)oftheActandchargedbytheBankpursuanttothetermsandprovisionsof theLoanAgreements. "Governmental Unit"-AmunicipalityorsuchotherentityfromwhichtheBondBankisauthorized bylawtopurchaseitsrevenuebonds,generalobligationbonds,notes,orotherformsofindebtednessandwhich otherwisesatisfiesconditionsfoundinthe2005GeneralBondResolutionandintheLoanAgreement. "LoanAgreement"-Anagreement,andanyamendmentsthereto,enteredintobetweentheBondBank andaGovernmentalUnitsettingforththetermsandconditionsofaloan. "LoanObligations"-TheamountofBondsandtheBondsthemselvesissuedbytheBondBankforthe purchaseofMunicipalBondsofaGovernmentalUnit. "Municipal Bonds"-Generalobligationbonds,revenuebonds,notesorotherevidenceofdebtissued byanyGovernmentalUnit,asdefinedintheAct,whichhavebeenacquiredbytheBondBankasevidenceofa loantotheGovernmentalUnitpursuanttotheAct. "Municipal BondsPayment"-Theamountspaidorrequiredtobepaid,fromtimetotime,for principalandinterestbyaGovernmentalUnittotheBondBankontheGovernmentalUnit'sMunicipalBonds. "Notes"-Anyobligationsreferredtointhe2005GeneralBondResolutionissuedbytheBondBank otherthanBonds. "Operating Fund"-Afundestablishedbythe2005General Bond Resolution.Thisfundisnotheld bytheTrusteeandmoneythereinisnotpledgedassecurityforBonds. "Outstanding"-WhenusedwithreferencetoBonds,shallmean,asofanydate,Bondstheretoforeor thenbeingdeliveredundertheprovisionsofthe2005GeneralBondResolution,otherthanBondsownedorheld byorfortheaccountoftheBondBankexcept:(i)anyBondscancelledbytheTrusteeatorpriortosuchdate,(ii) anyBondsforthetransferorexchangeoforinlieuoforinsubstitutionforwhichotherBondsshallhavebeen deliveredpursuanttothe2005GeneralBondResolution,and(iii)Bondsdeemedtohavebeenpaidasprovidedin the2005GeneralBondResolution. "ReserveFund"-Thereserveaccountestablishedbythe2005GeneralBondResolutionandheldby theTrusteepursuanttotheprovisionsofthe2005GeneralBondResolution. 31 "ReserveFundObligations"-BondsissuedbytheBondBankto obtain funds to deposited inthe Reserve Fund. "ReserveFundRequirement"-The amount required tobeondepositinthe 2005 General Bond Resolution Reserve Fundistheleastofthe following:(i)10%ofthe initial stated principal amount ofeach Series of Bonds then Outstanding;(ii)maximum annual principal and interest requirements onall Bonds then Outstanding;(iii) 125%of average annual principal and interest requirements onall Bonds then Outstanding;or (iv)such lesser amount asshallbe required by law.The Reserve Fund Requirement maybe satisfied entirely,orin part,by Credit Enhancement;provided,however,any Credit Enhancement satisfying alloranypartofthe Reserve Fund Requirement afterthe initial issuance of Bonds or issued in substitution foranyprior Credit Enhancement previously issued will not.by itself,cause a withdrawal or downward revision ofthe ratings maintained byany Rating Agency with respect tothe Bonds. "RequiredDebtServiceReserve"-Asofanydateof calculation,the amount required tobeon depositinthe Reserve Fundwhich amount shallatleastbeequaltothe Reserve Fund Requirement. "SeriesResolution"-A resolution oftheBondBank authorizing the issuance ofaseriesofBondsin accordance withthetermsofthe 2005 General Bond Resolution. "2005GeneralBondResolution"-TheBond Bank's 2005 General Obligation Bond Resolution adopted July13,2005,as amended August 19,2009.(The BondBankmayadopt additional general obligation resolutions forthesameor different purposes.) MISCELLANEOUS The summaries or descriptions of provisions intheBond Resolution andall references toother materials not purporting tobe quoted infullareonlybrief outlines of certain provisions thereofanddonot constitute complete statements ofsuch documents or provisions,and reference is hereby made tothe complete documents and materials, copies of which willbe furnished bythe Bond Bankon request.The 2005 General Bond Resolution hasbeen included herein as Appendix F. Any statements madeinthis Official Statement indicated to involve matters of opinion or estimates are represented as opinions or estimates ingood faith.No assurance canbe given,however,thatthe facts will materialize asso opined or estimated. OFFICIAL STATEMENT TheBondBankhas authorized the execution and distribution ofthis Offici 32 APPENDIX A FormofLegal Opinion [THIS PAGEINTENTIONALLY LEFf BLANK] WOHLFORTH I BRECHT I CARTLEDGE A PROFESSIONAL CORPORATION Julius J.Brecht Cynthia L.Cartledge William A.Earnhart Michael Gatti Nathaniel Parr Eric E.Wohlfarth BoardofDirectors AlaskaMunicipalBondBank P.O.Box110405 Juneau,Alaska99811 LadiesandGentlemen: ATTORNEYS AT LAW 900 WEST 5TH AVENUE,SUITE 600 ANCHORAGE,ALASKA 99501-2048 September _,2015 TELEPHONE 907.276.6401 FACSIMilE 907.276.5093 WEBSITE WWW.AKATTY.COM WehaveactedasBondCounselinconnectionwiththeissuancebytheAlaska MunicipalBondBank(the"Bank")ofitsGeneralObligationBonds,2015SeriesThree (the"Bonds").Wehaveexaminedthelawandsuchcertifiedproceedingsandother papersaswedeemnecessarytorenderthisopinion,includingtheopinionsofbond counseltotheGovernmentalUnitsconcerningthevalidityandenforceabilityofthe MunicipalBonds,theLoanAgreementssecuringtheLoansfinancedwiththeproceeds oftheBonds(assuchtermsaredefinedintheResolutionsreferredtobelow). TheBondsareissuedundertheAlaskaMunicipalBondBankAct,Chapter85of Title44oftheAlaskaStatutes,asamended(the"Act"),theGeneralObligationBond ResolutionoftheBankentitled"AResolutionCreatingAndEstablishingAnIssueOf Bonds Of TheAlaskaMunicipalBondBank;ProvidingForTheIssuanceFromTimeTo TimeOfSaidBonds;ProvidingForThePaymentOfPrincipal Of AndInterestOnSaid Bonds,AndProvidingForTheRightsOfTheHoldersThereof,"adoptedJuly13,2005, asamended(the"GeneralBondResolution")andSeriesResolutionNo.2015-04(S), adoptedAugust11,2015(the"SeriesResolution,"andtogetherwiththeGeneralBond Resolution,the"Resolutions"). TheBondsaresubjecttoredemptionpriortomaturityasprovidedintheformof Bonds. InconnectionwiththeissuanceoftheBonds,wehavereviewedtheResolutions andthefederaltaxcertificateoftheBankdatedthedatehereof(the"TaxCertificate"),a CertificateofNoLitigationoftheAttorneyGeneral(counseltotheBank),certificatesof theBank,theTrusteeandothers,andsuchotherdocuments,opinionsandmattersto theextentwedeemednecessarytorendertheopinionssetforthherein. Theopinionsexpressedhereinarebasedonananalysisofexistinglaws, regulations,rulingsandcourtdecisionsandcovercertainmattersnotdirectlyaddressed A-I BoardofDirectors AlaskaMunicipalBondBank September _,2015 Page2 bysuch authorities.Suchopinionsmaybeaffectedby actions takenoromittedor eventsoccurring after thedatehereof.Wehavenotundertakentodetermine,orto informanyperson,whether anysuchactionsoreventsaretakenordooccur.We disclaimany obligation toupdatethisletter.Wehaveassumedthe genuineness ofall documents and signatures presentedtous (whether asoriginalsorascopies)byany partiesotherthantheBankandthedueandlegalexecutionanddelivery thereof byany partiesotherthantheBank.Wehavenotundertakentoverify independently,andhave assumed,the accuracy ofthefactualmattersrepresented,warrantedorcertifiedinthe documents referredtointheprecedingparagraph.Furthermore,wehave assumed compliance withthe covenants and agreements containedinthe Resolutions,theTax Certificate,andthetax certificates ofeachGovernmentalUnit,including(without limitation)covenants and agreements compliance withwhichis necessary toassure thatfutureactions,omissions oreventswillnotcauseinterestontheBondstobe includedingrossincomeforfederalincometaxpurposes.Wecallattentiontothefact thattherightsand obligations undertheResolutions,theBonds,theLoan Agreements, andtheTax Certificate maybe subject tobankruptcy,insolvency,reorganization, arrangement,fraudulent conveyance,moratoriumandotherlawsrelatingtooraffecting creditors'rights generally and subject totheexerciseofindividualdiscretionin appropriate casesandtotheapplicationofequitableprinciples.Weexpressnoopinion astothe undertaking bytheBanktoprovideongoing disclosure pursuant to Securities andExchange Commission Rule15c2-12. Asto questions offactmaterialtoour opiruon,wehaverelieduponvarious statements and representations oftheBankcontainedinthe Resolutions andinthe certified proceedings and other certifications ofpublicofficialsfurnishedtouswithout undertaking toverifythesameby independent investigation. Subject totheforegoing,weareoftheopinionthat,underexistinglaw: 1)TheBankhastherightandpowertoadopttheResolutions. 2)The Resolutions havebeendulyandlawfullyadoptedbytheBank,arein fullforceandeffectandarevalidandbindingupontheBankand enforceable in accordance withtheirterms(subject,asto enforcement ofremedies,to applicable bankruptcy,reorganization,insolvency,moratorium,orotherlawsaffectingcreditors' rights generally fromtimetotimeineffect). 3)The Resolutions createthevalidpledgeand assignment whichthey purporttocreateoftheMunicipalBonds,subjecttotheapplication thereof tothe purposesandonthe conditions permittedbytheResolutions. A-2 BoardofDirectors AlaskaMunicipalBondBank September _,2015 Page3 4)TheBondsarevalidandbindinggeneralobligationsoftheBank, enforceableinaccordancewiththeirtermsandthetermsoftheResolutions. 5)TheBondshavebeendulyandvalidlyauthorizedandissuedin accordancewiththeConstitutionandstatutesoftheStateofAlaska,includingtheAct asamendedtothedateofthisopinion,andinaccordancewiththeResolutions. 6)TheBondsarenotadebtorliability,nordotheyconstituteapledgeofthe faithandcredit,oftheStateofAlaska. 7)Underexistinglaws,regulations,rulingsandjudicialdecisions,intereston theBondsisexcludablefromthegrossincomeoftheownersthereofforfederalincome taxpurposesandisnotanitemoftaxpreferenceforpurposesofthefederalalternative minimumtaximposedonindividualsandcorporations.However,interestontheBonds istakenintoaccountindeterminingadjustedcurrentearningsforpurposesof computingthefederalalternativeminimumtaximposedoncertaincorporations.The opinionsetforthinthefirstsentenceofthisparagraphissubjecttotheconditionthatthe BankandtheGovernmentalUnitscomplywithallrequirementsoftheInternalRevenue Codeof1986,asamended,thatmustbecompliedwithinorderthatinterestonthe Bondsbe,orcontinuetobe,excludablefromgrossincomeoftheownersforfederal incometaxpurposes.TheBankandGovernmentalUnitshavecovenantedtocomply withapplicablerequirements.Failuretocomplywithcertainofsuchrequirementsmay causeinterestontheBondstobeincludedingrossincomethereofforfederalincome taxpurposestoberetroactivetothedateofissuanceoftheBonds. InexpressingouropinionastotheexclusionofinterestontheBondsfromthe grossincomeoftheownersasdescribedabove,wehavereliedon,andassumedtobe correct,therepresentations,covenants,andagreementsoftheBankandGovernmental UnitsintheLoanAgreements,taxcertificatesof,andbondcounselopinionsfor,the GovernmentalUnitsandinformationfurnishedbyandonbehalfoftheBankand GovernmentalUnitswithrespecttocertainmaterialfactsthataresolelywithintheir knowledgerelatingtotheproposeduseoftheproceedsoftheBondsorMunicipal Bonds. 8)Underexistinglaws,interestontheBondsisfreefromtaxationbythe StateofAlaskaexceptfortransfer,estateandinheritancetaxes. Exceptasexpresslystatedabove,weexpressnoopinionregardinganyother federalorstateincometax consequences ofacquiring,carrying,owningordisposingof theBonds.OwnersoftheBondsshouldconsulttheirtaxadvisorregardingthe applicabilityofanycollateraltaxconsequencesofowningtheBonds,whichmayinclude A-3 BoardofDirectors AlaskaMunicipalBondBank September _,2015 Page4 originalissuediscount,originalissuepremium,purchaseatamarket discount orata premium,taxationuponsale,redemptionorotherdisposition,andvariouswithholding requirements. Wehavenotbeenengagednorhaveweundertakentoreviewtheaccuracy, completeness or sufficiency ofthe preliminary officialstatement,theofficial statement or other offeringmaterialrelatedtotheBonds(excepttotheextent,ifany,statedinthe official statement ora supplemental opiniondatedthedatehereof). Thisopinionisgivenasofthedatehereof,andweassumenoobligationto update,reviseor supplement thisopinionorreflectanyfactsor circumstances thatmay hereafter cometoourattentionoranychangesinlawthatmay hereafter occur. Sincerely, WOHLFaRTH,BRECHT &CARTLEDGE Cynthia L.Cartledge A-4 APPENDIXB State Payments to Governmental Units [THIS PAGE INTENTIONALLY LEFT BLANK] Appendix B State Payments to Governmental Units TheStateofAlaska(the"State")disbursestoAlaskancitiesandboroughs(the"Governmental Units")fundsthatgenerallyareavailableforusesotherthanpayingmunicipalbonddebtservice.Intheevent ofdefaultbyaGovernmentalUnitwithrespecttoaLoanAgreement.theBondBankisauthorizedtocause suchfunds,heldincustodybytheStatepriortodisbursement,tobepaidovertotheBondBank.However,the Statemayatanytimereduceorterminatethedisbursementsorprogramsunderwhichtheyaremade.Fourof thedepartmentsoftheStatethatdisbursemoneytoGovernmentalUnitsareasfollows: (I)DepartmentofEducationandEarlyDevelopment.TheDepartmentofEducationandEarly Development(DEED)disbursesStateaidforeducationalpurposesprimarilythroughtheschooldebt reimbursement.thefoundationfunding,andpupiltransportationprograms,inadditiontofundingforboarding homes,residentialboarding,youthindetention,specialschools,andtheAlaskaChallengeYouthAcademy programs.ThefirstprogramprovidesasystemunderwhichtheState,subjecttoannualappropriationbythe StateLegislature,willreimbursemunicipalitiesthatoperateschooldistrictsforcertaincostsofschool construction.Statereimbursementappliestodebtserviceonlocallyissuedgeneralobligationschoolbonds. Timingofreimbursementsisdeterminedbymunicipalities'debtservicepayments,andismadethroughoutthe year.ThisprogramprovidesthatsubjecttostatutoryandregulatoryconditionsthattheStatewillreimburse municipalitiesforapre-determinedpercentageofdebtserviceincurredforsuchbonds,dependingonwhensuch bondswereissuedandtheprojectcomponents.TheStatehasinthepast,andmayinthefuture,appropriateless thanthefullamounttowhichthemunicipalitiesareentitled.Whenappropriationsarelessthan100percentof theentitlement,fundshavebeenallocatedprorataamongtheeligibleschooldistricts. Underthesecondprogram,theStateaidslocalschooldistrictsinthepaymentofoperating expensesundertheState"K-12foundation"fundingwhichprovideseducation-relatedaidforoperatingcosts associatedwithqualifiedK-12schoolsaswellasprogramssuchasthehandicappedfacilitiesandnutrition programs.Theprogramprovidesformonthlydistributionstotheschooldistricts. Underthethirdprogram,thestateaidslocalschooldistrictsforpupiltransportation.Theprogram providesformonthlydistributionstotheschooldistricts. Underthefourthprogram,thestatehasprovidedone-timegrantfunds. (2)DepartmentofRevenue.TheDepartmentofRevenuedisbursessharesofvariousStatetaxes collectedbythewithinthe jurisdiction ofcertainGovernmentalUnitsincludingaviationfuel,Commercial PassengerVessel,electric,telephone,liquorandfisheriesresourceslandedandbusinesstaxes.Paymentsare distributedbothsemi-annuallyinJanuaryandJulyandannuallyinOctoberdependinguponthetypeoftax. (3)DepartmentofCommerce,CommunityandEconomicDevelopment.TheDepartmentof Commerce,CommunityandEconomicDevelopment(DCCED)administersapaymentinlieuoftaxesprogram underwhichthefederalgovernmentpaysafeeforuseofland.Thepaymentsreceivedfromthefederal governmentarepassedthroughtheStatetocertainGovernmentalUnits.DistributionsoccurannuallyinJuly. TheStatealsodisbursesmoneytocertainGovernmentalUnitsthroughtheDCCED'sCapitalMatchingGrants programtoprovideassistanceinfinancingcapitalprojects.Distributionsaremadethroughouttheyearas approvedprojectsareconstructed.AdditionallytheStateRevenueSharingprogramprovidesanannualtransfer tocertaingovernmentalunitsbasedonpopulation.Therevenuesharingtransfersoccurinthefirstquarterof thefiscalyear. (4)DepartmentofCorrections.TheDepartmentofCorrectionstransfersmonthlyamountstopay operationalexpensesoflocalcommunitiesthathouseprisonersinmunicipal-ownedfacilities. Sources:State ofAlaska,Department ofAdministration,Division ofFinance;State ofAlaska,Office of Management andBudget;andState ofAlaska,Department ofRevenue,TaxDivision.Furtherinformation regarding theState ofAlaska maybe found at http://alaska.gov(thisreferenceisnotahyperlink,and,by thisreference,theState ofAlaska's website is not incorporated intothisOfficialStatement}. B-1 ttl, N Alaska Municipal Bond Bank Capability to Intercept Funds FY ZOUShard Revenue Sharing Tillie:!&Feesene FYZOl6DOT IT 2016 ProJrelfll FY 2015 ProJecltd Matching GranlJ as of FYZOJ5 Ilmc lransrfl"li for RelmburRmenl Stholll Debl Education Snpporl Aug>nt I.2015willbeFY2016 Community dhbunro:;d ODr 7 [.iIlrgorlesor lax Prog~transfcrred as Rdmhul'RlDtnl transfrlTtd In 12 Irvel drawn down as Jails·Transfrrrrd In lime by Oclohrr and licente typedebt Rrvlce com~due lramfrrrrd as debt lIIlIolhly lo.slllllment'J pruJrclJ;are compkted 12 Itvrl monthly ornscalyrar (updiltnl [n Rmi-annwaJly[current Rnlcr comes dur seml-durlngfiscal yrar (c~nl and put year paymrnls durlog fisral {cllfrenlyrar Fb(-alYear2016 Dcumbrr ytar annual anollaUy (current yrar (nunot yrar annual rapllalgnnl year (current year FY 2014PILT annual Tl;llallnlrn:rpl TolalDrbl Coverage annuaUyl appropriation)annual apprupmtlon)appropriation)approprialloD.l)(I)annual approprlatlan)Iramfen approprlallan)Capability Seo'lce(2)Rallo Boroul!hJ AI~ulians East Borouh 51.797,531 5159,185 S712.518 S1.911.913 SU78,760 0 SO S386.35I $12.676.591 S2,600.689 4.87 Munlcl eurvcr Anchor~e 1.433.046 0 46.19U07 32.4.351.335 407.097,250 0 0 H,6R219 793,718,557 294.900 2.691.48 HaInesBorouJ!.h (3)591.211 0 975.671 2.619.243 17.353,920 215,954 0 598.985 22.351.984 1.837An 12,17 CIty&BoroughDrJune~u 5.141.121 0 11,981.106 38,662.933 11.327.877 0 0 2.034,988 69.151.025 17.671.609 BI KenalPeninsulaBorough 1.·102_081 0 2,781.075 79.544.016 18.385.802 0 0 2.IH472 104.237.445 13.072,898 7,97 Ketchikan G~leWilY BorouJ!.h 3.053.022 0 2,698.978 22.715.213 12.785.377 0 0 625,356 41.938.946 5.944511 7.05 KodIak !sIal'llBorouKh (3)1.l'i14.025 0 5,418,061 26.642.170 4,~OU22 0 0 699.80438,838,6888.005,094 4.85 Lake&PenjnsulaBnrcuh S557.853 SO 1.802.840 9.153.816 0 0 0 427,173 11.941.682 2,428.050 cne NonhwC'St ArcUc BorOll h 2,539 0 4.058.042 38,350.333 5.598.289 0 0 427,738 48.436.941 6.269,410 7.73 PetersburBcrcub 1.263.718 0 410,978 5.692.676 6.475,922 17J,626 512,947 534.012 15.123,939 1.6U,348 9,20 en &Bcrcu Ii ofSll1la IA66,516 0 2A10,l88 13,461,270 31,977,167 391,191 0 91)5,101 50.611.466 13.998.01)2 3.62 Muclclalit ofSk~1I""'I 4,077,115 0 0 708.925 9,769.'167 0 0 430,183[4,985.6901.536,972 9.75 en-&:Borough erwransen 369.617 0 201.570 3A83A13 1.891.147 325.274 0 595.5059.866.556 388,276 25.11 CIUt'! A'"S18O.219 SO SO SO SO '0 SO S109.309 S289.558 SlDtt38 2.78 Belh~l·S2.632 0 0 0 14_638.651 0 804.164391.252 15.836.699 291.838 54.27 ccruova 1,906.951 0 930.143 3.918.931 2.648.286 135.303 393.230 204.262 10.167.412 1.774.6555,73 Crnlll 0 0 0 4,980.634 2.118.428 322.724 0 0 7.421.786 135.990 54.58 DUlin ham 489.647 0 193.161 6.3H.S35 904.319 526.851 422.987208.6369.687.1361.179.5908,21 Hoomh 743,252 0 65.667 2,196.897 242-801 0 137.204 133.530 3.519.351 107,600 32.71 I[omer"139.020 0 0 0 5.375,734 424,080 0 337.544 6,276.378 289,750 21.66 Kerchlkan"3,031.293 0 0 0 13,063,083 0 0 186.957 16.581.333 B.701.~6~1.91 K~I1iII·349.153 0 0 0 12,613,595 n 14.252 436.82~13.413.824 178.798 75.02 KinA Covc"(3)512.655 0 0 0 521,579 0 0 139.926 1.174.l60 292.973 1.01 Kodiak'1.274.151 0 0 0 7.386,445 991.552 0 394.074 10.046.222 969.70~10,36 Nome 49.980 0 213.228 8.579.603 15.175.763 0 ~38.915 268.081 24,725_600 752.359 32,86 Northrcie-52.597 0 0 0 2.486_885 0 0 199.888 2.739.370 36.55074.95 Palmer"150.128 0 0 0 7,022,768 0 0 382,115 7.555.071 111,050 68.03 S.:md Polot·243.817 0 0 0 8.551 0 0 143.876396.244 183-180 2.16 Sa"man·0 0 0 0 169,700 0 0 115.329 885.029 In63 69.35 SewlIrd"82(},074 0 0 0 28.301.495 368,952 0 212.963 2!1,71l3A84 3,222.318!I,22 Soldolna·48,090 0 0 0 <1.106.199 0 0 297.475 ~.451,76~219.070 20.32 U1l<I1ol~k3 8.218.116 366,145 661,449 4,504,557 566.955 m.2D7 763,584318,779 15.831,462 3.521.226 ~,50 Vaklroz 838.368 213.381 1.619.257 4.664.931 ~.784.472 354.749 703.602288.868 13.467.628 341.950 39,38 Wns1l1~·251.392 0 0 0 11.666.820 0 0 489A03 12.~07,615 420.81929,48 OlherJurlsdictlulllI Umverslty of Ala'ka (3)(4)385.900.000 2.198.009 115,,17 "Communiliestbat are located 10a borough which operalflilhe pubUcIICbools In the communityand recejves thai relaled EducallonSuppor1 FundinR. (I)Malchlng granlllare approprlated by lhe A.Ia!lka Stale ugWature and can vary sIgnificantlyfrom year 10year. (2)Include!annual debtser\'lce assndated wllh bomb sold under lhe Bond Bank',1976Resolution. (3)Borrowenlo this bsue. (4)Jnleraplable revenue orlbe U~n1ty or A1.uka1'1 comprhed 01dlrecl approprlatlul1lI [rom theStale01Alaska. APPENDIXC Governmental Unit Statistics Regarding Participation in theBond Bank [THIS PAGE INTENTIONALLY LEFT BLANK] APPENDIXC GOVERNMENTAL UNIT STATISTICS REGARDING PARTICIPATION INTHEBONDBANK 2005 GENERAL BOND RESOLUTION OUTSTANDING LOAN PRINCIPAL TO GOVERNMENTAL UNIT BORROWERS OFTHE ALASKA MUNICIPAL BONDBANK ASOF AUGUST 1,2015 (DoesNotInclude2015SeriesThreeBonds) Outstanding Percent of Borrower Par Outstanding City and Borough ofSitka 147,250,000 15.92% City and Borough of Juneau 133,480,000 14.43% Kenai Peninsula Borough 115,735,000 12.52% Cityof Ketchikan 104,435,000 11.29% Kodiak Island Borough 85,790,000 9.28% Ketchikan Gateway Borough 40,085,000 4.33% Northwest Arctic Borough 39,055,000 4.22% Cityof Seward 36,950,000 4.00% Cityof Unalaska 35,960,000 3.89% Aleutians East Borough 28,610,000 3.09% Municipality of Skagway 21,430,000 2.32% Lake &Peninsula Borough 17,145,000 1.85% Cityof Cordova 18,945,000 2.05% Cityof Kodiak 13,205,000 1.43% Petersburg Borough 11,885,000 1.29% Cityof Dillingham 11,275,000 1.22% Haines Borough 10,535,000 1.14% Cityof Nome 5,425,000 0.59% Municipality of Anchorage 3,735,000 0.40% Cityof Homer 3,475,000 0.38% CityofBethel 2,790,000 0.30% Cityof Valdez 2,725,000 0.29% Cityof Sand Point 2,500,000 0.27% CityofKing Cove 2,155,000 0.23% Cityof Soldotna 2,010,000 0.22% Cityof Craig 1,810,000 0.20% CityofKenai 1,615,000 0.17% City and Borough of Wrangell 1,550,000 0.17% CityofWasilla 1,540,000 0.17% Cityof Hoonah 1,135,000 0.12% Cityof Palmer 860,000 0.09% Cityof Adak 825,000 0.09% Cityof North Pole 820,000 0.09% Cityof Saxman 165,000 0.02% Reserve Obligations 17,820,000 1.93% Total Outstanding Par $924,725,000 100.00% C-l [THIS PAGE INTENTIONALL Y LEFT BLANK] APPENDIXD Summaries of Borrowers Representing 10%orMoreof Outstanding Principal ofBonds IssuedUnderthe2005GeneralBond Resolution [THIS PAGE INTENTIONALLY LEFT BLANK] Kenai Peninsula Borough·General Fund General Obligation Financial Summary Municipal Financial Position I 2010 2011 2012 2013 2014 Average PropertyTax Collections Borrower'sProperty Tax Rateper$1,000 $4.50 $4.50 $4.50 $4.50 $4.50 $5.40 MunicipalLevy $28,875,124 $29,058,274 $30,419,493 $30,823,497 531,750,392 $29,669,460 CurrentYear's Collections $28,375,677 $28,630,610$29,946,804 $30,382,636 $31,332,5%$29,252,398 Current Collection Rate 98.27%98.53%98.45%98.57%98.68%98.59% TotalYear's Collections $28,868,219 $29,044,494 $30,396,459 $30,729,748 $31,332,5%$29,611,923 Total Collection Rate 99.98%99.95%99.92%99.70%98.68%99.81 % General Fund Total Endinz FundBalance $23,025,423$21,705,814 $21,466,583 $23,310,9851$24,881,372 Unreserved Ending FundBalance $2,2,864,839 $21,454,058 $21,268,520 $16,296,148 $15,896,686$19,850,003 Expenditures $70,829,556 $72,163,558$71,347,868 $72,452,478 $73,376,361 $66,417,519 Fund Balance/Expenditures 32%30%30%22%1 22%30% Total Revenues $68,716,762$70,799,893 $71,108,637 s 74,255,493 s 74,945,074$67,188,610 Interzovernmental Revenues s 8,987,813 s 8,538,331 s 9,749,464 s 10,392,037 s 9,486,455 $8,402,746 Percentage Intergovernmental 13%12%14%14%1 13%12% 1 Overall Municipal Debt Position Revenue Debt-Governmental Funds s s s ..$s Revenue Debt-EnterpriseFunds s ..s s $s .. TotalRevenueDebt s ..$$$$ General Obligation Debt-Governmental Funds(GeneralFund onlv)s 20,364,000 s 33,910,000 s 30,230,000 s 26,820,000 s 45,055,000 General Obligation Debt-Enterprise Funds s s s s ..s TolalGeneral Oblizatton Debt s 20,364,000 s 33,910,000 s 30,230,000 s 26,820,000 s 45,055,000 TotalRevenueandGeneral Obliaatron Debt $20,364,000 s 33,910,000 s 30,230,000 s 26,820,000 s 45,055,000 ........>•........:.......',q Governmental GO Debt/Assessed Value(mrv)0.32%0.53%0.46%0.40%0.65% EnterpriseGODebt/Assessed Value(mry)0.00%0.00%0.00%0.00%0.00% Total Revenue andGO Debt!A.V.(mrv)0.32%0.53%0.46%0.40%0.65%.'..".. General Obllaatton DebtPerCapita $380 $612 $336 $473 $792 Total Revenue andGODebtPerCapita $380 $612 $336 $473 $792 General Economic and Demographic Data I 2010 2011 2012 2013 2014 Annual Growth Rate Population 53,578 55,400 56,369 56,756 56,862 0.19% Assessed Value $6,369,098,000 s 6,393,531,000 $6,633,241,000 s 6,716,010,000 s 6,%0,196,000_ Assessed ValuePerCapita $118,875 s 115,407 $117,675 s 118,331 $122,405 Top10TaxPayersasa %ofTotal Assessed Value 15.77%15.23%14.38%16.18%17.05% (mry):mostrecentyear D-I CentralPeninsulaGeneralHospital FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited Audited Audited Audited Audited ASSETS CapitalAssets(netof depreciation)$68,368,337 $67,842,931 $64,853,893 $69,429,959$71,387,990 Cash 23,561,004 21,700,302 27,803,487 35,197,81335,508,443 CashheldforPlant Replacement 10,528,599 10,097,241 11,421,461 11,322,72916,447,887 RestrictedAssets 1,241,196 3,584,121 633,493 500,000 500,000 Unspentbondproceeds 31,275,450 OtherAssets 18,093,771 19,105,718 29,383,57429,863,006 36,846,307 TotaIAssets 121,792,907122,330,313 134,095,908 146,313,507 191,966,077 LIABILITIES ANDNET ASSETS RevenueBondsPayable 32,490,000 GOBondsPayable 37,920,00035,990,000 32,255,00030,130,000 27,905,000 OtherLiabilities 14,057,58510,965,610 18,041,771 18,176,258 20,336,761 TotalLiabilities 51,977,585 46,955,610 50,296,771 48,306,258 80,731.761 NET ASSETS 69,815,32275,374,703 83,799,137 98,007,249 111,234,316 OperatingRevenues 88,941,888 101,279,075 116,849,605 123,951,269 126,713,712 OperatingExpenses 78,326,691 86,771,449 99,255,770 102,247,165104,364,018 Depreciation 8,381,0298,056,595 8,004,562 7,959,305 8,066,688 Operating Income (Loss)2,234,168 6,451,031 9,589,273 13,744,79914,283,006 Non-Operating Revenue(Expense)249,199 (1,105,595)(808,253)(1,541,657)(1,070,583) NetIncome(Loss)Before Contribution 2,483,367 5,345,436 8,781,020 12,203,142 13,212,423 Capital Contributions 176,391 212,945 52,843 2,004,970 14,644 ChangeinNetAssets 2,659,758 5,558,381 8,833,863 14,208,11213,227,067 0-2 GITY AND I u,''''"" GENERAL OBLIGATION FINANCIAL SUMMARY Municipal Financial Position 2010 2011 2012 2013 2014 Average roperty 1 ax Couecnons Borrower'sProertvTaxRateper :!il,OOO ~6.00 ~6.00 ~6.00 ~6.00 ~6.00 ~6.00 MunicipalLevy ~5,768,331 $5,799,400$5,904,617 >0,957,735 $5,901,738 $5,844,470 lurrentYear'sCollections $5,735,962 >0,753,039 $5,874,918 $5,893,452 $5,842,:121 $5,798,187 L urrent Collection Rate 99.44%99,20%99.50%98.92%99.00%99.21% Total Year's Collections >0,801,822 $5,807,869 $5,909,321$5,893,452$5,842,721$5,833,551 Total Collection Rate 100.58%100.15%100.08%98.92%99.00%99.82% !..:Jenera.Funa Unreservel Endinz Fun Balance s 8,853,936 s 11,508,475 $13,584,873 $14,268,394 s 15,996,580 ~11,900,919 Ex enditures I~23,597,203 ~23,260,649 ~24,075,729 ~23,691,912 ~23,628,379 I>23,678,555 Fund Balance/Expenditures 38%49%56%60%68%50.26% Tcta Revenues 1$24,882,306 ,$24,709,916 ~26,584,728 ~25,953,88 s 26,507,173 $25,760,552 IntergovernmentalRevenues I~2,219,501 1$2,380,298 $2,659,323 •2,693,860 •2,771,990 I'2,519,688 Percentage Intergovernmental 9%10%10%10%10%9.77% Overau rvrurucrpar Debt POSItion Revenue Debt-Enterprise Funds $48,467,078 $68,807,401$68,593,411$106,145,822$108,940,000 Revenue Debt-Governmental Funds I~175,500 $165,750 ~156,000 ~146,25U ~202,641 General Obligation Debt-GovernmentalFWla5 I'32,550,000,$36,300,000$32,290,000 $31,020,000$28,635,000 General Oblization Debt-Enterprise Funds 1$-s s -1$-s - Total General Obligation Debt I~32,550,000 ~36,300,000 s 32,290,000 •31,020,000 •28,635,000 TotalRevenueana General Obligation Debt I'81,192,578 $105,273,151 $101,039,411 $137,312,072$137,777,641 ..,.'.,....'....,.' Governmental Gu DebtTaxable AssessedValue 3.42%3.69%3.26%3.10%2.91% TotalRevenueandGO Debt(A.V.8.52%10.69%10.20%13.72%14.01% .,..','.,'.'../, General UlJ1JRabOn De t r-er Capita .3,665 ",138 .3,607 .3,410 .3,152 Tcta Revenueand Gl DebtPer Capita $9,142 ~12,000 $11,287 $15,116 $15,167 GeneralEconomicandDemographicData 2010 2011 2012 2013 2014 Annual Growth Rate Population 8,881 8,773 8,952 9,084 9,084 1.47% TaxableAssessedValue $953,574,685$985,073,129 $990,930,238 $1,001,066,784 $983,623,000 0.59% AssessedValuePerCapita 1$107,372 ~112,285 ~110,694 s 110,201 $108,<81 Top10TaxPayersasa %ofAssessedValue 8.21%7.64%7.57%7.57%7.57% D-3 CityandBoroughofSitka Electric Enterprise Fund Financial Summary 201020112012 2013 2014 Audited Audited Audited Audited Audited Assets Cash 8,868,159 24,320,421 31,450,650 28,803,187 13,505,669 RestrictedAssets 7,149,277 6,871,164 3,595,875 21,197,459 18,121,955 Other Assets 4,256,023 5,010,167 7,266,275 13,897,615 11,777,153 Construction inProgress 5,555,467 11,646,987 18,086,724 58,930,539 137,885,040 UtilityPlantinService 64,914,833 63,103,15061,775,003 59,900,343 59,508,277 Total Assets 90,743,759 110,951,889 122,174,527 182,729,143 240,798,094 LiabilitiesandNet Assets Liabilities Other Liabilities 636,920 1,722,772 2,477,182 6,355,564 13,017,817 RevenueBondsPayable 28,090,000 48,700,000 47,570,000 79,485,000 105,100,000 Deferred loss/premium on bonds (815,343)1,471,509 (1,711,547)5,943,338 6,742,293 RevenueNotePayable 9,054,598 8,800,188 8,535,498 7,973,608 7,973,608 TotalLiabilities 36,966,175 60,694,469 56,871,133 99,757,510 132,833,718 Net Assets 53,777,58450,257,420 65,303,394 82,971,633 107,964,376 Operating Revenues 10,852,914 11,401,523 11,611,319 12,077,554 14,240,772 Operating Expenses Administrative andGeneral 1,699,7371,739,698 2,003,768 1,975,492 2,860,066 Operation and Maintenance 4,366,115 5,257,342 5,914,895 5,152,028 4,964,074 Depreciation 1,994,1771,987,558 1,971,7391,986,1951,841,712 Operating Income 2,792,8852,416,925 1,720,917 2,963,839 4,574,920 Nonoperating revenue (expense) Investment Income 523,298 490,986459,107 314,600 196,399 Interest Expense (2,369,426)(1,725,198)(2,848,639)(1,678,238)(426,419) Other 208,962 -625,748 572,946 812,866 Net Income before contributions and transfers 1,155,719 1,182,713 (42,867)2,173,147 5,157,766 Capital contributions 2,853,752 4,039,237 5,266,050 17,169,455 19,455,106 ExtraordinaryItem: NetPensionObligationRelief 119,824139,806 325,771379,871 TransferIn(Out)net (23,898)-(998,128)- ChangeInNet Assets 3,985,573 5,341,7745,362,989 18,670,245 24,992,743 Population ofCityand Borough 8,8818,7738,952 9,084 9,098 #of electric customers 5,2785,2825,3095,4035,490 KwH Sold 108,739,970111,795,344111,048,623111,155,330 111,155,330 RevenueBondDebtService 4,108,407 3,477,9593,467,567 4,529,240 5,045,158 RevenueBondCoverage (>1.25)1.34 1.41 1.431.27 1.34 Note:$1,440,000 transferred intoRateStabilizationFundin FY2013 Note:Totalof rate StabilizationFundasofJune30,2013-$2,151,000 D-4 CITYAND BOROUGH OFSITKA HARBOR ENTERPRISE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 AuditedAudited Audited Audited Audited ASSETS Plant In-Service (netof depreciation)15,465,195 14,789,299 14,122,591 13,550,231 13,153,475 Land 90,000 90,000 90,000 90,000 90,000 Construction WorkinProgress 317 20,229 57,838 665,476 7,824,365 Cash 3,014,067 3,733,467 4,735,101 6,599,187 6,616,954 RestrictedAssets 3,615,663 589,166 OtherAssets 987,099 1,342,572 1,339,389 1,216,385 1,524,898 TotalAssets 19,556,678 19,975,567 20,344,919 25,736,942 29,798,858 LIABILITIES ANDNETASSETS RevenueBondsPayable 0 0 0 4,569,486 3,840,000 OtherLiabilities 1,500,637 1,405,227 1,156,003 1,144,138 1,689,033 TotalLiabilities 1,500,637 1,405,227 1,156,003 5,713,624 5,529,033 NET ASSETS 18,056,041 18,570,34019,188,916 20,023,318 24,269,825 Operating Revenues 3,040,330 2,854,858 3,154,885 3,096,419 3,164,252 Operation and Maintenance 2,133,8772,492,1102,434,329 1,708,210 2,454,599 Administrative andGeneral Depreciation 799,254 899,956 986,619 668,511 666,074 Operating Income (Loss)107,199 (537,208)(266,063)719,698 43,579 Non-Operating Revenue(Expense)(183,181)46,509 155,306 156,844 776,434 NetIncome(Loss)Before Contribution (75,982)(490,699)(110,757)876,542 820,013 Capital Contributions 242,186 1,690,873 2,549,949 0 3,458,599 Net Transfers-In (Out)400,000 3,804,600 675,000 (42,141)(32,105) Specialitem-NPOIOPEB writeoff ChangeinNetAssets 566,204 5,004,774 3,114,192 834,401 4,246,507 Population ofCity 8,881 8,773 8,952 9,084 9,098 Nopaymentsof RevenueBond Coverage NoHarbor Bonds NoHarbor Bonds NoHarbor Bonds P&I S.16 D-5 1(;11y Ut ."""n.."". GENERAL OBLIGATION FINANCIAL SUMMARY Municipal Financial Position 2009 2010 2011 2012 2013 Average roperry ax \..onecnons Borrower's Property TaxRate per ~1,000 ~6.10 ~6.10 ~6.20 ~6.20 ~6.70 ~6.26 Municipal Levy $4,868,459 $4,885,779 $4,621,143$4,648,128 ~5,344,326 ~4,873,567.00 Current Year's Collections $4,794,074$4,689,396 $4,565,367 $4,590,563 ~,276,616 $4,783,203.20 (.urrent Collection Rate 98.47%95.98%98.79%98.76%98.73%98.15% TotalYear's Collections $4,844,090 ~4,689,396 $4,565,367$4,590,563 ~,276,616 $4,793,206.40 Total Collection Rate 99.50%95.98%98.79%98.76%98.73%98.35% [General Fund Unreserved Ending Fund Balance ~4,649,409 ~5,101,448 ~5,295,406 ~4,285,383 ~4,074,588 $4,681,247 Ex enditures s 18,084,246 ~17,159,791 ~18,527,140 ~19,657,738 s 19,509,987 ~18,587,780 Fund Balance/Expenditures 26%30%29%22%21%25% Total Revenues s 14,019,651 s 13,886,302 s 15,007,571 s 14,949,242 s 15,646,387 ~14,701,831 Intergovernmental Revenues s 1,348,409 s 1,233,173 s 1,820,575 s 1,644,256 s 1,695,138 ~1,548,310 Percentage Intergovernmental 10%9%12%11%11%10% [Overan Murucrpal Uebt POSItion Revenue Debt-Enterrise Funas 57,411,354 s 56,995,549 s 54,828,636 s 52,028,061 s 64,183,054 Revenue Debt-Governmental Funds --- General Obligation Debt-Governmental Funds 5,682,565 ~12,280,86311,452,328 15,726,032 14,535,682 General Obligation Debt-Enterprise Funds 1,935,458 ~4,942,967 5,100,=5,006,4452,763,776 T olal General Obligation Debt 7,618,023 ~17,223,83016,552,550 20,732,477 17,299,458 Total Revenue and General Obligation Debt 65,029,377 s 74,219,37971,381,186 72,760,538 81,482,512 '.>••...•:•.•...-••:.";'..:>.•.•,...0 '.'-........'...:...:.:.:,..-.;",; Governmental GU Debt/Assessed Value (mry)0.71%1.53%1.43%1.95%1.70% Enterprise GO Debt /Assessed Value (mry)0.24%0.62%0.64%0.62%0.32% Total General Obligation Debt'A.V.mrv!0.95%2.15%2.07%2.56%2.02% Total Revenue and GO Debt/AV.nrvt 8.15%9.27%8.91%9.00%9.50% ,i,-.-:~>.;.J:,;',),.~",;;·~·::":;;'_"..:i '.,",!.",,~,,;.;,;.".","".:"';•.......................~"-'~":!~7,~ General Obligation Debt Per Capita ~1,015 ~2,l40 ~2,033 ~2,501 ~2,081 Total Revenue and GOL ebt Per Capita $8,667 ~9,220 ~8,767 ~8,776 ~9,802 General Economic and Demographic Data 2009 2010 2011 2012 2013 Annual Growth Rate Population 7,503 8,050 8,142 8,291 8,313 0.27% Assessed Value $798,108,100 s 800,947,400 s 801,175,000 $808,516,900 s ssz.ssazoo•Assessed Value Per Capita 1$106,372 s 99,497 s 98,400 $97,517 s 103,139 Top 10Tax Payers asa %of Total Assessed Value 8.73%10.57%10.39%10.42%11.92% Hmry):most recent year D-6 CITYOFKETCHIKAN KETCHIKAN PUBLICUTILITIES ENTERPRISE FUND FINANCIAL SUMMARY 2009 2010 2011 2012 2013 Audited Audited Audited Audited Audited ASSETS UtilityPlan In-Service $69,718,266 $67,177,925 $69,018,328 $83,919,407 $83,919,407 Construction Work in Progress 8,017,706 14,788,563 17,131,918 8,123,495 8,123,495 Cash 13,958,67412,566,005 13,845,368 16,767,889 16,767,889 Restricted Assets 4,062,167 3,050,592 2,963,566 2,695,0852,695,085 Other Assets 8,686,219 12,118,366 11,99U90 6,159,953 6,159,953 TotaI Assets 104,443,032 109,701,451 114,950,970117,665,829 117,665,829 LIABILITIES ANDNETASSETS Revenue Bonds Payable 19,902,223 20,233,232 18,884,282 16,602,060 16,602,060 Other Liabilities 4,045,215 3,983,215 4,847,079 5,443,636 5,443,636 Total Liabilities 23,947,438 24,216,447 23,731,361 22,045,696 22,045,696 NET ASSETS 80,495,594 85,485,004 91,219,609 95,620,13395,620,133 Operating Revenues 33,310,537 32,975,154 34,172,941 34,802,748 34,802,748 Operation and Maintenance 20,861,336 19,060,639 19,997,855 21,992,642 21,992,642 Administrative and General 6,034,476 5,603,405 6,097,427 5,408,961 5,408,961 Depreciation 6,086,514 5,932,099 5,892,449 6,872,767 6,872,767 Payment inLieuof Taxes Operating Income(Loss)328,211 2,379,011 2,185,210 528,378528,378 Non-Operating Revenue (Expense)(402,557)(479,652)(363,607)(416,621)(416,621) Net Income (Loss)Before Contribution (74,346)1,899,359 1,821,603 111,757 111,757 Contributions 2,085,231 3,818,051 4,641,002 5,016,767 5,016,767 Special Item Transfer ofNet Assets -Swan Lake -Lake Tyee Intertie Project Transfer -Payment InLieuof Taxes ..(675,000)(72s.o00)(728.000)(728,000)(728,000) Change inNet Assets 1,335,885 4,989,410 5,734,605 4,400,524 4,400,524 Population of Service Area 12,984 13,477 12,984 13,477 13,477 Population ofCity 7,503 8,050 7,503 8,050 8,050 #of Electric Customers 7,365 7,418 7,365 7,418 7,418 #of Telephone Access Lines 7.467 6,994 7,467 6,994 6,994 #of Water Customers 3,217 3,207 3,217 3,207 3,207 Revenue Bond Coverage 2.30 2.80 2.30 2.80 2.80.Water isonly provided withintheCity ..Change in accounting standards payment inlieuoftaxmustbe reported asa transfer D-7 CITYOFKETCHIKAN PORTFINANCIALSUMMARY 2009 2010 2011 2012 2012 2013 Audited Audited Audited Audited Restated Audited ASSETS Cash $4,827,125$4,364,226 $2,373,808 $2,285,517$2,285,517 2,900,167 Port Facilities (net)44,947,620 43,642,947 42,020,64047.766,77647.766,776 53.490,542 Construction Workin Progress 963,018 1,116.782 5,531,746 5,066,0485,066,048 5,449,151 Restricted Assets 4,819.708 5,307,521 5,623,924 6,082,0976,082,097 6,595.730 OtherAssets 1,730.443 1,281,312 3,670,192 4,518,553 4,236,551 4,140,133 TotalAssets 57,287,914 55,712.788 59,220,310 65.718,991 65.436,98972,575,723 LIABILITIES ANDNETASSETS General Obligation BondsPayable 1,035,000 795,000 540,000 270,000 270,000 0 Revenue Bonds Payable 36,540,00035,830,00035,090,000 34,315,000 34,315,00033,505,000 Other Liabilities 3,147,957 3,134,814 2,847,180 1,072,313 1,072.313 1,699,380 Tatarliabilities 40.722,957 39,759,814 38.477,180 35,657,31335,657,313 35,204,380 NETASSETS 16,564,957 15,952,974 20.743,130 30,061,678 29,779,676 37,371,343 Operating Revenues 8,922,228 8,000.492 7,986.404 8,592,255 8,592,255 9,145,920 Operation and Maintenance 5,368,009 5,319,252 3,957,9093,884,156 3,888,525 4.416.473 Depreciation 1.460,265 1,446,527 1.401,754 1,359,5131,359,5131,636,863 Property Taxes 154,041 167,219 152.762 142,575 142,575 165,627 PaymentinLieuofTaxes•• Operallng Income (Loss)1,939,913 1,067.494 2.473,979 3,206,011 3,201,642 2,926,957 Non-Operating Revenue (Expense)(1,718,248)(1,903,421)(2,043,804)201,299223,562 (912,634) Net Income (Loss)BeforeContribution 221,665 (835,927)430,175 3.407,310 3,425,204 2,014,323 Contributions andCapitalGrants 905,943 518,944 4,654,981 6,214.416 6,214.416 8,676,543 Extraordinary Item Special Item Transfers (8,178)(8,178)(80,199) Transfer-PaymentinLieuofTaxes ..(290,000)(295,000)(295,000)(295,000)(295,000)(319,000) ChangeinNetAssets 837,608 (611,983)4.790,156 9,318,548 9,336.442 10,291,667 1.25 x AnnualDebtService 2.45 2.00 2.24 3.36 3.36 3.00 1.0 x AnnualDebt Service/Reserves Account/Repair and Replacement Fund/SPH Lease Payments 1.13 0.99 1.16 1.67 1.67 1.41 *Unaudited #ofShips 36 26 28 34 34 38 #ofCalls/Stops 496 429 426 467 462 453 #ofWater Passengers 937.419 828,929 830,547885.799 885.799 938,124 Reflects statistical information provided bythe Ketchikan Visitors Bureau Beginning in2005.changein accounting standards required payment in lieu oftaxestobe reported as transfers. D-8 CITYAND BOROUGH OFJUNEAU FINANCIAL SUMMARY General Governmental Fund Municipal Financial Position 2010 2011 2012 2013 2014 Averaee roperty 1 ax Conecnons Borrower'sPropertyTaxRateper$1,000 ~10.60 $10.51 $10.55 ~1O.55 ~10.66 ~1O.57 Municipal Levv $41,048,853 $40,739,944$41,751,673 $44,252,019$44,965,923 ",,2,551,682 CurrentYear'sCollections $40,691,450 $40,329,083$41,431,682 $43,987,108$44,818,184$42,251,501 LurrentCollectionRate 99.13%98.99%99.23%99.40%99.67%99.29% Total rears Collections ""0,879,741 ",,0,5ul,293 $41,455,145 $43,987,1""$44,81~,1ts4 $42,328,2~4 Total Collection Kate 99.59 0 99.41%99.29%99.40%99.67%99.47% Il;eneral Fund nassigned Plus Erneraencv Operatinz Res GASB#54 s 5,714,731 s 1,729,385 s 3,484,161 s 4,374,670 s 13,844,723 $5,829,534 Ex enaitures $4~,158,125 $50,040,314 s 51,283,781 $50,497,~,$53,053,117 s50,906,663 Fund Balance!Ex enditures 11.63%3.42%6.79%8.66%26.10%11.32% Total Revenues ~66,541,842 ~66,008,466 $5u,u"6,584 $52,u~~,0 3 $5,370,513 $60,0~,288 Intergovernmental Revenues $12,389,683 s 14,313,000 s 15,464,700 s 15,281,700 s 29,140,692 $17,317,955 Percentage Intergovernmental 19%22%31%29%45%29.03% uverau rvrurucrpar Debt Position RevenueDe t-Ente prise tunas $46,370,845 $45,208,341 s 43,679,682 s 41,906,067 $40,090,908 Revenue Debt-Governmental Funds $2,718,662 ~3,599,575 $2,861,747 $2,091,47 $6,807,086 General Dblization Debt-Governmental Funds s 156,356,000 s 148,301,000 s 133,446,000 s 131,385,000 s 122,068,000 General Obligation Debt-Enterprise Funds s -$-s 1$-s - Total \..;jenera!Obligation ebt $156,356,000 $148,31,000 $133,446,000 $131,385,UUO $122,06B,UOO otal Revenue ana uenerar Obligation Debt $205,445,57 $197,108,916 $17~,987,429 $175,382,5L4 $16~,965,994 J;il';";~~~l.H~'~,,;..'::(:..~t~~.\f;)~,l~~~';~'i~'.;i'~,~~~tr,":~;~i:;j'~\:f,,;~~.;~'!'~~'·'M··~,~:';;i):...,;:*gM~-4:',:".~.::;'..~:~':::",-,>...:::..,':.>'~.,;-.-;/.:"-':.>,-",.,;;',,".:~diO!ii Governmental GO Debt/Taxable Assessed Value 3.98%3.72%3.28%3.07%2.79% Total Revenue and GO Uebtj A.V.5.22%4.94%4.42~4.1U%3.86% .:,,'..,':.':......c·...:'.....:...."'/2 General Obligation DebtPerLaita $4,999 $4,742 $4,113 $4,023 $3,692 Total Revenue an L LiU Debt Per Capita ,"",569 $t,302 $5,548 $5,3/0 $.:,110 General Economic and Demographic Data 2010 2011 2012 2013 2014 I Annual r-opuranon ;'1,00 ,0';'L,'l4J ;'L,MU 00,"0'>I 1.L4% Taxable Assessed Value $3,933,364,442 $3,989,344,944 $4,071,713,732 $4,275,067,217 $4,379,714,933_ Assessed ValuePerCapita $125,767 $127,557 $125,511 $130,896 $132,462 Top10Tax Payers asa %of Assessed Value 10.52%13.78%13.73%13.82%13.61% 0-9 CITYAND BOROUGH OF JUNEAU HARBOR ENTERPRISE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 AuditedAudited AuditedAuditedAudited ASSETS PlantIn-Service(netofdepreciation)$11,923,364 $13,827,335 '$12,844,129$11,875,368 $14,325,870 ConstructionWorkinProgress 29,935,711 29,889,294 33,499,769 42,397,97440,419,697 Cash 4,470,053 4,728,522 4,660,755 3,466,374 4,030,992 RestrictedAssets 7,588,584 10,702,703 11,196,47910,946,32810,554,614 OtherAssets 866,059 764,741 847,869 543,407 679,907 TotalAssets 54,783,771 59,912,595 63,049,001 69,229,451 70,011,080 LIABILITIESANDNETASSETS RevenueBondsPayable 9,960,000 9,700,000 9,691,595 9,380,434 9,033,637 OtherLiabilities 1,726,240 2,110,290 2,140,909 1,401,365 2,050,500 TotalLiabilities 11,686,24011,810,290 11,832,504 10,781,799 11,084,137 NETASSETS 43,097,531 48,102,305 51,216,49758,447,652 58,926,943 OperatingRevenues 3,040,330 2,854,858 3,154,885 3,173,272 3,508,430 Operationand Maintenance 2,133,877 2,492,110 2,434,3292,498,1782,814,717 Administrative andGeneral Depreciation 799,254 899,956 986,619 968,761 1,003,707 Operating Income(Loss)107,199 (537,208)(266,063)(293,667)(309,994) Non-Operating Revenue(Expense)(183,181)46,509 155,306 (214,686)128,433 NetIncome(Loss)Before Contribution (75,982)(490,699)(110,757)(508,353)(181,561) Capital Contributions 242,186 1,690,873 2,549,949 7,392,466 660,852 Net Transfers-In (Out)400,000 3,804,600 675,000 500,000 0 Specialitem-NPOIOPEBwriteoff ChangeinNetAssets 566,204 5,004,774 3,114,192 7,384,113 479,291 PopulationofCity 31,275 31,275 32,441 32,66033,064 RevenueBondCoverage 2.18 1.19 1.79 1.21 1.67 D-IO CITY AND BOROUGH OF JUNEAU PORT DEVELOPMENT SPECIAL REVENUE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AuditedAudited Audited Audited ASSETS PlantIn-Service(netof depreciation) ConstructionWorkinProgress Cash 3,414.679 4.428.233 (208.085)(252.013)71.012 RestrictedAssets OtherAssets 273.317 314.814 269.712 484.639 294.257 TotalAssets 3.687.996 4.743.047 61.627 232.626 365.269 LIABILITIES ANDNET ASSETS RevenueBondsPayable OtherLiabilities 151.020 349.585 TotalLiabilities 151.020 349.585 NETASSETS 3.687.996 4.743.047 61.627 81.606 15.684 OperatingRevenues 2.856.882 2.557.851 2.634.0802.825,4792.864.578 Operationand Maintenance 4.500 2.800 5.5005.500 5.500 Administrative andGeneral Depreciation Operating Income(Loss)2.852.382 2.555.051 2.628.5802.819.979 2.859.078 Non-Operating Revenue(Expense) NetIncome(Loss)Before Contribution 2.852.382 2.555.051 2.628.5802.819.979 2.859.078 Capital Contributions NetTransfers-In(Out)(1.750.000)(1.500.000)(7.310.000)(2.800.000)(2.925.000) ChangeinNetAssets 1.102.382 1.055.051 (4.681,420)19.979 (65.922) PopulationofCity 31.275 31.275 32,441 32.66033.064 RevenueBondCoverage N/A N/A N/A N/A N/A D-ll Cityand Borough of Juneau Conduit Debt WILDFLOWER COURT (Anotforprofit organziation) FINANCIAL SUMMARY 2010 201120122013 2014 Audited AuditedAuditedAudited Audited ASSETS PlantIn-Service 5,674,338 4,909,305 4,620,999 4,734,678 3,771,100 Cash 1,255,8671,582,128 1,752,043 1,437,085 1,970,693 RestrictedAssets 1,735,178 1,707,402 2,170,928 1,489,3651,450,054 OtherAssets 1,312,915 1,399,517 1,444,749 1,786,787 1,267,699 TotalAssets 9,978,298 9,598,352 9,988,719 9,447,915 8,459,546 LIABILITIES ANDNETASSETS BondDebt 13,650,000 13,050,000 11,705,000 11,596,22910,204,712 Other Liabilities 878,190 904,428 2,052,663 1,132,323 996,579 TotalLiabilities 14,528,190 13,954,428 13,757,663 12,728,552 11,201,291 NETASSETS(DEFICIT)(4,549,892)(4,356,076)(3,768,944)3,280,637 (2.741,745) OperatingRevenues 10,361,60910,859,195 10,841,324 11,057,791 11.447,862 Operating Expenses 9,802,944 9,894,3539,594,317 9,666,530 9,961,681 Depreciation 937,147 832,579 780,765 935,669 1,008,253 OperatingIncome(Loss)(378,482)132,263 466,243455,592 477,928 Non-Operating Revenue(Expense)27,924 61,553 120,890 32,713 60,964 ChangeinNetAssets (350,558)193,816 587,132 488,305 538,892 RevenueBond Coverage 1.01 1.33 1.32 1.12 1.10 TheBondBankhasreceivednotificationfromseniormanagementofWildflowerCourtthatforcalendaryear2013and2014 WildflowerCourtfellshortoftherequireddebtservicecoverageratioof1.15times.Persection5.1(b)oftheloanagreement betweentheCityandBoroughofJuneauandWildflowerCourt,WildflowerCourtisworkingwiththeCityandBoroughto identifymeasurestoreturnthefacilitytocompliancewiththedebtservicecoveragerequirementoftheloanagreement. D-12 CITYAND BOROUGH OF JUNEAU BARTLETT REGIONAL HOSPITAL FINANCIAL SUMMARY 2010 2011 2012 2013 2014 AuditedAudited AuditedAuditedAudited ASSETS PlantIn-Service(netof depreciation)$74,736,663 $72,772,410 $74,566,327 $74,002,798$69,208,456 Construction WorkinProgress 3,126,611 6,866,781 6,202,224 2,826,314 228,425 Cash 18,036,20214,990,308 17,386,169 26,113,833 38,596,921 RestrictedAssets 8,555,051 10,160,114 6,549,498 5,490,768 5,327,673 OtherAssets 20,549,93723,011,26323,462,113 25,230,206 20,528,164 TotalAssets 125,004,464 127 ,800,876 128,166,331 133,663,919133,889,639 LIABILITIES ANDNET ASSETS RevenueBondsPayable 26,165,00025,570,000 24,926,795 25,304,67924,346,618 OtherLiabilities 11,066,14711,391,053 8,999,8678,829,067 11,033,875 TotalLiabilities 37,231,147 36,961,05333,926,662 34,133,746 35,380,493 NET ASSETS 87,773,317 90,839,823 94,239,669 99,530,173 98,509,146 OperatingRevenues 82,640,681 90,680,836 95,026,373 84,250,207 80,198,274 Operationand Maintenance 72,975,632 83,883,389 89,411 ,913 76,967,44478,820,476 Administrative andGeneral Depreciation 6,270,565 6,552,177 7,145,290 7,001,295 7,086,559 Operating Income (Loss)3,394,484 245,270 (1,530,830)281,468 (5,708,761) Non-Operating Revenue(Expense)911,555 1,579,634 3,306,366 4,119,820 3,610,234 NetIncome(Loss)Before Contribution 4,306,039 1,824,904 1,775,536 4,401,288 (2,098,527) Capital Contributions 536,697 89,002 471,910 134,658 0 Net Transfers-In (Out)1,146,0001,152,6001,152,400 1,123,000 1,077,500 Specialitem-NPOIOPEBwriteoff ChangeinNetAssets 5,988,736 3,066,506 3,399,846 5,658,946 (1,021,027) PopulationofCity 31,275 31,275 32,441 32,660 33,064 RevenueBondCoverage 5.15 3.63 3.00 7.34 2.50 D-13 [THIS PAGE INTENTIONALLY LEFT BLANK] APPENDIXE Financial Statements of the Alaska Municipal BondBank fortheYearEndedJune30,2014 [THIS PAGE INTENTIONALLY LEFT BLANK] ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of theState of Alaska) Financial Statements FortheYearEndedJune30,2014 Together with Independent Auditor's ReportThereon ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of the State of Alaska) Table of Contents Management's Discussion and Analysis Financial Statements Independent Auditor's Report Statement of Net Position and Governmental Funds Balance Sheets Statement of Activities and Governmental Funds Statements of Revenues,Expenditures and Changes in Fund BalancesfNet Position Notes to Financial Statements Supplemental Schedule of Statutory Reserve Accounts -Assets,Liabilities, and Account Reserves Continuing Disclosures Tables Page I-VII 1-2 3 4 5-21 22-23 24-29 ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of theState of Alaska) Management's Discussion and Analysis YearEndedJune30,2014 This Management's Discussion and Analysis (MD&A)is required byGASB Statement 34,astandard established bythe Governmental Accounting Standards Board.Thissectionisintendedtomakethe financial statements more understandable totheaverage reader whoisnotfamiliarwith traditional accounting terminology. Thisfinancialreporthastwointegralparts:thisMD&Aandthefinancial statements withthe accompanying notesthatfollow.Together,theypresentthe Alaska Municipal BondBank Authority's (BondBank)financial performance during thefiscalyearendedJune30,2014.Summarized priorfiscal year information isshownwithinthisMD&A,asneeded,for comparative purposes. Required Financial Statements GASB34requirestwotypes of financial statements:the Statement of Net Position and Governmental FundBalanceSheetsandthe Statement of Activities and Governmental Fund Revenues,Expenditures andChangesinFund BalanceslNet Position.These statements reportfinancial information aboutthe BondBank'sactivitiesusing accounting principles generally accepted intheUnitedStates of America.In addition tothebasicfinancial statements,theNotestoFinancial Statements provide information thatis essentialtoafull understanding of thedata provided inthebasicfinancialstatements. Financial Highlights During fiscalyear2014,theBondBank entered into9 municipal loan agreements forprojectsin7 communities.TheBondBankissued$178.5millioninbonds,whichresultedin$191.4millioninloans to communities forprojects.BondBankbondactivityinfiscal year 2014resultedinpresentvalue savings of approximately $12.7milliontothe borrowing communities.In comparison,theBond Bank's activitylevelinfiscalyear2013wasanissuance of$153.5 million,resulting in$174.5millioninloansto communities forprojects,and included $25millionusedtodefeaseoldergeneral obligation andrevenue bonds.Duringfiscalyear2013theBond Bank entered into17 municipal loan agreements forprojectsin 10 communities.The Bond Bank's community benefitforfiscal year 2013 provided presentvalue savings of approximately $19.8milliontothe borrowing communities. Statement of Net Position The Statement of Net Position reportsassets,liabilitiesandnet position of theBondBank. Assets Assets represent 1)Thevalue of theBondBank's investments and investment income receivable onthe financial statement dates,recordedatfairmarketvalue,and2)Bondprincipaland interest payments receivable from municipalities.The investments generate incomefortheBondBank,usedtomeet reserve requirements andpay operating costs.Historically excess operating accountearningswere transferred to theState of Alaska's (State)generalfundeachyear.Thefiscal year endingJune30,2014markedthe seventh consecutive yearthattheState operating budget has appropriated anyexcessearnings of the operating accounttotheBond Bank's reservefund(HB266,Sec.27).Interest received onbonds purchasedfrom municipalities isusedtopaytheBondBank's corresponding interest paymentsonthe bondsthatithasissued. -1- ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of the State of Alaska) Management's Discussion and Analysis Year Ended June 30,2014 Liabilities Liabilities represent claims against thefundforI)goods and services provided before the financial statement datebut not yet paid forat that date,and 2)interest and bond payments dueto purchasers of the Bond Bank's bonds after the financial statement date. Restricted and Unrestricted Net Position Net position is comprised of two components.The restricted portion reflects monies maintained in separate trust accounts where their useis limited by applicable bond covenants for repayment of bonds. The unrestricted portion reflects monies that are available forany authorized purpose of the Bond Bank. The following table shows the value of Bond Bank assets summarized as of June 30,2014 and 2013,as wellas liabilities andnet position: Changesfrom2013to2014 AsofJune30,1ncrease/(Decrease) 2014 2013 DoUars Percent Assets: Cashand investments $77,969,569 $76,930,862 $1,038,707 1.35% Bondsandbondinterestreceivable 915,839,560 804,503,292 111,336,268 13.84% Totalassets 993,809,129 881,434,154 112,374,975 12.75% Liabilities: Accountspayableandaccrued liabilities 3,318,954 1,106,446 2,212,508 199.97% Bondsandbondinterestpayable 933,926,183 822,928,810 110,997,373 13.49% Total liabilities 937,245,137 824,035,256 113,209,881 13.74% Net Position: Restricted 40,270,255 43,084,377 (2,814,122)-6.53% Unrestricted 16,293,737 14,314,521 1,979,216 13.83% Totalnet position $56,563,992 $57,398,898 $(834,906)-1.45% The Bond Bank's investments areall held inU.S.Government securities. The increase in accounts payable and accrued liabilities isduetoan increase inthe amount of principal and interest payments already received bythe trustee prior to June 30,2014 for payment dates occurring on,or after July I,2014. The increase in bonds and bond interest receivable,as well asin bonds and bond interest payable,reflects the issuance of approximately $178.5 million in new bonds and loans during the year,net of principal payments on bonds previously issued of approximately $56.6 million. -1I- ALASKA MUNICIPAL BONDBANK AUTHORITY (aComponentUnit of theState of Alaska) Management's Discussion and Analysis YearEndedJune30,2014 Statement of Activities Thestatement of activitiesshowshowtheBond Bank's netpositionchangedduringthemostrecentfiscal year. Revenues Revenuesincludetotalreturnoninvestmentsandinterestpaymentsreceivedfrommunicipalities. Earningsoninvestmentsincludeinterestonfixedincomemarketablesecuritiesandthechangeinfair marketvalue ofthose investments. Expenses ExpensesincludeinterestpaymentsmadetobondholderswhopurchasedtheBondBank'sbonds, paymentsmadetotheState of Alaskaandoperatingexpenses.Operatingexpensesincludeall expendituresrequiredtoissuebondsduringthecurrentyearandincludein-houseexpenses,aswellas externalconsultantfees.Expensesaresubtractedfromrevenues. Thefollowingisacondensedstatement of theBond Banks'changesinnetpositionas of June30,2014, and2013: AsofJune30, Changesfrom2013to2014 Increase/(Decrease) 2014 2013 Dollars Percent 33,822,568 $930,157 2.75% 74,580 785,312 1052.98% 33,897,148 1,715,469 5.06% 35,329,425 277,007 0.78% 723,116 117,975 16.31% 36,052,541 394,982 1.10% (1,245,510)1,245,510 100.00% (3,400,903)2,565,997 75.45% 60,799,801 (3,400,903)-5.59% 57,398,898 $(834,906)-1.45% (834,906) 57,398,898 56,563,992 $==~====== $34,752,725 $ 859,892 35,612,617 35,606,432 841,091 36,447,523 $ Expenses: Interestexpenseonbondspayable Operatingexpenses Totalexpenses Otherfinancingsources Loanforgiveness-IFAbonds Changeinnet position Net position,beginning ofperiod Net position,endofperiod Revenues: Interestincomeonbondsreceivable Investmentearnings Totalincome Interestincomeandexpenseonbondsreceivableandpayableareafunction of thetotalamount of bonds outstanding,theage of thebondsandtheinterestratesatwhichtheyareissued.Theincreasesinboth of theselineitems of $0.9million(interestincome)and$0.3million(interestexpense)areconsistentwith theincreaseinbondreceivableandpayablebalances,respectively. -II1- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) Management's Discussion and Analysis YearEndedJune30,2014 Investmentearningsareafunction of marketconditions,andactivemanagement.TheBondBankuses otherassetstosubsidizedebtserviceduringtimesoflowinvestmentreturnsinbondreservefunds.The decreaseinnetpositionisprimarilyduetodebtserviceonreserveobligations. Governmental Funds ThegovernmentalfundsincludetheGeneralFund,whichaccountsfortheprimaryoperations of theBond Bank,andtheDebtServiceFund,whichaccountsfortheresources accumulated andpaymentsmadeon thelong-termdebt of theBondBank.Theprimarydifferencebetweenthe governmental fundsbalance sheetandthestatement of netpositionistheelimination of inter-fundpayablesandreceivables.Bond proceedsarereportedasotherfinancingsourceinthegovernmentalfundsstatement of revenuesand expensesandthiscontributestothechangeinfundbalance.Inthestatement of netposition,however, issuingdebtincreaseslong-termliabilitiesanddoesnotaffectthestatement of activities.Similarly, repayment of debtprincipalisrecordedasexpenditureinthegovernmentalfundsstatement of revenues andexpensesandreducestheliabilityinthestatement of netassets. Thefollowingtablesshowgovernmentalfunds'condensedbalancesheetsandstatements of revenues, expendituresandchangesinfundbalancesas of June30,2014,and2013. General Fund Changes from2013to2014 As of June30,Increase/(Decrease) 2014 2013 Dollars Percent Assets: Cash,investmentsand related accrued interest $17,775,612 $23,423,264 $(5,647,652)-24.11% Bondsandbond interest receivable 1,836,923 2,102,377 (265,454)-12.63% Interfund receivable 3,363,749 3,307,959 55,790 1.69% Total assets 22,976,284 28,833,600 (5,857,316)-20.31% Liabilities: Accounts payableand accrued liabilities 187,848 299,699 (111,851)-37.32% Fund Balance: Restricted fordebt service 4,956,430 13,016,771(8,060,341)-61.92% Unassigned 17,832,006 15,517,1302,314,876 14.92% Totalfund balance 22,788,436 28,533,901(5,745,465)-20.14% Total liabilities andfund balance $22,976,284 $28,833,600 $(5,857,316)-20.31% -IV- ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of theState of Alaska) Management's Discussion and Analysis YearEndedJune30,2014 Debt Service Fund Changes from2013to2014 As of June30,1ncrease/(Decrease) 2014 2013 Dollars Percent Assets: Cash,investmentsand related accrued interest $60,193,957 $53,507,598 $6,686,35912.50% Bondsandbond interest receivable 914,002,637802,400,915 111,601,72213.91% Total assets 974,196,594855,908,513118,288,08113.82% Liabilities: Accounts payableand accrued liabilities 3,131,106 806,747 2,324,359 288.11% Interfund payables 3,363,749 3,307,959 55,7901.69% Total liabilities 6,494,855 4,114,7062,380,14957.84% Fund Balance: Restricted fordebt service 967,701,739851,793,807115,907,93213.61% Total liabilities andfundbalance $974,196,594 $855,908,513 $118,288,081 13.82% General Fund Changes from2013to2014 As of June30,Increase/(Decrease) 2014 2013 Dollars Percent Revenues: Interest income $281,398 $22,221 $259,177 1166.36% Expenditures: Operating expenses 841,091 723,116 117,97516.31% Excess (deficiency)of revenues over expenditures (559,693)(700,895)141,20220.15% Other financing sources (uses)-transfers (5,185,772)13,482,851(18,668,623)-138.46% Excess (deficiency)of revenues and transfers over expenditures (5,745,465)12,781,956(18,527,421)-144.95% Fund balance,beginning of period 28,533,901 15,751,94512,781,95681.15% Fund balance,end of period $22,788,436 $28,533,901 $(5,745,465)-20.14% -v- ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of the State of Alaska) Management's Discussion and Analysis Year Ended June 30,2014 Debt Service Fund Changesfrom2013to2014 AsofJune30,Increase/(Decrease) 2014 2013 Dollars Percent Revenues: Interestincomeonbondsreceivable $34,732,354 $33,760,463 $971,891 2.88% Investmentearnings 598,865 114,464 484,401 423.19% Totalrevenues 35,331,219 33,874,927 1,456,292 4.30% Expenditures: Interestpayments 35,947,564 33,406,972 2,540,592 7.60% Principalpayments 56,605,000 52,031,032 4,573,968 8.79% Totalexpenditures 92,552,564 85,438,004 7,114,560 8.33% Excess(deficiency)ofrevenues overexpenditures (57,221,345)(51,563,077)(5,658,268)-10.97% Otherfinancingsources(uses): Bondproceeds 178,525,000 153,490,000 25,035,000 16.31% PaymentstoBondEscrowAgent (24,950,000)24,950,000 100.00% Loanforgiveness -IFAbonds (1,245,510)1,245,510 100.00% Transfers 5,185,772 (13,482,851 )18,668,623 138.46% Totalother financing sources(uses):183,710,772 113,811,639 69,899,133 61.42% Excessofrevenuesandtransfersover expenditures 126,489,427 62,248,562 64,240,865 103.20% Fundbalance,beginning ofperiod as previously reported 851,793,807 789,545,245 62,248,562 7.88% Removalofconduitdebt obligations (10,581,495)(10,581,495)-100.00% Fundbalance,beginning ofperiod asrestated 841,212,312 789,545,245 51,667,067 6.54% Fundbalance,endofperiod $967,701,739 $851,793,807 $115,907,932 13.61% Long-term Debt At June 30,2014 the Bond Bank had $923,475,000 of bonds and notes outstanding up 15.2%from $801,555,000 at June 30,2013.This excludes conduit debt obligations of the Coastal Energy Loan Program.Payment of principal and interest on the Bond Bank's Coastal Energy Bond is not secured bya pledge of any amounts held by or payable to the Bond Bank under the General Bond Resolution, including the Reserve Account,and is not in any way a debt or liability of the Bond Bank and accordingly,are not included inthe basic financial statements.Please see note (7),and note (8)to the financial statements. As discussed in the previous sections,net increase in 2014 long term debt balances is due to new bond issuances for loans to communities. -V1- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) Management's Discussion and Analysis YearEndedJune30,2014 AS44.85.180(c)wasenactedin1975,limitingtheBondBankoutstandingbondsatanytimeto$150 million.ThisStatutehasbeenperiodicallyamendedtoraisethelimit,andinfiscalyear2014,thelimit wasincreasedto$1.5875billion,of which$87.5millionisspecificallydesignatedfortheUniversity of Alaska. Outstandinglongtermdebtiscomprised of thefollowingbondsandloansatyearend: Changes from2013to2014 As of June30,Increase/(Decrease) 2014 2013 Dollars Percent GObonds payable $919,090,000 $783,545,000 $135,545,000 17.30% Revenue bonds payable 4,385,000 18,010,000(13,625,000)-75.65% Coastal Energy notespayable 10,581,495(10,581,495)-100.00% $923,475,000 $812,136,495 $111,338,505 13.71% Contacting theBond Bank's Financial Management Thisfinancialreportisdesignedtoprovideourcustomers,investors,andcreditorswithageneral overview of theBond Bank's financesandtodemonstratetheBond Bank's accountability of itsassets.If youhaveanyquestionsaboutthisreportorneedadditionalfinancialinformation,contacttheExecutive Director of theBondBankat(907)465-3750. -VII- IBDQ Independent Auditor'sReport TotheBoardofDirectors ALaska MunicipaL BondBank Authority Juneau,ALaska Tel:907-278-8878 Fax:907-278-5779 www.bdo.com 3601C Street,Suite600 Anchorage,AK 99503 Report on the Financial Statements WehaveauditedtheaccompanyingfinanciaLstatementsofthegovernmental activities and each major fundoftheAlaska MunicipaL BondBank Authority (the Authority),acomponent unit oftheStateof ALaska,asofand for theyearendedJune30,2014,andtherelated notestothe financiaL statements,which collectively comprisethe Authority's basicfinancial statementsas Listed inthe tabLe ofcontents. Management's Responsibility fortheFinancial Statements Managementis responsibLe forthe preparation and fair presentationofthese financiaL statementsinaccordance with accounting principLes generallyacceptedintheUnitedStates ofAmerica;thisincludesthedesign,implementation,andmaintenanceof internal controL relevant tothe preparation and fair presentation of financial statements that arefreefrom materiaL misstatement,whether duetofraudorerror. Auditor's Responsibility Our responsibility istoexpressopinionsonthesefinanciaLstatements based onour audit.We conductedour audit inaccordance with auditing standardsgenerallyacceptedintheUnited StatesofAmerica.Those standardsrequire that weplanand perform the audit toobtain reasonable assurance about whether thefinanciaLstatementsarefreefrommateriaL misstatement.An audit involves performing procedurestoobtain audit evidenceaboutthe amountsanddisclosuresinthefinanciaLstatements.Theprocedures seLected dependonthe auditor's judgment,includingthe assessment oftherisksof material misstatement ofthe financiaLstatements,whether duetofraudor error.Inmakingthoserisk assessments,the auditor considersinternaLcontroL reLevant tothe entity's preparation and fair presentation ofthefinanciaLstatementsin order todesign audit procedures that are appropriate inthe circumstances,butnot for thepurposeofexpressinganopinionontheeffectivenessofthe entity's internal control.AccordingLy,weexpressnosuchopinion.An audit aLso includes evaLuating theappropriatenessofaccountingpoliciesusedandthe reasonableness of significant accountingestimatesmadebymanagement,as well as evaLuating the overall presentation ofthefinanciaLstatements.Webelieve that the audit evidencewehave obtained is sufficient and appropriate toprovideabasis for our audit opinions. Opinions Inouropinion,the financiaL statements referred toabovepresentfairLy,inallmateriaL respects,therespectivefinanciaLpositionofthegovernmental activities andeach major fundofthe ALaska MunicipaL BondBank Authority,asofJune30,2014,andtherespective changes infinanciaLpositionfortheyearthenendedinaccordance with accounting principLes generallyacceptedintheUnitedStatesofAmerica. Emphasis of Matter As discussed inNote8tothe financial statements,theAlaskaMunicipal Bond Bank Authority haselectedtochangetheway it reportsconduit debt obligations.Thischangeinaccounting principle hasresultedina restatement ofopeningfundbalanceintheDebtServiceFund. Ouropinionisnot modified with respecttothis matter. Other Matters Required Supplementary Information Accounting principles generallyacceptedintheUnitedStatesofAmerica require that the management's discussion andanalysison pages I-VIIbepresentedtosupplementthebasic financial statements.Such information,althoughnotapartofthebasic financial statements,isrequiredbytheGovernmentalAccounting Standards Boardwhoconsiders it to beanessential part of financial reporting for placingthebasic financial statementsinan appropriate operational,economic,or historical context.Wehaveappliedcertain limited procedurestotherequiredsupplementary information inaccordance with auditingstandards generallyacceptedintheUnitedStatesofAmerica,whichconsistedofinquiriesof managementaboutthemethodsofpreparingthe information andcomparingthe information forconsistency with management's responses toour inquiries,thebasic financial statements,and other knowledgeweobtainedduringour audit ofthebasic financial statements.Wedonotexpressanopinionorprovideany assurance onthe information because the limited proceduresdonotprovideus with sufficient evidencetoexpressan opinionorprovideany assurance. Supplementary Information Our audit wasconducted for thepurposeofformingopinionsonthe financial statements that collectively comprise the AlaskaMunicipalBondBank Authority's basicfinancial statements.The supplemental schedulesandtablesnotedinthetableofcontentsare presentedforpurposesof additional analysisandarenotarequiredpartofthebasic financial statements.The supplementary information isthe responsibility ofmanagement andwasderivedfromandrelates directly totheunderlyingaccountingand other records usedtopreparethebasic financial statements.Such information hasbeensubjectedtothe auditing proceduresappliedinthe audit ofthebasic financial statementsandcertain additional procedures,including comparingandreconcilingsuch information directly tothe underlyingaccountingand other recordsusedtopreparethebasic financial statementsorto thebasic financial statementsthemselves,and other additional proceduresinaccordance with auditing standards generally acceptedintheUnitedStatesofAmerica.Inouropinion, thesupplementary information is fairly stated,inall material respects,in relation tothe basic financial statementsasawhole. October2,2014 Anchorage,Alaska -2- ALASKA MUNICIPAL BONDBANK AUTHORITY (a Component Unit of the State of Alaska) Statement ofNet Positionand Governmental Funds Balance Sheets June 30,2014 Statement ofNet General Fund DebtService Fund Total Adjustments Position ASSETS Cashandcash equivalents s 1,034,880 s 5,889,948 s 6,924,828 s s 6,924,828 Investments,atfairvalue(note4)16,697,983 54,158,511 70,856,494 70,856,494 Accrued interest receivable: Bondsreceivable 255 10,232,637 10,232,892 10,232,892 Investment securities 42,749 145,498 188,247 188,247 Bondsreceivable(note5)1,836,668 903,770,000905,606,668 905,606,668 Interfund receivables 3,363,749 3,363,749 (3,363,749) Totalassets s 22,976,284 s 974,196,594 s 997,172,878 (3,363,749)993,809,129 LIABILITIES Accountspayable s 66,766 s s 66,766 s s 66,766 Dueto Primary Government 121,082 121,082 121,082 Principal andinterestpayments receivedinadvance 3,131,106 3,131,106 3,131,106 Accrued interest payable 10,451,183 10,451,183 Interfund payables 3,363,749 3,363,749 (3,363,749) Long-term liabilities(note6): Portion dueorpayablewithinone year; General obligationbondspayable 52,940,000 52,940,000 Revenuebondspayable 130,000 130,000 Portion dueorpayableafterone year: General obligationbondspayable 866,150,000 866,150,000 Revenuebondspayable 4,255,000 4,255,000 Totalliabilities 187,848 6,494,855 6,682,703 930,562,434 937,245,137 FUND BALANCESINET POSITION Fund balances: Restricted (note2)4,956,430 967,701,739 972,658,169 (972,658,169) Unassigned 17,832,006 17,832,006 (17,832,006) Totalfund balances 22,788,436 967,701,739 990,490,175 (990,490,175) Totalliabilities andfundbalances $22,976,284 s 974,196,594 s 997,172,878 Net position: Restricted (note2)40,270,255 40,270,255 Unrestricted 16,293,737 16,293,737 Totalnetposition s 56,563,992 s 56,563,992 The accompanying notestothe financial statements arean integral part ofthese statements. -3- ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of the State ofAlaska) Statement of Activities and Governmental Funds Statements of Revenues,Expenditures,and Changes inFund Balances/Net Position Forthe Year Ended June 30,2014 Statement of General Fund DebtService Fund Total Adjustments Activities Revenues: Investment earnings s 261,027 $598,865 s 859,892 s s 859,892 Interest incomeonbondsreceivable 20,371 34,732,354 34,752,725 34,752,725 Total revenues 281,398 35,331,219 35,612,617 35,612,617 Expenditures I expenses: Debt service: Principal payments 56,605,000 56,605,000 (56,605,000) Interest payments /expense 35,947,564 35,947,564 (341,132)35,606,432 Professional services 630,490 630,490 630,490 Personal services 170,198 170,198 170,198 Administrative travel 28,227 28,227 28,227 Officeexpense 12,176 12,176 12,176 Total expenditures I expenses 841,091 92,552,564 93,393,655 (56,946,132)36,447,523 Excess(deficiency)ofrevenues over expenditures /expenses (559,693)(57,221,345)(57,781,038)56,946,132 (834,906) Other financing source/(uses): Proceedsofbondspayable 178,525,000 178,525,000 (J 78,525,000) Transfers to/from Custodial Fund (5,221,922)5,221,922 Transfers -internal activities 36,150 (36,150) Totalotherfinancing sources/(uses)(5,185,772)183,710,772 178,525,000 (J 78,525,000) Netchangeinfundbalance/ netposition (5,745,465)126,489,427 120,743,962 (121,578,868)(834,906) Fundbalances/net position: Beginning ofthe year,as previously reported 28,533,90185I ,793,807 880,327,708(822,928,810)57,398,898 Removalofconduitdebtobligation(note8)(10,581,495)(10,581,495)10,581,495 Beginningofthe year,as restated 28,533,901 841,212,312869,746,213(812,347,315)57,398,898 Endoftheyear s 22,788,436 s 967,701,739 s 990,490,175 s (933,926,183)s 56,563,992 The accompanying notestothe financial statements areanintegral part of these statements. -4- ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component UnitoftheState of Alaska) NotestoFinancialStatements FortheYearEndedJune30,2014 (I)History/Reporting Entity TheAlaskaMunicipalBondBank Authority (AuthorityorBondBank)wascreatedpursuanttoAlaska Statute,Chapter85,Title44,asamended,(Act)asapubliccorporationandinstrumentality of theState of Alaska(State),butwithalegal existence independent ofandseparatefromtheState.TheAuthority isadiscretely presented component unit of theState of Alaskaforpurposes of financialreporting. TheAuthoritywascreatedforthepurpose of makingmoneysavailableto municipalities withintheState andtheUniversity of Alaskatofinancecapitalprojectsorforother authorized purposesbymeans of issuance of bondsbythe Authority anduse of proceedsfromsuchbondstopurchasefromthe municipalities andtheUniversity of Alaskatheirgeneralobligationandrevenuebonds.TheAuthority commencedoperationsin August 1975. Thebondsareobligations of the Authority,payableonlyfromrevenuesorfunds of theAuthority,andthe State of Alaskaisnotobligatedtopayprincipalorinterestthereon,andneitherthefaithandcreditnor thetaxingpower of theStateispledgedtothebonds.Themunicipalbondsandmunicipalbond payments,investments thereof andproceeds of suchinvestments,if any,andallfundsandaccounts established bythebond resolution tobeheldbytheTrustee(withtheexception of theCoastalEnergy LoanDebtServiceProgram,whichis administered bytheAuthority)arepledgedandassignedforthe payment of bonds. AS 44.85.180(c)wasenactedin1975,limiting BondBank outstanding bondsatanytimeto$150million. ThisStatuehasbeen periodically amended toraisethelimit.Infiscalyear2014,thelimitis$1.5875 billion,of which$87.5millionis specifically designatedforthe University of Alaska.TotalBond Bankbondsandnotes outstanding as of June30,2014are approximately $923.5million.Thus,the limitonadditionalbondissuanceasofJune30,2014is approximately $576.5million,and$87.5 millionfortheUniversity of Alaska. (2)Summary of Significant Accounting Policies TheGovernmental Accounting StandardsBoard(GASB)istheaccepted standard-setting bodyfor establishing governmental accounting andfinancialprinciples.Themost significant of the Authority's accountingpoliciesare described below. (a)Government-wide and Fund Financial Statements The government-wide statement of netpositionandthestatement of activitiesreportinformationonall of theactivities of theAuthority.Forthemostpart,theeffect of interfundactivityhasbeenremoved fromthesestatements.Thebalancesheetandstatement of revenues,expenditures andchangesin fundbalancesareprovidedfor governmental funds. (b)Measurement Focus,Basis ofAccounting,and Financial Statement Presentation The government-wide financial statements arereportedusingthe economicresourcesmeasurement focus andthe accrualbasis of accounting.Revenuesarerecordedwhenearnedandexpensesare recordedwhenaliabilityisincurred,regardless of thetiming of relatedcashflows.Governmental fundfinancialstatementsare reported usingthe current financial resourcesmeasurementfocus and the modifiedaccrualbasis of accounting.Revenues arerecognizedassoonastheyareboth measurable andavailable.Revenues areconsideredtobe available whentheyarecollectiblewithin -5- ALASKA MUNICIPAL BONDBANK AUTHORITY (a Component Unit of theState of Alaska) NotestoFinancial Statements the current periodorsoon enough thereafter topayliabilities of the current period.Forthispurpose, the government considers revenues tobe available iftheyarecollectedwithin180days of theend of the current fiscalperiod.Expenditures generally arerecordedwhenaliabilityisincurred,asunder accrual accounting.However,debtservice expenditures arerecordedonlywhen payment isdue. The Authority reportsthe following major governmental funds: The General Fund isthe Authority's primary operating fund.It accountsforallfinancial resources of the Authority,exceptthoserequiredtobe accounted forinanotherfund.The Authority adoptsan annual budget forthe operating accountonlywhichdoesnot encompass entire operations of the GeneralFund,therefore,budgetary comparison information fortheGeneralFundisnotpresented. The DebtService Fund accounts forthe resources accumulated andpaymentsmadeforprincipaland interestonlong-termdebt of the Authority.TheAuthoritydoesnotadopta budget fortheDebt ServiceFund because itisnotlegallyrequiredtodoso. Thepurposes of each of thesefundsare described inthefollowingparagraphs: GeneralFund TheGeneralFundis comprised of a Custodian Account andan Operating Account.The Custodian Account is established to account for appropriations bytheState of Alaska Legislature available tofundtheSpecialReserveAccounts.The Operating Account is established to account forthe ordinary operations of the Authority.Moneysarederivedfromthe following sources:(a) amounts appropriated bythe Legislature,(b)feesandcharges collected,(c)incomeon investments of theStatutory Reserve Account inexcess of requireddebtservicereserves required bybond resolutions and(d)anyothermoniesmade available for purposes of theGeneralFund fromanyothersource. Amountsinthe Operating Account maybeusedtopay(a)administrative expenses of the Authority, (b)feesand expenses of the Trustee and paying agents,(c)financingcosts incurred with respect to issuance of bondsand(d)anyexpensesin carrying outanyotherpurposethen authorized bythe Act.Theexcess revenues of the Operating Account arereturnedtotheState of Alaska.TheState of Alaska may appropriate theexcess revenues totheBondBank Custodian Account tofund ReserveAccounts. Debt Service Fund WithintheDebtServiceFund,separate DebtServiceProgramshavebeen established foreachbond resolution to account forthe portion of bondsale proceeds usedto purchase obligations of the municipalities andforthe payment of interest andprincipalonallbonds of the Authority issued underitsresolutions.Each program is comprised of an "interest account"anda "principal account",both of whichare maintained byatrustee.Thereceipts of interest andprincipalfrom the municipalities andthe Statutory Reserve Account are deposited inthese programs andareused topay interest and principal onthe Authority bonds.OneadditionalDebtServiceProgramhas been established to account for transactions not involving bond resolutions.ThisistheCoastal EnergyLoan Debt ServiceProgram.TheCoastalEnergyLoan Debt Service Program isnot maintained byatrustee.Payments of interest andprincipalby municipalities having coastal -6- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) NotestoFinancialStatements energyloansaremadedirectlytothefederal government bythemunicipalitiesandareaccounted forintheCoastalEnergyLoanDebtServiceProgram. EachdebtservicefundprogramcontainsaStatutoryReserveAccountestablishedtoaccountfor(a) moneyavailabletofunddebtservicereservesrequiredbyfuturebondsalesundervariousbond resolutions(CustodianAccount)and(b)debtservicereserveswhichhavealreadybeenestablished undervariousbondresolutionswhicharetobeusedinthecase of deficiencyinaDebtService Programinaccordancewithitsrespectivebondresolution(reserveaccounts).Separatereserve accountsexistundereachbondresolutionasfollows: 1976General Bond Resolution -Thereserveaccountiscomprised of anordinaryreservesub- accountandaspecialreservesub-account.Theordinaryreservesub-accountmayfunduptoone- third of therequireddebtservicereserveandcanbefundedwithbondproceedsorwithatransfer fromtheCustodianAccount.Thespecialreservesub-accountmustfundatleasttwo-thirds of the requireddebtservicereserveandmustbefundedwithtransfersfromtheCustodianAccount. Bothsub-accountsaremaintainedbyatrustee. OnAugust23,1999,theAuthorityamendedthedebtservicereserverequirementforthe1976 bondresolutionfromthegreater of themaximumannualdebtservicerequirement of 10%of all municipalloanobligations outstanding tothecurrenttest of theleastof:(i)10%of theoriginal statedprincipalamount of allbondsoutstanding;(ii)themaximumannualprincipalandinterest requirementsonallbondsthenoutstanding;(iii)125%of theaverageprincipalandinterest requirementsonallbondsthenoutstanding;or(iv)suchlesseramountasshallberequiredto maintaintheexemption of interest of allbonds outstanding frominclusioningrossincomefor federalincometaxpurposesundertheInternalRevenueCode.Theamendmenttookeffectatthe beginning of fiscalyear2013whenallbondsoutstandingas of thedate of thepassage of the1999 resolutionwereretired.Theshiftinthereserverequirementsignificantlyreducedthe1976 Resolutionreserverequirement.However,perthe1976resolutiontheBondBank cannot remove principalfromthereserve(specialorordinary)untilallreserveobligationsarepaidoff. Consequently,duringfiscal2013theAuthoritydefeasedtheremainingprincipalreserve obligations of the1976resolutionreservesandreleasedexcessfundstotheCustodialAccount. 2004BRevenue Bond Resolution -Thereservefundsmaybefundedwithtransfersfromthe custodianaccount,bondproceeds,orotherfundsavailabletotheBondBank. 2005General Bond Resolution -Thereservefundmaybefundedwithtransfersfromthe custodianaccount,suretypolicies,bondproceeds,orotherfundsavailabletotheBondBank. 2010General Bond Resolution -Thereservefundmaybefundedwithtransfersfromthe custodianaccount,suretypolicies,bondproceeds,orotherfundsavailabletotheBondBank. AtJune30,2014,the1976 General Bond Resolution,2004BRevenue Bond Resolution,2005 General Bond Resolution,and 2010General Bond Resolution reservesmustbetheleastof:(i) 10%of theinitialprincipalamount of eachSeries of Bondsoutstanding;(ii)themaximumannual principalandinterestrequirementsonallbondsoutstanding;(iii)125%of theaverageannual debtserviceonallbondsthenoutstanding;or(iv)suchloweramountasmaybeallowedbylaw. Amountsinexcess of therequireddebtserviceinanyreservearetransferredtotheOperating Accountonaperiodicbasis. -7- ALASKA MUNICIPAL BONDBANK AUTHORITY (a Component Unit of theState of Alaska) Notesto Financial Statements (c)Adjustments Certain adjustments are considered tobe necessary tothe governmental fundsin order to present the Authority's financial position andtheresults of its operations.These adjustments include the elimination of inter-fund payables and receivables.Additionally,bond proceeds are reported as financing sourcesin governmental fundsandthus contribute tothechangeinfundbalance.Inthe statement of netposition,however,issuing debt increases long-term liabilities anddoesnot affect the statement of activities.Similarly,repayment of principal isan expenditure inthe governmental fundsandreducesthe liability inthe statement of net position. (d)Restricted Assets Certain resources setasideforthe repayment of the Authority's bonds,net of certain proceeds from additional bondsissued,are classified as restricted onthe statement of net position because theyare maintained in separate trust accounts and their useislimitedby applicable bond covenants.Cash andcash equivalents and investments include $40,270,255 of restricted assets.These assets were fundedasfollows: OriginalState of Alaska appropriation 2008appropriation of excess earnings 2009appropriation of excess earnings 20I0appropriation of excess earnings 201Iappropriation of excess earnings 2012appropriationforloan forgiveness TotalState of Alaska appropriated equity Restricted for Debt Service: Appropriated amountsresidingin reserve accounts Appropriated amountsresidingin Custodial account TotalState of Alaska appropriated equity Bond Bank equityresidingin reserve accounts Total restricted fordebt service/net position $ $ $ $ 18,601,414 855,347 819,843 32,628 86,814 13,000,000 33,396,046 28,439,616 4,956,430 33,396,046 6,874,209 40,270,255 (e)Bond Receivables Bond receivables are secured bythe revenues oraregeneral obligations of the municipalities.Interest rates correspond withthe interest ratesonthe related bonds payable bythe Authority.Thebond receivables mature during thesame period asthe related bond payables.Bond receivables are recorded atthepar amount of thebondsissued. (j)Long-Term Obligations Inthe government-wide financial statements,long-term debtandother long-term obligations are reportedas liabilities inthe statement of net position.Any premium or discount onbond issuance or -8- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) NotestoFinancialStatements refundingisnotrecordedbytheAuthorityasthepremiumordiscountisrecordedbythe municipalitiesassociatedwiththeissuanceandamortizedbythem,therefore,bondspayableare presentedatpar.Bondissuecostsaregenerallypaidbythemunicipalitybutwhenaportionispaid bytheAuthoritytheyarepaidfromtheGeneralAccountandconsideredoperatingexpenses. (g)Fund Equity Generally,fundequityrepresentsthedifferencebetweenthecurrentassetsandcurrentliabilitiesandis classifiedasfundbalance.BondBank,inaccordancewithGASBStatementNo.54provisions, whichrequireclassification of fundbalanceasnonspendable,restricted,committed,assignedor unassigned,hadfundbalancesinrestrictedandunassignedcategories. Restricted Fund Balance -Restrictedfundbalanceisthatportion of fundequitythathasconstraints placedupontheuse of theresourceseitherbyanexternalpartyorimposedbylaw. Unassigned Fund Balance -thisclassificationrepresentsfundbalancethathasnotbeenrestricted, committedorassignedtospecificpurposeswithinthegeneralfund. TheAuthoritydoesnothaveapolicyforitsuse of unrestrictedfundbalanceamounts,therefore,it considersthatcommittedamountsarereducedfirst (if any),followedbyassignedamounts (if any), andthenunassignedamountswhenexpendituresareincurredforpurposesforwhichamountsinany of thoseunrestrictedfundbalanceclassificationscouldbeused. Inthe government-wide financialstatements,restrictions of netpositionarereportedwhenconstraints placedonnetpositionareeitherexternallyimposedbycreditorsorlawsorregulations of other governmentsorimposedbylawthroughconstitutionalprovisionsorenablinglegislation. (h)Interfund Receivables,Payables and Transfers Interfundbalancesrepresentcashcollectedordisbursedon behalf of anotherfund.Interfundtransfers aretransfersbetweenfundsthatarerequiredwhenrevenueisgeneratedinonefundand expendituresarepaidfromanotherfund. (i)Interest Arbitrage Rebate BondsissuedandfundssegregatedintoreservesafterAugust15,1986aresubjecttoInternalRevenue ServiceincometaxregulationswhichrequirerebatestotheU.S.Government of interestincome earnedoninvestmentspurchasedwiththeproceedsfromthebondsoranyapplicablereservesin excess of theallowableyield of theissue.Amountsowedareexpensedwhenpaidandrefundsare recordedwhenreceivedatthefiveyearanniversarydate of thebondissueoruponfinalrepayment. BeginningforFY2013theBond Bank's arbitragerebateconsultantwillupdateallgeneral obligationbondrebateanalysisannuallyas of June30.As of June30,2014theBond Bank's net arbitragerebateliabilitywas$0. (j)Income Taxes TheAuthorityisexemptfrompayingfederalandstateincometaxes. -9- ALASKA MUNICIPAL BONDBANK AUTHORITY (aComponentUnitoftheState of Alaska) NotestoFinancialStatements (3)Cash TheAuthorityconsidersallhighlyliquidinvestmentspurchasedwithanoriginalmaturity of threemonths orlessatthedate of purchasetobecashequivalents.CashandcashequivalentsatJune30,2014 consist of moneymarketaccountsheldwithvariousfinancialinstitutions. Thebankbalance of all of the Authority's cashandcashequivalentsarecollateralizedbysecuritiesheld inthe Authority's namebyitscustodialagent. 4)Investments Thefairvalue of debtsecurityinvestmentsbycontractualmaturityas of June30,2014isshownbelow. Expectedmaturitiesmaydifferfromcontractualmaturitiesbecauseborrowersmayhavetherightto callorprepayobligationswithorwithoutpenalty. Lessthan1 1-5 6-10Morethan10Total GeneralFund U.S.Treasurysecurities $2,003,516 $8,276,289 $$$10,279,805 U.S.Government agencies securities 6,418,178 6,418,178 2,003,516 14,694,467 16,697,983 DebtServiceFund U.S.Treasurysecurities 4,971,030 34,902,760 39,873,790 U.S.Government agencies securities 1,707,448 12,577,273 14,284,721 6,678,478 47,480,033 54,158,511 Total investments $8,681,994 $62,174,500 $$$70,856,494 (a)Investment Policies TheAuthorityhasdistinctinvestmentobjectivesandpoliciesassociatedwithfundsheldinthe CustodianAccount,ReserveFunds,andmunicipaldebtpaymentsreceivedpriortoscheduleddebt servicepaymentdates.Thethreeclasses offunds arelistedbelow: CustodianAccount TheCustodianAccountinvestmentportfolioisdesignedwiththeobjective of attainingthehighest marketrate ofretum subjecttotherequireduse of theCustodianAccountforoperation,funding transferstothestate,andfundingreserves.WhentheCustodianAccountbalanceallows,a longerinvestmenthorizonisimplementedfortheCustodianAccount,acceptingthelimited probability of short-termlossinexchangeforhigheryieldoninvestments.TheCustodian Accountbalancemustexceed$15million,andbeforecastedtoexceed$15millionforthe subsequent twelve-month period,andananalysis of riskprofileandhistoricalbenefitbetweenthe varyingstrategiesmustbeundertakenbeforeanyshiftintheinvestmentstrategy of theAccount. TheCustodianAccounthastomaintainsufficientliquiditytomeetoperatingrequirements, providethepriorfiscal year's statedividend,andtoallowtransferstoreservesasneededforbond issuanceactivity.Long-term preservation of principalisthethirdobjective of theCustodian -10- ALASKA MUNICIPAL BONDBANK AUTHORITY (a Component Unit of theState of Alaska) Notes to Financial Statements Account's investment program.Investments shallbe undertaken ina manner that minimizes the probability of long-term loss. oThe Custodian Account balance isacritical component in determining anticipated life, abilityto diversify,and investment policyinthisaccount.Accordingly,whenthe account balanceis above $15millionamore aggressive policymaybe implemented.Whenthe account balance is below $15 million amore conservative policymaybeused. o Shifting fromoneasset allocation to another maybe approved bythe Investment Committee whenthereisa projection of a continued trendin account balance justifying the shift. oThereareno arbitrage restrictions. Whenthe Custodian Account balance islessthan$15million,thefollowingpoliciesapply: o20%Money Market Fundand80%government agencies andU.S.Treasuries with maturities ofless than5years. o Performance benchmark forthe20%:ThreemonthU.S.Treasury Bill. o Performance benchmark forthe80%:Merrill Lynch 1-5 Government Index. Whenthe Custodian Account balance exceedsandis expected to remain inexcess of $15 million,the following policies apply: o Greater of 10%ora percentage equalto $750,000 in market value:Money Market Fundandupto90%:Broad U.S.Bond Market Fund. o Performance benchmark forthe greater of 10%orthe percentage of thefund invested thatis benchmarked toMoney Market Fund:Three-month u.S.Treasury Bill. o Performance benchmark fortheupto90%:Barclays Capital Aggregate Index. The following transactions are prohibited withthe Custodian Account unlessthose transactions havetheprior written consent of the Investment Committee: oShortsale of securities (thesaleand settlement of a security not currently owned bythe Authority andaformal agreement to borrow the security tofacilitatethe settlement of theshortsale); o Purchases of futures,forwards or options forthe purpose of speculating(currency futures,forwards and options are permitted onlyfor hedging orto facilitate otherwise permissible transactions); o Borrowing to leverage thereturnon investments.Extended settlement of securities purchases executed to facilitate or improve the efficiency of a transaction willnot be considered borrowing,provided that sufficient cash equivalent securities or receivables are available tofacilitatethe extended settlement; o Purchases of "private placement"orunrated corporate bonds. -11- ALASKA MUNICIPAL BONDBANK AUTHORITY (aComponentUnitoftheStateofAlaska) NotestoFinancialStatements BondReserveFunds Preservation of principalistheforemostobjective of theBondReserveFundsinvestment program.Thesefundsshallbemanagedtoensurethatthecorpusispreserved.Thesefunds willnotbeexpendeduntilthefinalmaturity of thebondissuetheysecure,unlessthereisa failuretopaydebtservicebyacommunity.Asthereislimitedbenefitinmaximizingreturnit istheleastimportantobjective of theBondReserveFunds.It isanticipatedthattheReserve Fundscumulativeaveragereturnshouldtargettheblendedarbitrageyieldlimit of thebond issuessecured. Bondresolutionslimitallowedinvestment of thesefunds.Investmentriskisexaminedonan annualbasistoensurethatnogreaterthantheminimumlevel of riskrequiredtoachievethe highestprobability of earningthearbitrageyieldlimitonthebondsisincurred. Thebondresolutionslimitinvestmentsto: o100%government agenciesandU.S.Treasurieswithmaturities ofless than5years. oPerformancebenchmarkisMerrillLynch1-5GovernmentIndex. MunicipalDebtPayments Preservation of principalandliquidityaretheforemostobjectives of theMunicipalDebtPayments investmentprogram,asthesefundswillbeexpendedwithinsevenbusinessdays of receipt. Returnoninvestmentisabenefit of holdingthesefundsfortheadvancepaymentperiod,but notthefocus of investingthefunds.Thebondresolutionslimitinvestmentsto: o100%MoneyMarketFund. oPerformance benchmark isthree-monthU.S.TreasuryBill. It isthepolicy of theAuthoritytodiversifyitsinvestmentsandtoensurethesafetyandliquidity of the investmentsbyobservingthefollowingsoundinvestmentpractices: oNotmorethan5%of theCustodianAccountmaybeinvestedinthecorporatedebt of any oneissuer,atthetime of purchase. oIntheevent of acreditdowngradewhichreducesasecuritybelowtherequiredrating writtennotificationwillbemadetotheInvestmentCommitteesettingforththeparticulars of thedowngradeandrecommendingacourse of action. oNotmorethan50%of theCustodianAccountmaybeinvestedincorporatesecurities,at thetime of purchase. oTheduration of theCustodianAccountmustremainwithin80to120percent of the duration of the prevailing performancebenchmark. oPurchases of morethan10%of acorporatebondissueshallnotbemade. (b)Concentration Risk Concentrationriskistherisk of lossattributedtothemagnitude of the Authority's investmentina singleissuer.Concentration limitsarenotestablishedinthebondindenturesandgoverning -12- ALASKA MUNICIPAL BONDBANK AUTHORITY (a Component Unit of theState of Alaska) NotestoFinancial Statements agreements for pledged investments.The Authority's policiessetout maximum concentration limits for investments managedbytheexternal investment manager. (c)Credit Risk Creditriskistherisk of lossduetothefailure of thesecurityorbacker.The Authority mitigates its creditriskbylimiting investments permitted inthe investment policies.U.S.Treasury securities and securities of agencies thatare explicitly guaranteed bytheU.S.government arenot considered to havecreditrisk. (d)Custodial Credit Risk The Authority assumes levels of custodialcreditriskforitsdepositswithfinancialinstitutions,bank investment agreements,and investments.Fordeposits,custodialcreditriskistheriskthat,inthe event of abankfailure,the Authority's deposits maynotbereturned.Foran investment,custodial credit riskistheriskthat,intheevent of thefailure of the counterparty,the Authority willnotbe ableto recover thevalue of the investment orcollateral securities thatareinthe possession of an outsideparty.The Authority hasnot established aformalcustodialcreditriskpolicyforits investments.The Authority hadno investments registered inthename ofa counterparty. (e)Interest RateRisk Interest rateriskistheriskthatthemarketvalue of investments willdeclineasaresult of changesin general interest rates.For non-pledged investments,the Authority mitigates interest rateriskby structuring its investments'maturities tomeetcash requirements,thereby avoiding theneedtosell securities intheopen market priortomaturity.For investments heldintrust,investment maturities are structured tomeetcash requirements as outlined initsbond indentures and contractual and statutory agreements. (5)Bonds Receivable TheGeneralFundincludesbonds receivable withinterestratesvaryingfromI%to5%duefromtheCity of Galenawith maturities asfollow: YearendingGeneralFundBonds June30 Receivable 2015 $147,257 2016 162,047 2017 163,675 2018 165,319 2019 166,980 2020-2024 860,403 2025-2026 170,987 $1,836,668 -13- ALASKA MUNICIPAL BONDBANK AUTHORITY (aComponentUnit of theState of Alaska) NotestoFinancialStatements BondsreceivablebydebtserviceprogramatJune30,2014matureinvaryingannualinstallmentsas follows: Yearending June30 1976General 2005General2010General 2015 $9,125,000 $42,450,000 $140,000 2016 6,650,000 44,920,000 140,000 2017 5,710,000 46,245,000 145,000 2018 5,930,000 46,190,000 150,000 2019 5,335,000 48,090,000 160,000 2020-2024 15,960,000 226,510,000 875,000 2025-2029 4,735,000 171,605,000 1,030,000 2030-2034 120,360,000 1,235,000 2035-2039 45,540,000 560,000 2040-2044 31,145,000 2045-2049 18,450,000 $53,445,000 $841,505,000 $4,435,000 Yearending2004BAnchorage June30 Revenue Total Principal 2015 $130,000 $51,845,000 2016 135,000 51,845,000 2017 140,000 52,240,000 2018 145,000 52,415,000 2019 150,000 53,735,000 2020-2024 865,000 244,210,000 2025-2029 1,090,000 178,460,000 2030-2034 1,405,000 123,000,000 2035-2039 325,000 46,425,000 2040-2044 31,145,000 2045-2049 18,450,000 $4,385,000 $903,770,000 -14- ALASKA MUNICIPAL BONDBANK AUTHORITY (a Component Unit of theState of Alaska) Notes to Financial Statements (6)Long-Term Liabilities Bond Bank's longterm liabilities consist of the following as of June30,2014: Issue DebtService Account Principal Interestrateoutstanding StatutoryReserveAccount Ordinary ReserveSub-Account Principal Interestrateoutstanding 53,445,000 3.00%-5.00%7,560,000 3.00%-5.00%350,000 4.00%-6.00%4,930,000 4.50%-6.00%335,000 4.25%-4.75%33,505,000 5.00%1,765,000 (continued) 1976General Bond Resolution Program: 2004B Series Nome Valdez Petersburg Craig Seward 2004C Series KodiakIslandBorough Palmer Petersburg 2004DSeries Adak KodiakIslandBorough 2005A Series Cordova Fairbanks Ketchikan,City of NorthwestArcticBorough Sitka Unalaska 2005B Series Haines Borough KetchikanGatewayBorough NorthPole,Cityof Palmer Sitka 2005CSeries HainesBorough Petersburg NorthwestArcticBorough 2006A Series Aleutians East Borough Ketchikan Gateway Borough lake andPeninsulaBorough Nome Wrangell Tota11976 General BondResolutionFund 2005SeriesGeneral BondResolution Program: 2005-One Series Ketchikan,Citynf Nome Seward 2006-OneSeries KenaiPeninsulaBorough Seward 2006-TwoSeries-Ketchikan,Cityof 2.00%-4.00% 4.00%-5.00% 3.00%-5.00% 2.50%-5.00% 3.00%-5.00% 4.00%-5.00% 4.00%-4.35% -15- s 340,000 670,000 1,510,000 18,900,000 3,990,000 20,815,000 7,220,000 2.cXJ%-4.00%s 2.75%-5.00% 5.00% 4.00% ALASKA MUNICIPAL BONDBANK AUTHORITY (a Component Unit of theState of Alaska) NotestoFinancial Statements DebtServiceAccount Statutory Reserve Account Ordinary ReserveSub-Account 2.00%-4.00%7,955,000 2.00%-4.00%975,000 3.00%-4.00%2,140,000 3.00%-4.00%840,000 4.63%-5.40%20,425,000 2.00%-5.00%9,505,000 3.00%335,000 3.75%-5.00%22,915,000 4.50%685,000 4.25%-5.50%12,085,000 4.00%415,000 4.25%-5.00%11,445,000 4.25%-4.50%1,070,000 4.00%-6.00%5,535,000 4.00%-5.00%49,360,000 5.00%3,260,000 Issue 2007-OneSeries KenaiPeninsulaBorough Inter-Island Fell)'Authority Nome NorthwestArcticBorough Petersburg Seward Sitka,City andBorough of Wasilla 2007-TwoSeries KenaiPeninsulaBorough AleutiansEastBorough 2007~Three Series Bethel,Cityof Juneau,City andBoroughof 2007-FoUf Series-KenaiPeninsulaBorough 2007-FiveSeries-Kodiak,City of 2008-OneSeries Dillingham Kodiak Island Borough Kodiak,City of Seward 2008-TwoSeries Seward Sitka,CityandBorough of Skagway 2009-Qne Series Kodiak,Cityof Unalaska,City of 2009-TwoSeries Cordova Nome,City of Unalaska,City of Kodiak,IslandBorough 2009-ThreeSeries-Juneau,CityandBorough of 2009-A-FourSeries KenaiPeninsulaBorough Ketchikan GatewayBorough 2009-B-Four Series-Ketchikan GatewayBorough 2010-A-SeriesOne Ketchikan,City of KetchikanGatewayBorough Kenai,City of NorthwestArcticBorough Petersburg Unalaska 2010-BSeriesOne Kenai,City of NorthwestArcticBorough Petersburg Unalaska 201O-A SeriesTwo Juneau,CityandBorough of Cordova KingCove,City of 2010-BSeriesTwo Juneau,CityandBoroughof Cordova KingCove,City of Interestrate 4.00%-5.50% 4.40%-6.00% 3.00%-5.63% 4.00%-6.00% 5.99%-6.34% 2.0%-3.0% 3.75%-4.91% -16- Principal outstanding 16,640,000 14,960,000 23,980,000 16,740,000 7,415,000 1,280,000 11,405,000 Interestrate 4.00%-5.50% 4.75%-6.00% 4.00%-5.50% 4.00%-6.00% 3.00% Principal outstanding 1,265,000 1,200,000 560,000 1,400,000 325,000 (continued) ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unitofthe State of Alaska) Notes to Financial Statements DebtService Account StatutoryReserveAccount Ordinary Reserve Sub-Account Issue 20IO-A SeriesThree AleutiansEastBorough Unalaska King Cove,City of 2010-8SeriesThree AleutiansEastBorough Unalaska King Cove,City of 201O-A SeriesFour KenaiPeninsulaBorough Ketchikan,City of Ketchikan GatewayBorough Sitka,City andBoroughof Sitka,Cityand Borough of (Refunding) Soldotna 2010-8SeriesFour KenaiPeninsulaBorough Ketchikan,City of Ketchikan GatewayBorough Sitka,City andBoroughof Soldotna 2011SeriesOne Kodiak Island Borough Wrnngell 2011SeriesTwo Juneau,City andBorough of Sitka,City andBoroughof 2011SeriesThree Wrnngell AleutiansEastBorough NorthwestArcticBorough Ketchikan GatewayBorough KenaiPeninsulaBorough Cordova Hoonah Skagway Seward KodiakIslandBorough 2012 SeriesOne Juneau,CityandBorough of (Wildflower Court) Juneau,CityandBoroughof 2012SeriesTwo Juneau,CityandBorough of Ketchikan,City of Ketchikan Gateway Borough KodiakIslandBorough Nome,City of NorthPole,City of Palmer,City of Petersburg Sitka,CityandBorough of Valdez 2012 SeriesThree Juneau,Cityand Borough of (School) Juneau,CityandBorough of (REF) Petersburg HainesBorough Interestrate 2.00%-4.00010 4.93%-5.43% 2.00%-5.00% 1.42%-6.26% 3.00%-5.13% 2.00%-4.38% 2.00%-5.00010 2.00%-5.00010 1.75%-5.000/0 1.50%-5.00% -17- Principal outstanding 2,885,000 6,900,000 21,135,000 49,265,000 7,305,000 9,065,000 73,900,000 14,035,000 49,250,000 20,080,000 Interestrate 2.00%-4.00% 3.00% 2.00% 2.00%-5.00% 2.00%-4.00% Principal outstanding 405,000 415,000 815,000 1,390,000 1,900,000 (continued) ALASKA MUNICIPAL BOND BANK AUTHORITY (a Component Unit of theState of Alaska) Notes to Financial Statements Debt Service Account Statutory Reserve Account Ordinary Reserve Sub-Account Issue 2013SeriesOne Juneau,City and Borough of(Hospital RevRef) Juneau,Cityand Borough of KenaiPeninsulaBorough Ketchikan Gateway Borough Kodiak Island Borough Sand Point,City of Sitka,City and Borough of (Harbor Sitka,CityandBorough of (Electric) 2013SeriesTwoA Homer,City of Ketchikan,City of Ketchikan,Cityof (REF) Skagway 2013SeriesTwoB Kodiak Island Borough 2013Series Three Juneau,City and Borough of Kenai Peninsula Borough Lake and Peninsula Borough Sitka,City and Borough of 2014SeriesOneA Juneau,City and Borough of Kodiak Island Borough Kenai Peninsula Borough-Exempt Kenai Peninsula Borough-Taxable 2014SeriesTwoA Ketchikan,Cityof(Harbor) Ketchikan,Cityof(Hospital) KingCove,Cityof Total 2005SeriesGeneral Bond Resolution Fund 2010SeriesGeneral Bond Resolution Program: 2010A-ISeriesOne Ketchikan Gateway Borough 2010A-2SeriesOne Ketchikan Gateway Borough Total 2010Series General Bond Resolution Program 2004B Municipality of Anchorage Revenue Bond Total Revenue Bonds In teres t rate 2.00%-5.00% 2.00%-4.00% 3.00%-4.00% 1.50%-5J)()% .38%-5.00% 3.00%-5.00% 3.00%-4.00% 5.78%-6.86% 4.00%-4.75% -18- Principal outstanding 93,900,000 18,370,000 17,110,000 72,045,000 61,205,000 45,275,000 841,505,000 735,000 3,700,000 4,435,000 4,385,000 4,385,000 $903,770,000 Principal Interest rate outstanding 19,705,000 $19,705,000 ALASKA MUNICIPAL BONDBANK AUTHORITY (aComponentUnitoftheStateofAlaska) NotestoFinancialStatements 919.090.000 4.385.000 End of year sGeneralobligationbondspayable Revenue bonds payable Otherlong-termdebt DuringtheyearendedJune30,2014the Authority's long-termliabilitieschangedasfollows: Beginning Repayments/ aryear Newdebt Adjustments 783,545,000 s 178,525,000 42.980.000 s 18,010.000 13.625.000 ___....:1.;;.:0.:..:58....:1,....:49.:...5 10,581.495 923,475,00067.186,495 ",;$~=~=~178.525.000 s812.136,495 sTotals Allbondsaresecuredbybondsreceivableandbyamountsinthereserveaccount.TheActfurther providesthatifamunicipalitydefaultsonitsprincipaland/orinterestpayments,uponwrittennotice bytheAuthority,theStateofAlaskamustconsiderpayingtotheAuthorityallfundsduefromthe defaultingmunicipalityfromtheStateinanamountsufficienttoclearthedefault.TheBondBank ExecutiveDirectorisobligatedperresolutiontoseekandtheStatemayprovideanappropriation annuallytoreplenishreserves. InMarch2013theAuthorityissued$96.05millioningeneralobligationandrefundingbondswith interestratesrangingbetween3.35%and5%.TheAuthorityissuedthebondstoadvancerefund $24,950,000oftheoutstanding2004ACBJRevenuebondswithinterestratesrangingbetween4.38% and6.25%.TheAuthorityusedthenetproceedsalongwithotherresourcestopurchaseU.S. governmentsecurities.Thesesecuritiesweredepositedinanirrevocabletrusttoprovideforallfuture debtserviceontherefundedportionoftheseriesbondslistedabove.Asaresult,thesebondsare considereddefeased,andtheAuthorityhasremovedtheliabilityfromitsfinancialstatements.The outstandingprincipal of thedefeasedbondswas$24,950,000atJune30,2013and2014asthebonds werecalledJuly 1,2014. InJune2013,theAuthorityissued$36.3millioningeneralobligationandrefundingbondswithinterest ratesrangingbetween2%and5%.TheAuthorityissuedthebondstocurrentlyrefund$1,245,000of theoutstanding2002AKetchikanRevenuebondswithinterestratesrangingbetween4.375%and5%. TheAuthorityusedthenetproceedsalongwithotherresourcestoprovideforallfuturedebtserviceon therefundedbondswhichwerecalledwithin90daysfortherefunding.Asaresult,thesebondswere considereddefeasedaspartofacurrentrefundingtransactionandtheAuthorityhasremovedthe liabilityfromitsfinancialstatements.Theoutstandingprincipalofthedefeasedbondswas$1,245,000 atJune 30,2013 and$0atJune30,2014asthebondswerecalledJuly5,2013. -19- ALASKA MUNICIPAL BOND BANK AUTHORITY (aComponentUnit of theState of Alaska) NotestoFinancialStatements Theabovebondsmatureinvaryingannualinstallments.ThematuritiesatJune30,2014areasfollows: 1976 2005 2010 Yearending June30 General Reserve General Reserve General Reserve 2015 $9,125,000 $$42,450,000 $1,225,000 s 140,000 $ 2016 6,650,000 44,920,000 1,960,000 140,000 2017 5,710,000 46,245,000 425,000 145,000 2018 5,930,000 46,190,000 4,805,000 150,000 2019 5,335,000 48,090.000 1,035,000 160,000 2020-2024 15,960,000 226.510,000 5,060,000 875,000 2025-2029 4,735,000 171,605,000 3,430,000 1.030,000 2030-2034 120,360,000 1,235,000 2035-2039 45,540,000 1,765,000 560,000 2040-2044 31,145,000 2045-2049 18,450,000 s 53,445.000 $s 841,505,000 $19,705,000 $4,435,000 $ Yearending 20048 Anchorage June30 RevenueTotal Principal Total Interest 2015 $130,000 s 53,070,000 s 42,474,858 2016 135,000 53,805,000 39,732,791 2017 140,000 52,665,000 37,642,039 2018 145,000 57,220,000 35,481,379 2019 150,000 54,770,000 33,039,603 2020-2024 865,000 249,270,000 131,442,156 2025-2029 1,090,000 181,890,000 79,570,427 2030-2034 1,405,000 122,000,000 39,270,008 2035-2039 325,000 48,190,000 17,807,657 2040·2044 31,145,000 8,888,500 2045·2049 18,450,000 2,145,252 s 4,385.000 s 923,475,000 s 467,494,670 (7)Conduit Debt UndertheCoastalEnergyLoanProgram(Program),theAuthorityissued$5,000,0001986SeriesA CoastalEnergyBonds(Bonds)payabletotheNationalOceanicand Atmospheric Administration (NOAA),Theproceeds of thesebondswereusedtopurchaseportrevenuebondsfromtheCity of Nome.TheCity of NomeenteredintoatripartiteagreementwithNOAAandtheAuthorityeffective August2,1994todeferpayment of theprincipalandaccrual of interestfortenyears,EffectiveJanuary 29,2009 asecondamendmenttothetripartiteagreementwasexecuted,Theamendmentauthorizedthe issuance of 2009ABondsforthepurpose of refundingbyexchangetheoutstandingCity of Nome, Alaska,PortRevenueBond1986SeriesA.As of June30,2014theaggregateamountoutstandingfor conduitdebtobligationswas$4,470,451. AlsoundertheProgram,theAuthorityissued$6,563,0001987SeriesACoastalEnergyBondspayableto NOAA.Theproceeds of thesebondswereusedtopurchaseportrevenuebondsfromtheCity of St. Paul.TheCity of St.PaulenteredintoatripartiteagreementwithNOAAandtheAuthorityeffective December14,2000tomodifyandamendtherepaymenttermsincludingprincipalandinterest.On April 18,2005,theCity of St.Paulaskedfor NOAA's recommendation forloanforgivenesswhichwas deniedonJanuary24,2006.Subsequently,onMarch 17,2009,NOAAissuedanotherdeterminationon requestfor recommendation of CEIPloanforgivenessbutafinalagreementhasnotbeenreached -20- ALASKA MUNICIPAL BONDBANK AUTHORITY (a Component Unit of theState of Alaska) NotestoFinancialStatements betweentheCity ofSt.PaulandNOAAas of June 30,2014.As of June30,2014theaggregateamount outstandingfortheCity of St.Paulconduitdebtobligationswas$6,005,878. Therelatedloanpayablesdonotrepresentageneralobligation of theAuthorityastheyarepayableonly fromproceedsreceivedfromtheCity of NomeandSt.Paul,respectively.Payment of principaland interestontheBond Bank's CoastalEnergyBondisnotsecuredbyapledge of anyamountsheldbyor payabletotheBondBankundertheGeneralBondResolution,includingtheReserveAccount,andis notinanywayadebtorliability of theBondBankandaccordingly,arenotincludedinthebasic financialstatements. TheCoastalEnergyBondsandrelatedaccountsareincludedintheBond Bank's statutorylimitfortotal bondsoutstanding. (8)Change in Accounting Principle Beginningwithfiscalyear14financialstatements,theAuthoritynolongercarriesitsconduitdebt obligationsasdescribedinNote7withinitsbasicfinancialstatementsinordertostreamlinethe financialstatementspresentation.Asaresult of thechangeinpolicy,a$10,581,495adjustmenttothe governmentalfunds'fiscal2014beginningfundbalancewasmadeinordertoremoveconduitdebt obligationbalances. (9)Commitments During2011StateLegislatureappropriated$2,450,000toBondBanktoissuea15-year,onepercent interestloantotheCity of Galenatoretireexistingdebtobligationsandmakecertainutility improvements.Theintent of thelegislaturewasthatloanrepaymentsmadefortheloanbepaidintothe State of AlaskaGeneralFundinaccordancewiththeprovisions of theAS44.85.270(h).Theamount of receiptsavailabletotheAuthorityduringfiscal2014asdiscussedinNote2(d),included$176,528 of City of GalenaloanrepaymentsfortheyearendedJune30,2014.Therewerenoexcessreceiptsover operatingexpendituresduringfiscalyear2014. TheamountofAuthorityreceiptsdeterminedunderAS44.85.270(h)and,asdiscussedinNote2(d), availablefortransferbytheAuthorityandappropriationtotheBondBankAuthorityReserveFund underAS44.85.270(a)was$-0-forfiscalyear2014;thecumulativestateappropriatedamount, therefore,remained$33,396,046atJune30,2014. TheentireCustodianAccountbalanceisavailableforappropriation,atanytime,bytheStateLegislature. (10)Subsequent Events Subsequenttoyearend,theAuthorityissuedapreliminarystatementforthe2014SeriesThreegeneral obligationandrefundingbondsissueinthe approximate paramount of $58million.Finalissuanceis expectedtotakeplaceinOctober2014. -21- ALASKA MUNICIPAL BONDBANK AUTHORITY (A Component Unit ofthe StateofAlaska) Supplemental Schedule of StatutoryReserveAccounts-Assets,Liabilitiesand Account Reserves June30,2014 1976General 1976General 2004B Anchorage "Ordinary"~ecial"2005Resolution Revenue2010ResolutionTotal Assets Cash $-$26,032$1,259,426$18,639$28,984 $1,333,081 Accruedinterestreceivable 2,107 13,184 129,561 289 355145,496 Marketable securities 485,0005,926,492 47,046,394 325,287 375,33854,158,511 Interaccount receivables --1,992,752 --1,992,752 $487,107$5,965,708$50,428,133 $344,215$404,677 $57,629,840 Liabilities Interaccount payabIes $1,824,285 $2,092,620 $-$2,219$11,614 $3,930,738 Bondpayable --19,705,000 --19,705,000 Accruedinterestpayable --218,546 --218,546 1,824,285 2,092,620 19,923,546 2,219 11,614 23,854,284 Reserves SpecialReserve-State Appropriated -696,844 27,349,686 -393,086 28,439,616 SpecialReserve-Unappropriated -3,243,579 3,286,046 341,931 2,653 6,874,209 SpecialReserve-Unrealized gain(loss)-(67,335)(l3I ,145)65 (2,676)(201,091) OrdinaryReserve-Unallocated (1,334,858)----(1,334,858) OrdinaryReserve-Unrealized gain(loss)(2,320)----(2,320) (1,337,178)3,873,088 30,504,587 341,996 393,063 33,775,556 $487,107 $5,965,708 $50,428,133$344,215 $404,677 $57,629,840 See independent auditor's report. -22- ALASKA MUNICIPAL BONDBANK AUTHORITY (A Component Unit ofthe State of Alaska) Supplemental Schedule of I976 Master Resolution Program -Community Concentration June 30,20I4 Borrower Outstanding Par Percent of Outstanding $14,985,000 12,310,000 4,240,000 3,515,000 2,990,000 2,680,000 2,605,000 2,205,000 1,890,000 1,520,000 1,060,000 980,000 965,000 875,000 225,000 220,000 115,000 65,000 Northwest Arctic Borough Haines Borough Petersburg Borough Ketchikan Gateway Borough City of Ketchikan Aleutians East Borough City and Borough of Sitka City of Unalaska Lake &Peninsula Borough City of Wrangell City of Cordova City of Adak Kodiak Island Borough City of Nome City of Valdez City of Palmer City of Craig City of North Pole Total Outstanding Par $53,445,000 28.04% 23.03% 7.93% 6.58% 5.59% 5.01% 4.87% 4.13% 3.54% 2.84% 1.98% 1.83% 1.81% 1.64% 0.42% 0.41% 0.22% 0.12% 100.00% Note1 Pursuant tothe Securities and Exchange Commission Rule 15c2-12 andthe Authority's continuing disclosure undertakings,the Authority is obligated to provide annual financial information.In addition to annual financial statements the Authority must provide a statement of authorized,issued and outstanding bonded debt,reserve fund balances,and government unit statistics in substantially the same formas Appendix C of official statements of the Authority.The following supplementary information related tothe1976,2010,and2005 master resolutions is provided in compliance with the Appendix C filing requirement." See independent auditor's report -23- ALASKA MUNICIPAL BONDBANK AUTHORITY (A Component UnitoftheStateofAlaska) Supplemental Schedule1976MasterResolutionProgram-DebtService Requirements June30,2014 Borrower 2015 2016 201720182019 20202021202220232024 Northwest Arctic Borough $2,246,256$2,250,631$2,247,506 $2,251,831$2,251,806$2,247,431$2,253,091$483,625$481,406$483,344 Cityand Borough of Silka 839,050424,900425,238424,938424,000427,425 City of Ketchikan 822,250826,750824,375825,125 Ketchikan Gateway Borough 1,326,138769,888628,688636,688631,500 Lakeand Peninsula Borough 1,000,6001,003,600 AleutiansEast Borough 435,135442,135 343,335292,935269,135265,935267,273273,I 98283,328187,618 CityofWrangell 251,400253,800255,800252,400 253,800254,800255,106 Cityof Petersburg 600,229433,304435,404 433,404 431,004 433,104434,388429,818429,500433,350 Cityof Unalaska 424,088424,688425,025424,725423,788422,213 KodiakIslandBorough 984,300 City of Nome 96,40194,00191,60194,20196,60193,80195,914 92,82094,67096,310 City of Cordova 204,125206,125202,750204,000204,750205,000 CityofPalmer 228,900 City of Craig 119,600 Haines Borough 1,420,309 1,293,559 1,295,1841,294,484 1,297,2841,293,5841,292,7431,294,1331,292,9691,289,625 Cityof Valdez 229,219 CityofAdak 112,750114,850116,750113,550115,038 116,100 112,050 112,888113,250113,125 City of NorthPole 68,250 TotalLoanObiigationDS $11,408,999$8,538,230$7,291,655$7,248,280$6,398,705$5,759,393 $4,710,564 $2,686,480$2,695,123 $2,603,371 See independent auditor's report -24- ALASKA MUNICIPAL BONDBANK AUTHORITY (A Component Unit of theState of Alaska) SupplementalSchedule of2005 Master Resolution Program -Community Concentration June30,2014 Outstanding Percent of Borrower Par Outstanding Cityand Borough of Sitka $134,970,000 15.67% Kenai Peninsula Borough 126,050,000 14.64% Cityand Borough of Juneau I 12,610,000 13.08% City of Ketchikan 106,I75,000 12.33% Kodiak Island Borough 88,675,000 10.30% Ketchikan Gateway Borough 40,290,000 4.68% City of Seward 38,990,000 4.53% City of Unalaska 34,565,000 4.01% Northwest Arctic Borough 29,500,000 3.43% Aleutians East Borough 27,360,000 3.18% Lake&Peninsula Borough 18,225,000 2.12% City of Cordova 14,400,000 1.67% City of Kodiak 13,520,000 1.57% City of Dillingham 11,905,000 1.38% City of Petersburg 9,265,000 1.08% City of Nome 5,390,000 0.63% Municipality of Skagway 5,230,000 0.61% City of Homer 3,605,000 0.42% City of Bethel 2,940,000 0.34% City of Valdez 2,725,000 0.32% City of Sand Point 2,560,000 0.30% City of KingCove 2,335,000 0.27% City of Soldotna 2,225,000 0.26% City of Wasilla 1,880,000 0.22% City of Kenai 1,695,000 0.20% City of Hoonah 1,190,000 0.14% Haines Borough 1,180,000 0.14% City of Palmer 860,000 0.10% City of North Pole 820,000 0.10% Cityand Borough of Wrangell 370,000 0.04% Reserve Obligations 19,705,000 2.29% Total Outstanding Par $861,210,000 100.00% See independent auditor's report -25- ALASKA MUNICIPAL BONDBANK AUlliORITY (A Component Unit ofthe Slate of Alaska) gupplcmcmulSchedule 200~Master Resolution Program-Dcbt ServiceRequirements roec ao.2014 Borrower 2015 2016 2017 20111 2019 2020 2021 2022 2023 2024 City of Ketchikan UlililY-2005 LOaf S 1330,180 S 1.331.680 S U32,-I80 s s s s s ,-,-- City ofNomc -2005Loan 302,338 302,838 299,838 301.433 302,564 303.114 303.244 302.709 30J,744 300,I5U KenaiPeninsula Borough Cent.Em.Svcs.Dist.-2006 Loan 190,728 191.128 191,328 191.\71 190,1109190.07119-1,121192.671190,1190 193,1150 Cil)'of Seward -2005 Port Loan 118 ..B5 IIH85 116,685 1111,405 11-I,1l99 116,329 117,5-19 1111,-164 119,1(,4 114,570 Cityof Seward -2005 Refunding 288.75U Cityof Seward -2006Port Loan H6.3110 342.9110 34-1.380 345.099 H5,405 344,9933-14,155 347,760 345.510 347.750 Cilyof KetchikanPOIl-2006Loan 2,556,156 2,555.069 2,556,963 2,553.0632,5-18,063 2,550,038 2,543,850 2,544,363 2,5-11,300 2,5W,525 Chy ofNome-2007 Refunding 18],397 179,89-1177.-119 180,2-17 182.859180,619178.609 NcrthwestArctic Borough -2007 Refunding 256,094 255,1156 1.259,11-1-1 1,249.172 1,248,350 1.2-18.825 1.2-15.163 Cityof Petersburg -2007 RefUnding 1-17,131 141.9-1-1 1-15,919 1-10,159 1.j.j,]91 1-1].6811-17,991 City ofScward -2007 Refunding 2-13,859 235,606 2-1I,OH 241,709237,394 B8,363 B-I,525 239,99-1 City and Borough of Sitka -2007 Refunding 1145.3-11 11-17.319 1I~8.781 1151.6721I49,219 Cityof Wasilla -2007 Refunding 422.263420.1119421.681423,241 424,5118 KenaiPeninsula Borough -2007Loan 316,725313.225312.625 Cityof Pclcrsburg -2007 Loan 118,925 91.431 88,544 90.778 92,R94 90,100 92,356 89,-12591,297 'J2,9(J(, Aleutians Em Borough -2007 Refunding 1.203,438 9-15.438 947,338 1,772.238 1.11111,3631.1135.1163 1.11-1-1.9811 1.1156,9311 2.121.938 2,271.75U Scmh Kenai Peninsula Hospital -2007 Refunding 1-15.300 14-1,700 144,100 143.5001-12,8251-16.950 7119,-150 71111.250 7114,350787,325 Cily and Borough of Juneau-2007 III Dock Lcue 7-18,813 747,175749,575746,875 7-19,1257-15,5007-16,000 745,500 7-111,1175 746,125 City ofBethel-2007III CourtPacilityLear 295.225291.838 293,038 294.125295,125 2')0,750 291,000290.750290.000 293.625 Kenai Peninsula Borough South Hospital Service Area 1.129.6001.1211.569 J.J26,475 1.127.363 1.124.3131.122,93111.119,1113 1.I19,IIlJ U17.81J 1,119.819 Cill'of Kcdink M&P Loan 126,2211211.671125.971128,121125.121127,521125,287127,878 125,3])127.593 Cilyof Kodink Lin Loan 24-1,530 2-10,330 2-10,980 2-11.3]0 2~1,380 2-12,0]02-13,27124-1,186 2-14,80'-245,126 Kodiak Island Borough 2008One LO.111 62-1,210 622,-160 62-1,960 620.160 624,960 623.960 621.323 623,048 623,360 622,210 Cill'elDtllingham 2008 Ore Loan 1.176,090 1.179,5901.176,340 J.I78,540J.I74,540 J.J74,540 1,176.390 1.176.753 1.179,5651.174,515 Kodiak Police Station2008One Loan 531,2-10 531.990 5]2,2-10529,0-10 505,640507.840509,128 50-1.990 505,365 505,015 Cityof Seward Long Term Care 2008 One Loan 1,971,413 1,970,163 1,971,913 1,970,513 1,972,713 1,973,313 1,969,750 1,%9,-188 1,970,925 1,%11,725 City and Borough of Silka 20011TwoLoan 562,0-15 565,24;'i 562,8-1556-1,725 564,625 56-1,U05 562,355 56-1,645 565.610 565.-123 MUnicipality of Skagway 2008Two Loan 391.235 ]93,035 ]94,435 395,210391.110 395,330 393,630 396,210 392.815 393.803 City ofScward 2008TwoLoan 393,886393,886 ]93,686 393,15139-1,751393,151 391,]76 393,816 395.1126 .192,276 City of Unalaska 2009 One Loan 1.916.8001,909.9001,912,900 1.909.025 1.9011.275 1.905,525 1.905,650 1,903,525 1.90-1.,025 1.900,(,94 Cityof Kodiak 2009One Beat Lift Loan 69,613 68.713 67.713 71.5118 70.3311 69.U8867.831171,463 69,963 611.-125 Cit)"of Unalaska 2009TwoLoan 559,025558.775 558.800563,588 560,-l\] Cityof Cordova 2009TwoLoan 1,370,61111,371.6561,367,9691,369.09-1 1,371,2-14 1,369,906 1,369,9061,367,9061,371,7061,371,719 CityofNome2009TwoLoan 53,263 52.1311 51,075 55.0-14 53,694 52.269 55,769 5-1.019 52,1111 55,300 City mid Borough of Juneau -2009 Three Loan 1.493,0751.500.650 1.485,600 1.-195,1100 1,-1-14,800 1.468,800 KetchikanGateway Borough-2009 Four Loan 1.77-1,769 1,777,7691.775,5191,768,232 1.75-1,10-1 1,7-13.-179 1.731,390 1,722.6-12 1.707,107 1,694,65-1 Kenai Peninsula Borough-2009 FourLoan 1,055,600 City ofKcll.1i-20IO OneLoan 176.198 1711.7911 175.398 176.998 1711,3911 172,704172,011 171.UI1i 16-1,725 16JA3J KefchlkanGateway Borough-20 10 One:Loan 722.050729.800 725.800 731.000 7,10,000 72I1,OOU Northwest Arctic Borough-20 10 One Loan 282,465 2113,565 283,165 282,5652111,765280,765284,565281,315 276,127 275,6-10 Cit}'of Petersburg-20lO OneLoan 236,269 238.04-1 239,094 23-1.-194 23-1,79-1 234,89-1 234,79-1 238,69-1 235,Il49 232,010 City ofUn..,laska-2010 OneLoan 425,999 -125.149 427.1-19 428,749 424.9-19 425,949 -126,5-19 42-1,299 ~24,O17 417,1I3,~ Northwest Arclic Borough -2010 Refunding 969,350 967.200 Chy and Borough of Juneau-20[llTwo Lo:ms 1,1-11,794 1,139.3191,139,0291,129,772 1,117,53-1 1,107,7-1-1 2,472,665 1,820,539 1,779,639 1,517,673 City of Cordova 2010 Two Loan 45,')05 49.780 48,-13046.1159 -15,138 48.188 46,070 Cily on::ing cove 2010Two Loan 42,112 -11.512 45,7-13 -1-1.762 43,6116 42.540 -11.363 40.155 38,8-17 42,319 Aleutians zan Borough -2UIOLoan 399,003397,078 398,878 395.3711 396.578 397,966 392,943390.1177 ]83,4-11 ]110,636 CityofKingCO\'C2010 Three Loan 60,9-12 59,892 58,692 62,392 (,0,992 59,680 58,205 61,359 59,311957,419 City of Unalaska 2010ThrceLoan 438,892 436.267 4H,267 437,1167 ~38,067 43J,60~-132,617429,319-120,652416,616 Kenai Peninsula Borough 2010Four Loan 1.477,241 1,468,022 1.459,887 1.442,7251.431,3051.411.775 1.395,2691,376,2111 1.358.946 U38,264 City of Ketchikan 20 10 FourLoan 631.272 628.0-1-1 623.153616,549 608,190 603,500 597,115-1 586,163578,21-1568.8-12 Ketchikan Galcway Borough 2010FourLoan 33-1,573 333,976 332,198 32-1,287 320,209 315,233 314,574 308,091 300,753 292,5H Chyurd Borough of SilkD.2010FourLoan ~,082,982 4,06-1.7J2 -1,064.932 -1,075.1:;1 4,062.570 -1,0-17,570 4,0:;8.570 4.050,648 4.038,926 4,030,-119 Cil}'of Soldolll<l 2010Four Loan 216,905 219.070215.646216.59-1211.905211.752206.3II205,509199,279197,602 Sec independent auditor'sreport -26- ALASKA MUNICIPAL BONDBANK AUTIlQRrJY (A Component Unilof tbe Stareof Alaska) SnppfcmcntnlSchedule2005 Master Resolutlun Program -DeblService Requirements June30,201~ BOITO\\"er 2015 2016 2017 2018 2019 2020 2021 2022 2023 ~ Ci~'and Borough ofWmngel12011 One Loan 2:'i,675 25.075 24,475 28.87528,00027,00026,000 KodiakIsland Borough 20IIOneLoan 626,OUO 621.850622,55U622.950 621AOU 622,8UO 62:'1,600 62:'I,KOU 625,5n 626,275 City and Borough ofJuneau2UIITwo Loan 659,63165lUl31657,831658.831657,300659,600655,200 City and Borough of Sitka 2011Two Loan -112,209 ~07,609 408,009 ~12.1J.I ~IO,090 407,590 ~07,390 411,190 ~01,690 408,071 Aleutians East Borough 20II Three Refunding :'169,125 833,1:'10 976,625 229,37:'1 229,875226,000 2J 1.625230.625 Kenai Peninsula Borough2011Three Refunding 1.656,275 1.647,050 1.6-10,~50 1.630,075 1.621.1125 1.611,1150 967.375 958,750953,250 Ketchikan Gateway Borough 20IIThree Refunding 620,325621,250616,300618,175618,1100615,900616,875 61~,OOO 609,875 Northwest Aretic Borough 2011 Three Refunding 2,493,150 2,48HOO 2,-191,900 2,486,775 V92,025 2,492,700 2,481Um 2,485,000 2,4115,625 1,6111.000 Wmngc1l2011Three Refunding 87,6UO 93.1IUO 41.00U KenaiPeninsulaBorough(CentralHospilal)20IIThree 3,522,7253,525,0503,522,1253,521.1503,520,0003,521,000 3,525,500 3,5211,625 3,533.750 3,520,875 City orCcrdova 2011Tlucc 56,600 H800 57,117555.62553,37556,250 5~,OOO 56,315 City of Hoonah 2011 TIuce 110.075 107.600114,875 IlI,625 IB,250 90.500 93.125 90.375 92,5UU 119,50U Kodiak Island Borough 20II Three 30].J5U 298.60U3UO,47530U,9753UU,975301.550301,625300.1252911,125 3lHl,50U Municipality ofSkagway2UIIThree 35,025 3V50 33,67537,80036,110035,90035,000 3-1-,000 37,87536,625 Cil)'of Seward 20IIThree 242,215 2~3.350 244,175 2~~,3tlO 2-14,175 2-1-~,350 2-1-1,275 243,-100 2R275 245,775 City and Borough of Juneau G.O.Refunding 2012 One JJ23,7UO Ul9,125 1,091.625 Juneau Wildflower Court Refunding 2012 Ore 1.037,075 1.702.025 l,3-1-1,900 IAIIU25 1,-1116,925 1.555,1125 -137,725 411~,575 53-1.966 583A63 Juneau 2012Two 1,1192,2501,902,1501,920,-1001,940,250 1,9511,-100 CilY of Ketchikan 2012Two 358,3~~356,9-14 35-1,44~356Ji-l4 352.519 352,019 355.1194 355,H-I 3H294 351,5H Ketchikan GatewayBorough2012Two D5,-1-50 6119,150686,150 682,350 689,250 61t1.625 Kodiak Island Borough 2012Two 503,550 1.-149,250 1,4-19,1150 1,439.500 1,.w1,950 1.439.U25 I.-IU.275 1.433.950 1.-133.125 1.433,250 Cit)'ofNome2012 Tv.'o 1-15,725 1-1-7,300 1-18,200 1411,900 1-111,1125 147,950 1~6,1I25 146,100 150,OUO 133,250 CityofNorthPole2012 'two 36,550 :'16,550 100,250 102550 99,400 100,775 101.900 103.200 IOU50 99.750 City ofPaJmer2012 Two 37,550111.050lUII,050105.800 lOlI,45U 104,850 105,725 lO6,800 lO7.625lO7.750 Cil)'of Petersburg 2012Two 333,000 49~,OOO -190,600 .\96.6tlO 491,075 4118,125 ~1I11,375 489.750485,250468.125 Cily and Borough of Sitka 2012 Twc 1,058,050 1,-1-55,650 1,-156,2501,-160,1501,456,7751,455,650 1,~56,650 li~5I,200 1,453,0001,450,375 City ofVaJdezl012 Two 126,350 341.950 341,85U 3-111.250 351.85U 3-13,725 HO.225 342.55U 3-1-1,125 343,5UO Haines Borough 2012Three 83,91987,219115,981 114,744 112,719 85.344 1l2.1144 85.219 117,344 114.344 Juneau 2012 Three Refunding 903,050909,050916,950918,9509211,250 9.11,125 9411,625 9-17,875 959,750973,750 Juneau2012 Three School consnucucn 1..182,875 1,455,375 1.-1-10,1138 1,430JiOO 1,~00,375 U63,625 1,36-1.1175 U63.125 U63,250 Cil)'ef Petcrsburg 2012 TJucc 103,925 1OJ.525 1(14,838 103,050 lO5,UUO 101.500 102,875 104.0(10 10-1.875 105.500 Kenai Peninsula Borough (BearCreek Fire)2013One 9-1,020 97,-120 95,62093,82097,020 94,520 97,520 95,320 93,12095,920 Cit)'and Borough of JUrn:.1U [Bartlett Hospital)2013One 1,656,213 1,652,113 1,657,2131,659,2631,665,563 1,661,1163 1,601,5131,666,713 1,665,313 1.6(,7,513 City and Borough of Juneau2013One 20-1.610 201,010 202.410 203,610199,610204,6lO200,210200,810 201.210 201.~10 Ketchikan GalcwllY Borough 2013One 61O,I5U608,1506JO,55U607.15U6UII.150 6U8,400607,600 611.UO{l 608..100 Kodiak Island Borough 20D One 1,689,340 1,690,1-10 1,6119,7-10 1,61111.1-10 1,690,340 1,6117,5901.691,790 1,6119,390 1.690,590 1,690.1'JO Clty ofSard Point2013One 180,5110183,1110 180,580182,980 1110,1110 1111,680 1113,680 IIlOA80 1112,2110 1113,8110 City and Borough of Silka (Harbor12013 One 31O,7UI)310,300309,700 308.'.)00 307,9UO 310.150 3011.550311.750 309,550 312,150 Citynnd Borough of SilJca(Electric)2013 QJ~1.757,360 1.757.)00 1,757,360 1,757.360 1.757,3601.757,3601.757,360 1.757.360 1.757,36U1.757,36U Cit)'ofHomcr201J Two 287,350 289,750 292,0502117,850288,650 2119,300 293,300291,900 290,)UO 29.1,500 Cit)'of Ketchikan 2013Two 1.100,400 1,06.\,400 1,069,5001.069.2001.0611,450I,072,25tl1,069,11501,071,Ci50 1,072..\50 1.077.250 Kodiak Island Borough 20B Two 1.353,6811 1.355,538 1.356,788 1.355,988 1.355,8118 1.360,188 1.361.51111 UGI.7811 1.303JJ3lI 1.367,288 Municipality ofSkagway2013 Two 67,550 66,95071,35070,30069,250 611,200 71,80070,20068,600 72.000 CiI}'and Borough of Juneau 2013 Three 905,504902,325902,-175903,650 905,~50 903,650902,125902,000905,000902,000 Kenai Peninsula Borough 1,627,50~1.6211.7251,627,3001,626.550 1,625550 1.626,6001,627,325 1.6211.500 1.627,6751,630,175 Lake and Peninsula Borough 20D Three 1,421,220 1.42-1.450 1.-120,0811 1.421.950 1.-119,850 1.423,900 1.-I23,25U [.424,250 1,423.500 1.422,UOO Chyund Borough of Sill:a 201,1Three 1.5-17,678 1.274,975 1.27-1,975 1,274.975 1.27-1,975 1,27-1,975 1,27-1.975 1,27-1,975 1.274,975 1.274,975 Kenai Peninsula Borough 201-1Onc 2,959,26112,9511,0562,956,2802,956,6702,960,0672,960,0622,959,1032,955,11492,957,5002.955,500 Kodiak IslandBorough20 1-1 One 1,776.18~1,775,663 1.777,113 I.77UD 1.772.713 1.775,113 1.772.113 1.776,363 1.773,10 1.772,6JJ Cny and Boroughof Juneau20 1-1 One 403,859403,1118 403,838 407,8311 404,11311 406,5~1I 403,IJ8 404,638405,6311 406,I31l City of Kctchlkan Hcspltal (G,O_)201-1Two 1.666,0151,753,7001.753,7002,553,7002.553,7002,551.700 2.552,700 2,556.-150 2,557,700 2,556,~50 Cityof Ketchikan HOlrbor(G.O.)201-1Two 199,0.\11 207.500203,900 205,300 205,550205,550205,300 20~,800 209,050207,1100 City ofKingCoveElectric 201-1Two 160,IS73 165.250160.65U161.05016U.05U 163.8(10 -12.050 41.0~0 -IO,U5U ~ 'rcut Loan Obligaliou DS S 1Il.J l3,24 IS 81.493,230 S111.088,153S 79,236,233 S79,1111.723 S 75,344,903S72,562,151S 69,609,175 S 69,26-1.990 S 6-1.752.-195 Sec independent auditor'sreport -27- ALASKA MUNICIPAL BONDBANK AUTHORITY (A Component Unit of theState of Alaska) Supplemental Schedule of 20I0 Master Resolution Program -Community Concentration June30,2014 Borrower Ketchikan GatewayBorough Total Outstanding Par Outstanding Par $4,435,000 $4,435,000 Percent of Outstanding 100.00% 100.00% See independent auditor's report -28- ALASKA MUNICIPAL BONDBANK AUTHORITY (A Component Unit of theState of Alaska) Supplemental Schedule 2010 Master Resolution Program -Debt Service Requirements June30,2014 Borrower Ketchikan Gateway Borough TotalLoan Obligation DS 2015 $404,744 $404,744 2016 $400,544 $400,544 2017 $400,544 $400,544 2018 $399,644 $399,644 2019 $403,444 $403,444 2020 $400,474 $400,474 2021 $395,791 $395,791 2022 $390,819 $390,819 2023 $385,558 $385,558 2024 $380,007 $380,007 See independent auditor'sreport -29- APPENDIXF 2005General Obligation Bond Resolution [THIS PAGE INTENTIONALLY LEFT BLANK] TABLEOF CONTENTS ARTICLE I STATUTORY AUTHORITY AND DEFINITIONS Section101•Authority forThis Resolution. Section102-Resolution Constitutes Contract.. Section 103·Definitions.. ARTICLE II AUTHORIZATION AND ISSUANCE OFBONDS Section201-Authorization ofBondsand Interest Rate Exchange Agreements..15 Section202-Issuanceand Delivery of Bonds..16 Section203-Provisions for Issuance of Bonds..16 Section 204-Provisions for Refunding Bonds..19 GENERAL OBLIGATION BONDRESOLUTION ALASKA MUNICIPALBONDBANK ARTICLE III GENERAL TERMSAND PROVISIONS OFBONOS Section301-Description ofBonds;Payment Section302•Legends... Section303-Executionand Authenncanon.. Section304-Interchangeability ofBonds. Section305-Negoliability,Transfer and Registry.. Section 306·Regulations with Respect to Exchanges and 'rransrers... Section 307-Bonds Mutilated.Destroyed.StolenorLost.. Section308-Preparation of Definitive Bonds;Temporary Bonds.. Section309-Cancellation and Des!ruction ofBonds. ARTICLE IV REDEMPTION OF BONDS Section401-Redemption Provisions.. Section402-Noticeof Redemption ..... Section 403·Partially Redeemed Fully Registered Bonds. 21 23 23 2. 2. 25 25 25 27 26 26 30 Adopted July13,2005 ARTICLE V CUSTODY AND APPLICATION OF CERTAIN PROCEEDS OFBONDS Section501•Application ofCertain Proceeds..31 Section502-Loans..31 Section503-Retentionand Inspection of Documents..32 ARTICLE VI ESTABLISHMENT OFFUNDSAND ACCOUNTS AND APPLICATION THEREOF Section601-Pledge.33 Section602•Establishmenl ofFundsand Accounts..33 ARTICLE VII SECURITY FOR DEPOSITS AND INVESTMENT OFFUNDS Section701-Security forDeposits.44 Section 702 -fnveslment ofFundsand Accounts HeldbytheTrustee.44 Section 703-liability ofTrusteefor rnvestments..46 Section603-ReserveFund 34 Section604•InterestAccount,PrincipalAccountandRedemplionAccount.36 Section605-RebateFund..39 Section606-OperatingFund.41 Section607-ReduclionofRequiredDebtServiceReserve.42 Section608-Trustee's Main!enance ofRecordson Payment ofBonds..42 Section 609-ObtainingCredit Enhancements and interest Rate Exchange Agreements..42 Section 610-Creationof Additional Funds,Accounts and Subaccounts;Separate Credit Enhancemenl Funds;Pledgewith Respect 10Credit EnhancementsandinterestRateExchangeAgreements.43 ARTICLE VIII THE TRUSTEE ANDTHEPAYING AGENTS Section801-Appoinlment and Acceptance ofDutiesofTrustee.46 Section 802•Appointment and Acceptance ofDutiesofPaying Agents..46 Section 803-Responsibilities ofFiduciaries.47 Section 804-EvidenceonWhich Fiduciaries MayAct.49 Section 805•Compensation.....SO Section 806-Permitted ActsandFunctions..50 Section 807-Resignation ofTrustee.SO Section 808-RemovalofTrustee.51 Section 809-Appointment of Successor Trustee.51 Section 810-Transfer ofRightsand Property to Successor Trustee.52 Section 811·MergerorCOnsolidation....52 Section 812-Resignation orRemovalofthePaying Agents and Appointment of Successors..53 Section 813-Evidenceof Signatures of Bondholders and Ownership of Bonds..53 ARTICLE IX COVENANTS OFTHEBANK Section 901-Payment ofBonds. Section 902-Extensionof Payment ofBonds.. Section 903-Officesfor Servicing Bonds. Section 904-Further Assurances..... Section 905-PowertoIssueBondsandMakePledges. Section 906-General Covenants oftheBank.. ALASKA MUNICIPAL BOND BAN/( Tab,.0'ConI1lnEl (Amgfj~ tltb3Ul.:ll>Xll~....-a<_......--..,.,_ 55 55 55 56 65 57 Pogo2 F-l ALASKA MUNICIPAL BONO BAM(, Tabklo/CCIIIl1lnn (Am.nr/od) 1'O<I:>'31<:ll>Xl,~.-.-a<__w_",,_ Section 907-Accounts andReports. Section908-Personnel and Servicing of Programs. Section 909•Waiver ofLaws ... Section910-Feesand Charges. Section911-Administration ofReserveFund.. Section 912 -Issuanceof Addilional Obligations... Section913•Loan Agreement Provisions.. Section914-Modification ofLoan Agreement Terms ... Section915-Saleof Municipal Bonds byBank.. Section916-Disposition ofthe Proceeds ofSaleor Redemption ofMunicipal Bonds... Section917•Enforcement of Municipal Bonds. Section918-Continuing Disclosure;Bankruptcy.. Section919-Tax Covenants. ARTICLE X SERIES RESOLUTION AND SUPPLEMENTAL RESOLUTIONS Section1001-Modification and Amendment without Consent. Section1002•Supplemental Resolutions Effective wi!h Consent of Bondholders. Section 1003-General Provisions Relating to Series Resolutions and Supplemental Resolutions.. ARTICLE XI AMENDMENTS Section 1101•Powers of Amendment... Section1102-Consent of Bondholders ... Section1103-Modifications by Unanimous Consent. Section1104-Mailingand Publication... Section1105•ExclusionofBonds.. Section 1106-NotationonBonds. ARTICLE XII DEFAULTS AND REMEDIES Section 1201-TrusteetoExercise Powers of Statutory Trustee... Section1202-EventsofDefault. Seclion 1203•Remedies Section1204-Priority of Payments After Default. Section1205-Tennination of Proceedings... Section 1206·Bondholders'Direclion of Proceedings . Section 1207-limitation on Rights of Bondholders . Section 1208-Possession of Bonds by Trustee Not Required. Section1209-Remedies Not Exclusive... ALASKA M/JNICJPAL BOND BAN)( TabklofC""I1In'"(Am.n~1IOoaUI<:D:I01_....-Cl<_""""........,.,_ Pllgo1 58 59 59 59 60 51 52 5. 65 65 65 66 66 67 68 68 69 70 72 72 72 73 73 73 7. 76 78 78 79 80 80 Pogo3 Section1210 -NoWaiverofDefault. Section1211-NoticeofEventofDefault.. ARTICLEXIII DEFEASANCE Section1301-Defeasance. ARTICLEXIV MISCELLANEOUS Section1401-PreservationandtnepecuonofDocuments .. Section1402-Partiesof Interest.. Section1403-NoRecourseUnderResolutionoronBonds .. Section1404-Severability... Section1405 -Headings. Section1406-Conflict .. Section1407-GovemingLaw.. Section1408-EffectiveDate.. ALASKA MUNICIPAL BONO BANK T.t11eof Conlflnrs (AmQfldQd) t""""'.3"2DOOI_~~O:<'Ilot<n"""""""'''''_ 80 80 81 B4 84 84 85 85 85 85 85 Pogo 4 GENERAL OBLIGATION BOND RESOLUTION A RESOLUTION CREATING AND ESTABLISHING AN ISSUEOFBONDSOFTHEALASKA MUNICIPAL BOND BANK;PROVIDINGFORTHE ISSUANCE FROMTIME TOTIMEOFSAID BONDS;PROVIDINGFORTHE PAYMENTOF PRINCIPAL OFAND INTEREST ONSAID BONDS;ANDPROVIDINGFORTHERIGHTSOFTHE HOLDERS THEREOF. BEITRESOLVEDbytheBoardofDirectorsoftheAlaskaMunicipalBondBank asfollows: ARTICLE I STATUTORY AUTHORITY AND DEFINITIONS Section 101-AulhoritvforThis Resolution.ThisResolutionisadoptedpursuant totheprovisionsoftheAct. Section102-Resolution Constitutes Contract.In consideration ofthepurchase and acceptance oftheBondsbythosewhoshallholdthesamefromtimetolime,the provisionsofthisResolutionshallbeapartofthecontractoftheBankwilhtheHolders ofBondsandshallbedeemedtobeandshall constitute acontractbetweentheBank, theTrusteeandtheHoldersfromtimetotimeoftheBonds.Thepledge hereof andthe provisions,covenantsand agreements hereinsetforthtobeperformedbyoronbehalf oftheBankshallbeforthebenefit,protectionandsecurityoftheHoldersoranyand allofsuchBonds.EachBond,Credit Enhancement facility,andInterestRate ExchangeAgreement,regardlessofthetimeortimesofitsissueormaturity,shallbe ofequalrankwithoutpreference,priorityordistinctionoveranyotherBond,Credit Enhancement facility,orInterestRateExchange Agreement exceptasexpressly providedinthisResolution. Section103-Definitions.Thefollowingtermsshall,forallpurposesofthis Resolution,havethefollowingmeaningsunlessthecontextshallclearlyindicatesome othermeaning: "Accountant's Certificate"shallmeana certificate signedbyan independent certified publicaccountantor afirm oundepenoenr certifiedpublic accountants selected by theBank. "Accreted Amount"shallmean,with respecttoCapital Appreciation ofBondsof anySeriesandasofthedateofcalculation,theamountestablishedpursuanttothe SeriesResolution authorizing suchCapital Appreciation Bondsastheamount representing the initial publicofferingprice,plusthe accumulated and compounded principaland interest onsuchBonds. "Act"shallmean the AlaskaMunicipalBondBankAuthorityAct,constituling Chapter 85,Title 44,of the Alaska statutes.asamendedtothedateofadoptionofthis Resolution. "Administrative Expenses·shallmeantheBank'sexpensesofcarryingoutand administering itspowers.dutiesandfunctions,asauthorizedbytheAct,andshall include,without limiting the generalityoftheforegoing:administrative andoperating expenses,legal,accounting and consultant's servicesandexpenses,paymentsto pension,retirement,healthandhospitalizationfunds,andanyolherexpenses required orpermittedtobepaidbytheBankunderthe provisions of the ActorthisResolution orotherwise. ~Aggregate DeblService-foranyperiodshallmean.asofanydateofcalculation andwithrespecttoallBonds,thesumoftheamountsofDebtServiceforsuchperiod. "AnnualDebtService"shallmeanthetotalamountofDebtServiceforany Outstanding BondsinanyFiscalYear. "Authorized Denominations-withrespecttoanySeriesofBondsissued hereunder,has the meaningspecified in therelatedSeriesResolution. "Aulhorized Officer"shallmean the Chairman,ViceChairman,Executive Secretary.orExecutive Directorofthe Bankandanyotherdirector,officer oremployee of the Bank authorized byresolutionoftheBanktoperformsuchactordischargesuch debt. -Bank~shallmeantheAlaskaMunicipalBondBank,apublicbodycorporateand politic constituted asapubliccorporationand inslrumentalily of the SlateorAlaska withinthe Department ofRevenuebuthavingalegalexistence independent ofand separatefromtheSlateexercisingpublicandessential govemmenlal functions and createdbytheAct,oranybody,agency or instrumentality oftheStatewhichshall hereafter succeedtothepowers,dutiesandfunctionsoftheBank. "BeneficialOwner"shallmeanthepersoninwhosenameaBondisrecordedas thebeneficialownerofsuchBondbytherespectivesystemsofDTCandtheDTC Participants ortheHolderoftheBond if theBondisnotthenheldin beck-entry term. ~Bond-or "Bonds ft shallmeananyAlaskaMunicipalBondBankBondorBonds, orAlaskaMunicipalBondBank Authority BondorBonds,asthecase may be, authenticated anddelivered under thisResolutionpursuanttoaSeriesResolution. "Bondholder'"or ~Holder"orwordsofsimilarimport,whenusedwithreference toaBondorBonds,shallmeananypersonwhoshallbetheregisteredownerofany OutstandingBondorBondsissuedinfullyregisteredformorthebearerofanyBond orBondsissuedinbearerformorregisteredtobearer.WhenallBondsoraSeriesare heldbyasecuritiesdepository,"Bondholder"or"Holder"shallmeanthebeneficial ownerofthe Seriesinquestion determined undertherulesofthatsecuritiesdepository; otherwise "Bondholder"or "Holder"meansownerofrecordonthebondregister maintainedbythePayingAgent.Totheextentthatthefullpaymentoftheintereston andprincipalofBondsofaSeriesissecuredbyCreditEnhancement,theCredit EnhancementAgency shallbe considered tobe the'Bondhclder"or"Holder"ofallthe BondsofthatSeriesforpurposesofexercisinganyrightswithrespectto supplements and amendments tothisResolution if theCredit EnhancementAgreement soprovides. "Bond Year"shallmeaneach one-year periodthatendsonan anniversaryofthe dateofissueoftheBonds. ~Book-Entry System ft shallmeanthe system in which theBonds(represented byoneBondcertificateforeach maturity oftheBonds)aredeliveredinto the possession ofDTC andareissuedand fully-registered as10principalandInterestinthe nameofCede&Co.,and whereby beneficialinterestsintheBondsarepurchasedby investorsthroughDTCParticipants,such interests shownandtransfers thereofeffected onlythroughtherecords maintained bytherespectiveDTCParticipantsfromwhom each such investor acquiredsuchbeneficial interest ALASKA MUNICIPAL BOND BlINK G.,QI3IIOb1Jg.rJon Bond RoIOlniOll (Am_J '\D0Q0\31<XIlJ>I~co.-o:<_......_",,_Page 2 F-2 ALASKA MUNICIPAL BOND BANI< C.,QI3I/ObJIg.rJOIIBOIId RoIOa.!I011 (AmOlldl>dJ L~rol4O:Ol~c..-""'_l\nnl __Page 3 "Business Da(shallmeanany day otherthana Saturday or Sunday orany otherdayonwhichbanksinNewYork,Alaska,ortheslateorstatesinwhichany Trustee appointed hereunder performs its duties hereunder are authorized orrequired tobe closed orareclosed. "Capital Appreciation Bonds"shallmeanBonds,the interest onwhich(a)is compounded and accumulated attheratesandonthedates set forth in theSeries Resolution authorizing the issuance ofsuchBondsand designating themasCapital Appreciation Bonds,and(b)is payable upon maturity or redemption ofsuchBonds. "Continuing Disclosure cernncate"shallmean,foreachSeries,the continuing disclosure certificate executed bytheBankforthe purpose of satisfying the continuing disclosure requirements ofRule15c2-12ofthe Securities and Exchange Commission withrespecttosuchSeries,assuch continuing disclosure certificate is originally executed andasitmaybe amended fromtime 10 timein accordance withitsterms. "counsers Opinion-shallmeananopinionsignedbyan attorney orfirmof attorneys of nationally recognized slanding inthefieldoflaw relating 10 stateand municipal financing (whomaybecounseltotheBank)selectedbytheBankand acceptable 10 theTrustee. "Credit Enhancement"shallmeanaletterofcredit,alineofcredit,acredit facility,asuretybond,bond insurance.orany other instrument or arrangement obtainedin connection withthe issuance ofaSeriesofBondsto further securelhe payment ofthe Bonds ofsuchSeriesortosatisfytheReserveFund Requirement. "Credit Enhancement Agency"shallmeananybankor orner institution that providesCredit Enhancement "Current InterestBonds"shallmeanBondsnot constituting Capital Appreciation Bonds.InterestonCurrent Interest Bondsshallbepayable periodically onthe Inlerest Payment Datesprovided therefor inaSeries Resolution. "DebtService"shallmeanforanySeriesofBonds Outstanding,an amount equaltothesumof(a)all interest payableduringsuchperiodof calculation,plus(b) the Principal Installments,ifany,payable duringsuchperiodof calculation onsuch SeriesorBonds. ~Execulive Director"shallmeanthe Executive Director orActing Executive Director ortheBank. "FeesandCharges"shallmeanallfeesand charges authorized tobecharged bytheBank pursuant tosection 44.85.080(8),(15)and(16)oftheActandchargedby theBankto Govemmental Units pursuant tothetermsand provisions ofLoan Agreements. -Fiduciary"or "Fiduciaries"shallmeantheTrustee,andPayingAgent,or enyor allofthem,asmaybe appropriate. "FiscalYear"shallmeananytwelve(12)consecutive calendar months commencing withthefirstdayofJulyandendingonthelastday 01 thefollowingJune orsuchotherdateasis authorized bystatuteand/or selected bytheBank. "Fitch-shallmeanFitchRatings,organized andexistingunderthelawsofthe StateofDelaware,Its successors andtheirassigns,and,ifsuch organization shall be dissolved or liquidated orshallno longer perform the funcuons ofa securities rating agency,"Fitch-shallbe deemed 10 refertoany other nationally recognized securities ratingagency(otherthan Standard &Poor'sor Moody's)designated by theAuthorized Officer. "Govemment Obligations"shallmeandirect obligaftons of,or obligations ofthe payment orand interest onwhichare unconditionally guaranteed by,theUnitedStates ofAmerica. "Governmental Unit"shallmeana municipality orsuchotherentityofwhichthe Bankis authorized bylawto purchase itsrevenuebonds,general obligation bonds, notes,orotherformsof indebtedness andwhich otherwise satisfies conditions found hereinandinthe loan Agreement "Govemmental Unit'sAllocable Proportion-shall meanthe proportionate amount ofthetotal requirement inrespectof which thetermisused determined bytheratiothat ALASKA MUN/OPALBOND BAN" GDtlRtIIl ObI/g~/""Bond R ...DlurJDII (AmRlldRd) 'IDu<o\:l"ZIOD'~~Cb"..._lb'>d~,","",,,,,_Page 4 ALASKA MUN/OPAL BOND BANK O",,~I ObI/gar/on BOild RMDlurJoII (AmRrrdRd) 1\O:a\l"ilO:IC,~~o;ro~""'_R__",,_Pago5 theLoanthen outstanding tosuch Governmental Unitbearstothetotalof all Loans then outstanding toall Governmental Units. "Interest Account"shallmeanthe account bythatname established bySection 602. "interest Payment Date-shallmeananydateuponwhich interest onanyBonds ispayablein accordance withthetermsthereof. "rnterestRateExchange Agreement-shallmeanan agreement enteredintoby theBankortheTrustee,onbehalfoftheBank,providing foran interest ratecap,floor orswapwithrespecttoany Bonds or Municipal Bonds. "Investment Securities"shallmeanthefollowingtotheextent permitted bythe ActandthelawsoftheStateofAlaska: (1)Governmental Obligations; (2)Bonds.debentures,notesorother evidence of indebtedness issued orguaranteed by anyofthe followingfederal agencies andprovidedsuch obligations arebackedbythefullfaithandcreditoftheUnitedStatesofAmerica (stripped securities areonly permitted if theyhavebeenstrippedbytheagency itself); (a)Farmers HomeAdministration iFmHN)Certificates of Ownership; (b)FederalHousingAdministration ("FHA")Debentures; (c)GeneralServicesAdministration Participation certificates; (d)GovernmentNationalMortgage Association ("GNMA"or "GinnieMae-)GNMA-guaranleed mortgage-backed bondsor GNMA- guaranteed pass-through obligations (participation certificates); (e)UnitedStatesMaritimeAdministralion Guaranteed TitleXI financing; (f)UnitedStatesDepartmentofHousingandUrban Development(-HUD-jProjectNotesLocalAuthorityBonds; (3)Bonds,debentures,notesor other evidence of indebtedness issued or guaranteed byanyofthe following government agencies (stripped securities areonly permitted iftheyhavebeen stripped bytheagencyitself); (a)FederalHomeLoanBankSystem.Seniordebt obligations (Consolidated debt obligations); (b)FederalHomeLoanMortgageCorporation.("FHLMC"or "Freddie Mac·)rated AM by Standard &Poor'sandAaabyMoody's Participation Certificates (Mortgage-backed securities)Seniordebt obligations; (c)FederalNationalMorlgageAssociation.("FNMA"or"Fannie Mae")rated AM by Slandard &Poor'sandAaabyMoody's Mortgage-backed securities andseniordebt obligations (excluded are stripped mortgage securities which arevalued greater thanparonthe portionofunpaidprincipal); (d)StudentLoanMarketAssocialion.("SLMKor-SaJlieMae-) Seniordebt obligations; (e)ResolutionFundingCorp.(-REFCORP-)Onlythe interest component of REFCORP stripswhichhavebeenstrippedbyrequestor theFederalReserveBankofNewYorkin book-entry formare acceptable;and (f)Farm CreditSystem.Consolidated systemwide bonds. (4)Money market funds registered under theFederal Investment CompanyAct of 1940,whosesharesare registered underlhe Federal Securities Actof1933,andhavingaratingbyS&Pof ~AAAm-G,·-AAAm~or "Mm"orby Moody's of-Aaaft includingfundsfromwhichthe Trustee orits affiliates receive feesfor investment advisory orotherservicestosuchfund; (5)Certificates of Deposit (~CD~)secured atalltimesby collateral described in(a)and/or (b)above.CD'smusthavea one-year orlessmaturity. Such certificates mustbeissuedby commercial banks,savingsandloan ALASKA !.tUN/OPAL BOND BAN}( G",,_I ObI/gar/on 80",1 R1Io'DtlrJ.."(AmRllded)'lO<aI31""""'--....zm_o;ro ...._Page6 F-3 ALASIUl MUNICIPAL BOND BANK 0",,_1 ObIlgMIon BOIIdR_ootIrJOII (AmRllded) '1<b>o<3"_\~_Cb"..,..Page 7 associations ormutualsavingsbankswhoseshort-termobligationsarerated -A-I+-orbetterbyS&P,and "Prime-t"orbenerbyMoody's.Thecollateralmust beheldbya third partyandthethirdpartymusthaveaperfectedfirst security interestin!hecollateral; (6)Certificates ofdeposit,savingsaccounts.depositaccountsor moneymarketdepositswhicharefUllyinsuredbytheFederalDepositInsurance Corporation rFDIC"),includingBankInsuranceFund("BIF-)andSavings AssociationInsuranceFund("SAIF-): (7)Commercialpaperrated "Prime-r"byMoody'sand "A-l +"orbener byS&Pandwhichmaturesnotmorethan270daysafterthedateofpurchase; (8)Bondsornotesissuedbyanyslateormunicipalitywhicharerated byMoodY'SandS&Pinthehighestlong-termratingcategoryassignedbysuch agencies; (9)Federalfundsorbankers acceptances withamaximumtermof oneyearofanybankwhichhasanunsecured,uninsuredand unguaranteed obligationrating ct'Pnme-t"byMoody'sand -A·l+"byS&P; (10)Repurchase agreemenls providingforthetransferofsecurities fromadealerbankorsecuritiesfirm (seller/borrower)toamunicipalentity (buyerllender),andthetransferofcashfromamunicipalentitytothedealer bankorsecuritiesfirmwithan agreementtha!thedealerbankorsecuritiesfirm will repaythecashplusayieldtothemunicipal entity inexchangeforthe securitiesata specified date;provided,however,thattherepurchase agreement mustsatisfycertaincriteriaarticulatedinwritingtotheBankbytheRating Agenciesandsuchagreementmustbeapprovedinwritingpriortoitsacquisition byeachbondinsurertheninsuringanySeriesofBonds;and (11)Investment contractswith providers thelongterm,unsecureddebl obligationsofwhichareratedatleast"Aaa"bytheRatingAgencies. -Loan"shallmeanaloanheretoforeor hereafter madebytheBanktoa Govemmental UnitpursuanttotheActandmoreparticularlydescribedintheapplicable SeriesResolution. "LoanAgreement"shallmeananagreement.andany amendments thereto, heretofore orhereafter enteredintobetweentheBankanda Govemmerua!Unitselling forththetermsandconditionsofaLoan. "LoanObligation"shallmeanthatamountofBondsandtheBonds themselves issuedbytheBankforthepurchaseofMunicipalBondsofa Governmental Unit. "MaximumAnnualDebtService"shallmean,with respect toany Outstanding SeriesofBonds,thehighestremainingAnnualDebtServiceforsuchSeriesofBonds. -Moody's"shallmeanMoody'sInvestorsService,rnc..a corporation duly organizedand existing underandbyvirtueoflhelawsoftheStateofDelaware,and itssuccessorsandassigns,except that ifsuchcorporationshallbedissolvedor liquidatedorshallnolongerperformthe functions ofasecuritiesratingagency,then theterm"Moody's"shallbedeemedtorefertoanyother nationally recognized securitiesratingagency(otherthanFitchorStandard&Poor's)designated bythe AuthorizedOfficer. -MunicipalBends"shallmeangeneralobligationbonds,revenuebonds,notes orotherevidencesofdebtissuedbyany Govemmental Unitasnowor hereafter definedintheActwhichhaveheretoforebeen orwill hereafter beacquiredbytheBank asevidenceofaLoantothe Govemmental UnitpursuanttotheAct. -MunicipalBondsInterestPayment"shallmeanthatportionofaMunicipal BondsPaymentmadeorrequiredtobemadebya Govemmental UnittotheBank whichrepresentstheinterestdueortobecomedueonthe Govemmental Unit's MunicipalBonds. ~Municipal BondsPavment"shallmeantheamountspaidorrequiredtobepaid, fromtimetotime,forprincipaland inlerest bya Governmental UnittolheBankonthe Govemmental Unit'sMunicipalBonds. ALA5.'CA MUNICIPAL BOND BANK a .....QII'ObllgQUon Bond R..."ItIUoII (AmQllrJod> '~'<4lXIO'~~C«~""",_H"""",""'_Pago8 ALASKA MUNICIPAL BOND BANK G"""",'Obllll.UllI7 BOlld R...oItIU=(AmQIIlIod) '"'-'31,2«Q,~_c«_......,_",""",Pogo 9 "MunicipalBondsPrincipalPayment-shallmeanthatportionofaMunicipal BondsPaymentmadeorrequiredtobemadebya Governmental UnittotheBank whichrepresentstheprincipaldueortobecomedueonthe Govemmental Unit's MunicipalBonds. "Notes"shallmeananyobligationsreferredtohereinissuedbytheBankother thanBonds. ·Operating Fund"shallmeanthefundbythatnameestablishedbySection602. "Outstanding"whenusedwithreferencetoBonds,otherthanBondsreferredto in secucn 1105hereof,shallmean,asofanydate,allBonds theretofore orthereupon being authenticated anddeliveredunderthisResolutionexcept: (1)AnyBondscanceledbytheBankortheTrusteeatorpriortosuchdate; (2)Bondsforthe transfer orexchangeoforinlieuoforin subslilution for whichotherBondsshallhavebeen authenticated anddeliveredpursuantto this Resolution;and (3)Bondsdeemedtohavebeenpaidasprovidedin subsection (B)of Section1301. "PayingAgent"fortheBondsofanySeriesshallmeanthebankortrust companyandits successor or successors,whichmayincludetheTrustee,designated bytheBankasPayingAgentpursuanttotheprovisionsofthisResolutionandaSeries Resolutionoranyother resolution oftheBankadoptedpriorto authentication and deliveryofBondsforwhichsuchPayingAgentorPayingAgentsshallbesoappointed. "PrincipalAccount"shallmeantheaccountbythatnameestablishedbySection 602. -Principallnstallmenr shallmean,asofanydateofcalculationandwithrespect totheOutstandingBondsofanySeries,(i)theprincipalamountofsuchBondswhich aredueonacertainfuturedate,reducedbytheaggregateprincipalamountofsuch Bondswhichwouldberetiredbyreasonofthepaymentwhendueandapplicationin accordancewiththisResolutionofSinkingFundPaymentspayablebeforesuchfuture dateforthe retirement ofsuchBondsor(ii)theunsatisfiedbalanceofanySinkingFund PaymentdueonacertainfuturedateforsuchBonds,plustheaggregateamountofthe premiums,ifany,whichwouldbeapplicableonsuchfuturedateupontheredemption ofsuchBondsbyapplicationofsuchSinkingFundPaymentsinaprincipalamount equaltosaidunsatisfiedbalanceor(iii)if suchfuturedatescoincideastodifferent Bondsof such Series,thesumofsuchprincipalamountofBonds,unsatisfiedbalance andapplicablepremiums,ifanyor(iv)forany particular SeriesofBondstheamount specifiedinthe Supplemental ResolutionauthorizingsuchSeriesorBonds. "PutBond"shallmeananyBondthatispartofaSeriesofBondssubjectto mandatory purchasebytheBank,itsagentorathirdpartyfromtheOwneroftheBond pursuant10provisionsoftheSeriesResolutionauthorizingtheissuanceoftheBond. "RatingAgencies"shallmeanMoody's,Standard&Poor'sand Fitch ortheir respective successors andassignsand/orsuchothersecuritiesratingagencyselected bytheBank to providearatingwithrespecttoaSeriesofBonds,oranyportionthereof, whichRatingAgency,asoftheapplicabledate,shallhaveassignedaratingtoany SeriesofBondsoranyportionthereof. "RebaleCalculationDate"shallmean,withrespecttoeachSeriesofBonds,the interest paymentdatenextprecedingthefifth anniversary oftheissuedateofsuch SeriesofBonds,each frflh anniversaryoftheinitialRebateCalculationDateforsuch SeriesofBonds,andthedateofretirementofthelastbondforsuchSeries. "RebateFund-shallmeanthefundbythatname established bySection602. "Rebate Requirement"shallmeantheamountofarbitrageprofitseamedfrom theinvestmentofgrossproceedsortheBondsin nonpurpose investments described inSection148(f)(2)oftheCodeanddefinedas"Rebate Amount"inSection1.148-3 oftheTreasuryRegulations,whicharepayabletotheUnitedStatesatthetimesand intheamountsspecifiedinSection148(D)(3)oftheCodeandSection1.146-3ofthe Treasury Regulations. "RecordDete"shallhavethemeaningsetforthintheSeriesResolution aulhorizing thepenicurerSeriesofBonds. ALASKII MUNICIPAL BOND BANK a...,..-.!ObIIIl.rlon BO/Id Ras"tIrICl/I (AmOlldftf) '''''''"'l'';UO~''''''C«__'''''''''<n'''''Pogo 111 F-4 ALASKA MUNICIPAL BOND IJIlNI( a....."""Ol>Illlaion liIOIldR.."lItion(Am~ '''''''"'ll,""",",~''''-W_'''''''''''''''",""",Pogo'1 "RedemptionAccount"shallmeantheaccountbythatnameestablishedby Section602. "RedemptionPrice"shallmean,wilhrespecttoanyBond,theprincipalamount thereof,plustheapplicablepremium,ofany,payableuponredemptionthereof pursuanttotheprovisionsofsuchBond,thisResolutionandtheSeriesResolulion pursuanttowhichthesamewasissued. "RefundingBonos"shallmeanallBonds,whetherissuedinoneormoreseries, authenticatedanddeliveredonoriginalissuanceforlhepurposeofrerundingBonds orotherobligationsoftheBankandallBondsthereafterauthenticatedanddelivered uponthetransferorexchangeororinlieuoforinsubstitutionforsuchBondpursuant 10thisResolution. ~Regular RecordDate"shallmean,unlessotherwiseprovidedinaSeries Resolution,withrespecttotheBonds,lhefifteenth(151h)dayimmediatelypreceding eachInterestPaymentDate(ortheBusinessDayimmediatelyprecedingsuchfifteenth (15th)day,ifsuchfifteenth(15th)dayisnotaBusinessDay). "RequiredDebtServiceReserve"shallmeanasofanydateofcalculation,the amountrequiredtobeondepositintheReserveFundwhichamountshallbeatleast equaltotheReserveFundRequirement. "ReserveFund"shallmeanthe2005GeneralObligationBondResolution ReserveAccountestablishedbySection602withintheAlaskaMunicipalBondBank ReserveFundcreatedbySection44.85.270oftheAct. "ReserveFund Obligations~shallmeantheamountorBondsissuedbytheBank toobtainfundsdepositedintheReserveFund. "ReserveFundRequirement"shallmeantheleastof 0)MaximumAnnualDebt ServicewithrespecttoallBondsOutstanding;(ii)125%ofAverageAnnualDebt ServicewithrespecttoallBondsOutstanding;(iii)10%ofthe initial principalamount ofeachSeriesofBondsthenOutstanding,or(iv)suchloweramountasmaybe requiredbylaw.TheReserveFundRequirementmaybesatisfiedentirely,orinpart, byCreditEnhancementasprovidedforherein;provided,however,anyCredit Enhancementsalisfying allorany partorthe ReserveFundRequirementaftertheinilial issuanceofBonds onssued insubstitutionforanypriorCreditEnhancementpreviously issuedshallnot,by nsert,causeawithdrawaloradownwardrevisionoftheratings maintainedbyanyRatingAgencywithrespecttotheBonds. "Resolution"shallmeanthisGeneralObligationBondResolutionasfromtime totimeamendedorsupplementedbySupplementalResolutionsorSeriesResolutions inaccordancewiththetermsandprovisionshereof. "Security Inslrument"shallmeananinstrumentorotherdeviceissuedbya SecurityInstrumentIssuertopay,ortoprovidesecurityorliquidityfor,aSeriesof Bonds.Theterm ~Securily Instrument"includes,bywayofexampleandnotof limitation,lettersorcredit,bondinsurancepolicies,standbybondpurchase agreements,linesofcreditandothersecurityinstrumentsandcredit enhancement or liquiditydevices;provided,however,that nosuchdeviceorinstrumentshallbea "Securityrnetrumenr'forpurposesofthisResolutionunlessspecificallysodesignated inaSeriesResolutionauthorizingtheuseofsuchdeviceorinstrument. ~Security InstrumentAgreement"shallmeananyagreemententeredintobythe BankandaSecurityInstrumentIssuerpursuanttoaSeriesResolutionand/orthe applicableportionsofaSeriesResolutionprovidingfortheissuancebysuchSecurity InstrumentIssuerofa security Instrument. ~Security InstrumentCosts"shallmean,withrespecttoanySecurilyInstrument, allfees,premiums,expensesandsimilarcosts,otherthanSecurityInstrument RepaymentObligations,requiredtobepaidtoaSecurityInslrumentIssuerpursuant toaSecurity Instrument AgreementortheSeriesResolutionauthorizingtheuseor suchSecurityInstrument.SuchSecurityInstrumentAgreementorSeriesResolution shallspecifyanyfees,premiums,expensesandcosts consliluling SecurityInstrument Costs. "Security Instrument Issuer"shallmeananybankorotherfinancialinstitution, insurancecompany,suretycompanyorotherinstilutionissuing ~SecurityInstrument. AlASKA MUNiCiPAL BOND BAN}( e"".lal Obllll.t1on Bond RllIafutlon (Amondrxl) 11Oo:uI3"':!X."~""-0>'~"""'''''''''''''''''_Paga 12 AI.ASICAMUNICiPAL BOND BANK e"".lal DblIIl8flon Bond RllIalullon (Am._J 11Oo:uI31'2C<>:l,_~c:o.-O>'",_BonlR""'",_Paga 13 ~Security InstrumentRepaymentObliqations"shallmean,asofanydateof calculationandwithrespecttoanySecurityInstrumentAgreement,anyoutstanding amountspayablebytheBankundertheSecuritytnstrumentAgreemenlortheSeries ResolutionauthorizingtheuseofsuchSecurityinstrumenttorepaytheSecurity InstrumentIssuerIcrpaymentspreviouslyorconcurrentlymadebytheSecurily InstrumentIssuer pursuanlto a Securitylnslrumenl.Thereshallnot be includedinthe calculationoftheamountofSecurityrnsuumentRepaymentObligationsanySecurity InstrumentCosts.EachSecurityInstrumentAgreementortheSeriesResolution aulhorizingtheuseofsuchSecurity Instrument shallspecifyanyamountspayable underitwhich,whenoutstanding,shall consnute SecuritylnsfrumentRepayment Obligationsandshallspecifytheportionsofanysuchamountsthatareallocableas principalorandasinterestonsuchSecurity Instrument RepaymentObligations. "SeriesofBonds"or"BondsofaSeries"orwordsofsimilarmeaningshallmean theSeriesofBondsauthorizedbyaSeriesResolution. "SeriesResolution"shallmeanaresolulionoftheBankauthorizingtheissuance ofaSeriesofBondsinaccordancewiththetermsandprovisionshereofandadopted inaccordancewithArticleX. ~Sinking FundInstallment"shallmean.asofanyparticulardateofcalculation andwithrespecttotheOutstandingBondsofanySeries,theamountrequiredtobe paidatalleventsbytheBankonasinglefuturedatefortheretirementofBondsof suchSerieswhichmatureaftersaidfuturedate,butdoesnotincludeanyamount payablebytheBankbyreasononlyofthemalurityofaBond. "Standard &Poor's"shallmeanStandard &Poor'sRatingsServices,aDivision ofTheMcGraw-HiliCompanies,tnc.,anditssuccessorsandassigns,exceptthatif suchcorporationordivisionshallbedissolvedorliquidatedorshallnolongerperform thefunctionsofasecuritiesratingagency,thentheterm"Standard&Poor's"shallbe deemed to refertoanyothernationallyrecognizedsecuritiesratingagency(otherthan Moody'sorFitch)designatedbytheAuthorizedOfficer. ~Stale·shallmeantheStateofAlaska. ~Supplemental Resolution"shallmeanaresolutionsupplementaltoor amendatoryofthisResolution,(otherthanaSeriesResolution)adoptedbytheBank inaccordancewithArticle X. ~Trustee·shallmeanthebankortrustcompanyappointedpursuant10Section 801to act astrusteehereunder,anditssuccessororsuccessorsandanyotherbank ortrustcompanyat any timesubstitutedin its placepursuant10thisResolution. "VariableRateBonds"shallmean,asofanydateofcalculation,Bondsthe termsofwhichonsuchdateofcalculationaresuchthatinterestthereonforanyfuture periodoftimeisexpressedtobecalculatedataratewhichisnotsusceptibletoa preciseoetermmancn. Wordsofthemasculinegendershallbedeemedandconstruedtoinclude correlativewordsofthefeminineandneutergenders.Unlessthecontextshall otherwiseindicate,wordsimportingthesingular numbershall includethepluralnumber andviceversa,andwordsimportingpersonsshallincludecorporationsand associations,includingpublicbodies,aswellasnaturalpersons. Thetermsfthereby,""hereof,""hereto,ft "herein,~~hereunder."andanysimilar terms,asusedinthisResolution,refertothisResolution. ARTICLEII AUTHORIZATION ANDISSUANCEOFBONDS Section201-AuthorizationofBondsandInterestRateExchangeAgreements. (A)BondsareherebyauthorizedforissuancehereunderbytheBank.TheBondsmay beissuedinoneormoreSeriespursuanttooneormoreSeriesResolutionswhich shallstatethepurposeorpurposesfor which eachSeriesofBondsisbeingissuedas hereinafterprovidedwithoutlimitationastoamountexceptasprovidedinthis Resolutionorasmaybelimitedbylaw.InterestRateExchangeAgreementsmayonly beexecutedanddeliveredbytheBankinconnectionwiththeissuanceanddeliveryof aSeriesofBondshereunderorinconnectionwiththerenewal,substitutionor extensionofanInterestRateExchangeAgreement. ALAS/(A MUNICIPAL BOND BANK Gononl DblI1I8tIotI8Dlld RllIolltl'on (Am._) I_"'~_O>'""_Paga14 F-5 ALASKA MUNiCiPAL BOND SANK G .....,0IlIl11.rJ0II SOlId_aliti'M (Am.-) '1Oo:uI37'1OJD''''''''''''''''_0>'__''""'''''''_Pogo 15 (B)Thereis hereby createdbythis Resolution,inthe manner andtothe extent provided herein,a continuing pledgeandlientosecurethefullandfinal paymentoflhe principal or Redemption Priceof,interest onand Sinking Fund Installments for,allof theBonds issued pursuant tothis Resolution.TheBondsshallbe general obligations oftheBank payable asto principal or Redemption Priceof,interest on,and Sinking Fund Installments fortheBonds solelyfrom the sources provided inIhis Resolution and any Series Resolution.TheStateshallnotbeliableonthe Bonds andtheBondsshall notbeadebtorliability,or constitute a pledge orloanofthe raub and credit,ofthe State.TheBondsshallcontainontheface thereof a statementto the effect thatthe Bankis obligated topaythe principal or Redemption Price,ifany,oftheBondsandthe interest thereononlyfrom revenues orfundsoftheBankandthattheStateisnot obligated topaysuch principal or Redemption Price,ifany,or interest andthat neilher thefaithandcreditnorthe laxing power oftheStateis pledged tolhe payment ofthe principal or Redemption Price,ifany,of,orthe interest on,the Bonds. Section 202-Issuance and Delivery ofBonds.After their authorization bya Series Resolution,Bonds ofa Seriesmaybe executed by oron behalf oftheBankand delivered tothe Trustee for authentication and,upon compliance bytheBankwiththe requirements,ifany,setforthinsuchSeries Resolution andwiththe requirements of Section 203or,inthecaseof Refunding Bonds,Section 204,the Trustee shall thereupon authenticate and deliver suchBondstoorupontheorderof!heBank. Section 203-Provisions for Issuance of Bonds.(A)The issuance oftheBonds shallbe authorized byaSeries Resolution or Series Resolutions oftheBank adopted subsequent hereto andtheBondsmaybeissuedinoneormoreSeries.TheBonds ofeachSeries,including Refunding Bonds,shall,in addition tothetitle "Alaska Municipal BondBank General Obligation Bonds,"contain such further appropriate particular designations addedtosuchlilleandthe appropriate Series designation as theBankmay determine insuchSeries Resolution.EachBondshallbearuponitsface the designations so determined fortheSeriestowhichit belongs. (B)Each Series Resolution authorizing the issuance ofaSeriesofBondsshall specify: (1)The authorized principal amount ofsaidSeriesofBonds; (2)The purposes forwhichsuchSeriesofBondsisbeing issued,whichshall beoneormoreofthe following:(I)making Loansto Governmental Units,(ii}making payments intothe Reserve Fund,(iii)the funding of Notes theretofore issuedbythe Bankforany purposes forwhichBondsmayhavebeen issued,(iv)the refunding of Bondsandrelated purposes,as provided in Section 204,and(v)any other purpose authorized bylaw; (3)ThedateandIhe maturity dateor dates and amounts ofeach maturity ofthe Bondsofsaid Series orthe method of determining thesame; (4)(i)The interest rateorrates(ifany)or maximum interest rateof!heBonds ofsuchSeries,orthe method of determining suchrateorrates(Whichmaybe determinable atoneormore specified timessetforthintheSeries Resolution,which may accrete or compound withsuch frequencies orinsuch manner asshallbe specified insuchSeries Resolution andwhichshallbeas otherwise specified inthe Series Resolution),andthe Interest Payment DatesandRecordDates therefor and (H) a manner of calculating accreted valueor compounded principal valueduringallorany partorthetermoftheSeriesof Bonds being authorized,if interest is not payable currenUyandtheBank determines thatitis necessary or appropriate; (5)The denomination or denominations of,andthe manner of numbering and letl:ering,theBondsofsuchSeries,provided thateachBondshallbeofIhe denomination of $5,000 ora multiple thereof,not exceeding Ihe aggregate principal amount oftheBondsofsuchSeries maturing intheyearof maturity oftheBondfor whichthe denomination istobe specified unless otherwise provided in the Series Resolution authorizing the issuance ofsuchBonds; (6)The Paying Agent or Paying Agents andtheplaceorplacesof payment of the principal and Redemption Price,if any,ofand interest ontheBondsofsuchSeries orthe manner of appointing and designating thesame; ALASKA MUNICIPAL BOND BANK O""g",1 ObJIII.rion Bond RGsolutlon (AmgrttRrJJ '\D:a\31""""~e-.o""O·_Bo«l~00du1""_Page 16 ALASKA MUNICIPAL BOND BANK e ....""'1 Ob/11I.tlon Bond R_olutlon (AmgndodJ 11OoD.:l"2COl1_",""",eo.-.ClII~~""""'''''_Pllgo17 (7)The Redemption PriceorPrices,if any,and,subject 10 the provisions of Article IV,the redemption termsfortheBondsofsuch Series orthe method of determining thesame; (8)The amount andduedateofeach Sinking Fund Installment,ifany,for Bondsof like maturity ofsuch Series,orthe method of determining such Sinking Fund Installment; (9)Theformor forms oftheBondsofsuch Series andofthe Trustee's cenrncateof authentication; (10)The manner of execution oftheBondsofsuchSeries; (11)If,atthetimeof issuance oftheBondsofsuch Series,an Interest Rate Exchange Agreement will apply tosuchBondsorsuch Bonds aretobe secured by Credit Enhancement,theformofCredit Enhancement or Interest Rate Exchange Agreement tobe obtained,the identity ofthe Credit Enhancemenl Agency orofthe counterparty tothe Interest Rate Exchange Agreement,andthe substantial formofIhe significant documents relatingtothe Credit Enhancement or Interest Rate Exchange Agreement; (12)IfBondsofsuchSeriesareto contain any tender orput options orthelike, whether suchBondsaretobe remarketed and,ifso,the idenlity ofany remarketing agen!andthe substantial formofany remarketing agreement relatingtosuchBonds; and (13)Any other provisions deemed advisable bytheBank,notinconntctwiththe provisions ofIhis Resolution. All Bonds ofeachSeriesoflike maturity shallbeloenucatinall respects,except asto denominations,interest rate,and numbers andletters. (C)All (but notlessthanall)theBondsofeach Series shallbe executed bythe Bank for issuance under the Resolution and delivered tothe Trustee and thereupon shallbe authenticated bythe Trustee andbyit delivered 10theBankortosuch other partyasmaybe specified inawritl:en order oftheBank,but only uponthe receipt by the Trustee of: (1)A Counsel's Opinion totheeffectthat(i)theBankhastherightand power to execute and deliver this Resolution andtheSeries Resolution authorizing such Series under theActas amended tothedateofsuch Opinion;(ii)this Resolution and such Series Resolution hasbeendulyand lawfully executed and delivered bytheBank, isinfullforceand effect andisvalidand binding upontheBankand enforceable in accordance wilhits terms (subject,asto enforcement of remeotes.to applicable bankruptcy,reorganization,insolvency,moratorium,or olher laws affecting creditors' rights generally fromtimeto time in effect);(iii)this Resolution andsuch Series Resolution creates thevalidpledgeand assignment which it purports 10createofthe Municipal Bonds,subject 10the application thereof tothe purposes andonthe ccnoluons permitl:edbythis Resolution;(iv)theBondsofsuchSeriesarevalidand binding general obligations oftheBank,enforceable in accordance withtheirtermsand the terms ofthis Resolution andsuchSeries Resolution;and(v)the Bonds ofsuch Serieshavebeen duly and validly authorized and issued in accordance withthe constitution and statutes oftheStale,inclUdingtheActas amended tothedateofsuch Opinion,andin accordance withthis Resolution; (2)A written order astothe delivery ofsuchBonds.signed byan Authorized Officer; (3)Eilher anoriginal orthe Series Resolution authorizing suchSeriesoracopy thereof certified byan Authorized Officer; (4)Except inthecaseof Refunding Bonds,a certificate ofan Authorized Officer statingthaitheBankisnotin default inthe performance ofanyofthe covenants, conditions,agreements or provisions conralneo inthe Resolution; (5)Such further documents,moneys and securities asare required bythe provisions ofthis Section 203,and Section 204,or Article X,oranySeries Resolution or Supplemental Resolution adopted pursuant to Article X. Section 204 •Provisions for Refunding Bonds.(A)Alloranypartofoneor more Series of Refunding Bondsmaybe eutnenucated and delivered torefundall Outstanding Bonds or-anypartofoneormoreSeriesofOuts landing Bonds.Refunding AUlSKA AWNIC/PAL BOND BANK0..,_0bl11l.ri0ll Bond R_ollrl""(Amllllded} 'lO>aU",z:a>'~_""_Bo«l_""_Page 18 F-6 AUlSKA M/PlIC/PAL BOND 8AJf/( 0..,,,,,,/ObllflUlon Bond R_olltlon (AmgmwrJ)'lO>aU""""__ClII ''''' Bondsshallbeissued in aprincipalamountsufficient,togetherwithothermoneys availabletherefor,toaccomplishsuchrefundingandtomake such depositsasare requiredbytheprovisionsoftheAct,thisSectionandoftheSeriesResolution authorizingsaidSeriesofRefundingBonds. (B)ASeriesofRefundingBondsmaybeauthenticatedanddeliveredonlyupon receiptbytheTrustee(inadditiontothereceiptbyitofthedocumentsrequiredby Section203)of: (1)InstructionstotheTrusteetogiveduenoticeofredemption(whichnotice, inthecaseofanoptionalredemption,shallstatethattheredemptionisconditionedby theTrusteeonthereceiptofsufficientfundsforredemption)ofalltheBondstobe refundedontheredemptiondatespecifiedinsuchinstructions; (2)Either(i)moneys(whichmayincludealloraportionoftheproceedsofthe RefundingBondstobeissued)inanamountsufficienttoeffectpaymentatthe applicable Redemption PriceoftheBondsorotherobligationstoberefunded,together withaccruedinterestonsuchBondsorotherobligationstotheredemptiondate,orOi) directobligationsof(includingobligationsissuedorheldinbook-entry fonn onthe books 01')theDepartment ofthe TreasuryoftheUnitedStatesofAmericawhicharenot subjecttoredemptionpriortothedatesonwhichamountswillbeneededtomake paymentsontheBondsorotherobligationstoberefundedandtheprincipalofand interestonwhich when due,togetherwiththemoneys(whichmayincludeallora portionoftheproceedsoftheRefundingBondstobeissued),ifany, contemporaneously depositedwiththeTrustee,will besufficienttopaywhenduethe applicableRedemptionPriceofthe Bondsorolherobligations toberefunded,together withaccruedinterestonsuchBondsorotherobligationstotheredemptiondate,which moneysorInvestmentSecuritiesshallbeheldbytheTrusteeor anyone ormoreofthe PayingAgentsoranescrowagentortrustee forotherobligations inaseparateaccount irrevocablyintrustforandassignedtotherespectiveHoldersoftheBondsorother obligationstoberefunded;and (3)A certificate ofanAuthorizedOfficercontainingsuchadditionalstatements asmaybereasonablynecessarytoshowcompliancewiththerequirementsof subsection(A)andthissubsection(B)ofthisSection204. (C)Fromand aflerthe deliveryoftheRefundingBondsofaSeries,theTrustee shallmakeappropriateadjustmentbetweentheInterestAccountandPrincipalAccount whendisbursingandapplyingMunicipalBondsPaymentsdepositedintheDeblService Fundpursuanttotheprovisionsof Section 604totheendthatsuchportionofthe MunicipalBondsPaymentasshallrepresentMunicipalBondsInterestPaymentnot requiredfordepositintheInterestAccountforthepurposeofpayinginterestaccruing upontheBondsshallbedepositedinthePrincipalAccount.Anysurpluswhichmight resultuponandaftersuchdepositshallbedisposedofinthemannerspecifiedinthe SeriesResolution authorizlng suchSeries. (D)NeitherInvestmentSecuritiesnormoneysdepositedwiththeTrustee oran escrowagentortrusteeforotherobligationspursuanttoparagraph(B)(2)ofthis SectionnorprincipalorinterestpaymentsonanysuchInvestmentSecuritiesshallbe withdrawnorusedforanypurposeotherthan,andshallbeheldintrustfor,the paymentoftheapplicableRedemptionPriceoftheBondsorotherobligationstobe refunded,togetherwithaccruedinterestonsuchBondsorotherobligationstolhe recempuondate,andanycashreceivedfromsuchprincipalorinterestpayments.ifnot thenneededforsuchpurpose,shall,totheextentpracticable,bereinvestedinsuch Investment Securitiesasaredescribedinclause(ii)ofsaidparagraphmaturingat timesandinamountssufficienttopaywhenduethe applicable RedemptionPriceof suchBondsorotherobligations,togetherwithsuchaccruedinterest. ARTICLEIII GENERALTERMSANDPROVISIONSOFBONDS Section301-DescriptionofBonds'Payment.(A)TheBondsofeachSeries issuedundertheprovisionshereofmaybeissuedonlyasregisteredbondsandsubject toSection303hereof,eachBondshallbeentitled"GeneralObligationBends"and shallbearsuchadditionalletterornumberseriesdesignationasshallbedetermined ALASKA MUNICiPAL BONDBAM< G...,o,.1 ObJill.lJon Bond R.,olulJon (AmonltodJ '''''"''''·=:>I-......_OOOO...,.,......R.-.'''''''''''PligO 20 ALASKA MUNICIPAL BOND BANK G...,o,./ObI/flniOI!B""d RosolIJlJon (AmonltodJL""""''':!IOD'_.......=_a.~....,_''-'"'''''_PallO 21 intheSeriesResolutionauthorizingtheBondsoftheSeriesofwhichsuchBondisone. UnlessotherwisespecifiedintheSeriesResorunonauthorizingsuchSeriesofBonds, BondsofeachSeriesshallbeinAuthorizedDenominationseachoranyintegral multiplethereof,shallbenumberedconsecutivelyfrom1upwardsandshallbear interestpayableonInterestPaymentDates. (B)TheBondsofeachSeriesissuedhereundershallbedatedas of andbear interestfromthedatespecifiedintheSeriesResolutionthatauthorizedsuchSeries, whichdatemaybecontemporaneouswithorpriortoorafterthedateofissuanceof suchBonds. (e)BoththeprincipalofandtheinterestontheBondsshallbepayableinany coinorcurrencyoftheUnitedStatesofAmerica,asattherespectivetimeofpayment shallbelegaltenderforpaymentofpublicandprivatedebts.Paymentoftheinterest onanyBondshallbemadetothepersonappearingontheBondregistrationbooksof theBankkeptforsuchpurposebytheTrustee,theregistrarhereinafterprovidedforas theHolderthereof,bycheckordraftmailedtotheHolderatherorhisaddressasit appearsonsuchregistrationbooksortoownersof$1,000,000ormoreinaggregate principalamountofBondsbywiretransfertoabankaccountdesignatedbytheHolder inwritten instructionsfumished to the Trustee.TheinterestonBondssopayable,and punctuallypaidordulyprovidedfor,onanyInterestPaymentDatewillbepaidtothe personwhoistheHolderthereofatthecloseofbusinessontheapplicableRecord Dateforsuchinterest.Theprincipalofandpremium,if any,onBondsarepayable uponpresentationandsurrenderthereofattheprincipalcorporatetrustofficeofthe Trustee,aspayingagent,exceptasotherwiseprovidedbySeriesResolution.Allsuch paymentsshallbevalidandeffectualtosatisfyanddischargetheliabilityuponsuch Bondtotheextentofthesumorsumssopaid. (D)TheBondsofeachSeriesmaycontainorhaveendorsedthereonsuch provisions,specificationsanddescriptivewordsnot inconsistent withtheprovisions hereofasmaybenecessaryordesirabletocomplywithcustom,therulesofany securitiesexchangeorcommissionorbrokerageboardorotherwise,asmaybe specifiedintheSeriesResolutionaulhorizingsuchSeriesofBonds. Section302-Legends.TheBondsofeachSeriesshallcontainorhave endorsedthereonastatementtotheeffectthattheStateshallnotbeliablethereonand thatsuchBondshallnotbeadebtoftheStateandmaycontainorhaveendorsed thereonsuchprovisions,specificationsanddescriptivewordsnot inconsistent withthe provisionsofthisResolutionasmaybenecessaryordesirabletocomplywithcustom, orotherwise,asmaybedeterminedbytheBankpriortothedeliverythereoftothe Bondholder. Section303-ExecutionandAuthentication.(A)TheBondsshallbeexecuted inthenameoftheBankbythemanualorfacsimilesignatureoritsChairmanorVice- Chairmananditscorporateseal(orafacsimilethereof]shallbethereuntoaffixed, imprinted,engravedorotherwisereproduced,and attested bythemanualorfacsimile signatureofitsSecretaryorsuchofficeroremployeeoftheBankasshallbedirected bytheSeriesResolutionauthorizingtheissuancethereof,orinsuchothermanneras mayberequiredbylaw.Incase anyone ormoreoftheofficersoremployeeswho shallhavesignedorsealedanyoftheBondsshallceasetobesuchofficeror employeebeforetheBondssosignedandsealedshallhavebeenactually authenticatedanddeliveredbytheTrustee,suchBondsmay,nevertheless,be authenticatedand delivered ashereinprovided,andmaybeissuedas if thepersons whosignedorsealedsuchBondshadnotceasedtoholdsuchofficesorbeso employed.AnyBondsofaSeriesmaybesignedandsealedonbehalfoftheBankby suchpersonsasat(heactualtimeoftheexecutionofsuchBondshallbeduly authorizedorholdtheproperofficeinoremploymentbytheBank,althoughatthedate oftheBondsofsuchSeriessuchpersonsmaynolhavebeenso authorized orhave heldsuchofficeoremployment. (B)TheBondsofeachSeriesshallbearthereonacertificateofauthentication, intheformsetforthintheSeriesResolutionauthorizingsuchBonds,executed manuallybytheTrustee.OnlysuchBondsasshallbearthereonsuchcertificateof AL4SKAMUNICIPAL BOND BANK G...,..../ObIJlI.rIon Bond Ralotiflon (Amondod) '1Doo<I:I"=:>,~......a.__......,._Pago 22 F-7 ALASKA MUN!ClPAL BONO BANK G"'..../0bIJII.rI0II8oIld R.,okJllon (Amo~ '1O:aU"=:>'~_~_""""_Page 23 authentication shallbeentilledtoanyrightor benefit undertheResolutionandnoBond shallbevalidorobligatoryforanypurposeuntilsuch certificate ofauthenticationshall havebeendulyexecutedbythe 'trustee.SuchcertificateoftheTrusteeuponany BondexecutedonbehalfoftheBankshallbeconclusiveevidencethattheBondso authenticated hasbeenduly aulhenticaled anddeliveredundertheResolutionandthai theHolderthereofisentitledtothebenefitsoftheResolution. Section304 -Interchangeability ofBonds.Bonds,upon surrender thereof atthe corporatetrustofficeoftheTrusteewithawritten instrument oftransfersatisfactoryto theTrustee,dUlyexecutedbytheregisteredownerortheir attomey dulyauthorizedin writing,may,attheoptionoftheregisteredownerthereof,beexchangedforanequal aggregateprincipalamountofregisteredBondsofthesameSeries,maturity,and interestrateasthe surrendered Bond. Section305-Negotiability TransferandRegistry.Alilhe Bondsissuedunder thisResolutionshallbenegotiableasprovidedintheAct.subjecttotheprovisionsfor registrationandtransfercontainedinthisResolutionandintheBonds.Solongasany oftheBondsshallremain Outstanding,theBankshallmaintainandkeep,atthe corporatetrustofficeoftheTrustee,booksfortheregistrationandtransferofBonds; and,upon presentation thereofforsuchpurposeatsaidoffice,theBankshallregister orcausetoberegisteredtherein,andpermit 10 betransferredthereon,undersuch reasonableregulationsasitortheTrusteemayprescribe,anyBondentitredto registrationortransfer.SolongasanyoftheBondsremainOutstanding,theBank shallmakeallnecessaryprovisionsto penni!theexchangeofBondsatthecorporate trustofficeoftheTrustee. TheBankandeach Fiduciary maydeemandtreatthepersoninwhosename anyBondshallberegistereduponthebooksoftheBankastheabsoluteownerofsuch Bond,whether suchBondshallbeoverdueornot,forthepurposeofreceivingpayment of,oronaccountof,theprincipalandRedemption Price,ifany,ofandinterestonsuch Bondandforallotherpurposes,andallsuchpaymentssomadetoanysuchregistered owneroruponhisordershallbevalidandeffectualtosalisfyanddischargetheliability uponsuchBondtotheextentof!hesumorsumssopaid,and neither theBanknorany Fiduciaryshallbeaffectedbyanynoncetothecontrary.TheBankagreesto indemnify andsaveeach Fiduciary harmless fromandagainstanyandallloss,cost,Charge, expensejUdgmen!orliabilityincurredby it,actingingoodfaithandwithoutnegligence underthisResolution,insolreatinganysuchregisteredowner. Section306-RegulationswithRespecttoExchangesandTransfers.Inall casesinwhichtheprivilegeof exchanging Bondsor lransferring Bondsisexercised, theBankshallexecuteandthe Trustee shall authenticate anddeliverBondsin accordancewiththeprovisionsofthisResolution.AllBonds surrendered inanysuch exchangesortransfersshallforthwithbecancelledbytheTrustee.Foreverysuch exchange ortransferof Bonds,whether temporary ordefinitive,theBank orthe Trustee may,asa condition precedent totheprivilegeofmakingsuchexchangeortransfer, makeachargesufficienttoreimburseitforanylax,feeorother govemmental charge requiredtobepaidwithrespect 10 suchexchangeortransfer.Notwithstanding any otherprovisionofthisResolutionthecostofpreparingeachregisteredBonduponeach exchangeortransfer,andanyother expenses oflheBankortheTrusteeincurredin connectiontherewith(exceptanyapplicabletax,feeorother govemmental charge) shallbepaidbytheBankasan Administrative Expense.Neither theBankorthe Trusteeshallberequired(i)tomakeanyexchangeortransferofBondsofanySeries duringtheten(10)days(orsuchotherperiodoflimeasmaybespecifiedintheSeries ResolutionauthorizingsuchSeries)nextprecedingan interest paymentdateonthe BondsofsuchSeriesorprecedinganyselectionofBondofsuchSeriestobe redeemedor(ii)totransferor exchange anyBondspreviouslycalledforredemption. Section307-BondsMutilatedDestroyedStolenorLost.IncaseanyBond shallbecomemutilatedorbedestroyed,stolenorlost,IheBankshallexecuteandthe Trusteeshall authenticate anddeliveranewBondoflikeSeries,maturity andprincipal amountastheBondsomutilated,destroyed,stolenorlost,inexchangeand substitutionforsuchmutilatedBond,upon surrender andcancellationofsuchmuulated Bondorinlieuofand substitution fortheBonddestroyed,stolenorlost,uponfilingwith AlASKA MUNICIPAL BOND BNlK GlI/IlIIIIII Obl/Ilftion Bond Raolulion (Amondod) '~"2COO'~,*-"""_""""""""",,_Page 24 AlASKA MUNICIPAL BOND BAUK GlI/Ig",'OlIIIIl"Uon Bond RllSOlUllon (Amglld&dJ '1Doc>\l1<zo:l'~_""_IlO<I:IW_",,_Pogo 25 theBankevidence satisfactory totheBankandtheTrusteethatsuchBondhavebeen destroyed,stolenorlostandproofofownershipthereof,andupon fumishingthe Bank andtheTrusteewith indemnity satisfactory 10 themandcomplyingwithsuchother reasonableregulationsastheBankandtheTrusteemayprescribeandpayingsuch expensesastheBankandtheTrusteemayincurinconnectiontherewith.AllBonds sosurrenderedtoIheTrustee shall becancelledbyitandevidenceofsuch cancellationshallbegiventotheBank.AnysuchnewBondsissuedpursuanttothis sectionineubauruuonforBondsalleged 10 bedestroyed,stolenorlostshall ccnsuune originaladditionalcontractualobligationsonthepartoftheBank,regardless ofwhelher theBondssoallegedtobedestroyed,stolenorlostbeatanytime enforceable by anyone,andshallbeequallysecuredbyandentilledtoequaland proportionate benefitswithallotherBondsissuedunderthisResolution,inanymoneysorsecurities heldbytheBankortheFiduciariesforthebenefitoftheBondholders.Ifa Bondholder satisfies the ccncltlons setforthinthissection forthe replacement ofamutilatedBond oraBondallegedtobedestroyed,stolen,ortestandsuchBondhasmaturedorall principalthereofandinterestIhereonshallbecomedueforanyotherreason,thenthe TrusteemaypaysuchprincipalofandinterestonsuchBondwithoutissuinga replacement Bond. Section308-Preparationof Definitive Bonds'Temporary Bonds.Untilthe definiliveBondsofanySeriesareprepared,theBankmayexecute,inthesame manner asisprovidedinSection303,andupontherequestofIheBank,theTrustee shall authenticate anddeliver,inlieuofdefinitiveBonds,butsubjecttothesame provisions,limitalions andconditionsasthedefinitiveBonds,exceptas to the denominations thereofandasto exchangeability forregisteredBonds,oneormore temporary Bonds,subs!antially ofthetenorofthedefinitiveBondsinlieuofwhichsuch temporaryBondorBondsare issued insuch denominations asmaybeauthorizedby theBank,andwithsuchomissions,insertions andvariationsasmaybe epprcpnate 10 temporary Bonds.TheBankatitsownexpenseshallprepareandexecuteand,upon the surrender thereofofsuch temporary BondstotheTrustee.TheTrusteeshall authenticate and,withoutcharge 10 theholderthereof,deliverinexchangetherefor definitiveBondsofthesameaggregateprincipalamountandSeriesandmaturityas thetemporaryBonds surrendered.Untilsoexchanged,thetemporaryBondsshallin allrespectsbeentitledtothesamebenefitsandsecurityasdefinitiveBonds authenticated andissued pursuant tothisResolution. IftheBankshallauthorizethe issuance oftemporaryBondsinmorethanone denomination,the holderofany temporary BondorBondsmay,athisoption,surrender thesame 10 !heTrusteeinexchangefor another temporary BondorBondsoflike aggregateprincipalamount,Seriesand maturity ofanyouterauthorized denomination or denominations,andthereuponIheBankshallexecuteandtheTrusteeshall authenticate and,inexchangeforthe temporary BondorBondssosurrenderedand uponpaymentofthetaxes,feesandchargesprovidedforinSection306,shalldeliver atemporaryBondorBondsoflikeaggregateprincipalamount,Seriesandmaturityin suchotherauthorized denomination or denominations asshallberequestedbysuch holder. All temporary Bondssurrenderedinexchange eitherforanolhertemporary Bond orBondsorforadefinitiveBondorBondsshallbeforthwithcancelledbyIheTrustee. Section309-Cancellationand Destruction ofBonds.AllBondspaidor redeemed,eitheratorbeforematurity,shallbedeliveredtothe Trustee whensuch paymentorredemptionismade,andsuchBonds,togetherwithallBondspurchased bytheTrustee,shallthereuponbe prompUycancelled.Bondssocancelledmay,atany time,becrematedorotherwisedestroyedbyIheTrustee,whoshallexecutea Certificateofcremationordestructioninduplicatebythesignatureofoneofits authorizedofficersdescribingtheBondssocrematedorotherwise oesuoyed.andone executed Certificate shallbefiledwilhtheBankandtheotherexecutedCertificateshall beretainedbytheTrustee. ALASKA MUNICIPAL BOND 8ANI< G.....""~.,,onBondRaolllJon(Am~,'Oo<zI.1,,:lOXl,-..................""_IlO<I:I..-,o...,_Page 26 F-8 AlASKA MUNiCiPAL BONO BAN)( Gcrn_1 OtJIIJIM1onBond Rao/ullon (Am~ 11Doc>\l1'l!l:IC'--=~W_""",,_""_Pago 27 ARTICLEIV REDEMPTIONOFBONDS Section401-RedemptionProvisions.TheBondsofeachSeriesmaybesubject toredemptionpriortomaturityatsuchtimesanduponsuchtermsasshallbefixedby therelatedSeries Resolution.IflessthanalloftheBondsof anyone maturityofa Seriesshallbecalledforredemption,theparticularunitsofBonds.as determined in accordancewithSection403herein,toberedeemedshallbeselectedbylotbythe Trustee.orinanymannerastheTrustee,initssolediscretion,maydeemappropriate andfair. Section402-NoticeofRedemption.(A)IntheeventanyoftheBondsare10 beredeemed,theRegistrarshallcausenoticetobegivenasprovided in thisSection 402.UnlessotherwisespecifiedintheSeriesResolutionauthorizingtheissuanceof theapplicableSeriesofBonds.noticeofredemption(i)shallbefiledwiththepaying agentdesignatedfortheBondsbeingredeemedand (il)shallbemailedbyfirstclass mail,postageprepaid,toenBondholderofBondstoberedeemedattheiraddresses astheyappearontheregistrationbooksoftheTrustee,atleastthirty(30)daysbutnot morethansixty(60)dayspriortothedatefixedforredemption.Suchnoticeshallstate thefollowinginformation: (1)thecompleteofficialnameoftheBonds,includingSeries, toberedeemed,theidentificalionnumbersofBondsandtheCUSIP numbers,ifany,oftheBondsbeingredeemed.providedthatanysuch noticeshallstatethatnorepresentationismadeastothecorrectnessof CUSIPnumberseitherasprintedonsuchBondsorascontainedinthe noticeofredemptionandthatreliancemaybeplacedonlyonthe identificationnumberscontainedinthenoticeorprintedonsuchBonds; (2)anyotherdescriptiveinformationneededtoidentify accuratelytheBondsbeingredeemed,Including,butnotlimitedto,the originalissuedateordateddateofandinterestrateonsuchBonds; (3)inthecaseof partial redemptionofanyBonds.the respectiveprincipalamountsthereoftoberedeemed; (4)thedateofmailingofredemptionnoticesandthe redemptiondate; (5)theredemptionprice; (6)thatontheredemptiondatetheredemptionpricewill becomedueandpayableuponeachsuchBondorportionthereofcalled forredemption,andthatinterestthereonshallceasetoaccruefromand aftersaiddate;and (7)theplacewheresuchBondsaretobesurrenderedfor paymentoftheredemptionprice,designatingthenameandaddressof theredemptionagentwiththenameofacontaclpersonandtelephone number. (B)Inadditiontotheforegoing,furthernoticeofanyredemptionofBonds hereundershallbegivenbytheTrustee,atleastlwo (2)BusinessDaysinadvanceof themailednoticetoBondholders,byregisteredorcertifiedmailorovemightdelivery service.toallregisteredsecuritiesdepositoriestheninthebusinessofholding substantialamounts(asreasonablydeterminedby(heBondholders)ofobligationsof typescomprisingtheBondsandtoatleast two nationalinformationservicesthat disseminatenoticesofredemptionofobligationssuchasIheBonds.Suchfurther noticeshallcontaintheinformationrequiredinclause(a)above.Failuretogiveallor anyportionofsuchfurthernoticeshallnotinanymannerdefeattheeffectivenessof acallfor redemption. (C)UponthepaymentoftheredemptionpriceofBondsbeingredeemed,each checkorothertransfer offunds issuedforsuchpurposeshallbeartheCUSIPnumber identifying.byissueandmaturity,theBondsbeingredeemedwiththeproceedsofsuch checkorothertransfer. (D)Ifatthetimeofmailingofanynoticeofredemptionthereshallnotbeon depositwiththeTrusteemoneyssufficienttoredeemalltheBondscalledfor ALASKA MUNICIPAL BOND BANI\" GIItIRI1IIObIlaRllon Bond Rosolut/Oll (AmonrJedJ 1~"X':'''__a.~""",_~_",,_Page 26 ALASKA MUNICIPAL BOND BANI( G....OIIIIObIlaRt/On Bond RRSOlulJon (AltlorodR<l) t~"l\ICI01_<I2CIl>Go""'WO"""llon:lw""",,,,,,,,,Pege29 redemption.suchnoticeshallstatethatsuchredemptionissubjecttothedepositofthe redemptionmoneyswiththeTrusteenotlaterthantheredemptiondateandthatsuch noticeshallbeofnoeffectunlesssuchmoneysaresodeposited. (E)Asecondnoticeofredemptionshallbegiven,notlaterthanninety(90)days subsequenttotheredemptiondate.toBondholdersofBondsorportionsthereof redeemedbulwhofailedtodeliverBondsforredemptionpriortothe60thdayfollowing suchredemptiondate.Anynoticemailedshallbeconclusivelypresumedtohavebeen dulygiven.whetheror notthe ownerof suchBondsreceivesthenotice.Receiptofsuch noticeshallnotbeaconditionprecedenttosuchredemption,andfailuresotoreceive anysuchnoticebyanyofsuchBondholdersshallnotaffectthevalidityofthe proceedingsfortheredemptionoftheBonds. (F)IncaseanyBondistoberedeemedinpartonly.thenoticeofredemption whichrelatestosuchBondshallstatealsothatonoraftertheredemptiondate.upon surrenderofsuchBond,anewBondinprincipalamountequaltotheunredeemed portionofsuchBondwillbeissued. Section403-PartiallyRedeemedFullyRegisteredBonds.Unlessotherwise specifiedintheSeriesResolutionaulhorizingtheissuanceoftheapplicableSeriesof Bonds,incaseanyregisteredBond shall beredeemedinpartonly.uponthe presentationofsuchBondforsuch partial redemption.theBankshallexecuteandthe Trusteeshallauthenlicateandshalldeliverorcause10bedeliveredtooruponIhe writtenorderoftheHolderthereof.attheexpenseoftheBank,aBondorBondsofthe sameSeries,interestrateandmaturity.inaggregaleprincipalamountequaltothe unredeemed portion ofsuchregisteredBond.UnlessotherwiseprovidedbySeries Resolution,aportionofanyBondofadenominationofmorethantheminimum AuthorizedDenominationtoberedeemedwillbeintheprincipalamountofthe minimumAuthorizedDenominationoranintegralmultiplethereof.andinselecting portionsofsuchBondsforredemption.theTrusteewilltreateachsuchBondas representingthatnumberofBondsoftheminimumAuthorizedDenominalionwhichis obtainedbydividingtheprincipalamountofsuchBondsbytheminimumAuthorized Denomination. ARTICLE V CUSTODYANDAPPLICATIONOFCERTAINPROCEEDSOFBONDS Section501-ApplicationofCertainProceeds.(A)EachSeriesResolution authorizingtheissuanceofaSeriesofBonds,a portion oftheproceedsderivedfrom thesaleofwhichistobeappliedtothepurchaseofMunicipalBonds,shallspecifythe nameofeach Govemmenlal UnitwhichistoreceiveaLoanbytheBankfromsuch proceedsandtheamountofsuchproceedstobeappliedtothemakingofeachsuch LoanwhichshallbetheamountofeachsuchLoan.Contemporaneously withthe issuance,saleanddeliveryofanySeriesofBonds.theBankshallapplytheamount ortheproceedsderivedfromthesaleofsuchSeriesofBonds,if any,asshallbe specifiedinsaidSeriesResolutionforthepurposeofmakingsuchLoanstoeachofthe GovemmentalUnitsspecifiedintheSeriesResolutionauthorizingtheissuanceofsuch SeriesofBonds. (B)Accruedinterest.if any,receiveduponthedeliveryofsuchSeriesofBonds shallbedepositedintheInterest Account Theamountreceivedasapremiumover theprincipalamountofsuchSeriesofBonds.ifany.uponthedeliveryofsuchSeries ofBondsshallbeappliedasprovidedin(heSeriesResolutionauthorizingsuchSeries ofBonds. (C)Theamount,ifany.necessarytocausetheamountondepositinthe ReserveFundtosatisfytheReserveFundRequirement. (D)AnyremainingproceedsderivedfromthesaleofaSeriesofBondsshallbe appliedasprovidedintheSeriesResolutionauthorizingsuchSeriesofBonds. Section502-Loans.(A)ALoantoeach Govemmental Unitshallbemadefrom the portion oftheproceedsderivedfromthesaleofeachSeriesofBondsspecifiedin theSeriesResolutionauthorizingtheissuanceof such SeriesofBondsandtheamount ofeachsuchLoanshallbetheamountspecifiedinsuchSeriesResolution.Allsuch paymentsmade pursuanlto suchSeriesResolutionshallbesubject to theprovisions ALASKA /'/UNlClPAL BONO 8ANP( G....1lI1I1ObIlaRl/Oil BOildRosolnlOil rAItI~ l~r"""",~.....Cl<_llon:l/looolul",,""Pege30 F-9 ALASKA MUNICIPAL BOND BANI\" GWI....IObI/gRl/OIIBOild RosO/ut/""(Amo_J 11O:aIJ7'~1~~Cl<__""""'__Page 31 and restrictions ofthis Article V,andtheBankcovenantsthatitwillnotcauseorpermit tobepaidfromsuchportionoftheproceedsderivedfromthesaleofsuchSeriesof Bondsanysumsexceptinaccordancewithsuchprovisionsandrestrictions. (B)TheTrusteeshallpaytoeach Govemmental UnittheamountoftheLoan uponreceiptbytheTrusteeof: (1)awrillenrequisitionoftheBanksignedbyanAuthorizedOfficerstaling (i)thenameoftheGovernmentalUnittowhichthepaymentistobe made;and (ii)theamounttobepaid; (2)acertificatesignedbyanAuthorizedOfficerandattachedtotherequisition certifyingthatthetermsandprovisionsoftheLoan Agreement providingforsuchLoan areincompliancewithSection913,andthattotheknowledgeofsuch Authorized Officersuch Governmental Unitisnotindefaultunderanyofthetermsorprovisions orsaidLoanAgreement; (3)aCounsereOpinionslatingthatsuchMunicipalBondsarevalidobligations ofsuch Govemmental UnitasrequiredbytheActandthaitheLoan Agreement has beendulyauthorizedandexecutedbythe Govemmental Unitandconstitutesavalid andbindingobligationofthe Governmental Unitenforceablein accordance withits terms;and (4)suchMunicipalBondsofsuch Governmental Unit,registeredastoboth principal andinterestinthenameoftheBankortheTrusteeanddeliveredin accordancewiththeAct. Uponreceiptofsuchrequisition,accompanying certificate,Counsel'sOpinion andMunicipalBonds,theTrusteeshallpaysuchamountdirecUytothe Govemmental Unitentitledtheretoasnamedinsuchrequisition. Section503 •RetentionandInspectionofDocuments.Allrequisitionsand certificatesand Counsel's OpinionsandMunicipalBondsreceivedbytheTrustee,as requiredinthis Article Vasconditionsofpaymentmayberelieduponbyandshallbe retainedinthepossessionoftheTrustee,subjectatalltimesduringnormalbusiness hourstotheinspectionoftheBankand,after writtenrequestreceivedbytheTrustee atleastfivebusinessdayspriortothedateofinspection,byany Holderol atleastfive percentinprincipalamountoftheSeriesofOutstandingBonds. ARTICLEVI ESTABLISHMENT OFFUNDSAND ACCOUNTS AND APPLICATION THEREOF Section601-Pledge.(A)TheBondsshallbedirectandgeneral obligations of theBank,anditsfullfaithandcreditarepledgedtothepaymentoftheprincipaland redemptionpremium,ifany,ofandinterestontheBonds,subjeclto any agreements heretoforeandhereaftermadewiththeHoldersofanyothernotesorbondsorthe BankpledginganyparticularrevenuesorassetsnotpledgedunderthisResolution. (B)TheMunicipalBondsandtheMunicipalBondsPayment,theinvestments thereofandtheproceedsofsuchinvestments,ifany,andallfundsand accounts establishedbythisResolutiontobeheldbytheTrusteeareherebypledgedand assignedforthepaymentoftheprincipalof,RedemptionPriceof,intereston,and SinkingFundInstallmentsfor,theBondsin accordance withthetermsandprovisions ofthisResolution,subjectonlytotheprovisionsofthisResolution permitting the applicationthereofforthepurposesandonthetermsand conditions setforthinthis ResolutionauthorizingtheBanktocreate Security InterestsinsaidMunicipalBonds andMunicipalBondsPaymentinfavorofCredit Enhancement Agencies and ccunterparues toInterestRateExchange Agreements.Subjecttotheprovisionsof Section805ofthisResolution,thispledgeshallbevalidandbindingfromandafterthe dateofadoption ofthls Resolution,andthe MunicipalBends andtheMunicipalBonds Paymentandallothermoniesandsecuritiesinthefundsandaccounts established by thisResolutiontobeheldbytheTrusteeherebypledgedshall immediately besubjeci tothelienofsuchpledgewithoutany further act,andsuchlienshallbevalidand bindingasagainslall parties havingclaimsofanykindintort,contractorotherwise againsttheBank,regardlessof whether suchpartieshavenoticethereof. Sedion 602-Establishment ofFundsandAccounts.(A)TheAlaska Municipal BondBankDebtServiceFund(the"DebtServiceFund")isherebyestablishedand AlASKA MUNiCiPAL BONO BAJlK G",,_IObi/l/ar/orr Bond RaaluVorr rAmandad) ,..-ul·"""'~Gono<>IW_"""_"""",Page32 ALASKA MUN/CJPAL BONDBANK G""allli ObIIl/*lIOI1 Sand Raa~r/orr(AmondadJ '''''''''''''''''''''''-''-''''''1I20O:I_0>10'''''''_''-''''''_Page 33 shallbemaintainedandheldbytheTrustee pursuant totheprovisionsofthis Resolution.Thereis hereby createdandestablishedinthe Debt ServiceFundan "InterestAccount,"a"PrincipalAccount"anda"Redemption Account-eachofwhich shallbeheldbytheTrustee.AmountsintheInterestAccount,thePrincipalAccount andtheRedemptionAccountshallbeusedsolelyforthepurposeofpayingthe principal of,Redemption Priceof,interestonandSinkingFund Installments for,the BondsandofretiringsuchBondsatorpriortomaturity in the manner providedherein andinanySeriesResolution.AmountsdepositedintheInterestAccountandthe PrincipalAccountshallbe disbursed andappliedbytheTrusteeatthetimesandinthe manner providedinthis Artide VIandinparagraph(3)ofSection203. (B)ThereisherebyestablishedwithintheAlaskaMunicipalBondBankReserve FundcreatedbySection44.85.270oftheAct,a2005GeneralObligationBond ResolutionReserveAccount(the"ReserveFund"]whichshallbemaintainedandheld bytheTrusteepursuanttotheprovisionsofthisResolution. (C)Thereishereby established aRebateFund,andwithinsuchfund,a separateaccountforeachSeriesofBonds. (0)ThereisherebyestablishedanOperatingFundwhichshallbeheldbythe BankpursuanttotheprovisionsofthisResolution. Section603-ReserveFund.CA)Onorbeforethefirstdayofeachmonth,the TrusteeshallsetasidefromamountsintheReserveFundderivedfromincomeor interesteamedandprofitsrealizedbytheReserveFundduetotheinvestmentthereof, anamountwhich,whenaddedtotheamountstheretoforesetasideforsuchpurpose andnotpaidintotheInterestAccount,will onsuchdaybeequaltotheunpaidinterest ontheReserveFundObligationsaccruedandtoaccruetothelastdayofsuchmonth. IftheTrusteesodetermines,saidamountsmaybedepositedinanaccountwhichthe TrusteemaycreateintheReserveFundunderthenameof"ReserveFundObligations Interest Accounr.OnorbeforeeachinterestpaymentdateoftheReserveFund Obligations,saidamountsshallbedepositedintheInterestAccount. (8)Onorbeforeeach principal paymentdateandSinkingFund Installment paymentdateofReserveFundObligaflons,theTrusteeshall withdraw fromamounts intheReserveFundanddepositinthePrincipal Account,anamountwhich,when addedtotheamountthenondepositinthePrincipal Account andderivedfromsources otherthanMunicipalBondsPayment,willbeequaltothePrincipal Installment ofthe ReserveFundObligationsfallingdueonsuchdate. (C)OnorbeforeDecember31ofeachyear,aftercomplyingwiththeprovisions ofparagraphs(1)and(2)abovetotheextentrequiredbysuchdate,theTrusteeshall withdrawfromtheReserveFund,anyamountremainingthereinderivedfromincome or interest earnedandprofitsrealizedbytheReserveFundduetotheinvestment thereof,andpayoversaidamount10theBankfordepositintheOperatingFundbut onlytotheextentthatthereremainsaftersuchwithdrawalanamountintheReserve FundatleastequaltotheRequiredDebtServiceReserve. (D)TheReserveFund Requirement maybesatisfiedwith(i)moniesmade availablebytheStateandpaidtotheBankforthepurposeoftheAlaskaMunicipal BondBankReserveFundcreatedbySection 44.85.270 oftheActintheamount providedbyaSeriesResolution;(ii)allmoniespaidtotheBankpursuanttotheActfor thepurposeofrestoringtheReserveFundtotheamountoftheRequiredDebtService Reserve;(iii)suchportionofIheproceedsofsaleofBonds,ifany,asshallbeprovided byanySeriesResolution;(iv)Credit Enhancement;(v)anyothermonieswhichmaybe madeavailabletotheBankforthepurposesoftheReserveFundfromanyother sourceorsources;or(vi)any combination oftheforegoing. (E)Intheeventthereshallbe,onany interest paymentdate,a deficiency inthe InterestAccount,or,intheeventthereshallbe,onanyprincipalpaymentdateor SinkingFund Installment paymentdate,a deficiency inthePrincipalAccount,the Trusteeshallmakeupsuch deficiencies fromtheReserveFundbythewithdrawalor cashtherefromforthatpurposeandbythesaleor redemption ofsecuritiesheldinthe ReserveFund,if necessary,insuchamountsaswill,attherespectivetimes,provide moniesintheInterestAccountandPrincipal Account sufficient tomakeupanysuch AlASICA IJUNICiPAL BOND BANK G""IIiaIObl/l/arIotI Bond Raalirlorr (Am_J '\Ooa\31''''''''~_0>1__''''''''",,_Page 34 F-IO ALASKA MUNiCiPAL BONDBANK G""....,ObIIfIarion Bond RM.nniOll (Amomled},,,,,,,,,,,,,,,,,,,,~c......w__,,,,,,,,__ Page 35 deficiency.Ifadeficiencystillexistsimmediatelypriortoadebtservicepaymentdate andafter the withdrawalofcash,theBankshallthendrawfromanyCredit EnhancementfortheBondsinsufficientamounttomakeupsuchdifference.Drawings undertheCreditEnhancementshallbemadeonapro-ratabasis(inproportiontothe respectivemaximumcoverages)availableundertheCreditEnhancement.Suchdraw shallbemadeatsuchtimesandunder such conditionsassuchCreditEnhancement shallprovide. Section 604·InterestAccounlPrincipalAccountandRedemplionAccount. (A)Exceptasotherwiseprovided in paragraph(3)ofSection204,theTrustee shalldepositMunic·lpalBondsInterestPaymentsandanyothermoniesavailableforthe paymentofinterestinIheInterestAccountuponreceiptIhereof.TheTrusteeshall,on orbeforeeachinterestpaymentdateoftheBonds,pay.outofamountsthenheldfor thecreditoftheInterestAccount,toitselfandIhePayingAgents,theamountsrequired for(hepaymentbyitandsuchPayingAgentsofIheinterestbecomingdueonthe Bondsonsuchinterestpaymentdale,andsuchamountsso withdrawn arehereby irrevocablypledgedforandshallbeappliedtothepaymentofsuchinterest.The Trusteeshallalso payout oftheInterestAccounttoitselfandtheappropriatePaying Agents,onorbeforeanyredemptiondateforBondsbeingrefundedbyRefunding Bonds,theamountrequiredforthepaymentofinterestontheBondsthentobe redeemed,totheextentnotolherwiseprovidedinthisResolution. (B)TheTrusteeshalldepositMunicipalBondsPrincipalPaymentsandany othermoniesavailableforthepaymentofprincipalinthePrincipalAccount,upon receiptthereof.TheTrusteeshall,onorbeforeeachprincipalpaymentdateofor SinkingFundInstallmentdatefor,theBonds,pay,outofthemoniesthenheldforthe creditofthePrincipalAccount,10 itselfandthePayingAgents,theamountsrequired forthepaymentbyilandsuchpayingAgentsoftheprincipalorSinkingFund Installmenl dueontheBondsonsuchdate,andsuchamountsso withdrawn are herebyirrevocablypledgedforandshallbeappliedtothepaymentofsuchprincipalor SinkingFundInstallment. (C)TheTrusteeshallestablishintheRedemptionAccountaseparatesub- accountfortheBondsofeachSeriesOutstanding. (1)AnymoniesdepositedintotheRedemptionAccountfromanysourceother thanpursuanttoSection607orSection916shallbeappliedtothepurchaseor redemptionofBondsinamannertobedeterminedbytheBank in accordancewith ArticleIV.AnymoniesdepositedintotheRedemplionAccountpursuanttoSection607 shallbe applied tothepurchaseorredemptionofReserveFundObligationsina mannertobedeterminedbytheBankinaccordancewithArticleIV. (2)TheBankshalldepositorcausetobedepositedintheRedemptionAccount suchportionofthemoniesreceivedastheproceedsofsaleorredemptionofMunicipal Bonds,asrequiredbySection916hereof,and,uponanysuchdeposit,shalladvisethe TrusteeinwritingoftheSeriesofBondstowhichthesamerelates.Uponreceipt,such moniesshallbesetasidebytheTrusteeintheappropriateSeriessub-account. Moniessoheldineachseparatesub-accountbytheTrusteeshallbeappliedtothe purchaseorretirementoftheBondsoftheSeriesinrespectofwhichsuchsub-account wascreatedasfollows: (i)TheTrusteeshallprompUyapplysuchmoniestothepurchaseof BondsoftheSeriesinrespectofwhich such sub-account wascreatedhaving the samematuritydaleordatesandinthesameprincipalamountwithineach maturityastheMunicipalBondsPrincipalPaymentsrequiredtobemadeforthe MunicipalBondssoldbytheBankorredeemedbytheGovernmentalUnitatthe mostadvantageouspriceobtainablewithreasonablediligence,suchprice, however,nottoexceedtheRedemptionPricewhichwouldbepayableonthe nextensuingdateonwhichtheBondsoftheSeriessopurchasedare redeemableaccordingtotheirterms.TheTrusteeshallpaytheinterestaccrued ontheBondssopurchasedtothedateofsaleorredemptionoftheMunicipal BondsfromtheInterestaccountandthebalanceorthepurchasepricefromthe applicablesub-accountintheRedemptionAccount,ashereinaboveprovided, butnosuchpurchaseshallbemadebytheTrusteewithintheperiodofforty-five ALASKA MUNiCiPAL BOND BAJoII( GIlnIltllI ObIII1.tJon Bo"d R..olurl""(Am",,_) '~"1!XlO'~Co_a.o~""",_""",,,,,,_Page36 ALASKA MUNICIPAL BOND BANI( G""o",'ObIlg.uOtl Bond R oIanIOtl(Amonclod),""""",""""',_oI2O:l>Go a.o...-_II""""""'_Page37 (45)daysnextprecedingadateonwhichsuchBondsaresubjecttoredemption undertheprovisionsof the SeriesResolutionauthorizingtheissuancethereof. (ii)IntheeventIheTrusteeisabletopurchasetherequisiteprincipal amountofBondsfromasub-accountinaccordancewithandunderthe foregoingprovisionsofthissubparagraph(b)atapurchasepricelessthan the sumofthedeposits10suchsub-accountfromtheproceedsfromthesaleor redemptionofMunicipalBondsandtheapplicabletransfersfromtheInterest Account.uponthepaymentbytheTrusleeofthepurchasepriceofsuchBonds, theTrusteeshalltransferthebalanceofmoniesremaininginsuchsub-account 10theBankfordepositintheOperatingFund. (iii)IntheeventtheTrusteeisunabletopun::hasetherequisiteprincipal amountofBondstheTrusteeshallcallforredemptiononthenextensuing redemptiondatesuchamountofBondsoftheSeriesinrespectofwhichsuch sub-accountwas created havingthesamematuritydateordatesandinthe sameprincipalamountwithineachmaturityastheMunicipalBondsPrincipal PaymentsrequiredtobemadefortheMunicipalBondssoldbytheBankor redeemedbytheGovernmentalUnit,as,attheRedemptionPricethereof,will exhaustsaidsub-accountas nearlyasmaybe.Suchredemptionshallbemade pursuanttotheprovisionsofArticleIVhereof.TheTrusteeshallpay the interest accruedon the Bondssoredeemedto the dateofsaleorredemptionofthe MunicipalBondsfromtheInterestAccountandthebalanceofsuchinterestto thedateorredemption of theBondsandtheRedemptionPricefromthe applicablesub-account. (3)TheBankmay,fromtimetotime,bywritteninstructionsdirecttheTrustee 10 makepurchasesundersubparagraph(b)aboveonlyafterreceiptortenders.The Bankmayspecifythelenglhofnolicetobegivenandthedateonwhich tenders are tobeacceptedormayauthorizetheTrusteetodeterminethesameinitsdiscretion. Allsuch tenders shallbebysealedproposalsandnotendersshallbeconsideredor acceptedatanypriceexceedingthepricespecifiedundersubparagraph(b)abovefor thepurchaseofBonds.TheTrusteeshallacceptlenderswiththelowestprice,as determinedbytheTrustee,andifthemoniesavailableforpurchasepursuanttosuch tenders arenotsufficienttopermitacceptanceof antenoers andthereshallbe tenders atanequalpriceabovetheamountofmoniesavailableforpurchasethentheTrustee shallselectbylot,insuchmannerastheTrusteeshalldetermineinitsdiscretion.the Bondstenderedwhichshallbepurchased.NopurchaseofBonds,eitheron tenders orolherwise.shallbemadebytheTrusteewithintheperiod ctrorty-rlve (45)daysnext precedinganydateonwhichsuchBondsaresubjecttoredemption. (D)Moniessetasidefromtime10timewiththeTrusteeandPayingAgentsfor !hepaymentofprincipalorRedemptionPrtceof,interestonandSinkingFund Installmentsfor,theBondsshallbeheldintrustforthe Holders oftheBonds.Untilso setasideforthepaymentofsuchprincipal,RedemptionPrice,interest,andSinking FundInstallments,allmoniesinsuchaccountsshallbeheldintrustforthe benefit of the Holders ofallBondsatthetimeOutstandingequallyandratablyandwithoutany preferenceordistinctionasbetweenBondsofdifferentSeries,exceptthatmonieson depositintheseparatesub-accountsestablishedintheRedemptionAccountshallbe heldintrustforandapplied10IhepaymentortheBondsortheSeriesforwhichthe applicablesub-accountwasestablished. Section605-RebateFund.(A)TheTrusteeshallestablishandthereafter maintain,solongastheBondsareOutstanding,aRebateFundwhichshallbeheld separateandapartfromallother-fundsandaccountsestablishedunderthisResolution andfromallothermoneysoftheTrustee. (B)AllamountsinIheRebateFund,includingincomeearnedfrominvestment ofthefund,shallbeheldby the Trusteefreeandclearofthelienof this Resolution.In theeventtheamountondepositintheRebateFundexceedstheaggregaleamount oftheRebateRequirementforallSeriesofBonds,asverifiedinwritingbyan independentpublicaccountantorotherqualifiedprofessionalselectedbytheBankat thetimetheRebateRequirementisdetermined,lessamountsof the Rebate RequirementtheretoforepaidtotheUnitedStatesforallSeriesofBonds,theTrustee ALASII:AMUNICIPAL BOND BANK G"IlI'IIOIJJ/~BondR.D.l1lI""(Amo_J 'ID<w:oI3'QOXI'~e.--a.o _Pego38 F-ll ALASKA MUNICiPAL BOND BANK allnlltlll OIJlII1.aon Bond R..Olllt/on (Amortll'fKJ) '~"1!XlO,~co.-w _eece 39 shall,upontheBank'srequest,withdraw fromtheRebateFundandpaytooruponthe orderoftheBankan amount nottoexceedsuchexcesstotheBankfor deposit inthe Operating Fund. (C)TheBankshall determine theamountoftheRebate Requirement with respecttoeachSeriesofBondsoneach applicable Rebate Calculation Date.TheBank shall deposit intotheRebateFundtheRebate Requirement,ifany,with respeclto each SeriesofBonds.TheBankshall instruct theTrusteeto withdraw fromtheRebateFund andpayovertothe United States Government withrespecttoeachSeriesofBonds: (1)notless frequenlly thanonceeachfive years commencing nolaterthan60days afterthe first Rebate Calculation DaleforsuchSeriesof Bonds anduponeach fifth anniversary ofsuchdate,an amount whichwhenaddedtoall previous rebate payments madewithrespecttosuchSeriesofBondsequals90%ofthesumofthe Rebate Requirement pertaining tosuchSeriesofBondsplustheamount,ifany,of Rebate Requirement theretofore paidtotheUnitedStateswithrespecttosuchSeries of Bonds,and(2)notlaterthan60daysafterthe retirement ofthelastBondofsuch Series,100%oftheRebate Requirement withrespecttosuchSeries.The determination ofrebatable arbitrage madewithrespecttoeachsuch payment daleand withrespecttoany withdrawal and payment totheBankfromtheRebateFund pursuant tothis Resolution mustbeverifiedinwritingbyan independent public accountant or other qualified professional selectedbytheBank. (D)TheTrusteeshall,atleastsixty(60)dayspriortoeachRebate Calculation Date,notifytheBankofthe requirements ofthisSection.Byagreeingtogivethis notice,the Trustee assumes no responsibility whatsoever for compliance by ee Bank withthe requirements of Section 148oftheCodeoranysuccessor.TheBank expressly agreesthat (notwithslanding anyotherprovisionofthis Resolution)any failureortheTrusteetogiveanysuchnotice,foranyreason whatsoever,shallnot causetheTrusteetobe responsible foranyfailureoftheBankto comply withthe requirements ofsaid Section 148orany successor thereoF. (E)TheTrustee,onbehalfortheBank,shallkeepandretain,untilIhedatesix yearsafterthe retirement ofthelastofthe Bonds ofeachSeries,recordswithrespect toeachSeriesoftheBondsandthe investment and expenditure of amounts on deposit withthe Trustee to comply withthe aforementioned arbitragerebate requirements, including without limitation a complete Jistofall investments and reinvestments of amounts on deposit withtheTrusteewithrespecl10eachSeriesoftheBonds.For purposes ofthe computation requiredabove.theTrusteeshall,uponrequest,fumish totheBankalltnrormeucninthe Trustee's controlwhichis necessary forsuch computations. (F)TheBank hereby covenants and agrees thatitwillnotenter,andwillnot causetheTrusteeto enter into,any transaction orcauseany transaction tobeentered intowith respect tothe investment ofgross proceeds oftheBonds,or olherwise,which reducesthe amount whichmayberequiredtobepaidtotheUnitedSlates pursuant tothe arbitrage rebate requirements specified hereinabove,because such transaction resultsina smaller profitoralargerlossthanwouldhaveresulted if the transaction had beenatarm'slengthandhadtheyieldoneachSeriesofthe Bonds notbeenrelevant 10eitherparty. (G)The provisions ofthisSectionmaybe amended ordeleted,withrespectto anyorallseriesoftheBonds,fromthis Resolution uponreceiptbytheBankandthe Trustee ofanopinionofbondcounselthatsuch amendment or deletion willnot adversely affectthe exclusion fromgross income of interest ontheBonds. Section606-Operating Fund.Thereshallbe deposited inthe Operating Fund allFeesand Charges collectedbytheBankortheTrustee,totheextentnot otherwise encumbered orpledged,andany other monieswhichmaybemade available tothe Bankforthe purposes orthe Operating Fundfromanyothersourceorsources including,without limitingthe generality orthe foregoing,amounts transferred pursuant to paragraph (3)ofSection603,subparagraph (b)(ii)of paragraph (3)of Section 604 andthe amount receivedasa premium overthe principal amountofaSeriesofBonds, ifany,totheextent provided intheSeries Resolution authorizing suchSeries.Monies AlASKA MUNICiPAL BONO BANK GonDl1I1ObI/glllon Bond RDSOtiflon (AmendvdJ 1.."....,.,..,.;o'~e...-a<~....,9ond~......,_....Page 40 AlASKA MUNJe/PAL BONO BANK GlIn ....,ObI/gMJem BemdRosOIInIOll (ltmDndDd) 1'O:a\l1'2IX01~G"","'0J0'DI""'""",R_..._Pago 41 atanytimeheldforthecreditofthe Operating Fundshallbeusedforandapplied solely10the following purposes: (a)Topaylhe Administrative ExpensesoftheBank; (b)Topaythefeesand expenses oftheTrusteeandPayingAgents; (c)Topay financing costsincurred with respecttoaSeriesofBonds,including feesand expenses ofthe attorneys.initial Trustee's andPayingAgents'feesand expenses,costsand expenses offinancial consultants,printingcostsand expenses, the payment 10anyofficers,departments,boards,agencies,divisionsand commissions of,or reimbursement to,theStateofany statement ofcostand expense or advances renderedtotheBank pursuant totheAct,andallotherfinancingand other miscellaneous costs:and (d)Topayany expenses incarryingoutanyother purpose then authorized by theAct. All amounts inthe Operating Fundshallbefreeandclearofanylienorpledge createdbythis Resolution butshall beheldandappliedin accordance withthissection. Section 607-Reduction orReguiredDebtServiceReserve.Whenever the amount oftheRequiredDebtServiceReserve is reduced,theTrustee,onlyuponthe writtenrequest of theBanksignedbyan Authorized Officer,shall withdraw fromany amounts on deposit inthe Reserve Fundand deposit inthe Redemplion Account any amount not exceeding the amount ofsuchreductionoftheRequiredDebtService Reserve.The amount tobe withdrawn fromtheReserveFundineach instance pursuant tothe provisions ofthis paragraph shallbe determined bytheBankandthe amount thereof certified totheTrusteein WJitingsignedbyan Authorized Officer. Section 608•Trustee's Maintenance of Records on Payment ofBonds.In connection withthe payment,redemption or purchase ofallBondsunderthe provisions ofthis Resolution,theTrusteeshallkeep accurate recordsofthesourceofthe monies usedtopay,redeemor purchase suchBonds. Section 609-Oblaining Credit Enhancements and Interest RateExchange Agreements.Excepl as otherwise provided inaSeries Resolution authorizing the issuance ofaSeriesofBonds,theBankmayobtain Credit Enhancement oran Interest Rate Exchange Agreement with respecttosuch Bonds eitheratthetimeof issuance oftheBondsoranytime thereafter. Section610-Creation of Additional Funds Accounts and Subaccounls; Separate Credit Enhancement Funds'Pledgewith Respect to Credit Enhancements and Interest Rate Exchange Agreements.(A)TheTrusteeshall establish withinany Fundsuch Accounts inadditiontothe Accounts herein established astheBankshall bySeries Resolution or Supplemental Resolution determine andshallinlike manner establish withinany Account such additional subaceounts forthe purposes ofsuch Account astheBankshallso determine. (B)TheBankmayatany time by execution ofaSeries Resolution or Supplemental Resolution eslablish aFundor Account inwhichtoholdanyCredit Enhancement andIhe proceeds thereofordrawings Ihereunder (a ~Credit Enhancement Fund")forthebenefitofanySeriesofBondstowhichsuchCredit Enhancement hasbeen pledged,whichpledgemaybe(butisnotrequiredtobe) exclusively forthebenefitofsuchSeriesofBondsorcertain designated Seriesof Bonds andnotequallyandratablyamongalltheSeriesofBonds.Amounts heldina Credit Enhancement Fundshallnotbe considered apartofthe Municipal Bonds Payment but,rather,shallbe subject tosuchlienandpledgeasmaybecreatedinthe Series Resolution creatingsuchCredit Enhancement Fund. (C)IftheBank creates aCredit Enhancement Fund,theBankmaydirect,inthe Series Resolution creatingsuchCredit Enhancement Fund,thaitheTrusteepay,and ifso directed in WJitingbytheBankthe Trustee shallpay,principal(inclUding premium, if any)ofand interest onthe Bonds securedbysuchCredit Enhancement Fund directly from amounts insuchCredit Enhancement Fundandthai the Trustee reimburse,and ifso directed inwritingbytheBankthe Trustee shallso reimburse,suchCredit Enhancement Fundforsuch payment fromtheCredit Enhancement Fund;provided, however,thattheBankmay,in theSeries Resolution authorizing theSeriesof Bonds tobesecuredbyCredit Enhancement,treatany,oranypartofany,obligation owedor ALASKA MUNiCiPAL SaND BANK G.,IIf1I'ObIlg.uOll Bond RDSOtiflon (AmendodJ 1""","","2IXO'~_'""__""""""_Page 42 F-I2 ALASKA MUNiCiPAL BOND BANK G...,1If1II OblIgMJon Bond liDS_OIl (Am.-) 1""","""2IXO'~e.-,""__"""",,,,,-,,,Pllge43 whichmayinthefuturebeowedtotheCredit Enhancement Agency pursuant 10the Credit Enhancemenl Instrument astheSeriesofBondssecuredbysuchCredit Enhancement if theCorporation,atthe time ofissuanceofsaidSeriesofBondsand atthetimeofthecreationofanysuchobligationsatisfiesthe requirements ofSection 203,inwhichcasetheTrusteeshallpaytheprincipalofandinterestonanysuch obngations inaccordancewiththetermsofthisResolutiontreatingsuch obligations as aSeriesofBonds.InaSeriesResolutionauthorizingaSeriesofBondssecuredbya CreditEnhancementFundtheBankmayfixprovisionsrelatingtosuchFund pursuant tothetermsofaSeriesResolution.Inadditiontotheforegoing,theBankmayagree topermitaCredit Enhancement Agency10be subrogaled totherightsofany Bondholders whoseBondsaresecuredbytheCredit Enhancement providedthatsuch Credit Enhancement Agencyis not indefaultundersuchCreditEnhancement. ARTICLE VII SECURITYFORDEPOSITSAND INVESTMENT OFFUNDS Section701-SecurityforDeposits.Allmoniesheld hereunder bytheTrustee shallbe continuously andfullysecured,forthebenefitoftheBankandthe Holders of theBondsinsuchmannerasmaythenberequiredorpermittedbyapplicableStateor federallawsandregulationsregardingthesecurityfor,orgrantingapreferenceinthe caseof,thedepositoftrustfunds.TheTrusteeoranyPayingAgentshallnotbe requiredto give securityforthedepositofanymonieswiththemheldintrustforthe paymentoftheprincipalorRedemptionPriceoforinterestonanyBonds,orforthe Trusteetogivesecurityforanymonieswhichshallberepresentedbyobligations purchasedundertheprovisionsofthisResolutionasaninvestmentofsuchmonies. Section 702·InvestmentofFundsandAccountsHeldbytheTrustee.(AlUpon thedepositofanyamountsinanyfundoraccountheldbytheTrusteeunderthe provisionsofIhisResolution,inthe manner hereinaboveprescribed,theBankmay fumishtheTrusteewithascheduleofdatesonwhichitisestimatedbytheBankthat suchmoniesinsaidfundoraccountwiltberequiredtobeexpended.TheBankmay fromtimetotimeamendthescheduleso fumished.Uponreceiptofsuchscheduleor amendedschedule,theBankmaydirecttheTrusteeto,orintheabsenceofreceiptof suchscheduleorsuchdirectiontheTrusteeshall,investandreinvestin Investment Securitiesthemoniesinsaidfundoraccountsothatthematuritydateor date of redemptionattheoptionoftheholderorsuchobligationsshallcoincideasnearlyas practicablewiththetimesatwhichmoniesareneededbytheBanktobesoexpended. TheBankalsomaydirecttheTrusteethatallorpartoftheamountsintheInterest AccountandthePrincipal Account intheDebtServiceFundnotbe invested for specifiedperiodsoftime. (B)Obligations purchasedasaninvestmentofmoniesinanyfundoraccount heldbytheTrusteeundertheprovisionsorthisResolutionshallbedeemedatalltimes tobeapartofsuchfundoraccountandtheincomeorinterestearned,profitsrealized orlossessufferedbyafundoraccountduetothe investmenlthereofshall beretained in,creditedorcharged,asthecasemaybe,tosuchfundoraccount,exceptthatthe incomeorinterestearnedandprofitsrealizedbytheReserveFundduetothe investment thereof shallbetransferredbytheTrusteein accordance withand to the extentprovidedbyparagraphs(1),(3)and(5)ofSection603. (C)IndeterminingwhetherornotIheamountintheReserveFundis at least equaltotheReserveFundRequirement,theTrusteeshallincludetheamountof interesteamedoraccruedthereonasofthedateofevaluationandshallalsoinclude, butonly if anyotherrequirementthereforspecifiedinaSeriesResolutionhasbeen satisfied,theprincipalcomponentofanyCredit Enhancement thenondepositinthe ReserveFund. (D)ExceptasotherwiseprovidedintheResolution,theTrusteeshallsellatthe bestpriceobtainable,orpresentforredempUon orexchange,anyobligationpurchased byitasaninvestment pursuant tothisResolutionwheneveritshallberequestedin writingbyanAuthorizedOfficeroftheBanktodosoor whenever itshallbenecessary inordertoprovidemoniestomeetanypaymentortransferfromthefundoraccount forwhichsuch investment wasmade.TheTrusteeshalladvisetheBankin writing,on orbeforethetwentiethdayofeachcalendarmonth,ofthedetailsofall investments ALASM MUNICJPA~BOND 8JINI( GOtIOIa/ObJlg.tlon Bond RIIII"lnion (Amon_J 11Ooco\31'2OOl>\_~~w_"",,_on_Page 44 ALASKA MUNICIPAL BONO BAN/( G""olal ObJlgarJonBond Raolullon (Am""_J 1\00:a\31':l'llCO'~_W__""""on_Pago 45 heldforthe credit ofeachfundandaccount in itscustodyundertheprovisionsofthis Resolutionasoftheendoftheprecedingmonth. Seclion 703-LiabilitvofTrustee for Investments.TheTrusteeshallnolbeliable orresponsibleforthemakingofanyinvestmentauthorizedbytheprovisionsofthis Article,inthemannerprovidedinthisArticle,orforanylossresultingfromanysuch investmentsomadeexceptforitsownnegligenceor default ARTICLEVIII THETRUSTEEANDTHEPAYINGAGENTS Section801-Appointment and Acceptance ofDutiesofTrustee.J.P.Morgan TrustCompany,National Association.atrust company orbankhavingthepowersof atrustcompanydoingbusinessandhavinga corporate trustofficeinSeattle, Washington,ishereby appointed asTrusteefortheHoldersfromtimeto time ofthe Bonds.TheTrusteeshallsignifyitsacceptanceofthedutiesandobligationsimposed uponitbythisResolutionbyexecutingthecertificateof authentication endorsedupon theBonds,and,byexecutingsuchcertificateuponanyBond,theTrusteeshallbe deemedtohaveacceptedsuchdutiesand obligations notonlywithrespecttotheBond so authenticated,but withrespecttoalltheBonds thereafter 10beissued,butonly, however,uponthetermsandconditionsselforthintheResolution. Section802-Appointment and Acceotance ofDutiesofPayingAgents.The BankshallappointoneormorePayingAgentsforthe Bondsof anySeriesintheSeries ResolutionauthorizingsuchBondsorshallappointsuchPayingAgentorPaying AgentsbyorpursuanttoaresolutionoftheBankadoptedpriortothe authentication anddeliveryofsuchBonds,andmayatanytimeorfromlimetotimeappoinloneor moreotherPayingAgentsinthemannerandsubjecttotheconditionssetforthin Section812forthe appointment ofa successor PayingAgent.The Trustee maybe appointedtoactasPayingAgent notwithstanding thatitmaythenbeactinginthe capacity ofTrustee.EachPayingAgentshallsignifyitsacceptanceofthedutiesand obligationsimposeduponitbythisResolutionbywritteninstrumentofacceptance executedanddelivered10theBankandtheTrustee.Theprincipalorcorporatetrust officesofthePayingAgentsareherebydesignatedastherespectiveagenciesofthe Bankforthepaymentofthe interest onandprincipalorRedemptionPriceortheBonds. Section803-Responsibilities ofFiduciaries.(A)Therecitals offact hereinand intheBondscontainedshallbetakenasthe statements oftheBankandthe Fiduciariesassumeany responsibility forthecorrectnessofthesame.NoFiduciary shallbedeemedtomakeany representeucns astothevalidityor sufficiency ofthis ResolutionorofanyBondsissued hereunder orinrespectofthesecurityaffordedby thisResolution,andnoFiduciaryshallincuranyresponsibility in respectthereof.The Trusteeshall,however,beresponsibleforits representations containedinitscertificate ontheBonds.NoFiduciaryshallbeunderany responsibility ordutywithrespecttoany otherFiduciary.NoFiduciaryshallbeunderanyobligationordutytoperformanyact whichwouldinvolveitinexpenseorliabilityortoinstituteordefendany suit inrespect hereof,ortoadvanceanyofitsownmoneys,unlessindemnifiedtoits satisfaction.No Fiduciary shallbeliableinconnectionwiththeperformanceofitsduties hereunder exceptforitsownnegligenceorwillfulmisconduct.NeithertheTrusteenoranyPaying Agentshallbeunderany responsibility ordutywithrespecttothe application ofany moneyspaidto anyone oftheothersortheuseorapplicationbytheBankofthe BondsorIheproceedsthereof. (B)Exceptduringthe ccnunuance ofanEventofDefault,theTrustee undertakes 10performsuchcunesandonlysuchdutiesasare specifically setforthin thisResolution,andnoimpliedcovenantsorobligationsshallbereadintothis ResolutionagainsttheTrustee,and,intheabsenceofbadfaithonitspart,theTrustee may conclusively rely,as10thetruthofthe statements andthe correctness ofthe opinionexpressedtherein,upon certificates oropinionsfurnishedtotheTrusteeand conforming totherequirementsofthisResolution. (e)IncaseanEventorDefaulthasoccurredandiscontinuing,theTrusteeshall exercisesuchoftherightsandpowersvestedin it bythisResolutionandusethesame degreeofcareandskillintheirexerciseasaprudentpersonwouldexerciseoruse underthe circumstances intheconductofhisownaffairs. ALASICA MUNICIPAL BONO BANK G.......-a/Obllg.tlDII &>tIdRatobrl""(Amo_J 11Ooco\3"2tall--...:m.c;o..,.~_Paga 46 F-13 ALASKA MUNICJPAL BOND BANI<. G....111111 OllIlg.rhJn &>tid RatoanJOII (AmfHtdodJ,1Ooco\31'2OJCI~e..-lltl _ Paga 47 (D)No provision ofIhis Resolution shallbe construed torelieveIheTrusteefrom l'Iability for its own negligent action,itsown negligent failuretoact,oritsownwillful misconduct,exceptthat(1)IheTrusteeshallnotbeliableforanyerrorof judgment madeingoodfaithbya responsible officer,unless it shallbeprovedthattheTrustee was negligent in ascertaining the pertinent facts,(2)the Trustee shallno!beliablewith respectto any actiontakenoromitted10betaken byit ingoodfaithin accordance with the direction ofIheHoldersofa majority in principal amount ofthe Outstanding Bonds relatingtothetime,method andplaceof conducting any proceeding foranyremedy available 10IheTrustee,orexercisinganytrustorpower conferred upontheTrustee, underthis Resolution,and(3)no provision ofthisReeonnronshallrequirethe Trustee toexpendorriskitsown funds or olherwise incurany financial liability inIhe performance ofanyofitsduties hereunder,orinthe exercise ofanyofitsrightsor powers,ifitshallhave reasonable grounds for believing that repayment ofsuchfunds or adequate indemnity againstsuchriskor liability isnot reasonably assuredtoit. Exceptas otherwise expressly provided herein,the Trustee shall determine whether any conditions or requirements setforthhereinforany purpose havebeenmet,and such determination bythe Trustee shallbe conclusive. (E)Regardless of whelher it is therein expressly soprovided,every provision ofthisResolution,anySeries Resolution,oranyretated document relaling tothe conductor affecling theliabHityofor affording protection totheTrusteeshallbe subject tothe provisions ofthisArticle. (F)TheTrusteeshallbeundernoObligationto exercise anyoftherightsor powersvestedinitbythis Resolution attherequestor direction ofanyofthe Bondholders pursuant toIhis Resolution,unlesssuch Bondholders shallhaveoffered totheTrusteesecurity orindemnily toits satisfaction againstthecosts,expenses and liabilitieswhichmightbeincurredbyitin compliance withsuchrequestor direction. (G)TheTrusteeshallnotbeboundtomakeany investigalion intothefactsor matters slatedinany resolution,certificate,statement,insnument.opinion,report, notice,request.direction,consent,order,bond,debenture,orother paperor document. (H)TheTrusteemayexecuteanyofthetrustsor powers hereunder or perform anyduties hereunder either direclly orbyorthroughagentsor attorneys,andthe Trusteeshallnotbe responsible forany misconduct or negligence onIhepartofany agentorattorney appointed withduecarebyit hereunder. (I)The permissive rightoftheTrusteetodo things enumerated inIhis Resolution shallno!beconstruedasaduty. (J)In accepling thetrustsherebycreated,the Trustee actssolelyas Trustee for the Bondholders andnotinits individual capacity andall persons,including,without umltaucn.the Bondholders andtheBankhavinganyclaim against theTrusteearising fromthis Resolution shalllookonlytolhefundsand accounts heldbythe Trustee or itsagent hereunder for paymenl exceptas otherwise provided herein.Under no circumstances shallfhe Trusteebeliableinits individual capacity fortheobligaUons evidenced bytheBonds. Seclion B04-EvidenceonWhich Fiduciaries MavAct Each Fiduciary mayrely andshallbe protected inactinguponanynotice,resolution,request,consent,order, certificate,report,opinion,bondorotherpaperor document believed byittobe genuine,andtohavebeensignedor presented bythe proper partyorparties.Each Fiduciary mayconsultwithcounsel,who mayor may notbeofcounseltoIheBank,and theopinionorsuchshallbefullandccmprete authorization and protection inrespect ofanyactiontakenorsufferedoromittedbyit hereunder ingoodfaithandinreliance thereon.Whenever anyFiduciaryshalldeemit necessary or desirable thaia matter beprovedor established priortolakingor suffering oromittinganyaction hereunder, including payment ofmoneysoulofanyFundorAccount,such matter (unlessouter evidence in respectlhereof beherein specifically prescribed)maybe deemed tobe conclusively provedand established bya certificate signedbyan Authorized Officer, andsuch certificate shallbefullwarrantforanyactiontakenor suffered ingoodfailh underthe provisions ofthisResolutionuponthefaiththereof,butinits clscreuon Ihe Fiduciary mayinlieu thereof accept other evidence ofsuchfactor matter ormay requiresuchfurtheror additional evidence astoitmayseem reasonable.Exceptas AL4SKA MUNiCiPAL BOND BANK G...g,..,1Obllg_rI"",Bond RaolllrIlHl (Amg""",,) 1\Dxo\l"xoo'~Go<>o"'O::<_"""R-..r"""?d PlIge 48 ALASKA MUNICIPAL BOND SANK Gw"",,'OlIJIII.tion B""d RaollltilHl (Amgndotl),"""""'''XOO,_=.........O::<Q..........R-.,,''''''?d Pogo 49 otherwise expressly provided herein,anyrequest,order,noticeorother direction requiredor permitted tobe fumished pursuant toanyprovision hereof bytheBankto any Fiduciary shallbe sufficiently executed if executed inthenameoftheBankbyan Authorized Officer. Section B05-Compensalion.TheBankshallpaytothe Trustee andtoeach PayingAgentfromtimeto time reasonable compensation forall services rendered underthis Resolution,andalsoall reasonable expenses,charges,counselfeesand other disbursements,including Ihoseofits attorneys.agentsand employees,incurred inandaboutthe performance oftheirpowersanddutiesunderthis Resolution,andme Trusteeandeach Paying Agent shallhavea lien therefor onanyandallfundsatany timeheldbyilunderthis Resolution.TheBank further agreesto indemnify andsave theTrusteeandeachPaying Agent harmless against any liabilities whichitmayincur inIheexerciseand performance ofits powers andduties hereunder,andwhicharenot due to its negligence or default. SectionB06-Permitted Actsand Functions.TheTrusteeandanyPayingAgent may become theownerofanyBonds,withthesamerightsitwouldhave ifit werenot suchTrusteeorPayingAgen!.TheTrusteeandanyPaying Agent mayactas deposUoryfor,andpermitanyofitsofficersor directors toactasa member of,orin any other capacity with respectto,any committee formed toprotecttherightsof Bondholders ortoeffectoraidinany reorganization growing outofthe enforcement of theBondsorIhis Resolulion,whether ornotanysuch committee shall represent the Holdersofa majority in principal amount oftheBondsthen Outstanding. Section B07-Resignation ofTrustee.TheTrusteemayatanytimeresignand be discharged ofthedutiesand obligations createdbythis Resolution bygivingnotless thanninety(90)days'writtennoticetotheBankandtothe registered ownersofBonds, specifying thedalewhensuch resignalion shalllakeeffectandsuch resignation shall take effect immediately uponthe appointment ofa successor Trustee pursuant 10 SectionBOghereof. Section BOB -RemovalofTrustee.The 'trustee shallberemovedbytheBank ifatanytimeso requested byan instrument or concurrent instruments in writing,filed with(heTrusteeand the Bank,andsignedbythe Holders ofa majority in principal amount oftheBondsthen Outstanding or their attorneys-in-fact duly authonzed, excluding anyBondsheldbyorfortheaccountoftheBank.TheBankmayremovethe Trusteeat anytime,except duringthe existence ofan Event orDefault,forsuchcause asshallbe determined inthesoreorscreuonoftheBankbyfilingwiththe Trustee an instrument signedbyan Authorized Officer of the Bank. Section BOg-Appointment of Successor Trustee.Incaseatanytimethe Trusteeshallresignorshallberemovedorshall become incapable ofacUng,orshall be adjudged a bankrupt orinsolvent,or if areceiver,liquidator or conservator ofthe Trustee,orofitsproperty,shallbe appointed,or if any public officer shalltakecharge orcontroloftheTrustee,orofits property oraffairs.theBank covenants andagrees thatit wililhereupon appointa successor Trustee.The Bankshall provide written notice ofsuch appointment 10IheregisteredownersoftheBonds. Ifinapropercaseno appointment ofa successor Trustee shallbemade pursuant tothe foregoing provisions ofthisSectionwithin forty-five (45)daysafterthe TrusteeshallhavegiventotheBankwrittennonce.as provided in Section 807,orafter avacancyintheofficeortheTrusteeshallhave occurred by reason of us inability 10 act,the Trustee ortheHolderofanyBondmayapplytoanycourtof competent lunsclcuon to appoint a successor Trustee.Saidcourt may thereupon,aftersuch notice,ifany,assuchcourtmaydeem proper and prescribe,appointa successor Trustee. Any Trustee appointed underthe provisions ofthis Section BOgin succession toIheTrusteeshallbeatrust company orbankingood standing having the powers of atrust company withinoroutsidetheState.andhavinga capital andsurplus aggregating alleastFiftyMillion Dollars ($50,000,000)if therebesuchatrust company orbankwillingandabletoaccepttheofficeon reasonable and customary termsand authorized bylawto perform allthedutiesimposeduponilbythis Resolution. ALASKA MUNICiPAL BOND lJANI( G....,.I ObIJg.r1lHlBol!dRaolllrJlHl (Am_),ID>aU,.xoo,__o::<__.......""""'"PlIgo 50 F-14 ALASKA MUNICIPAL BONO BANK Genwal OblIg.r1lHllJDnd R..oWOtl (Am~ '\00a\31<»oD'_Goo.-O::<_...............,"?d Page 51 Section810-Transfer ofRightsandPropertyto Successor Trustee.Any successor TrusteeappointedunderthisResolutionshallexecute,acknowledgeand delivertoits predecessor Trustee,andalsototheBank,an instrument acceptingsuch appointment,andthereuponsuch successor Trustee.without anyfurtheract,deedor conveyance,shallbecome fully vested with allmonies,estates.properties,rights, powers,dutiesandobligationsofsuch predecessor Trustee,withlikeeffectasif originallynamedasTrustee;butlheTrusteeceasingtoactshallnevertheless,onthe writtenrequestoftheBank,orofthe successor Trustee,execute,acknowledgeand deliversuchinstrumentsof conveyance andfurtherassuranceanddosuchotherthings asmay reasonably berequiredformorefullyandcertainlyvestingandconfirmingin such successor Trusteealltheright,title andinterestofthe predecessor Trusteeinand toanypropertyheldbyitunderthisResolution,andshallpayover,assignanddeliver tothe successor Trusteeanymoneyorotherpropertysubjecttothetrustsand conditionshereinset forth.Shouldanydeed.conveyance or instrument inwritingfrom theBankberequiredbysuch successor Trusteeformorefullyandcertainlyvestingin andconfirmingtosuch successor Trusteeanysuchestates,rights,powersandduties, anyandallsuchdeeds,conveyances and instruments inWritingshall,onrequest,and sofarasmaybeauthorizedbylaw,beexecuted,acknowledged anddeliveredbythe Bank.Anysuch successor TrusteeshallpromptlynotifythePayingAgentsorits appointment asTrustee.The Bankshall paytheexpensesofeffectingatransferunder thisSection. Section811-Mergeror Consolidation.AnycompanyintowhichtheFiduciary maybemergedorconvertedor with whichitmaybeconsolidatedoranycompany reSUltingfromanymerger,conversionor consolidation to which itshallbeapartyer anycompanytowhich Fiduciary maysellortransferallofitscorporatetrustbusiness, shallbethe successor tosuchFiduciarywithouttheexecutionorfilingofany paperer the performance ofanyfurther act.providedthatsuchcompanyshallbeatrust company orbankwhichisquallfledtobea successor totheTrusteeunderSection809 orwhichisqualifiedtobea successor tothePaying Agent underSection812. Section812-ResignationorRemovalofthePayingAgentsand Appointmenl ofSuccessors.AnyPayingAgentmayatanytimeresignandbedischargedofthe dutiesand obligations createdbythisResolutionbygivingatleastsixty(60)days writtennoticetotheBankand the Trustee.AnyPayingAgentmayberemovedatany timebyan instrument filedwithsuchPayingAgentandtheTrusteeandsignedbyan AuthorizedOfficerortheBank.Any successor PayingAgentshallbeappointedbythe Bankandshallbeatrustcompanyorbankhavingthepowersoratrustcompany havingacapitalandsurplusaggregatingatleastFifty Million DoUars($50,000,000),and willingandabletoaccept the officeofPayingAgentonreasonableandcustomary termsand authorized bylawtoperformallthedutiesimposeduponitbythis Resolution. Intheeventoftheresignationorremovalofany Paying Agent,suchPaying Agentshallpayover,assignanddeliveranymoniesheldby it toitssuccessor,or if therebeno successor thenappointed,totheTrusteeuntilsuchsuccessorbe appointed,Intheeventthatforanyreasonthereshallbeavacancyintheofficeof PayingAgent,the Trustee shallactassuchPayingAgent. Section 813·Evidenceof Signatures ofBondholdersandOwnershipofBonds. (A)Anyrequest,consentorother instrument whichthisResolutionmayrequire orpermittobesignedandexecutedbythe Bondholders maybeinoneormore instruments ofsimilartenor,andshallbesignedorexecutedbysuch Bondholders in personorbytheirattorneysappointed in writing.Proorof(i)theexecutionofanysuch instrument,orofan instrument appointing anysuchattorney,or(ii)theholdingbyany person oftheBondsshallbe sufficient foranypurposeofthisResolution(exceptas otherwisehereinexpresslyprovided)ifmadeinthefollowingmanner.buttheTrustee mayneverthelessinitsdiscretionrequire furtherer otherproofincaseswhereitdeems thesamedesirable: (1)Thefactanddateoftheexecutionbyany Bondholder orhis attorneyofsuch instrument maybeprovedbythecertificate,whichneednotbe acknowledged orverified,ofanofficerofabankortrustcompany satisfactory ALASKA MUNICIPALBONO BANK G...",..,ObI/i.rlon Bond RlIIotl/lOll rAmMded} '1DoaIJ1':lIXJ:ll~e.-.oCb_lb'>d~""""",,,r,>l Page 52 ALASKA MUNICIPAL BOND BANK a""'.....'ObIII1.rJon Bond RetOtlrlOll (AmRndedl JIDoaIJ1.lW:J'~<:;"''''''''''~_'''''''R''''''...._Pege 53 to the Trusteeorofanynotarypublicor other officer authorizedtotake acknowledgments ofdeedstoberecordedinthestaleinwhichshepurportsto act,that the personsigningsuchrequestor other instrument acknowledgedto himtheexecutionthereof,orbyanaffidavitofawitnessofsuchexecution,dUly swomtobeforesuchnotarypublicorotherofficer.Theauthorityoftheperson orpersonsexecutinganysuch instrument onbehalfofacorporate Bondholder maybeestablishedwithout further proofifsuch instrument issignedbyaperson purportingtobethepresidentoravicepresidentofsuchcorporationwitha corporatesealaffixedandattestedbyapersonpurportingtobe its secretaryor anassistantsecretary; (2)The amounl ofBonds transferable bydeliveryheldbyanyperson execulingsuchrequestorother instrument asaBondholder,andthenumbers andother identification thereof,and the dateofhisholdingsuchBonds,maybe provedbyacertificate,whichneednotbe acknowledged orverified,satisfactory totheTrustee,executedbyanofficerofatrustcompany,bank,financial inslilution orother depository or member ofIheNational Association of SecuritiesDealers,Inc.wherever situated,showingthatatthedatetherein mentionedsuchpersonexhibitedto such officerorhadondepositwith such depositorytheBondsdescribedinsuch cerliflcate.Continuedownershipafter thedalestatedinsuchcertificatemaybeprovedbythe presentation ofsuch certificateifthecertificatecontainsa statement bysuchofficerthatthe depositoryheldthatBondstherein referred toonthedateofthecertificateand thattheywillnotbesurrendered without the surrender ofthecertificateto the depository,exceptwiththeconsentoftheTrustee,andacertificateofthe Trustee,whichneednotbe acknowledged orverified,that suchconsenlhasnot beengiven. (B)ExceptinthecaseofBonds transferable bydeliveryonly,theownershipof Bondsandtheamount,numbersandother identification,anddateofholdingthesame shallbeprovedbytheregistrybooks.Anyrequest.consentorvoteofthe ownerof any BondshallbindallfutureownersofsuchBondinrespectofanythingdoneorsuffered tobedonebytheBankorany Ftouctarym accordance therewith. ARTICLE IX COVENANTS OFTHEBANK TheBank covenants andagreeswiththeHoldersoftheBondsasfollows: Section901-Payment ofBonds.TheBankshalldulyandpunctually payor causetobepaidtheprincipalorRedemption Price,ifany,ofeveryBondandthe interestthereon,atthedatesandplacesandinthe manner stated in theBonds accordingtothetrueintentand meaning thereof,andshalldulyandpunctuallypay,or cause to bepaid,allSinkingFund Installments,ifany,becomingpayablewithrespect toany Series ofBonds. Section902-ExtensionofPaymentofBonds.TheBankshallnotdirectlyor indireclly extendorassenttotheextensionofthematurityofanyoftheBondsorthe timeofpaymentofanyclaimsfor interest bythepurchaseorfundingofsuchBondsor claimsforinterestorbyanyother arrangement andincasethematurityofanyofthe Bondsorthetimeforpaymentofanyclaimsforinterestshallbeextended,suchBonds orclaimsforinterestshallnotbeentitledincaseofanydefaultunderthisResolution to the benefitofthisResolutionor10any payment out ofanyassetsoftheBankorthe funds(exceptfundsheldintrustforthepaymentofparticularBondsorclaimsfor interestpursuanttothisResolulion)priortobenefitsaccordedtoorthepaymentofthe principalofallBondsissuedand Outstanding thematurityofwhichhasnotbeen extendedandofsuchportionoftheaccrued interest ontheBondsasshallnotbe represenled bysuchextendedclaimsfor interest.Nothing hereinshallbedeemedto limittherightoftheBanktoissueRefundingBondsasprovidedinSection203and suchissuanceshallnotbedeemedtoconstituteanextensionofmaturityofBonds. Section903 -OfficesforServicingBonds.TheBankshallatalltimesmaintain anofficeoragencywhereBondsmaybepresenledfortransferorexchange,and wherenotices,presentations and demands upontheBankinrespectoftheBondsor ofthisResolutionmaybeserved.TheBankherebyappointstheTrusteeasitsagent A1ASAA MUNICIPAL BOND BANK G....,../OllII"atJOII Bond RulWr:IoI'I (AmOtlWd) '1DoaIJ"~I"-_Cb__"""""",,,""Page 54 F-15 AlASKA MUNICIPAL BONO BANK G....,../ObIlgMlon Bond RlIIotlllon (AmRflded} 'lDoaIJ"l!X01~"'-Cb ...._ Page 55 to maintain suchofficeoragencyforthe transfer or exchange ofBondsandforthe serviceofsuchnotices,presentations and demands upontheBankandmayappoint oneormore co-registrars forsuchpurposes.TheBank hereby appoints the Trustee as paying Agentandhereby appoints thePayingAgentasitsagenttomaintainsuch officesor agencies forthe payment ofBonds. Section 904-Further Assurances.AtanyandalltimestheBankshall,sofaras itmaybe authorized bylaw,pass,make,do,execute,acknowledge anddeliver,alland everysuch further resolutions,acts,deeds,conveyances,assignments,transfersand assurances asmaybe necessary forthebetterassuring,conveying,granting, assigning,confirming allandelnqutartherights,Municipal Bonds Payments,the Municipal Bonds andothermonies,securities,runesand property herebypledgedor assigned,or intended sotobe,orwhichtheBankmay hereafter become boundto pledgeorassign. Section905•PowertoIssueBondsandMakePledges.TheBankisduly authorized pursuant tolawto authorize andissuetheBondsforthe purposes herein authorized andtoadoptthisResolutionandtopledgethe Municipal Bonds Payments, theMunicipalBondsandothermonies,securities,fundsand property purported tobe pledged bythis Resolution inthe manner andtotheextentprovidedinthisResolution. TheMunicipalBonds Payments,the Municipal Bonds,andothermonies,securities, fundsand property sopledgedareandwillbefreeandc1earofanypledge,lien,charge or encumbrance thereonorwithrespecttheretopriorto,orofequalrankwith,the pledgecreatedbythisResolution,exceptfortheliensinfavoroftheTrusteeand PayingAgents provided in Section 805hereof,andall corporate or other action onthe partoftheBanktothatendhasbeendulyand will bedulyandvalidlytaken.The Bondsandtheprovisionsofthis Resolution areandwillbethevalidand legally enforceable obligations oftheBankin accordance withtheirterms.TheBankshall at alltimes,totheextentpermittedbylaw,defend,preserveandprotectthepledgeofthe Municipal BondsPayments,the Municipal Bondsandothermonies,securities,funds and property pledged underthis Resolution andalltherightsofthe Bondholders under thisResolutionagainstallclaimsand demands ofall persons whomsoever. Section906-General Covenants oftheBank.(A)TheBankshalldoand perform orcausetobedoneand pertcrmeo allactsandthingsrequired10bedoneor performed byoronbehalfoftheBankunderlawandthisResolutionin accordance with thetermshereof. (B)Uponthedateof issuance ofanyoftheBonds,all conditions,actsand thingsrequiredbylawandthis Resolution toexist,to have happened andtohavebeen performed precedent toandinthe issuance ofsuchBondsshallexist,have happened andhavebeen performed andtheissueofsuchBonds,together with allother indebtedness oftheBank,shallbewithineverydebtandotherlimit prescribed bythe lawsofthe Slate. (C)TheBankdoes hereby pledgetoandagreewiththeHoldersoftheBonds thatitwillnotcausetheStatetolimitoraltertherightsvestedbytheActintheBank 10fulfillthetermsofany agreements madewith Bondholders,orin anyway impairIhe rightsand remedies ofsuchHoldersuntiltheBonds,together with theinterestthereon, with interest onanyunpaid installments ofinterest,andallcostsand expenses in connection withanyactionor proceeding byoronbehalfofsuchHolders,arefullymet and discharged. (D)Uponfailureofa Govemmental Unittomakeany principal or interest payment onthedate specified in,andasrequiredby,the applicable Loan Agreement securing payment ofthe Municipal Bonds,the Trustee shall immediately notifythe Executive Director oftheBankwhoshallthentakethefollOWingactions: (i)the Executive Director shallwithin two daysofthe Govemmental unn's failuretomakethe Municipal Bonds Payment pursuant tothetermsofthe applicable Loan Agreement,contactsuch Govemmental Unitandrequest payment; ALASKA MUNiCIPAL BONDBANK G""M11 OIIIllIMian Bond R."lurIon (Amalldod) LID:a\31':llJ>:l'",-"",~_0:<~"""_R_0'l"'"Pago 56 ALASKA MUNICIPAL BOND BANK G....a""OIIIII1,lIon a""l1 Ra"/urIan (AmonrlodJ '''''''''''':llJ>:l'~'''''''''0:<~""",'''''''''''''''''''''''''Pogo57 (ii)in the event payment isnotmadebythe Governmental Unit pursuant to(I)above,theTrusteeshallmakeupsuch deficiencies fromthe Reserve Fund asprovidedforinSection603(E)ofthis Resolution; (Hi)inlheevent payment isnotmadebythe Governmental Unit pursuant to(i)above,andtheReserveFundisdrawnupontomakeupsuch deficiency pursuant to (iI)above,the Executive Director shallinitiate intercept proceedings withthe applicable State agencies pursuant toSection917ofthis Resolution; (iv)intheevent amounts collected pursuant to(iii)aboveare insufficienl toreplenish amounts heldintheReserveFundtotheReserveFund Requirement,the Executive DirectorshaUcontactthe GovemoroftheState and theState legislature as selforth inSection911(B)ofIhis Resolution;and (v)if thereremainsa deficiency intheReserveFund aner theExecutive Director has exhausted the requirements foundin(i)through(iv)above,the Executive Director shallrequestaloan from the Department of Revenue pursuant toAS 44.B5.270(i)and provide forsuchloantobeusedtocausethe amountintheReserveFundtosatisfytheReserveFund Requirement. Section 907-Accounts andReports.(A)TheBankshallkeep,orcausetobe kept,properbooksofrecordandaccountin wh'lcI1 completeand correct entriesshall bemadeofils transactions relatingtoall Municipal BondsPayments,Municipal Bonds, theFeesandChargesandallfundsand accounts established bythisResolution,which shallatall reasonable times be subject tothe inspection ofthe Trustee orthe Holders ofan aggregate of nolless than twenty-five percentum(25%)in principal amount of Bondsthen Outstanding ortheir representatives duly authorized inwriting. (B)TheBankshallannually,onorbeforethelastdayof January ineachyear, filewilhtheTrusteeacopyofanauditforthe preceding FiscalYear,accompanied by an Accountants Certificate,andanannualreportsettingforthin complete and reasonable detail:(a)its operations and accomplishments;(b)its receipts and expenditures duringsuchFiscalYearin accordance withthe categories or classifications established bytheBankforits operating andcapital outlay purposes;(c) itsassetsand liabilities attheendofsuchFiscalYear,including a schedule orits Municipal Bonds Payments,Municipal Bonds,Feesand Charges andthestatusof reserve,fundsandthefundsand accounts established bythis Resolulion;and(d)a schedule of its Bonds Outstanding andother obligations outstanding attheendofsuch FiscalYear,together wilha statement ofthe amounts paid,redeemed andissued duringsuchFiscalYear.Acopyofeachsuchannualreportand Accountant's Certificate shallbemailed promptly thereafter bytheTrusteetoeach Bondholder who shallhavefiledhisnameand address withtheBankforsuch purpose. Section90B-Personnel andServicingofPrograms.CA)TheBankshallatall tunes appoint,retainandemploy competent personnel forthe purpose of carrying out its respective programs andshall establish andenforce reasonable rules,regulations, testsand standards goveming the employment orsuch personnel at reasonable compensation,salaries.feesandchargesandallpersons employed bytheBankshall be qualified fortheir respective positions. (B)TheBankmaypay10the respective Slateagency,governmental unitor political subdivision oftheStatefromthe Operating Fundsuch amounts asare necessary to reimburse the respective Stateagency,qovernmenta!unitorpolitical subdivision oftheslateforthe reasonable costsofanyservices performed forthe Bank. Section909-Waiver ofLaws.TheBankshallnotatany time insistuponor pleadinany manner whatsoever,orclaimortakethebenefitor advantage ofanySlay or extension lawnoworatanytime hereafter inforce which mayaffectthe covenants and agreemenls contained inthis Resolution orinanySeries Resolution orinthe Bonds,andallbenefitor advantage ofanysuch lawor lawsis hereby expressly waived bymeBank. Section 910-Feesand Charges.TheBankshall establish,make,maintain and chargesuchFeesand Charges toeach Govemmental UnittowhichaLoanismade, andshallfromtimetotimerevisesuchFeesand Charges whenever necessary,sothat suchFeesand Charges actually collected fromeachsuch Governmental Unil will atall ALASKA MI./NICIPAL BOND BANK C""...I OIIIllIMian Band RaaVtlDtl (Amaf7dHl)tID:a\31QOOO'__~__"", Page58 F-16 AlASKA MUNICIPAL BOND BANK GIIf1...IOI>IIIIMiDtllJonr1RlII"tnlan(~ '1D:a\3":llJ>:l'~_O:<_""""R-"'O'I""Page 59 times produce monies which,together with such Govemmental Unit's Allocable Proportion of other monies available under the provisions orthrs Resolution,and other monies available therefor,including any grants madebythe United Slates of America orany agency or instrumentality thereof orbytheStateorany agency or instrumentality thereof and amounts applied therefor from amounts transferred tothe Operating Fund pursuant 10 paragraph (3)of Section 603,willbeatleast sufficient: (a)Topay,asthesame become due,the Governmental Unit's Allocable Proportion orthe Admlmstrauve Expenses oftheBank;and (b)Topay,asthesame become due,the Govemmental Unit's Allocable Proportion ofthefeesand expenses ofthe Trustee and Paying Agents. TheBankshall provide the Trustee with a schedule oftheFeesand Charges to bepaidbyeach Govemmental Unit,andoreachrevision thereof,andshallrequire each Govemmental Unittomake payment oftheFeesand Charges required tobepaid byit directly tothe Trustee,The Trustee shall promplly advisetheBankofeachand every failure of a Governmental Unit10make payment ofFeesand Charges when due in accordance withthe applicable schedule. Section 911-Administration of Reserve Fund.(A)The Bank shall establish and maintain the Reserve Fundin accordance withthe provisions ofthis Resolution.All monies and securities heldinthe Reserve Fundshallbeused,disbursed and applied onlyin accordance with the provisions ofthis Resolution andforno other purpose, Monies and securities heldintheReserveFundshallnotbe withdrawn therefrom at anytimeinsuch amount aswouldreducethe amount insuchFundtoan amount less thanthe Required Debt Service Reserve except as otherwise provided inthis Resolution. (B)TheBankshallcausethe Chairman oftheBoardof Directors oftheBank annually,before each January 30,tomakeand deliver tothe Governor ortheStateand tothe legislature his certificate slating the amount,ifany,required torestoretheAlaska Municipal BondBankReserveFundtothe amount ofthe Required Debt Service Reserve andacopyofsuch certificate shallbe promptly delivered bythe Bank tothe Trustee.Monies received bytheBankfromtheState pursuant tosucha certification, in accordance withthe provisions of Section 44.85.270(g)oftheActShall,tothe extent such certification was occasioned bythefactthatthe amount inthe Reserve Fundwas lessthanthe Required Debt Service Reserve,be deposited inthe Reserve Fund,as required by paragraph (D)of Section 603. (C)TheBankshall annually submit totheStatea budget request foran appropriation tocause,if necessary,amounts heldinthe Reserve Fundto equal the ReserveFund Requirement.(Amendment:Effective August 19,2009) Section 912-Issuance of Additional Obligations,(A)TheBankshallnot subsequent tothe issuance oftheinitial Series ofBonds under this Resolution create orpermitthe creation oforissueany obligations orcreateany additional indebtedness whichwillbe secured bya charge andlienonthe Municipal Bondsandthe Municipal Bonds Payments orwhich will be payable fromthe Debl Service Fundorthe Reserve Fund,except that additional SeriesofBondsmaybe issued fromtimetotime pursuant toa Series Resolution subsequent tothe issuance oftheinitialSeriesof Bonds under this Resolution onaparitywiththe Bonds orsuchinitialSeriesof Bonds and secured byanequal charge and lien onthe Municipal Bondsandthe Municipal Bonds Payments and payable equally andratablyrromtheDebt Service Fundand Reserve Fundforthe purposes of(i)making Loans to Govemmental unns.(ii)making payments intothe Interest Account,(iii)making payments intothe Reserve Fund,(iv)funding of Notes theretofore issued bytheBankfor any purposes forwhichBondsmayhavebeen issued,and(v)subject tothe provisions and limitations of Section 203,the refunding ofanyBondsthen Outstanding,under the conditions and subject tothe limitations in this Section 912 provided. (B)No additional Series ofBondsshallbeissued subsequent tothe issuance oftheinitialSeriesofBondsunderthis Resolution unless: (1)the aggregate principal amount of Bonds and Notes oftheBank outstanding atthetimeof issuance and delivery ofsuch additional Bonds including the principal amount ofsuch additional Bondswillnot exceed anylimitthereon imposed bylaw; ALASKA /.tUNIC/PIlL BOND BANK G"".",'ObIlg.llon Bond Rosolullon (AmonrJftI)'''''''''''''XIOO'__Q<~._ll<o>:l~'''''''",,''''Pllgll 60 ALASKA /oIUNICJPALBCND BANI( G"""",I ObIIl1l1ion Bond R8Iol}l1on (Amonrl8dJ ,,,,-,,rQl;JJO'~C"""Q<~",,,,,S<o>O"""",,,,_Pago61 (2)thereisatthetimeofthe issuance ofsuch additional Bondsno deficiency inthe amounts required bythis Resolution orany Series Resolution tobepaidintothe Debt Service Fundandintothe Reserve Fund; (3)the amount ofthe Reserve Fund,uponthe issuance and delivery ofsuch additional Bondsandthe deposit inthe Reserve Fundofany amount provided therefor inthe Series Resolution authorizing the issuance ofsuch additional Bonds,shallnot belessthanthe Required Debt Service Reserve;and (4)the maturities of,or Sinking Fund Installments for,the additional Bonds then being issued representing Loan Obligations,unless such additional Bondsarebeing issued torefund Outstanding Bondsin accordance withthe provisions of Section 203, shallbeequaltothe scheduled Municipal Bonds Principal Payments tobemadein respect oftheLoanswith respectto which such additional Bondsaretobe issued. (C)TheBank expressly reserves therighttoadoptoneormore other general obligation bond resolutions and reserves therighltoissue Notes andany other obligations solongasthe same arenotachargeorlienonthe Municipal Bonds,the Municipal Bonds Payments and the Feesand Charges or payable fromtheDebt Service Fundorthe Reserve Fundcreated pursuant tothis Resolution, Sed'ion 913-Loan Agreement Provisions.NoLoanshallbemadebytheBank fromthe proceeds ofthesaleofBonds,andno Bonds shanbe issued bytheBankfor the purpose of providing funds with whichtomakeaLoan,unless the Loan Agreement under which suchLoan is tobemadeshatl comply with,andno Bonds shallbe issued bytheBanktofund Notes ortorefund Bonds unless theLoan Agreement under which theLoanwasmadefromthe proceeds ofsuch Notes or Bonds,shallatso comply with, the following terms,conditions,provisions and limitations: (a)The Governmental Unitwhichisa party to such Loan agreement mustbe a Governmental Unitas defined bythe Resolution andtheLoan Agreement mustbe executed in accordance with existing laws; (b)The Governmental Unit,prior toor simultaneously withthe issuance of BondsoftheBank issued tomakeaLoantothe Govemmental Unit,shallissue Municipal Bondswhicharevalid obligations ofthe Governmental Unitas required by uie Act; (c)The Municipal Bonds Interest Payments tobemadebythe Governmental Unit under suchLoan Agreement shallbenotlessthanthe interest payments theBank isrequiredtomakeontheLoan Obligation andshallbe scheduled bytheBankinsuch manner andatsuchtimes (notwithstanding the dates of payment as stated inthe Municipal Bonds)asto provide funds sufficient topay interest ontheLoan Obligation asthesame becomes due; (d)The Municipal Bonds Principal Payments tobemadebythe Govemmental Unit under suchLoan Agreement shallbe scheduled bytheBankin such manner and atsuchtimes (notwithstanding the dates of payment asstatedinthe Municipal Bonds) asto provide funds sufficient topaythe principal oftheLoan Obligation asthe same matures; (e)The Govemmental Unitshallbe obligated 10payFeesand Charges tothe Bankatthe times andinlhe amounts whichwill enable theBankto comply withthe provisions of Section 910; (f)The Governmental Unit shallagreeIhatintheeventthe amounts referred to in paragraphs (c)and(d)arenotpaidbyittothe Bank onorbeforethe limes specified intheLoan Agreement,any money payable tothe Governmental Unitbyany department or agency oftheStateshallbe withheld fromsuch Govemmental Unitand paidover directly tothe Trustee actingunderthe General Obligation Bond Resolution andthatthesaid agreement shallbefull warrant,aUlhority and direction tomakesuch payment toany official of the State responsible for such payment uponnoticetosuch official bytheBankas provided inthe Act (g)TheBankshallnotsellandthe Governmental Unit shallnot redeem priorto maturity anyofthe Municipal Bonds with respect towhichtheLoanismadeinan amount greater than the Outstanding Bonds issued with respect tosuchLoanwhichare then redeemable,andinthe event ofany such saleor redemption ofsuch Municipal Bonds,thesame shall beinan amount notlessthanthe aggregate or(i)the principal ALASKA MUNICJPAL BOND 8AJff,; G"""",'0bII1111J0IT BondR8Iolnlon (A",ondwl)'..-urol:D;lC.--.zm_ao_6co>:l_....Pago62 F-17 ALASM IJUNICJPAL BONO 8JWI( G.,,,,,,,0bII1111J0IT BOIId R8IoI}I101T(AIft8nrtm),,,,,,,,,,,,rQlXlO'_=_ao.....,..6co>:l __Page63 amount ofIheLoanObligationsotoberedeemed,(ii)theinterest(0accrueonthe LoanObligationso(0beredeemedtothenextredemptiondate(hereofnotpreviously paid.(iii)the applicable premium,ifany,payableontheLoanObligationso(0be redeemed,and(iv)thecostsandexpensesoftheBankineffectingtheredemptionof theLoanObligationsotoberedeemed;provided,however,thatintheeventtheLoan Obligation hasbeenrefundedandtheRefundingBondsthereforwereissuedina principalamountinexcessoforless than theLoanObliqaticnremainingunpaidatthe dateofissuanceofsuchRefundingBonds,theamountwhichthe Govemmental Unit shallbeobligatedto payor theBankshallreceiveunderitem(i)aboveshallbethe principalamountofsuchRefundingBondsOutstanding.IntheeventtheLoan ObligationhasbeenrefundedandtheinteresttheBankisrequiredtopayonthe RefundingBonds therefor islessthantheinterestthattheBankwasrequiredtopay ontheLoanObligation,theamountwhichthe Governmental Unit shallbeobligatedto payor theBankshallreceiveunderitem(ii)aboveshallbetheamountofinterestto accrueonsuchRefundingBonds Outstanding. (h)The Governmental UnitshallgivetheBankatleastfifty(50)days'noticeof intentiontoredeemitsMunicipalBonds. Section914-Modification ofLoan Agreement Terms.TheBankshallnot consenttothe modification of,ormodify,therateorratesofinterestof,ortheamount ortimeofpaymentofany installment ofprincipaloforinterestonanyMunicipalBonds evidencingaLoan.ortheamountortimeofpaymentofanyFeesandChargespayable withrespecttosuchLoan,orthesecurityfororanytermsorprovisionsofsuchLoan ortheMunicipalBondsevidencingthesame,ina manner which adversely affectsor diminishestherightsofthe Bondholders;provided,however,that,in theeventthe Loan Obligation isbeingorhasbeenrefundedandtheRefundingBondsthereforareina principalamountinexcessoforlessthantheprincipalamountoftheBondsrefunded, theBankmayconsenttothe modification ofandmodifytheLoanagreementrelating tosuchLoanandtheMunicipalBondsevidencingthesame,andtheMunicipalBonds Paymentstobemade thereunder solongassuchMunicipalBondsPaymentsare sufficientinamountandpayableatthetimesrequiredforthepaymentof(heprincipal ofand interest onsuchRefundingBonds,and further provided,however,that,inthe eventtheLoanObligationhasbeenrefundedandtheinteresttheBankisrequiredto payon(heRefundingBondsissuedforthepurposeofrefundingsuchoriginalBonds islessthantheinteresttheBankwasrequiredtopayonsuchoriginalBondsrefunded by(heBank.the MunicipalBonds Interest PaymentstobemadebytheGovernmental UnitinrespectofsuchLoanmaybereducedsothattheamountsrequiredtobepaid shallbesufficienttopayinterestonsuchRefundingBondsOutstanding. Section915-Saleof Municipal BondsbyBank.TheBankshallnotsellany MunicipalBondsexceptasprovidedin subsection (g)ofSection913. Section916-DispositionoftheProceedsofSaleorRedemptionofMunicipal Bonds.IntheeventMunicipalBonds orolherobligations securingaLoanshallbesold bytheBankorredeemedbythe Govemmental Unitin accordance withtermsoflhe applicableLoanAgreement,theBankshall,uponsuchsalebythe Bankorredemption bytheGovernmentalUnit.depositthe proceeds ofsuchsaleorredemption,exceptan amountthereofequaltothecostsandexpensesoftheBankineffectingthe redemptionoftheBondstoberedeemed,intotheapplicable sub-account orsub- accountsintheRedemptionAccountandshallapplythesametothepurchase, retirementorredemptionofthe appropriate Bondsin accordance withtheprovisions ofthisResorutlon.Thebalanceinsuch applicable sub-account or sub-accounts of suchproceedsofsaleor redemption of Municipal Bondsanertheredemptionofthe BondstoberedeemedshallbedepositedintheOperatingFund. Section917-Enforcement of Municipal Bonds.TheBankshalldiligenUy enforce,andtakeall reasonable steps,actionsand proceedings necessary forthe enforcement of,allterms,covenantsand conditions ofallLoan Agreements andthe MunicipalBondsevidencingLoansmadebytheBank.inclUdingthepromptcollection, andthegivingofnoticetothe Commissionerof Revenue,Commissionerof Commerce. Community and Economic Development andthe Commissioner of Administration and anyother department oragencyoftheStatewhichiscustodianofanymoneypayable AlASKA MUNiCiPAL BONO BANK G..,e",1 Obllg.rI""S""d RaolurJ""(Am.tI~ IlD:aI.ll.>D:."_.....""0::<_......"""",,,,,..;<'Pogo64 AlASKA MUNICIPAL eONO 8AJIK G....,.,OIIJlgllflOll S""d RaolU~onrAme_J 11Ooa\l,,"""",_.«J:I'....-O::<_.....R....."".....,Page65 tolhe Govemmental Unitofanyfailureordefaultofthe Govemmental Unitinthe paymentofitsMunicipalBondsPaymentandshallpromptlytransferanysuchmonies, uponreceiptthereof,totheTrusteeand,insuchevent,or if suchmoniesarepaid directlytotheTrustee.(heTrusteeshalldepositanysuchmoniesinthePrincipal Account and Interest AccountinplaceofsaidunpaidMunicipalBondsPaymentorin theevent deficiencies insaid Accounts createdbysuchdefaultshallhavebeenmade upbytheReserveFund pursuant toparagraph(5)ofSection603.intheReserveFund totheextentofsuch deficiencies. Section918-Continuing Disclosure'Bankruptcy.(A)TheBankhereby covenants andagreesthat it willcomplywithandcarryoutalltheprovisionsofeach Continuing DisclosureCertificate.Notwithstanding anyotherprovisionofthis Resolution.failureoftheBanktocomply with anyContinUingDisclosure Certificate shallnotbeconsideredan Eventof Default,andany Bondholdermay lakesuchactions onlyasmaybeprovidedinsuchContinuingDisclosureCertificate. (B)TheBankherebycovenantsandagreesthatitwillnotifytheRating AgenciesthenratingtheBondsofanychangeintheActwhichwouldpermititor requireittodeclare bankruptcy underthe Bankruptcy Code. Section919-Tax Covenants.TheBanksharinotknowinglytakeorcauseany action10betakenwhichwouldcauseinterestonanyBondstobecometaxablefor federalincometaxpurposes.TheBankshalleralltimesdoandperformallactsand things necessary ordesirable,including.butnotlimitedto,complyingwiththerebate provisionsofSection 1480fthe Code,asapplicable,and comp!yingwith theprovisions ofany leiter ofinstructionsfrombondcounsel.inordertoassurethatinterestpaidon Bonds shall,forpurposesoffederalincometaxation.beexcludable from Ihegross incomeoftherecipients thereof andexempt from taxation.TheBankshallnotpermit atanytimeortimesanyproceedsofanyBondsoranyamountsheld hereunder tobe used.directlyorindirectly.ina manner whichwouldresultintheexclusionofanyBond fromthe treatment affordedbysubsection(a)ofSection103oftheCode. ARTICLE X SERIES RESOLUTION AND SUPPLEMENTAL RESOLUTiONS Section1001-Modification and Amendment withoutConsent.Notwithstanding anyotherprovisionsofthisArticleX,orArticleXI,theBankmayadoptatanytimeor fromtimetotimeSeriesResolutionsor Supplemental Resolutions for anyone ormore ofthefollowingpurposes,andanysuchSeriesResolutionor Supplemental Resolution shallbecomeeffectivein accordance withitstermsuponthefiling with theTrusteeof acopythereofcertifiedbyan Authorized Officer. (A)ToprovidefortheissuanceofaSeriesofBonds pursuant totheprovisions ofthisResolutionand(0 specify and determine suchmattersandthingsreferredtoin ArticleIIofthisResolulionandtoprescribethetermsand conditions pursuanttowhich suchBondsmaybeissued.paidorredeemed; (B)To add to(hecovenantsand agreements oftheBankfor the purposeof furthersecuring the payment of theBonds,proVidedsuchadditionalcovenantsand agreementsarenotcontrary(0or inconsistent withthecovenantsand agreements of theBankcontainedinthisResolution; (C)Toprescribe further limitations andrestrictionsupontheissuanceofBonds andthe incurring of indebtedness bytheBankwhicharenotcontrarytoor inconsistent withthelirnitatlonsandrestrictionsthereon theretofore ineffect; (D)To surrender anyright,powerorprivilegereservedtoorconferreduponthe BankbythetermsofthisResolution,providedthatthe surrender ofsuchright.power orprivilegeisnotcontrarytoor inconsistent withthe covenants and agreements ofthe BankcontainedinthisResolution; (E)Toconfirmasfurther assurance anypledgeunderandthesubjectiontoany lien,claimorpledgecreatedortobecreatedbytheprovisionsofthisResolutionofthe Municipal BondsandMunicipalBonds Payments orofanyothermonies,securitiesor funds; (F)Tomodifyanyoftheprovisionsof this Resolutionoranypreviouslyadopted SeriesResolutioninanyotherrespect;providedthatsuch modifications shallnotbe AlASAA MUNiCiPAL BONOBANKGOWl.,.'ObIJgllflonSOIId Rwolutl""(Am.~ 11l:>oo:oU144D:X1'--=Goo.-O::<_.....,R,""""""..;<'Poge66 F-18 AlASKA MUNICIPAL BOND 8AJIX G..,,,,,,0IIJ1II1Ifl""8DtId RaoaJf!OII (Arrtem1ed) '1Ooa\l7'ZIXl'~e:.-0::<_""",_..;<'Pogo 67 effectiveuntilafterallBondsofanySeriesofBonds Outstanding asofthedateof adoptionofsuchSeriesResolutionor Supplemental Resolutionshallceasetobe Outstanding,andallBondsissuedundersuchmodifiedresolutions shall containa specificreferencetothe modifications; (G)TocureanyambiguityordefectorinconsistentprovisioninthisResolution ortoinsertsuchprovisionsclarifying matters orQuestionsarisingunderthisResolution asare necessary ordesirableintheeventanysuchmodificationsarenotcontraryto or mccnsetent withthisResolutionasthereloforein effect Section1002•SupplementalResolutionsEffectivewithConsentof Bondholders.TheprovisionsofthisResolutionmayalsobemodifiedoramendedat anytimeorfromtimetotimebyaSupplementalResolution,withtheconsentof Bondholders in accordance withandsubjecttotheprovisionsof Article XIwhich Supplemental Resolution,uponthefilingwiththeTrusteeofacopythereof,certified byan Authorized OfficeranduponcompliancewiththeArticleXI,shallbecomefully effectivein accordance withitstermsasprovidedinsaidArticle. Section1003-GeneralProvisions Relating toSeriesResolulionsand Supplemenlal Resolutions.ThisResolutionshallnotbemodifiedoramendedinany respectexceptasprovidedinandinaccordancewithandsubjecttotheprovisionsof thisArticleXandArticleXI.NothingcontemecinIhisArticleXorArticleXIshallaffect orlimittherightsorobligationsoftheBanktoadopt,make,do,executeordeliverany resolution,actorother instrument pursuanttotheprovisionsofSectiong04ortheright orobligationoftheBanktoexecuteanddelivertotheTrusteeoranyPayingAgentany instrument whichelsewhereinthisResolutionitisprovidedorpermittedtobedelivered totheTrusteeoranyPayingAgent. AcopyofeverySeriesResolutionandSupplementalResolutionadoptedbythe BankwhenfiledwiththeTrusteeshallbeaccompaniedbyeCounsel'sOpinionstating thatsuchSeriesResolutionor Supplemental Resolutionhasbeendulyandlawfully adoptedin accordance withtheprovisionsofthisResolution,isauthorizedor permitted bythis Resolulion andisvalidandbindingupontheBankand enforceable in accordancewithitsterms(subject,asto enforcement ofremedies,toapplicable bankruptcy,reorganization,insolvency,moratorium,orotherlawsaffec!ingcreditor's rightsgenerallyfromtimetotimeineffect). TheTrusteeisherebyauthorizedtoacceptdeliveryofacertifiedcopyofany SeriesResolutionor Supplementat Resolutionpermittedorauthorizedpursuanttothe provisionsofthisResolutionandtomakeall further agreementsandstipulationswhich maybecontainedtherein,and,in takingsuchaction,the Trusteeshallbefully protectedinrelyingonCounsel'sOpinionthatsuchSeriesResolutionor Supplemental ResolutionisauthorizedorpermittedbyIheprovisionsofIhisResolution. NoSeriesResolutionor Supplemental Resolutionchanging,amendingor modifyinganyoftherightsor obligations oftheTrusteeorofanyPayingAgentmaybe adopledbytheBankwithoutthewrittenconsentoftheTrusteeorPayingAgent affectedthereby. ARTICLE XI AMENDMENTS Section1101•Powers of Amendment.Anymodificationoramendmentofthis ResolutionandortherighlSandObligationsoftheBankandoftheHoldersofthe Bonds,inanyparticular,maybemadebya Supplemental Resolution,withthewritten consentgivenas hereinafter providedinSection1102,(a)oftheHoldersofatleast two-thirdsinprincipalamountofIheBonds Outslanding atthetimesuchconsentis given,or(b)incaselessthanalloftheseveralSeriesofBondsthenOutstandingare affectedbythe modification or amendment,ofthe Holders ofatleasttwo-thirdsin principalamountoftheBondsofeachSeriessoaffectedandOutstandingatthetime suchconsentisgiven;provided,however,thatsuchmodificationor amendment shall not(i)permitachangeinthetermsofredemptionormaturityoftheprincipalofany OutstandingBondorofany installment ofinterestIhereonorSinkingFund Installment therefor,(ii)orareductionintheprincipalamountortheRedemptionPrice lhereor or intherate of interest thereon,or(iii)areductionofthe percenlage oftheHoldersof whichisrequiredtoeffectanysuch modification or amendment,or(iv)permitthe ALASKA /,fUN/OPAL BONO BANI( G..,g",1 OlJ//garlrm !lond RaolurllJll (Amo1llWd) ''''''''''''1<ZlCO'~''''''''''Cklr~AOOCMO'l..;:.l Page 68 AI.ASKA /,fUN/OPAL BOND BAN/{ G",,,,,,I Obllgarlrm Bond R""lU1Ion (Am""dod) ''''''''''''''2DOO'~_Cklr"",_""",R-..o-<-.;>d PogD69 creationofanylienpriortooronaparitywiththeliencreatedbythisResolution(except inthe manner providedbythisResolution)ordeprivetheHoldersoftheBonds olthe liencreatedbythisResolulion,withoullhe consentofIheHoldersofalltheBonds Outstanding oroftheSeriesofBondsaffectedbysuchmodificationoramendment. ForthepurposesofthisSection,aSeriesshallbedeemedtobeaffectedbya modificalion or amendment ofthisResolution if thesameadverselyaffectsor diminishes therightsoftheHoldersofBondsofsuchSeries. Section1102-ConsentofBondholders.(A)TheBankmayatanytimeadopt a Supplemental Resolulionmakingamodificationor amendment permittedbythe provisionsofSection1101,totakeeffectwhenandasprovidedinthisSection.Acopy ofsuch Supplemental Resolution(orbriefsummary thereof orreferencethereto), together witharequesttoBondholdersfortheirconsenttherelo,shallbe10by,oron behalfof,theBank'sto Bondholders.Such SupplementalResolutionshallnotbe effeclive unlessanduntilthereshallhavebeenfiledwiththeTrustee(a)thewritten consentsofHoldersofthe percentages ofOulstanding Bondsspecifiedin aecncn 1101 and(b)aCounsel'sOpinionstalingthatsuch Supplemental Resolutionhasbeenduly and lawfully adopted andfiledbytheBankinaccordancewiththeprovisionsofthis Resolution,isauthorizedorpermittedherebyandisvalidandbindingupontheBank and enforceable in accordance withitsterms,and(ii)anoticeshallhavebeenmailed as hereinafter providedinthisSection. (B)TheconsentofaBondholdertoany modificalion or amendment shallbe effectiveonly if accompanied byproofoftheholding,atthedaleofsuchconsent,ofthe Bondswilhrespectto which such consentisgiven,whichproofshallbesuchasis permitted bySection813.AcertificateorcertificatesbytheTrusteefiledwithIhe Trusteethatithasexaminedsuchproofandthat such proofis sufficient inaccordance withSection813shallbeconclusivethaitheconsentshavebeengivenbytheHolders oftheBondsdescribedinsuchcertificateor certificates oftheTrustee.Anysuch consentshallbebindingupontheHolderoftheBonds giving suchconsentandupon any subsequent Holder ofsuchBondsandofanyBondsissuedinexchangetherefor (regardlessofwhethersuch subsequent Holderthereofhasnoticethereof)unlesssuch consentisrevokedinWritingbythe holder ofsuchBondsgivingsuchconsentora subsequent holderthereofbyfilingwiththeTrustee,priortothetimewhenthewritten statementofthe Trustee hereinafter providedforinthisSectionisfiled,suchrevocation and,ifsuchBondsaretransferablebydelivery,proof that suchBondsareheldbythe signerofsuchrevocationinthe manner permittedbySection813.Thefactmata consenthasnotbeenrevokedmaylikewisebeprovedbyacertificateoftheTrustee filedwiththeTrusteetotheeffectthatnorevocationthereofisonfilewiththeTrustee. (C)AtanytimeafterIheHoldersoftherequired percentages ofBondsshall havefiledtheirconsents10the Supplemental Resolution,theTrusteeshallmakeand file withtheBankandIheTrusteeawritten statement thattheHoldersofsuchrequired percentagesofBondshavefiledsuchconsents.Suchwritten statement shallbe conclusivethatsuchconsentshavebeensofiled.AIanylime thereafter nonce.stating insubstancethatthe Supplemental ResolutionadoptedbytheBankonastateddate, acopyofwhichisonfilewiththeTrustee,hasbeenconsentedtobytheHoldersoflhe requiredpercentagesofBondsandwillbeeffectiveasprovidedinthisSection,maybe given10 Bondholders bytheBankbymailingsuchnoticetoBondholdersatleastonce notmorethanninetydays(90)aftertheHoldersoftherequiredpercentagesofBonds shallhavefiledtheirconsentstothe Supplemental Resolutionandthewritten statement oftheTrusteehereinaboveprovidedforisfiled.TheBankshall file withthe Trusteeproofofthepublicationof such noticeand,ifthesameshallhavebeenmailed toBondholders,ofthemailingthereof.Arecord,conslstoq ofthepapersrequiredor permittedbythisSectiontobe flied wilhtheTrustee,shallbeproofofthematters thereinstated.Such Supplemental Resolulion makingsuch amendment or modification shallbedeemed conclusively bindingupontheBank,theFiduciariesand theHoldersofallBondsattheexpirationofforty(40)daysafterthefilingwithIhe Trusteeoftheproofofthe first publicationofsuchlastmentionednotice,exceptinthe eventofafinaldecreeofacourtof competent jurisdiction settingasidesuch Supplemenlal Resolutioninalegalactionorequitableproceedingforpurpose ALASKA /,fUN/OPAL BONOBANK G..,.,..I OblIgarllJll Band RoaOMIlJIl (Amondod) '1Ooco'.J1«U1O'~Goo.-Cklr_""'_0'l-.;>d Page 70 F-19 ALASICAMUN/c/PAL BOND BAN/{ G.._ObIIgarllJll8f>ndR.oMIon(~} ,"""""".2I:OO'_Goo.-Cklr_""'"'_..,-.;>d Paga 71 commencedwithinsuchfortydayperiod;exceplthat anyFiduciaryandtheBankduring suchfortydayperiodandanysuchfurtherperiodduringwhichanysuchactionor proceeding maybependingshallbeentitledintheirabsolutediscretiontotakesuch action,ortorefrainfromtakingsuchaction,withrespecttosuch Supplemental Resolutionastheymaydeemexpedient. Section1103-Modifications byUnanimousConsent.Thetermsandprovisions ofthisResolutionandtherightsandobligationsoftheBankandofme Holders ofthe Bondsmaybemodifiedoramendedinanyrespectupontheadoptionandfilingwith theTrusteebytheBankofacopyofaSupplementalResolutioncertifiedbyan AuthorizedOfficerandtheconsentofthe Holders ofalloftheBondsthenOutstanding, suchconsent10begivenasprovidedinSection1102,exceptthatnonoticeto Bondholderseitherbymailingorpublicationshallberequiredprovided,however,that nosuchmodificationor amendment shallchangeor modify anyoftherightsor obligations oftheTrusteeorPayingAgentswithoutthefilingwiththe Trustee of its writtenassenttheretoinadditiontotheconsentofBondholders. Section1104-MailingandPublication.AnyprovisioninthisArticleforthe mailingofanoticeorotherdocumentto Bondholders shallbefullycompliedwithifit ismailedpostageprepaidonly(i)toeachregisteredownerofBondsthenOutstanding athisaddress,if any,appearingupontheregistrybooksoftheBank,(ii)toeachHolder ofanyBondpayabletobearerwhoshallhavefiledwiththe Trustee anaddressfor notices,and(iii)totheTrustee. Section 1105·ExclusionofBonds.Bondsownedorheldbyorfortheaccount oftheBankshallnotbedeemedOutstandingforthepurposeofconsentorotheraction oranycalculationofOutstandingBondsprovidedforinthisResolution,andtheBank shallnotbeentitledwithrespecttosuchBondstogiveanyconsentorlakeanyother actionprovidedforinthisResolution.Atthetimeofanyconsentorotheractiontaken underthisResolution,theBankshallfumishtheTrusteeacertificateofanauthorized Officer,uponwhichtheTrusteemayrely,describingaUBondssotobeexcluded. Section1106-NotationonBonds.Bondsdeliveredaftertheeffectivedateof anyactiontakenasinArticleXorXIprovidedmay,and if theTrusteesodetermines, shall,bearnotationby endorsement orotherwiseinformapprovedbytheBankandthe Trusteeastosuchaction,and in thatcaseupondemandoftheHolderofanyBond OutstandingatsucheffectivedateanduponpresentationofhisBondforsuchpurpose atthecorporatetrustofficeoftheTrusteesuitablenotationshallbemadeonsuch BondbytheTrusteeastoanysuchaction.IftheBankortheTrusteeshallso determine,newBondsso modified asintheopinionoftheTrusteeandtheBankto conformtosuchactionshallbepreparedanddelivered,andupondemandofthe HolderofanyBondthen Outstanding shallbeexchanged,withoutcosttosuch Bondholder,forBondsofthesameSeriesandmaturitythen Outstanding,upon surrender ofsuchBonds. ARTICLEXII DEFAULTS ANDREMEDIES Section1201-Trustee10ExercisePowersofStatutoryTrustee.TheTrustee shallbeandherebyisvestedwithalloftherights,powers andcuuesofatrustee appointedbyBondholderspursuanttoSection44.85.310and320oftheActandthe rightof Bondholders toappointatrusteepursuanttoSection 44.85.310 and320ofthe ActisherebyabrogatedpursuanttoSection 44.85.220(18)oftheAct. Section1202•EventsofDefault.EachofthefollOWingeventsishereby declaredan"EventofDefault,"thatistosay;if (a)theBankshall default inthepaymentoftheprincipalorRedemptionPrice of,SinkingFundInstallmentfor,orintereston,anyBondwhenandasthesameshall becomeduewhetheratmaturityoruponcallforredemption,orotherwise;or (b)theBankshallfaitorrefusetocomplywiththeprovisionsofSection 44 .85.270(g)oftheAct,orsuchamountsasshallbecertifiedbytheChairoftheBank tothe Govemor andtotheLegislaturepursuanttosuchprovisionsoftheActshallnot beappropriatedandpaidtotheBankprior10theterminationofthethencurrentState fiscalyear;or ALASKA MUNiCIPAL BONDBANK G"",o,..1 ObJlgMJotIBOI1d Raalul1ot1 (Amattdod) '~.Jl·lU>O'_=e-OoOa·""_""""""""..;ol Page 72 ALASKA MUNICIPAL BOND BAlIK G""lll1Il ObIlgMt""B""et R.alUri""(Amanrlocl) '1(:Io:a\J7':laXI'_~"""""000_"""""""'..;ol Page 73 (c)theBankshallfailorrefusetocomplywiththeprovisionsoftheAct,other thanasprovidedin(b)above,or shall defaultinthe performance orobservanceofany otherofthecovenants,agreements orconditionsonitspartinthisResolution,any SeriesResolution,any Supplemental Resolution,orintheBondscontained,andsuch failure,refusalordefaultshallcontinueforaperiodofforty-five(45)daysafterwritten noticethereofbytheTrusteeortheHoldersofnotlessthantwenty-fivepercentum (25%)inprincipalamountoftheOutstandingBonds. Provided,however,thatanEventof Default shallnotbedeemedtoexistunder theprovisionsofthisparagraph(c)uponthefailureoftheBanktomakeandcollect FeesandChargesrequiredtobemadeandcollectedbytheprovisionsofthis ResolutionoruponthefailureoftheBanktoenforceanyobligationundertakenbya Govemmental UnitpursuanttoaLoan Agreement includingthemakingofthe stipulatedMunicipalBondsPaymentsolongastheBankmayotherwisebedirected bylawandsolongastheBankshallbeprovidedwithmoniesfromtheStateor otherwise,otherthanwithdrawalsfromor reimbursements oftheReserveFund, sufficient inamounttopaytheprincipalofandinterestonallBondsasthesameshall becomedueduringtheperiodforwhichtheBankshallbedirectedbylawtoabstain frommakingandcollectingsuchFeesandChargesandfromenforcingthe obligations ofa Govemmental UnitundertheapplicableLoanAgreement. Section1203 ~Remedies.(A)Uponthe happening and continuance ofany Eventof Default specifiedinparagraph(a)ofSecuon1202,theTrusteeshallproceed, oruponthehappeningand continuance ofanyEventofOefauUspecifiedinparagraphs (b)and(c)ofSection1202,theTrusteemayproceed,anduponthewritten requestor theHoldersofnotlessthantwenty-fivepercentum(25%)inprincipalamountofthe Outstanding Bondsshallproceed,initsownname,toprotectandenforceits righlsand therightsofthe Bondholders bysuchofthefoUowingremedies,astheTrustee,being advisedbycounsel,shalldeemmosteffectualtoprotectandenforcesuchrights: (1)bymandamusorothersuit,actionorproceedingatlaworinequity,enforce allrightsoftheBondholders,inclUdingtherighttorequiretheBanktomakeandcollect FeesandChargesandMunicipalBondsPaymentsadequateto carry outthe covenants and agreemenls asto,andpledgeof,suchFeesandChargesand Municipal Bonds Payments,andotherpropertiesandtorequiretheBankto carry outanyothercovenant or agreement with Bondholders andtoperformitsdutiesundertheAct; (2)bybringingsuitupontheBonds; (3)byactionor suit inequity,requiretheBanktoaccountasifitwerethe trusteeofanexpresstrustfortheHoldersoftheBonds; (4)byactionorsuit in equity,enjoinanyactsorthingswhichmaybeunlawful orinviolationoftherightsoftheHoldersoftheBonds; (B)Uponthe occurrence ofanEventofDefaultunderSection1202(a),unless theprincipalofalltheBondsshallhavealreadybecomedueandpayable,theTrustee, bynoticeinwritingtotheBank,may,andupon thewritlen requestoftheHoldersofnot lessthanamajorityinaggregateprincipalamount cnhe Bondsatthetime outslanding, shall,ineccordencewiththeprovisionsoftheAct,declaretheprincipalof allthe Bonds thenoutstanding,andtheinterestaccruedthereon,to bedue andpayableimmediately, anduponanysuchdeclarationthesameshallbecomeandshallbe immediately due andpayable,anythinginthisResolutionor in \heBondscontained to thecontrary notwithstanding. Thisprovision,however,issubjecttotheconditionthatif,atanytimeafterthe principaloftheBondsshallhavebeensodeclareddueandpayable,andbeforeany jUdgmentordecreeforthepaymentofthemoniesdueshallhavebeenobtainedor entered,theBankshalldepositwiththeTrusteeasum sufficient topayallprincipalon theBondsmaturedpriortosuchdeclarationandallmatured installments of interest (if any)uponalltheBonds,withinterestonsuchoverdueinstallmentsofprincipalatthe rate bornebytherespectiveBonds,andthereasonabteexpensesoftheTrustee,and anyandallotherdefaultsknowntotheTrustee(otherthan in thepaymentofprincipal ofandinterestontheBondsdueandpayablesolelybyreasonofsuch declaration) shallhavebeenmadegoodorcuredtothesatisfactionoftheTrusteeorprovision deemedbytheTrusteetobeadequateshallhavebeenmadetherefor,then,andin ALASKA MUNIOPAl BOND BANK G"""",IObI/g.rt""Bonet R.alulJ""(Antendod} '1<kDI:I":laXI1~e..-Q:<__""""'O'l..;ol Page74 F-20 AlASKA MUNICIPAL BOND BANK G""lll1Il ObIlgMJ""Banet R.alulJan (Amand8d) '1(:Io:a\J7'lU>Ol~""--000_""""""""""'..;ol Pogo 75 everysuchcase,theHoldersofatleastamajorityinaggregateprincipalamountofthe Bondsthenoutstanding,bywriUennoticetotheBankandtotheTrustee,may,on behalfoftheHoldersof atr ofthebonds,rescindandannulsuchdeclarationandits consequences andwaivesuchdefault;butno such rescissionandannulmentshall extendtoorshallaffectany subsequent default,orshall impair orexhaustanyrightor power consequent thereon. (C)Inthe enforcement ofanyremedyunderthisResolution,theTrusteeshall beentiUedtosuefor,enforcepaymentonandreceiveanyandallamountsthenor duringanydefaul!becoming,andatanytimeremaining,duefromtheBankfor principal,RedemptionPrice,interestorotherwise,underany provision ofthis ResolutionoraSeriesResolution orot theBonds,andunpaid,withinterestonoverdue paymentsattherateorratesofinterest specified in suchBonds,togetherwithanyand allcostsandexpensesofcollectionandofall proceedings hereunder andundersuch Bonds,withoutprejudicetoanyotherrightorremedyoftheTrusteeorofthe Bondholders,andtorecoverandenforceajUdgmentordecreeagainsttheBankfor anyportionorsuchamountsremainingunpaid,withinterest,costsandexpenses,and tocollect from anymoniesavailableforsuchpurpose,inanymannerprovidedbylaw, themoniesadjudgedordecreedtobepayable. Section1204-PriorityofPaymentsAfterDefault.Duringthe continuance ofan EventofDefault,intheeventthaIthefundsheldbytheTrusteeandPayingAgents shallbe insufficient forthepaymentofinterestandprincipalorRedemptionPricethen dueontheBonds,suchfunds(otherthanfundsheldforthepaymentorredemptionof particular Bondswhichhave theretofore becomedueatmaturityorbycallfor redemption)andanyothermoniesreceivedorcollectedbytheTrusteeacting pursuant totheActandthisArticleXII,aftermakingprovisionforthepaymentofanyexpenses necessaryintheopinionoftheTrusteetoprotecttheinterestsoftheHoldersofthe Bonds,andforthepaymentofthechargesandexpensesand liabilities incurredand advancesmadebytheTrusteeoranyPayingAgentsinthe performance oftheir respectivedutiesunderthisResolution,shallbeappliedasfollows: (a)UnlesstheprincipaloralloftheBondsshallhavebecomeorhavebeen declareddueandpayable, FIRST:Tothepaymenttothe persons entitledtheretoofall installments ofinterestthendue in theorderofthematurityofsuch installments,together withinterestonoverdue installments of inlerest and,if theamountavailableshall notbesufficienttopayinfullany installment,thentolhepaymentthereof ratably,accordingtotheamountsdueonsuch installment,tothepersons entitledthereto,withoutany discrimination orpreference:and SECOND:Tothepaymenttothepersons entitled Iheretooftheunpaid principalorRedemptionPriceofanyBondswhichshallhavebecomedue, whetheratmaturityorbycallforredemption,intheorderoftheirduedatesand, iftheamountsavailableshallnotbesufficienttopayinfullalltheBondsdueon anydate,thentothepaymentthereofratably,accordingtotheamountsof principalorRedemptionPricedueonsuchdale,tothe persons entitledthereto, withoutanydiscriminationorpreference. (b)IftheprincipalofalloftheBondsshallhavebecomeorhavebeendeclared dueandpayable,tothepaymentoftheprincipalandinterestthendueandunpaid upontheBondstogetherwithinterestonoverdue installments of interest without preferenceorpriorityofprincipaloverinterestorofinterestoverprincipal,orofany installment ofinterestoveranyother installment ofinterest,orofanyBondoverany otherBond,ratably,accordingtotheamountsdue respectively forprincipaland interest,tothe persons entitledtheretowithoutany discrimination or preference except astoanydifferenceintherespectiveratesofinterest specified intheBonds. Whenever moniesaretobeappliedbytheTrustee pursuant totheprovisions ofthisSection1204,suchmoniesshallbeappliedbytheTrusteeatsuchtimes,and fromtimetotime,astheTrusteeinitssolediscretionshalldetermine.havingdue regardtotheamountofsuchmoniesavailableforapplicationandthelikelihoodof additionalmoneybecomingavailablefor such applicationinthefuture;thedeposilof suchmonieswiththePayingAgents,orotherwisesettingasidesuchmonies in trust Al.ASKA /,fUNIr;JPAlBONO BANK eon .....1ObJiJlftlan Band RosalurJlHI (AmandadJ'\DoaU'.2000I-=e..-.ro:<_.........-.__Page 76 Al.ASICA/,fUNIC/PAL BONDBANK e"".....'OblillCllHl Band RHalurJan (Am8nd<>t1) '''-\3,.2Ca>l_..xmC........_.......R''''''''....",Page 77 fortheproperpurpose,shallconstituteproperapplicationbytheTrustee;andthe Trusteeshallincurnoliability whatsoever totheBank,toany Bondholder ortoany otherpersonforanydelayinapplyinganysuchmonies,solongasIheTrusteeacts withreasonablediligence,havingdueregardforthe circumstances,andUltimately appliesIhesameinaccordancewithsuchprovisionsofthisResolutionasmaybe applicableatthetimeorapplicationbytheTrustee.Whenever theTrusteeshall exercisesuchdiscretioninapplyingsuchmonies,itshallfixthedate(whichshallbean interestpaymentdaleunlesstheTrusteeshalldeemanotherdatemoresuitable)upon which suchapplicationistobemadeanduponsuchdateinterestontheamountsor principaltobepaidon such dateshallceasetoaccrue.TheTrusteeshallgive such noticeasitmaydeemappropriateforthefixingofanysuchdate.TheTrusteeshallnot berequiredtomakepaymenttotheHolderofanyunpaidBondunlesssuchBondshall bepresentedtotheTrusteeforappropriate endorsement crtcrcencenauon iffully paid. Interestonoverdue installments ofinterestshallbeequaltotherateontheBondas towhichthe interest installment isoverdue. TheprovisionsofthisSection1204areinallrespectssubjecttotheprovisions ofSection902. Secflon1205-Termination of Proceedings.Incaseanyproceedingtakenby the 'trustee onaccountofanyEventof Default shallhavebeendiscontinuedor abandonedforanyreason,thenineverysuchcasetheBank,theTrusteeandthe Bondholdersshallberestoredtotheirformerpositionsandrightshereunder, respectively,andallrights,remedies,powersanddutiesoftheTrusteeshallcontinue asthoughnosuchproceedinghadbeentaken. Section1206-Bondholders'DirectionofProceedings.Anythinginthis Resolutiontothecontrary notwithstanding,theHoldersofthemajorityinprincipal amounloftheBondsthen Outstanding shallhavetherightbyan instrument orcon- current instruments inwritingexecutedanddeliveredtotheTrustee,todirectthe methodofconductingallremedial proceedings tobetakenbytheTrusteehereunder, providedthat such directionshallnotbeotherwisethenin accordance withlaworthe provisionsofthisResolution,andthattheTrusteeshallhavetherighttodeclineto followinganysuchdirectionwhichintheopinionoftheTrusteewouldbe unjustly prejudicialto Bondholders notpartiestosuchdirection. Section1207-Limitationon Rightsof Bondholders.No HolderofanyBondshall haveanyrighttoinstituteanysuit,action,mandamusorother proceeding inequityor atlawhereunder,orfortheprolection orentcrcement ofanyrightunderIhisResolution orany right underlawunlesssuchHoldershallhavegiventotheTrusteew-ittennotice oftheeventofdefaultorbreachofdutyonaccountofwhichsuchsuit,actionor proceedingistobetaken,andunlesstheHoldersofnotlessthantwenty-fiveper centum(25%)inprincipalamountoftheBondsthen Outstanding shallhavemade writtenrequestoftheTrusteeaftertheright10exercisesuch powers orrightoraction, asthecasemaybe,shallhaveoccurred,andshallhaveaffordedthe Trustee a reasonableopportunityeithertoproceed10exercisethe powers hereingrantedor grantedunderthelawortoinstitutesuchaction,suitor proceeding initsnameand unless,also,thereshallhavebeenofferedtotheTrusteereasonablesecurityand indemnity againstthecosts,expensesandliabilitiestobeincurredthereinorthereby andtheTrusteeshallhaverefusedorneglectedtocomplywithsuchrequestwithina reasonable lime;and such notification,requestandofferof indemnity arehereby declaredineverysuchcase,atIheoptionoftheTrustee,tobe conditions precedent totheexecutionofthepowersunderthisResolution orforany otherremedy hereunder orunderlaw.Itis understood andintendedthatnooneormore Holders oftheBonds herebysecuredshallhaveanyrightinany manner whatever byhisortheiractionto affect,disturb orprejudicethesecurityofthisResolution,ortoenforceanyright hereunder orunderlawwithrespecttotheBondsorthisResolution,exceptinthe manner hereinproVided,andthatall proceedings atlaworinequityshallbeinstituted, hadandmaintainedinthe manner hereinprovidedandforthebenefitofallHoldersof theOutstandingBonds.Notwithstanding theforegoingprovisionsofthisSectionorany other provisionsofthls Article XII,theobligationoftheBankshallbeabsoluteand unconditional topaythe prindpal orRedemptionPriceofand interest ontheBondsto ALASKA /,fUNIC/PAL BOND BANK G..IlIIIIObIlIl.u""Bond Raal1llon (Am8nded) '\DoaU'QOJC1~_""""",,,,"""''''-',,,''''Page 78 F-21 AlASKA MUNlc/PAL BOND BANK Gonllllli ObIIII.rIlHI8<>nd R.oantan (Am~ '\DoaU'.ZX01....---_W_""""...-.....,,,Page 79 the respective Holdersthereofatthe respective duedatesthereof,andnothingherein shallaffector impair therightofaction,whichis absolute and unconditional,ofsuch Holders toenforcesuch payment. Section1208-Possession of Bonds byTrusteeNotRequired.Allrightsof actionunderthis Resolution orunderanyoftheBonds,enforceable bytheTrustee, maybe enforced byit without !he possession ofanyoftheBondsorthe production thereof onlhetrialor other proceeding relativethereto,andanysuchsuit,actionor proceeding institutedbythe Trustee shallbe brought initsnameforthebenefitofall the Holders ofsuchBonds,subjecttotheprovisionsofthisResolution. Section 1209-Remedies NotExclusive.Noremedyherein conferred uponor reservedtotheTrusteeortothe Holders oftheBondsis intended tobe exclusive of anyotherremedyor remedies,andeachandeverysuchremedyshallbe cumulative andshallbeinadditiontoany other remedygiven hereunder ornowor hereafter existingatlaworinequity,orbystatute. Section1210•No Waiver of Default.Nodelayor omission ofthe Trustee orof any Holder oftheBondsto exercise anyrightorpower accruing uponanydefaultshall impair anysuchrightorpowerorshallbe construed tobeawaiverofany such default oran acquiescence therein;andeverypowerand remedy givenbylhisResolutionto the Trustee andthe Holders ortheBonds,respectively,maybe exercised fromtimeto timeandasoftenasmaybe deemed expedient. Section 1211-NoticeofEventof Default.TheTrusteeshallgivetothe Bondholders noticeofeachEventof Default hereunder knowntotheTrusteewithin ninety (90)daysafter knowledge ofthe occurrence thereof,unlesssuchEventof Default shallhavebeenremediedorcuredbeforethegiVingofsuchnotice;provided that,exceptinthecaseof defaull inthe payment ofthe principal or Redemption Price ofor interest onanyoftheBonds,orinthemakingofany payment requiredtobemade intotheDebt Service FundortheReserveFund,theTrusteeshallbe protected in withholding such notice if andsolongastheboardofdirectors,lheexecutive committee,oratrust committee of directors or responsible officersoftheTrusteein goodfaith determines thatthe withholding ofsuchnoticeisintheinterestsoflhe Bondholders.Each such noticeofEventof Default shallbe given bytheTrusteeby mailingwrittennoticethereof:(1)toall registered HoldersofBonds,asthe names and addresses ofsuch Holders appearuponthebooksfor registration and transfer of Bonds askeptbytheTrustee;(2)tosuch Bondholders ashavefiledtheirnamesand addresses withtheTrusteeforthatpurpose;and(3)tosuchother persons asis requiredbylaw. ARTICLE XIII DEFEASANCE Section 1301-Defeasance.(A)IftheBankshall payor causetobepaidtothe HoldersoftheBonds,theprincipaland interest and Redemption Price,ifany,to become duethereon,atthelimesandinthe manner stipulated thereinandinthis Resolution,andalsoshall payor causetobepaidallothersums payable hereunder bytheBank,including any amounts payableto!heUnitedStales,thenthepledgeof anyrevenuesandassetshereby pledged andallotherrightsgranted hereby shall,at theelectionoftheBank (evidenced bya certificate ofan Authorized Officerfiledwith theTrustee,signifying theintention oflhe Bankto discharge allsuch indebtedness and this Resolution andany Supplemental Resolution),and notwithstanding thatanyBonds shallnothavebeen surrendered for payment,be discharged and salisfled.Insuch event,theTrusteeshall,uponthewrittenrequestoftheBank,executeanddeliverto theBankallsuch instruments asmaybe desirable 10 evidence such discharge and satisfaction andthe Fiduciaries shallpayoverordelivertotheBankallmoneysor securities heldbythem pursuant tothis Resolution whicharenotrequiredforthe payment or redemption ofBondsnot theretofore surrendered forsuch payment or redemption. (B)If fundsshallhavebeensetasideandshallbeheldintrustby Fiduciaries forthe payment ofprincipal,interest and Redemption Price(through deposit bythe Bank offunds forsuch payment or redemption or otherwise)atthe maturity oruponthe dateuponwhichsuch Bonds havebeendulycalledfor redemption thereof,suchBonds AlASKA MUNiCiPAL 80ND SANK GOIIosal OlJJlg.Uan 8and RfttaIuU.."(Am.nl1ft1J tlD:a'.31'lO:!O,-.z:<I:lCoow""Cl<_!lo«l,....,."""r,>l Page 60 A!.ASKA MUNICiPAL BONOSANK GOIIIlIII'OlJJill'U""B.."dRfttot/lI...,(Am""l1ft1J L"""""l"lOCO'.--o'ZIIl:lC-.lCl<_llon<l".."",",,,_Pege 61 shallbe deemed tohavebeenpaidwithinthe meaning andwiththeeffect expressed in subsection (A)ofthis Section.An Outslanding Bonds shall,priortothe maturity or redemption datethereof,be deemed tohavebeenpaidwithinthe meaning andwiththe effect expressed in subsection (A)ofthis Section if (i)incaseanyofsaidBondsareto be redeemed onanydatepriorto their maturity,theBankshallhavegiventothe Trusteeinform satisfactory toit irrevocable instructions 10publishasprovidedin Article IVnoticeof redemption onsaiddateofsuchBonds,(ii)thereshallhavebeen deposited withtheTrusteeeitherfundsinanamountwhichshallbesufficient,or Investment Securities whicharenot subject 10redemption priortothedatesonwhich amounts will beneededtomake payments ontheBonds defeased andtheprincipalofandthe interest onwhichwhenduewillprovide moneys which,together withthemoneys,if any,deposited withthe Trustee atthesametime,shallbe sufficient intheopinionof an Accounlant delivered totheTrustee,topaywhenduetheprincipalor Redemplion Price,if any,andinterestdueandto become dueonsaid Bonds onanydatepriorto the redemption dateor maturity datethereof,asthecasemaybe,(iii)intheeventsaid Bondsarenotbytheirtermssubjectto redemption withinthenext succeeding slxty(60) days,theBankshallhavegiventheTrusteeinform satisfactory toit irrevocable instructions tomailanoticetotheHoldersofsuch Bonds thatthe deposit requiredby (ii)abovehasbeenmade with theTrusteeandthatsaidBondsare deemed tohave beenpaidin ecccroance withthisSectionandSlatingsuch maturity or redemption date uponwhich moneys aretobe available forthe payment ofthe principal or Redemption Price,if any,ofsaid Bonds and (iv)a Counsel's Opinion slaling thatall conditions precedent tothe satisfaction and discharge ofthis Resolution havebeencompliedwith, the defeasance complies withthetermsofthis Resolution,andthe defeasance willnot adversely affectthelax slatus oftheBonds.Neither Investment Securities ormoneys deposited with me Trustee pursuant tothisSectionnorprincipalor interest payments onanysuch Inveslment Securities shallbewithdrawnorusedforany purpose other than,andshallbeheldintrustfor,the payment oftheprincipalor Redemption Price, ifany,ofand interest onsaidBonds;provided thatanycashreceivedfromsuch principalor interest payments onsuch Investment Securities deposited withthe Trustee,jf notthen needed forsuch purpose,shall,tothe extent practicable,be reinvested in Investment Securilies maturingattimesandin amounts sufficient topay whenduetheprincipalor Redemption Price,ifany,and interest tobecomedueonsaid Bondsonandpriortosuch redemption dateor maturity datethereof,asthecasemay be,and interest earned fromsuch reinvestments shallbepaidovertotheBank,as receivedbytheTrustee,freeandclearofanytrust,lienorpledge. (C)If,throughthe deposit of moneys bytheBankor otherwise,the Fiduciaries shallhold,pursuant tothisResolution,moneys sufficient topaytheprincipaland interest to maturity onall Outstanding Bondsortopay,inthecaseofBondsinrespect ofwhichtheBankshallhavetakenallaction necessary toredeempriorto maturity,the Redemption Priceand interest tosuch redemplion date,thenatthe written requestof theBankall moneys heldbyanyPayingAgentshallbepaidovertotheTrusteeand, tcqerher withother moneys heldbyit hereunder,shallbeheldbytheTrusteeforthe payment or redemption of Outstanding Bonds. (D)Anythinginthis Resolution tothe contrary notwithstanding,any moneys held bya Fiduciary intrustforthe payment and discharge ofanyoftheBondswhichremain unclaimed foroneyearafterthedatewhenalloftheBondshave become dueand payable,eitherattheirstared maturity datesorbycallforearlier redemption,ifsuch moneys wereheldbythe Fiduciary atsuchdate,orforoneyear after thedateor deposit ofsuch moneys if deposited withthe Fiduciary afterthesaiddatewhenallof theBondsbecamedueandpayable,shallberepaidbythe Fiduciary totheBank,as its absolute property andfreefromtrust,andtheFiduciaryshallthereuponbereleased and discharged. (E)The references inthissectionto "lnvesiment Securities described inclause (1)ofthe definition thereor shallincludeonlydirectandgeneral obligations ofthe UnitedStateswhichare not-callable prior10the scheduled maturity intherelated escrow deposit agreement wherethe Outstanding Bonds tobe deemed tobe paid upon AlASKA MUNiCiPAL BONO BANK GOIIIlIIII OlJJlg.uOll Bond RalWlkHI (Amlfldld) tl<boUlolawl'_e..-Cl<__........""r,>l Page 62 F-22 ALASKA MUNiCiPAL BOND BAliK aOll1llll1 OlJJlg.uOtl Bond n.."1tl:I",,(Am.ndldJ '~l"""'_""""e.-Cl<__""""""~Pago 83 thedepositthereofareinsuredbyamunicipalbondinsurancecompanylicensedand authorizedtoissuethepolicyin the State. ARTICLEXIV MISCELLANEOUS Section1401-PreservationandInspectionofDocuments.Alldocuments receivedby the TrusteeoranyPayingAgentundertheprovisionsofthisResolutionor anySeriesResolutionshallberetainedinitspossessionandshallbesubjectatall reasonablelimestotheinspectionoftheBank,IheTrusteeoranyPayingAgentand, afterwritlen requestreceivedbytheTrusteeatleastfivebusiness days priortothe date ofinspection,byanyHolderoffivepercentinprincipalamountofanySeriesof OutstandingBonds.andtheiragentsandrepresentatives,anyofwhommaymake copiesthereof. Section1402-PartiesofInterest.NothinginthisResolutionorinanySeries Resolution adopted pursuant toIheprovisionshereof.expressedorimplied,isintended toorshallbeconstruedtoconferupon orto givetoanypersonorpartyotherIhanthe Bank,Trustee,PayingAgentsandtheHoldersofIheBonds,remediesorclaimsunder orbyreasonofthisResolutionoranySeriesResolutionoranycovenants.conditions orstipulationsthereof;and all covenants.srtoutatcns.promisesandagreementsinthis ResolutionandanySeriesResolutioncontainedbyoronbehalfoftheBankshallbe forthesoleandexclusivebenefitorIheBank,TrusteeandPayingAgentsandthe Holdersfromtimeto time oftheBonds. Section 1403 •NoRecourseUnderResolutionoronBonds.Allcovenants. stipulations.promises,agreementsandobligationsoftheBankcontainedinthis Resolutionshallbedeemedtobethecovenants,stipulations,promises,agreements andobligationsofIheBankandnotofanymember,officeroremployeeoftheBank inhisindividualcapacity,andnorecourseshallbehadforthepaymentoftheprincipal orRedemptionpriceoforinterestontheBondsorforanyclaimbasedthereonoron thisResolutionagainstanymember,officeroremployeeoftheBankoranynatural person executingtheBond. Section1404-Severability.If anyone ormoreorthecovenants.s!ipulations, promises.agreementsorobligations,provided in thisResolutiononthepartofthe Bank,TrusteeoranyPayingAgenttobeperformedshouldbedeterminedbyacourt ofcompetentjurisdictiontobecontrarytolaw.thensuchcovenantorcovenants, stipulationorstipulations,promiseorpromises.agreementoragreements,obligalion orobligationsshallbedeemedandconstruedtobeseverablefromtheremaining covenants.stipulations,promises,agreementsandobligationshereincontainedand shallinnowayaffectIhevalidityoftheotherprovisionsofthisResolution. Section 1405·Headings.Anyheadingsprecedingthetextsoftheseveral ArticlesandSectionshereof,andanytabteofcontentsormarginalnotesappendedto copieshereof,shallbesolelyforconvenienceofreferenceandshallnotconstitutea partof this Resolution,norshalltheyaffectitsmeaning,ccnsuuctlonoreffect. Section1406-Conflict.Allresolutionsorpartsorresolutionsorother proceedingsoftheBankin conflict herewithbeandthesamearerepealedinsofaras suchconflictexists. Section1407-Governing law.ThisResolutionandtheBondsshallbe construedinaccordancewith,andgovernedby,thelawsoftheStateofAlaska. Section1408-EffectiveDate.ThisResolutionshalltakeeffectimmediately uponitsadoption. ALASICA MUNICIPAL BONO BANK GlI/I~'ObJIQ_rlon BOlld R050lurloll {AmondfHl} ''''''''"''''.:'IXIDI_.-.I2C<eGo<'O...Ck:lQ...........,R'''''"'''''''_ [ThIS PAGE lmENTIONALLY LEFT BLANK] Page 8-4 F-23 ALASItA MUNiCiPAL 801010 BANK G""o ...'ObJlg_rloII BOlld Rosoll/rlon (AmorrdvdJ ''''''''"''''':'IXID1-=G......Ck:I_......,~00<M''''_ [THISPAGE INTENTIONAU.Y LEFT BLANKj Page85 [THIS PAGE INTENTIONALLY LEFf BLANK] APPENDIXG DTC and Book-EntrySystem [THIS PAGE INTENTIONALLYLEFT BLANK] DTCAND BOOK-ENTRY SYSTEM 1.TheDepositoryTrustCompany("DTC"),NewYork,NY,willactassecuritiesdepositoryforthe 2015SeriesThreeBonds.The2015SeriesThreeBondswillbeissuedasfully-registeredsecuritiesregisteredin thenameofCede &Co.(DTC'spartnershipnominee)orsuchothernameasmayberequestedbyanauthorized representativeofDTC.Onefully-registeredcertificatewillbeissuedforeachmaturityofthe2015SeriesThree Bondsintheaggregateprincipalamountofsuchmaturity,andwillbedepositedwithDTC. 2.DTC,theworld'slargestsecuritiesdepository,isalimited-purposetrustcompanyorganizedunderthe NewYorkBankingLaw,a"bankingorganization"withinthemeaningoftheNewYorkBankingLaw,amember oftheFederalReserveSystem,a"clearingcorporation"withinthemeaningoftheNewYorkUniform CommercialCode,anda"clearingagency"registeredpursuanttotheprovisionsofSection17AoftheSecurities ExchangeActof1934.DTCholdsandprovidesassetservicingforover3.5millionissuesofU.S.andnon-U.S. equityissues,corporateandmunicipaldebtissues,andmoneymarketinstruments(fromover100countries)that DTC'sparticipants("DirectParticipants")depositwithDTC.DTCalsofacilitatesthepost-tradesettlement amongDirectParticipantsofsalesandothersecuritiestransactionsindepositedsecurities,throughelectronic computerizedbook-entrytransfersandpledgesbetweenDirectParticipants'accounts.Thiseliminatestheneed forphysicalmovementofsecuritiescertificates.DirectParticipantsincludebothU.S.andnon-U.S.securities brokersanddealers,banks,trustcompanies,clearingcorporations,andcertainotherorganizations.DTCisa wholly-ownedsubsidiaryofTheDepositoryTrust &ClearingCorporation("DTCC").DTCCistheholding companyforDTC,NationalSecuritiesClearingCorporationandFixedIncomeClearingCorporation,allofwhich areregisteredclearingagencies,DTCCisownedbytheusersofitsregulatedsubsidiaries.AccesstotheDTC systemisalsoavailabletootherssuchasbothU.S.andnon-U.S.securitiesbrokersanddealers,banks,trust companies,andclearingcorporationsthatclearthroughormaintainacustodialrelationshipwithaDirect Participant,eitherdirectlyorindirectly("IndirectParticipants").DTChasaratingfromStandard &Poor'sof AA+.TheDTCRulesapplicabletoitsParticipantsareonfilewiththeSecuritiesandExchangeCommission. MoreinformationaboutDTCcanbefoundatwww.dtcc.com. 3.Purchasesof2015SeriesThreeBondsundertheDTCsystemmustbemadebyorthroughDirect Participants,whichwillreceiveacreditforthe2015SeriesThreeBondsonDTC'srecords.Theownership interestofeachactualpurchaserofeach2015SeriesThreeBond("BeneficialOwner")isinturntoberecorded ontheDirectandIndirectParticipantsrecords.BeneficialOwnerswillnotreceivewrittenconfirmationfrom DTCoftheirpurchase.BeneficialOwnersare,however,expectedtoreceivewrittenconfirmationsproviding detailsofthetransaction,aswellasperiodicstatementsoftheirholdings,fromtheDirectorIndirectParticipant throughwhichtheBeneficialOwnerenteredintothetransaction.Transfersofownershipinterestsinthe2015 SeriesThreeBondsaretobeaccomplishedbyentriesmadeonthebooksofDirectandIndirectParticipantsacting onbehalfofBeneficialOwners.BeneficialOwnerswillnotreceivecertificatesrepresentingtheirownership interestsin2015SeriesThreeBonds,exceptintheeventthatuseofthebook-entrysystemforthe2015Series ThreeBondsisdiscontinued. 4.Tofacilitatesubsequenttransfers,all2015SeriesThreeBondsdepositedbyDirectParticipantswith DTCareregisteredinthenameofDTC'spartnershipnominee,Cede &Co.,orsuchothernameasmaybe requestedbyanauthorizedrepresentativeofDTC.Thedepositof2015SeriesThreeBondswithDTCandtheir registrationinthenameofCede &Co.orsuchotherDTCnomineedonoteffectanychangeinbeneficial ownership.DTChasnoknowledgeoftheactualBeneficialOwnersofthe2015SeriesThreeBonds;DTC's recordsreflectonlytheidentityoftheDirectParticipantstowhoseaccountssuch2015SeriesThreeBondsare 0-1 credited,whichmayormaynotbetheBeneficialOwners.TheDirectandIndirectParticipantswillremain responsibleforkeepingaccountoftheirholdingsonbehalfoftheircustomers. 5.ConveyanceofnoticesandothercommunicationsbyDTCtoDirectParticipants,byDirect ParticipantstoIndirectParticipants,andbyDirectParticipantsandIndirectParticipantstoBeneficialOwnerswill begovernedbyarrangementsamongthem,subjecttoanystatutoryorregulatoryrequirementsasmaybeineffect fromtimetotime.BeneficialOwnersof2015SeriesThreeBondsmaywishtotakecertainstepstoaugmentthe transmissiontothemofnoticesofsignificanteventswithrespecttothe2015SeriesThreeBonds,suchas redemptions,tenders,defaults,andproposedamendmentstothe2015SeriesThreeBonddocuments.For example,BeneficialOwnersof2015SeriesThreeBondsmaywishtoascertainthatthenomineeholdingthe2015 SeriesThreeBondsfortheirbenefithasagreedtoobtainandtransmitnoticestoBeneficialOwners.Inthe alternative,BeneficialOwnersmaywishtoprovidetheirnamesandaddressestotheregistrarandrequestthat copiesofnoticesbeprovideddirectlytothem. 6.RedemptionnoticesshallbesenttoDTC.Iflessthanallofthe2015SeriesThreeBondswithina maturityarebeingredeemed,DTC'spracticeistodeterminebylottheamountoftheinterestofeachDirect Participantinsuchmaturitytoberedeemed. 7.NeitherDTCnorCede &Co.(noranyotherDTCnominee)willconsentorvotewithrespectto2015 SeriesThreeBondsunlessauthorizedbyaDirectParticipantinaccordancewithDTC'sMMIProcedures.Under itsusualprocedures,DTCmailsanOmnibusProxytotheBondBankassoonaspossibleaftertherecorddate. TheOmnibusProxyassignsCede &Co.'sconsentingorvotingrightstothoseDirectParticipantstowhose accounts2015SeriesThreeBondsarecreditedontherecorddate(identifiedinalistingattachedtotheOmnibus Proxy). 8.Paymentsonthe2015SeriesThreeBondswillbemadetoCede &Co.,orsuchothernomineeasmay berequestedbyanauthorizedrepresentativeofDTC.DTC'spracticeistocreditDirectParticipants'accounts uponDTC'sreceiptoffundsandcorrespondingdetailinformationfromtheBondBankortheTrustee,onpayable dateinaccordancewiththeirrespectiveholdingsshownonDTC'srecords.PaymentsbyParticipantsto BeneficialOwnerswillbegovernedbystandinginstructionsandcustomarypractices,asisthecasewith securitiesheldfortheaccountsofcustomersinbearerformorregisteredin"streetname,"andwillbethe responsibilityofsuchParticipantandnotofDTC,theBondBankortheTrustee,subjecttoanystatutoryor regulatoryrequirementsasmaybeineffectfromtimetotime.Paymentofprincipalandinterestpaymentsonthe BondstoCede &Co.(orsuchothernomineeasmayberequestedbyanauthorizedrepresentativeofDTC)isthe responsibility of theBondBankortheTrustee,disbursementofsuchpaymentstoDirectParticipantswillbethe responsibilityofDTC,anddisbursementofsuchpaymentstotheBeneficialOwnerswillbetheresponsibilityof DirectandIndirectParticipants. 9.DTCmaydiscontinueprovidingitsservicesasdepositorywithrespecttothe2015SeriesThree BondsatanytimebygivingreasonablenoticetotheBondBankortheTrustee.Undersuchcircumstances,inthe eventthatasuccessordepositoryisnotobtained,2015SeriesThreeBondcertificatesarerequiredtobeprinted anddelivered. 10.TheBondBankmaydecidetodiscontinueuseofthesystemofbook-entry-onlytransfersthrough DTC(orasuccessorsecuritiesdepository).Inthatevent,2015SeriesThreeBondcertificateswillbeprintedand deliveredtoDTC. G-2 11.Theinformationinthissection concerning DTCandDTC'sbook-entrysystemhasbeenobtained fromsourcesthattheBondBankbelievestobereliable,buttheBondBanktakesnoresponsibilityforthe accuracythereof. G-3 [THIS PAGE INTENTIONALL Y LEFT BLANK] [THIS PAGE INTENTIONALLY LEFT BLANK] [THIS PAGE INTENTIONALLY LEFT BLANK] Printedby:ImageMaster.LLC www.imagemaster.(om • LOAN AGREEMENT THIS LOANAGREEMENT,datedasofthe1stdayof September 2015,between theAlaskaMunicipalBondBank(the"Bank"),abodycorporateandpoliticconstituted asan instrumentality oftheStateofAlaska(the"State")exercisingpublicandessential governmental functions,created pursuant totheprovisionsofChapter85,Title44, AlaskaStatutes,asamended(the"Act"),havingitsprincipalplaceofbusinessat Juneau,Alaska,andtheUniversityofAlaska,apubliccorporationandgovernmental instrumentality oftheStateofAlaska,createdandexistingunderSection2ofArticleVII oftheAlaskaConstitution,andChapter40ofTitle14oftheAlaskaStatutes(the "University"): WIT NE SSE TH: WHEREAS,pursuanttotheAct,theBankisauthorizedtomakeloansofmoney (the"Loan"or"Loans")togovernmentalunits;and WHEREAS,theUniversityisa Governmental UnitasdefinedintheGeneral BondResolutionoftheBank hereinafter mentionedandpursuanttotheActis authorizedtoacceptaLoanfromtheBanktobeevidencedbyitsmunicipalbond;and WHEREAS,theUniversitydesirestoborrowmoneyfromtheBankintheamount nottoexceed$87,500,000andhassubmittedanapplicationtotheBankforaLoanin theamountnottoexceed$87,500,000,andtheUniversityhasdulyauthorizedthe issuanceofitsfullyregisteredbondinthe aggregate principalamountof$86,085,000 (the"MunicipalBond"),whichbondistobepurchasedbytheBankasevidenceofthe LoaninaccordancewiththisLoanAgreement;and WHEREAS,theapplicationofthe University containstheinformationrequested bytheBank;and WHEREAS,toprovidefortheissuanceofbondsoftheBankinordertoobtain fromtimetotimemoneywithwhichtomakeLoans,theBankadopteditsGeneral ObligationBondResolutiononJuly13,2005,asamended(the"GeneralBond Resolution")andSeriesResolutionNo.2015-04(S),approvedon August 11,2015 (together withtheGeneralBondResolution,the"BondResolution"),authorizingthe makingofsuchLoantotheUniversityandthepurchaseoftheMunicipalBond;and WHEREAS,theBoardoftheBankapprovedcertain modifications totheGeneral BondResolution,effectiveonthedatewhenallbondsissuedunderthetermsofthe GeneralBondResolution,priortoFebruary19,2013,ceasetobeoutstanding. NOW,THEREFORE,thepartiesagree: 1.TheBankherebymakestheLoanandtheUniversity accepts theLoanin theaggregateprincipalamountof$86,085,000.AsevidenceoftheLoanmadetothe UniversityandsuchmoneyborrowedfromtheBankbytheUniversity,theUniversity herebysellstotheBanktheMunicipalBondintheprincipalamount,withtheprincipal installment payments,andbearinginterestfromitsdateattherateorratesperannum, statedinExhibitAappendedhereto. 2.TheUniversityrepresentsthatithasdulyadoptedorwilladoptall necessary ordinancesorresolutions,includingaresolutionentitled"Resolutionofthe BoardofRegentsoftheUniversityofAlaskaAuthorizingtheIssuanceandSaleofNot toExceed$87,500,000Principal Amount ofUniversityofAlaskaGeneralRevenue Bonds,2015SeriesU;ApprovingtheFormofaSupplementalIndentureandaLoan Agreement;AuthorizingtheSaleoftheBondstotheAlaskaMunicipalBondBank;and AuthorizingandApprovingRelatedMatters,"adoptedonJune4,2015(the"University Resolution"),andhastakenorwilltakeallproceedingsrequiredbylawtoenableitto enter intothisLoan Agreement andissueitsMunicipalBondtotheBankandthatthe MunicipalBondwillconstitutearevenuebond,aspecialandlimitedobligationofthe University,alldulyauthorizedbytheUniversityResolution. 3.Subjecttoanyapplicablelegallimitations,theamountstobepaidbythe UniversitypursuanttothisLoan Agreement representinginterestdueonitsMunicipal Bond(the"MunicipalBondInterestPayments")shallbecomputedatthesamerateor ratesofinterestbornebythe corresponding maturitiesofthebondssoldbytheBankin ordertoobtainthemoneywithwhichtomaketheLoanandtopurchasetheMunicipal Bond(the"LoanObligations")andshallbepaidbytheUniversityatleastseven(7) business daysbeforetheinterestpaymentdatesoastoprovidefunds sufficient topay interest asthesamebecomesdueontheLoanObligations. 4.TheamountstobepaidbytheUniversitypursuanttothisLoan Agreement representingprincipaldueonitsMunicipalBond(the"MunicipalBondPrincipal Payments"),shallbepaidatleastseven(7)businessdaysbeforethepaymentdate statedintheMunicipalBondsoastoprovidefundssufficienttopaytheprincipalofthe LoanObligationsasthesamematuresbaseduponthematurity schedule statedin ExhibitAappendedhereto. 5.IntheeventtheamountsreferredtoinSections3and4 hereof tobepaid bytheUniversitypursuanttothisLoan Agreement arenotmadeavailableatanytime specifiedherein,theUniversityagreesthatanymoneypayabletoitbyany department or agency oftheStatemaybewithheldfromitandpaidover directly totheTrustee AMBB/General ObligationBonds,2015Series Three Loan Agreement 1:\Docs\37421742\Loan Agreement (University Of Alaska).Docx Page2 actingundertheGeneralBondResolution,andthisLoan Agreement shallbefull warrant,authority anddirectiontomakesuch payment uponnoticetosuchdepartment oragencybytheBank,withacopyprovidedtotheUniversity,asprovidedintheAct. 6.IntheeventLoanObligationshavebeenrefundedandtheinterestrates theBankisrequiredtopayonitsrefundingbondsinanyyeararelessthantheinterest ratespayablebytheUniversityontheMunicipalBondforthe corresponding year pursuant tothetermsoftheMunicipalBond,thenboththeMunicipalBondInterest PaymentsandtheMunicipalBondPrincipalPaymentswillbeadjustedinsucha manner that(i)theinterestratepaidbytheUniversityonanyprincipal installment ofthe MunicipalBondisequaltotheinterestratepaidbytheBankonthecorresponding principal installment oftheBank'srefundingbondsand(ii)ona present valuebasisthe sumoftheadjustedMunicipalBondInterestPaymentsandMunicipalBondPrincipal PaymentsisequaltoorlessthanthesumoftheMunicipalBond Interest Paymentsand MunicipalBondPrincipalPaymentsdueovertheremainingtermoftheMunicipalBond aspreviouslyestablishedunderthisLoanAgreement.Intheeventofsucharefunding ofLoanObligations,theBankshallpresenttotheUniversityfortheUniversity's approval,arevisedscheduleofprincipal installment amountsandinterestratesforthe MunicipalBond.IfapprovedbytheUniversitytherevisedscheduleshallbeattached heretoasExhibitAandincorporatedhereininreplacementofthepreviousExhibitA detailingsaidprincipal installment amountsandinterestrates. 7.TheUniversityisobligatedtopaytotheBankFeesandCharges.Such FeesandChargesactuallycollectedfromtheUniversityshallbeinanamount sufficient,together withtheUniversity's Allocable Proportion(asdefinedbelow)ofother moneyavailable therefor undertheprovisionsoftheBondResolution,andothermoney availabletherefor,includinganyspecificgrantsmadebytheUnitedStatesofAmerica oranyagencyor instrumentality thereof orbytheStateoranyagencyor instrumentality thereof andamountsapplied therefor fromamountstransferredtotheOperatingFund pursuant toSection606oftheGeneralBondResolution: (a)topay,asthesamebecomedue,theUniversity'sAllocable Proportionofthe Administrative ExpensesoftheBank;and (b)topay,asthesamebecomedue,theUniversity'sAllocable Proportionofthefeesand expenses oftheTrusteeandpaying agent fortheLoan Obligations. TheUniversity's Allocable Proportionasusedhereinshallmeanthe proportionate amountofthetotalrequirementinrespecttowhichthetermisused determinedbytheratiothattheprincipalamountoftheMunicipalBondoutstanding AMBB/General Obligation Bonds,2015 Series Three Loan Agreement 1:\Docs\37421742\Loan Agreement (University Of Alaska).Docx Page3 bearstothetotalofallLoansthen outstanding toallGovernmentalUnitsunderthe GeneralBondResolution,ascertifiedbytheBank.The waiver bytheBankofanyfees payablepursuanttothisSection7shallnotconstitutea subsequent waiverthereof. 8.TheUniversityisobligatedtomaketheMunicipalBondPrincipal PaymentsscheduledbytheBank.ThefirstsuchMunicipalBondPrincipalPaymentis dueatleastseven(7)businessdayspriortothedateindicatedonExhibitAappended hereto,and thereafter ontheanniversary thereof eachyear.TheUniversityisobligated tomaketheMunicipalBondInterestPaymentsscheduledbytheBankonasemi- annualbasiscommencingseven(7)businessdayspriortothedateindicated on Exhibit Aappendedhereto,andtopayanyFeesandChargesimposedbytheBankwithin30 daysofreceivingtheinvoiceoftheBanktherefor. 9.TheBankshallnotsellandtheUniversityshallnotredeempriorto maturityanyportionoftheMunicipalBondinanamountgreaterthantheLoan Obligationswhicharethenoutstandingandwhicharethenredeemable,andinthe eventofanysuchsaleorredemption,thesameshallbeinanamountnotlessthanthe aggregateof(i)theprincipalamountoftheMunicipalBond(orportionthereof)tobe redeemed,(ii)theinteresttoaccrueontheMunicipalBond(orportionthereof)tobe redeemedtothenextredemptiondate thereof notpreviouslypaid,(iii)theapplicable premium,ifany,payableontheMunicipalBond(orportionthereof)toberedeemed, and(iv)thecostandexpensesoftheBankineffectingtheredemptionoftheMunicipal Bond(orportionthereof)toberedeemed.TheUniversityshallgivetheBankatleast50 days'noticeofintentiontoredeemitsMunicipalBond. IntheeventtheLoanObligationswithrespecttowhichthesaleorredemption priortomaturityofsuchMunicipalBondisbeingmadehavebeenrefundedandthe refundingbondsoftheBankissuedforthepurposeofrefundingsuchLoanObligations wereissuedinaprincipalamountinexcessoforlessthantheprincipalamountofthe MunicipalBondremainingunpaidatthedateofissuanceofsuchrefundingbonds,the amountwhichtheUniversityshallbeobligatedto payor theBankshallreceiveunder item(i)aboveshallbetheprincipalamountofsuchrefundingbondsoutstanding. IntheeventtheLoanObligationshavebeenrefundedandtheinteresttheBank isrequiredtopayontherefundingbondsislessthantheinteresttheBankwasrequired topayontheLoanObligations,theamountwhichtheUniversityshallbeobligatedto payor theBankshallreceiveunderitem(ii)aboveshallbetheamountofinterestto accrueonsuchrefundingbondsoutstanding. IntheeventtheLoanObligationshavebeenrefunded,theamountwhichthe Universityshallbeobligatedto payor theBankshallreceiveunderitem(iii)above, AMBB/General Obligation Bonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (University Of Alaska).Docx Page4 whentherefundedLoan Obligations aretoberedeemed,shallbetheapplicable premium,ifany,ontheLoanObligationstoberedeemed. NothinginthisSectionshallbeconstruedaspreventingtheUniversityfrom refundingtheMunicipalBondinexchangeforanewMunicipalBondinconjunctionwith arefundingoftheLoanObligations. 10.Simultaneously withthedeliveryoftheMunicipalBondtotheBank,the UniversityshallfurnishtotheBankevidence satisfactory totheBankwhichshallset forth,among other things,thattheMunicipalBondwillconstituteavalidandbinding specialandlimitedobligationoftheUniversity,securedbytheRevenuesofthe University,asdefinedintheUniversity'sTrustIndenture,datedJune1,1992,as amendedand supplemented byanEighteenthSupplementalIndenturedated September 1,2015,(together,the"UniversityIndenture"). 11.InvoicesforpaymentsunderthisLoan Agreement shallbeaddressedto theUniversity,Attention:Controller ofFinance,P.O.Box756540,FairbanksAlaska 99775-6540.TheUniversityshallgivetheBankandthecorporatetrustofficeofthe TrusteeundertheGeneralBondResolutionatleast30days'writtennoticeofany changeinsuchaddress. 12.The University herebyagreesthatitshallfullyfund,atthetimeofLoan funding,itsdebtservicereservefund(inan amount equalto$2,792,918.75)which securespaymentofprincipalandinterestonitsMunicipalBondandparitybonds,and thattheyieldonamountsheldinsuchfundandattributabletotheMunicipalBondshall berestrictedtoayieldnotinexcessof3.6984percent.TheBankhaswaivedits requirementthatthe University's debtservicereservefundbeheldbythesameentity whichservesastheBank'strustee. 13.The University herebyagreesandcovenantstocomplywiththetermsand conditionssetforthintheUniversityIndentureandherebyincorporatessuchtermsand conditionsasiffullysetforthherein. 14.The University herebyagreestokeepandretain,untilthedatesix(6) yearsafterthe retirement oftheMunicipalBond,oranybondissuedtorefundthe MunicipalBond,orsuch longer periodasmayberequiredbytheUniversity'srecord retentionpoliciesand procedures,recordswithrespecttotheinvestment,expenditure anduseoftheproceedsderivedfromthesaleofitsMunicipalBond,includingwithout limitation,records,schedules,bills,invoices,checkregisters,cancelledchecksand supporting documentation evidencing useofproceeds,andinvestmentsand/or AMBB/General Obligation Bonds,2015 Series Three Loan Agreement 1:\Docs\37421742\Loan Agreement (University Of Alaska).Docx Page5 reinvestments ofproceeds.TheUniversityagreesthatallrecordsrequiredbythe precedingsentenceshallbemadeavailabletotheBankuponrequest. 15.Priorto payment oftheamountoftheLoanoranyportionthereof,andthe delivery oftheMunicipalBondtotheBankoritsdesignee,theBankshallhavetheright tocancelalloranypartofitsobligations hereunder if: (a)Anyrepresentation,warranty orother statement madebythe UniversitytotheBankin connection withitsapplicationtotheBankforaLoanshallbe incorrect orincompleteinanymaterialrespect. (b)The University hasviolated commitments madebyitinthetermsof thisLoanAgreement. (c)ThefinancialpositionoftheUniversityhas,intheopinionofthe Bank,sufferedamateriallyadversechangebetweenthedateofthisLoanAgreement andthescheduledtimeofdelivery of theMunicipalBondtotheBank. 16.TheobligationoftheBankunderthisLoan Agreement iscontingentupon delivery ofitsGeneralObligationBonds,2015SeriesThree,andreceiptofthe proceedsthereof. 17.The University agreesthatitwillprovidetheBankwithwrittennoticeof anydefaultincovenantsundertheUniversityIndenturewithinthirty(30)daysfromthe datethereof. 18.The University Indenture,atSection708,requirestheUniversitytoatall timesfix,maintainandcollectfees,chargesandrentals,andtheUniversitywilladjust suchfees,chargesandrentalsfromtimetotimesothattheRevenuesshallbeatleast equalineachFiscal Year tothe greater of(a)thesumof:(1)anamountequalto Aggregate DebtServiceforsuchFiscalYear;(2)theamount,ifany,tobepaidduring suchFiscalYearintotheReserveFund;(3)theamountofthedraws,interestand expensesthendueandowing under anyReserveEquivalent;and(4)allotheramounts whichtheUniversitymaynowor hereafter becomeobligatedtopayfromRevenues duringsuchFiscalYearbylaworcontract;and(b)anamountequaltoatleast2.0times the Aggregate DebtServiceforsuchFiscalYear(the"RateCovenant"). The University agreestoprovidetheBankwithannualwrittennoticefor thetermoftheMunicipalBondevidencing whether theUniversityhassatisfiedtheRate Covenant.SuchnoticeshallbeprovidedbytheUniversitytotheBankwithinninety-five (95)daysoftheendofthe University's FiscalYear.IftheUniversityfailstosatisfythe AMBB/General ObligationBonds,2015 Series Three Loan Agreement 1:\Docs\37421742\Loan Agreement (University Of Alaska).Docx Page6 Rate Covenant inanyFiscalYear,theUniversityagreestoadjustfees,chargesand rentalsasrequiredbytheIndentureandshallprovidetheBankwithwrittennoticeof such adjustment effectivethefollowingFiscalYear. Alltermsnotdefinedinthisparagraph18orhereinshallhavethe meaningsetforthintheIndenture. 19.TheUniversityagreesthatitshallfileitsannualfinancialstatementwith theMunicipalSecuritiesRulemakingBoardnotlaterthantwohundredten(210)days aftertheendofeachfiscalyearoftheUniversityforthetermoftheMunicipalBond. TheUniversityfurtheragreesthatfilingsunderthisSection19shallbemadein connectionwithCUSIPNos.01179P,011798and01179R.Additionaloralternate CUSIPnumber(s)maybeaddedfromtimetotimebywrittennoticefromtheBankto theUniversity.TheUniversityagreesthatifitshallreceivefromtheBankCUSIP number(s)inadditiontothosesetforthinthisSectionthenitshallmakeitsfilingsusing bothCUSIPnumbershereinstatedandany additional CUSIPnumber(s). 20.TheUniversityagreesthatitshallnottake,oromittotake,anyaction lawfulandwithinitspowertotake,whichactionoromissionwouldcauseinterestonthe MunicipalBondto become subjecttofederal income taxesinadditiontofederalincome taxestowhichinterestonsuchMunicipalBondissubjectonthedateoforiginal issuancethereof. TheUniversityshallnotpermitanyoftheproceedsoftheMunicipalBond,orany facilitiesfinancedwithsuchproceeds,tobeusedinany manner thatwouldcausethe MunicipalBondtoconstitutea"privateactivitybond"withinthemeaningofSection141 oftheCode. TheUniversityshallmakenouseor investment oftheproceedsoftheMunicipal BondwhichwillcausetheMunicipalBondtobean"arbitragebond"underSection148 oftheCode.SolongastheMunicipalBondisoutstanding,theUniversity,shallcomply withall requirements ofsaidSection148andallregulationsoftheUnitedStates Department of Treasury issuedthereunder,totheextentthatsuchrequirementsare,at thetime,applicable andineffect.TheUniversityshallindemnifyandholdharmlessthe BankfromanyobligationoftheUniversitytomakerebatepaymentstotheUnited StatesundersaidSection148arisingfromtheUniversity'suseorinvestmentofthe proceedsoftheMunicipalBond. 21.UponrequestoftheBank,theUniversityagreesthatifitsbondsconstitute tenpercent(10%)ormoreoftheoutstandingprincipalofmunicipalbondsheldbythe BankunderitsGeneralBondResolution,itshallexecuteacontinuingdisclosure AMBB/General Obligation Bonds,2015 Series Three Loan Agreement 1:\Docs\37421742\Loan Agreement (University Of Alaska).Docx Page7 agreement preparedbytheBankforpurposesofSecuritiesandExchangeCommission Rule15c2-12,adoptedundertheSecuritiesandExchangeActof1934. 22.TheUniversityagreesthatifitsbondsconstitutetenpercent(10%)or moreoftheoutstandingprincipalofmunicipalbondsheldbytheBankunderitsGeneral BondResolution,itshallprovidetheBankforinclusioninfutureofficialstatements, uponrequestbytheBank,financialinformationgenerallyofthetypeincludedin Appendix D,undertheheading "Summaries ofBorrowersRepresenting10%orMoreof OutstandingPrincipalofBondsIssuedUnderthe2005GeneralBondResolution,"tothe Official Statement andattachedheretoasExhibitB. 23.IfanyprovisionofthisLoan Agreement shallforanyreasonbeheldtobe invalidorunenforceable,theinvalidityor unenforceability ofsuchprovisionshallnot affectanyoftheremainingprovisionsofthisLoan Agreement andthisLoan Agreement shallbeconstruedandenforcedasifsuchinvalidorunenforceableprovisionhadnot beencontainedherein. 24.ThisLoan Agreement maybeexecutedinoneormorecounterparts,any ofwhichshallberegardedforallpurposesasanoriginalandallofwhichconstitutebut oneandthesameinstrument.Eachpartyagreesthatitwillexecuteanyandall documents orotherinstruments,andtakesuchotheractionsasarenecessary,togive effecttothetermsofthisLoanAgreement. 25.Nowaiverby either partyofanytermorconditionofthisLoan Agreement shallbedeemedorconstruedasawaiverofany other termorconditionhereof,nor shallawaiverofanybreachofthisLoan Agreement bedeemedtoconstituteawaiver ofany subsequent breach,whether ofthesameorofadifferentsection,subsection, paragraph,clause,phraseorotherprovisionofthisLoanAgreement. 26.InthisLoanAgreement,unlessotherwisedefinedherein,allcapitalized termswhicharedefinedinArticleIoftheGeneralBondResolutionshallhavethesame meanings,respectively,assuchtermsaregiveninArticleIoftheGeneralBond Resolution. 27.ThisLoan Agreement mergesandsupersedesallpriornegotiations, representations and agreements betweenthepartiesheretorelatingtothesubject matter hereof and constitutes theentire agreement betweenthepartiesheretoin respectthereof. AMBB/General Obligation Bonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (University Of Alaska).Docx Page8 IN WITNESS WHEREOF,thepartiesheretohaveexecutedthisLoan Agreement thedayand year firstabovewritten. ~J.~ MYRONJ.DOSCH Controller By:~-_II__---------- AMBB/General ObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (University Of Alaska).Docx Page9 EXHIBIT A $86,085,000 UniversityofAlaska,Alaska RevenueBond,2015SeriesU ("MunicipalBond") Due October 1 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 Principal Amount $1,560,000 1,635,000 1,715,000 1,805,000 1,900,000 1,995,000 2,100,000 2,205,000 2,320,000 2,435,000 2,560,000 2,695,000 2,815,000 2,950,000 3,110,000 3,275,000 3,455,000 3,640,000 3,835,000 4,040,000 4,245,000 4,465,000 4,670,000 4,860,000 5,055,000 5,265,000 5,480,000 Interest Rate 4.00% 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 4.00 5.25 5.25 5.25 5.25 5.25 5.25 5.00 5.00 5.00 4.00 4.00 4.00 4.00 4.00 AMBB/General ObligationBonds,2015Series Three Loan Agreement -Exhibit A 1:\Docs\37421742\Loan Agreement (University Of Alaska).Docx PageA-1 Principalinstallmentsshallbepayableon October 1ineachoftheyears,andinthe amountssetforthabove.Interest ontheMunicipalBondshallbepayableonApril1, 2016,and thereafter on October 1andApril1ofeachyear. OptionalPrepayment:TheMunicipalBondprincipalinstallmentsdueonorafter October 1,2025,are subject to prepayment inwholeorinpartattheoptionofthe UniversityonanydateonorafterApril1,2025,atapriceof100%oftheprincipal amount thereof tobeprepaid,plusaccruedinteresttothedateofprepayment. AMBB/General Obligation Bonds,2015 Series Three Loan Agreement -Exhibit A 1:\Docs\37421742\Loan Agreement (University Of Alaska).Docx PageA-2 EXHIBIT B APPENDIXD Summaries of Borrowers Representing 10%orMore of Outstanding Principal of Bonds IssuedUnderthe2005GeneralBondResolution Page1of14 EXHIBIT B Kenai Peninsula Borough -GeneralFund General Obligation Financial Summary Munirinal Financial Position I 2010 2011 2012 2013 2014 Average Properly Tax Collecttcns Borrower's Property Tax Rate per 51,000 $4.50 $4.50 54.50 $4.50 54.50 55.40 M unictcel Levv 528,875,124529,058,274 530,419,493 53D.823.497 531,750,392 529,669,460 Current Year's Collections 528,375,677 $28,630,610 529,946,804 530,382,636 $31,332,5%529,252,398 Current Collection Rate 98.27%98.53%98.45%9857%98.68%98.59% TotalYear's Collections 528,868,219 $29,044,.494 530..396,459 S30,729,748 531,332..5%529,611,923 Total Collection Rate 99.98'I.99.95%99.92%99.70%98.68%99.81% General Fund 24,881,372$.,"'C'"':".'"Total Endmz Fund Balance $23,025,423 s 21,705,814 s 21,466,583 $5 Unreserved Ending Fund Balance 5 22,864,839 S 21,454,058 S 21,268.,520 S S 15,896,686$]9,850,003 Expenditures 5 70,829,556 5 72,.163,558 s 71,347,868 S 72,452,478 S 73,376,361 S66,417,519 Fund Balance/Exoenditures 32%30~{,30%22%1 22%30% Total Revenues S 68,716,762 5 70,799,893 S 71,108,637 S 74,255,493 S 74,945,074$67,188,6]0 Interzcvemmental Revenues s 8,987.813 S 8,538,331 S 9,749,464 5 10,392,037 5 9,486;lSS SSA02,746 Percenteee Interaovernmental 13%12%14%14%13%12% I Overall Municipal Deb!Position RevenueDebt-.Governmental Funds s -S s -s -S Revenue Debt-Enterprise Funds S -S -S $S TolalRevenueDebt s -s -s s -5 General Obhaetron Debt-Governmenlal Funds (GeneralFundonlv)5 20,364,000 S 33,910,000 5 30,230,000 S 26,820,000 545,055,000 General Oblfaetion Debt-Enterprise Funds 5 5 s -S 5 TolalGeneral Oblreanon Debt S 20,364.000 5 33,910,000 S 30,230,000 S 26,820,000 S 45,055,000 TotalRevenueandGeneral Obligation Debt S 20,364,000 S 33,910,000 S 30,230,000 S 26,820,000 5 45,055,000 ~.:'-;;';.~;'-';,"".-,~..r:.:'~'::'"'''"O::~'''.'':.:;{,'~,"ii2"'"-c'.''"Ioe -.--;-;;!;:-A;:~X:~-',,:~-,-,';.~.::-:,:'-.',..,,.,'"~.;"-'i'-~':'-c"':;:'~,.';~':;-.-.;;:-"'-~.,·<t,~0.:;::;~;·,,,",,'--,.,.~~."-';.:,~.' Governmental GO Debt/Assessed Value (mIV)0,32%0.53%0.46%0.40%0.65% Enterprise GODebt I AssessedValue(mry)0.00%0.00%0.00%0.00%0.00% TotalRevenueandGO Debt/A.V.{mry]0.32%0.53%0,46%0.40%0.65% '-0 __.'\-••,:{'_:::"~!'"~'::F:{~~,';':.;'.'-"i,~i:,':;;~}:>"'..:;;-.; ~--,.,"-~, ....·c.,;·.··.c ..•..,,_c:.,::.::~.!::.'.:--,.';.'..·~':~;~rS",-,: General Obltaatron DebtPerCapita 5360 5612 $536 $473 $792 TotalRevenueandGODebtPer Capita 5360 5612 5536 5473 $792 GeneralEconomicand Demographic Data I 2010 2011 2012 2013 2014 Annual Growth Rale Population 53,578 55,400 56,369 56,756 56,862 0.19% AssessedValue 5 6,369,098,000 S 6,393,531,000 5 6,633,241,000 S 6,716,010,000 5 6,960,196,000. AssessedValuePerCapita S 118,875 S 115,407 5 117,675 S 118,3315 122,405 Top10 Tax Payersasa %ofTotal Assessed Value 15.77%1523%14.38%16.18%17.05% (mry):mostrecentyear D-I Page2of14 EXHIBIT B Central Peninsula General Hospital FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited Audited Audited Audited Audited ASSETS Capital Assets(netof depreciation)$68,368,337 $67,842,931 $64,853,893 $69,429,959 $71,387,990 Cash 23,561,004 21,700,302 27,803,487 35,197,813 35,508,443 CashheldforPlant Replacement 10,528,599 10,097,241 11,421,461 11,322,729 16,447,887 Restricted Assets 1,241,196 3,584,121 633,493 500,000500,000 Unspent bond proceeds 31,275,450 Other Assets 18,093,771 19,105,718 29,383,574 29,863,006 36,846,307 TotaIAssets 121,792,907 122,330,313 134,095,908 146,313,507 191,966,077 LIABILITIES ANDNETASSETS RevenueBondsPayable 32,490,000 GOBondsPayable 37,920,000 35,990,000 32,255,000 30,130,000 27,905,000 Other Liabilities 14,057,585 10,965,610 18,041,771 18,176,258 20,336,761 Total Liabilities 51,977,585 46,955,610 50,296,771 48,306,258 80,731,761 NET ASSETS 69,815,322 75,374,703 83,799,137 98,007,249 111.234,316 Operating Revenues 88,941,888 101,279,075 116,849,605 123,951,269 126,713,712 Operating Expenses 78,326,691 86,771,449 99,255,770 102,247,165 104,364.018 Depreciation 8,381,029 8,056,595 8,004,562 7,959,305 8,066,688 Operating Income (Loss)2,234,168 6,451,031 9,589,273 13,744,799 14,283,006 Non-Operating Revenue(Expense)249,199 (1,105,595)(808,253)(1,541,657)(1,070,583) Net Income (Loss)Before Contribution 2,483,367 5,345,436 8,781,020 12,203,142 13,212,423 Capital Contributions 176,391 212,945 52,843 2,004,970 14,644 ChangeinNetAssets 2,659,758 5,558,381 8,833,863 14,208,112 13,227,067 D-2 Page3of14 EXHIBIT B I~~~E"~OBLIGATI~':F~~~";;;;;IAL SUMMARY Municipal Financial Position 2010 2011 2012 2013 2014 Average roperty 1 ax Conecnons Borrower'sPropertyTaxRateper$1,000 56.00 56.00 >6.00 56.00 56.00 56.00 MWUCI al Levv 55,768,331$5,799,400 $,,904,617 $5,957,73555,9Ul,738 55,844,470 Current Year's Collections $5,735,%2 55,753,039$5,874,918$5,893,452 55,842,721 55,798,187 Current Collection Rate 99.44%99.20%99.50",98.92%99.00",99.2.% Tol:al Year's l onecttons "",8Ul,If"">5,807,869 ,,",909,321 $5,893,452 55,842,721 55,833,5'1 TotalCollectionRate rousss 10.15%100.08~98.92 99.00 99.82% t;eneral Fund unreservea tsncung Funa uatance 5 8,853,936 s 11,508,475 s 13,584,873 ,$14,268,"'4 15,996,580 5 11,900,919 Expenditures s 23,597,203 s 23,260,649 s 24,075,729 s 23,691,912 •23,628,37'I'23,678,5:'5 Fun Balance/Expenditures 38%49%56 60%68%50.26% Total Revenues 5 24,882,306 s 24,709,916 s 26,584,728 s 25,953,885 s 26,507,173 5 25,760,552 Intergovernmental xevenues ['2,219,501 5 2,380,298 [>2,659,323 s 2,693,860 [~2,m,990 $2,519,608 Percentage Interzovemmental 9~10%10%10%10%9.77'% Uvera Muruclpal Debt Position Revenue e t -EnterpnseFunds s 48,467,078$68,807,401 s 68,593,411 $106,145,822 $108,940,000 Revenue ue t-Governmental FWl 5 $175,500 ,$165,750 s 156,000 >146,250 I>202,641 General Obligation Debt -Goverrunental Funds s 32,550,000 s 36,300,000 I>34290,000 s 31,020,000 ['28,635,000 General Obliaation Debt-Ente nse Fun 5 s -$-s -s -$- Total Lienerat Obligation ueot I>32,550,OuO $36,300,00 $34290,000 s 31,020,000 $28,635,000 Total Revenueand Generall blization Debt 5 81,192,578 ,$105,273,101 s 101,039,411 •137,31:i[.137,777,641 .,:<',:',',';;; Co l\.,U ueol/'Value 3.42'"'.0'''',.LO",2.,1 TotalRevenueandGO ebtlA.V.•.52>.10.69%10.20%13.72%14.01 [.;:';;;;;:;';,:',i;«'··'.•,;"';<;;'<-';'.t<·}.-'.';o "-<',,'•..c.",c,.~...."""'.- Coeneral 'i ueot er Capita ",60'>'1,13 $3,607 >0,415 ",1'. Total Revenueand l,;{)DebtPer :.:a-pita 59,142 $12,000 $11,287 $15,116 $15,167 General Economic and Demographic Data 2010 2011 2012 2013 2014 Annual Growth Rate Population 8,8Bl 8,773 8,952 1 9,0841 9/084 1.47% Taxable Assessed Value $953,574,685 $985,073,129 $990,930,238 s 1,001,066,784 s 983,623,000 0.59% Assessed Value PerCapita 1$107,3,z $112,285 s 110,694 [s110,201 s 108,281 Top 10Tax Payers asa%of Assessed Value 0.21»7.64%7.57%7.57%7.57"'[ D-3 Page4of14 EXHIBIT B CityandBoroughofSitka Electric Enterprise Fund Financial Summary 2010201120122013 2014 Audited Audited AuditedAuditedAudited Assets Cash 8,868,159 24,320,421 31,450,650 28,803,187 13,505,669 RestrictedAssets 7,149,277 6,871,164 3,595,875 21,197,459 18,121,955 Other Assets 4,256,023 5,010,167 7,266,275 13,897,615 11,777,153 Construction in Progress 5,555,467 11,646,987 18,086,724 58,930,539 137,885,040 UtilityPlantinService 64,914,833 63,103,150 61,775,003 59,900,34359,508,277 TotalAssets 90,743,759 110,951,889122,174,527 182,729,143 240,798,094 Liabilities and NetAssets Liabilities Other Liabilities 636,920 1,722,772 2,477,182 6,355,564 13,017,817 RevenueBondsPayable 28,090,000 48,700,000 47,570,000 79,485,000 105,100,000 Oeferred loss/premium on bonds (815,343)1,471,509 (1,711,547)5,943,338 6,742,293 RevenueNotePayable 9,054,598 8,800,188 8,535,498 7,973,6087,973,608 TotalLiabilities 36,966,175 60,694,469 56,871,133 99,757,510 132,833,718 Net Assets 53,777,584 50,257,420 65,303,394 82,971,633 107,964,376 Operating Revenues 10,852,91411,401,523 11,611,31912,077,554 14,240,772 Operating Expenses Administrative and General 1,699,737 1,739,698 2,003,768 1,975,492 2,860,066 Operation and Maintenance 4,366,115 5,257,342 5,914,8955,152,028 4,964,074 Depreciation 1,994,177 1,987,558 1,971,739 1,986,195 1,841,712 Operating Income 2,792,885 2,416,925 1,720,917 2,963,839 4,574,920 Nonoperating revenue (expense) Investment Income 523,298 490,986 459,107 314,600196,399 Interest Expense (2,369,426)(1,725,198)(2,848,639)(1,678,238)(426,419) Other 208,962 -625,748 572,946 812,866 NetIncome before contributionsandtransfers 1,155,7191,182,713 (42,867)2,173,147 5,157,766 Capital contributions 2,853,752 4,039,237 5,266,050 17,169,455 19,455,106 ExtraordinaryItem: NetPensionObligationRelief 119,824 139,806 325,771 379,871 TransferIn(Out)net (23,898)-(998,128)- ChangeInNetAssets 3,985,573 5,341,774 5,362,989 18,670,245 24,992,743 Population ofCityand Borough 8,8818,773 8,9529,0849,098 #of electric customers 5,278 5,282 5,309 5,4035,490 KwH Sold 108,739,970 111,795,344 111,048,623111,155,330 111,155,330 RevenueBondDebtService 4,108,407 3,477,959 3,467,567 4,529,240 5,045,158 RevenueBond Coverage (>1.25)1.34 1.41 1.431.27 1.34 Note:$1,440,000 transferred intoRateStabilizationFundin FY2013 Note:Totalof rate 5tabilization Fundasof June 30,2013 -$2,151,000 D-4 Page5of 14 EXHIBIT B CITYAND BOROUGH OFSITKA HARBOR ENTERPRISE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 AuditedAudited Audited Audited Audited ASSETS PlantIn-Service(netofdepreciation)15,465,195 14,789,299 14,122,59113,550,231 13,153,475 Land 90,000 90,00090,000 90,000 90,000 Construction WorkinProgress 317 20,229 57,838 665,476 7,824,365 Cash 3,014,067 3,733,467 4,735,101 6,599,187 6,616,954 RestrictedAssets 3,615,663 589,166 Other Assets 987,099 1,342,572 1,339,389 1,216,385 1,524,898 TotalAssets 19,556,67819,975,567 20,344,91925,736,942 29,798,858 LIABILITIES ANDNETASSETS RevenueBondsPayable °°°4,569,486 3,840,000 Other liabilities 1,500,637 1,405,227 1,156,003 1,144,138 1,689,033 Total liabilities 1,500,637 1,405,227 1,156,003 5,713,624 5,529.033 NET ASSETS 18,056,041 18,570,34019,188,916 20,023,318 24,269,825 Operating Revenues 3,040,330 2,854,858 3,154,885 3.096,419 3,164,252 Operationand Maintenance 2,133,877 2,492,110 2,434,329 1,708,210 2,454,599 Administrative andGeneral Depreciation 799,254 899,956 986,619 668,511 666,074 Operating Income (Loss)107,199 (537,208)(266,063)719,698 43,579 Non-Operating Revenue(Expense)(183,181)46,509 155,306 156,844 776,434 Net Income (Loss)Before Contribution (75,982)(490,699)(110,757)876,542 820,013 Capital Contributions 242,186 1,690,873 2,549,949 °3,458,599 Net Transfers-In (Out)400,000 3,804,600 675,000 (42,141)(32,105) Specialitem-NPOIOPEB writeoff ChangeinNetAssets 566,204 5,004,774 3,114,192 834,401 4,246,507 PopulationofCity 8,881 8,773 8,952 9,084 9,098 No payments of RevenueBondCoverage NoHarbor Bonds NoHarbor Bonds NoHarborBonds P&I 5.16 D-5 Page6of14 EXHIBIT B 1'_"IV Ut n.~,...n"'M" GENERAL OBLIGATION FINANCIALSUMMARY Municipal Financial Position rcperty .rax Ccnecnons Borrower's Property TaxRateper ~1/000 Munici a1 LeVY I...urrent :rear's L ollections Current CollectionRate Total Year'sCollections Total Collection Rate Oeneral Fund Unreserved Ending FundBalance Expenditures .eunc Ba ence/Ex enditures Total Revenues Intergovernmental Revenues Percentage Intergovernmental overan rviumcrpar ueot Postticn xevenue Debt-Enter rise Funds Revenue Debt-Governmental Funds lieneraI l bli ation Debt-Governmental Funds l:ieneral L bliaation Debt-Enterrise Funds Total General Obligation Debt Total Revenue an l General Obligation Debt >,'l'?;.c·;;,.·, Governmental GO lJebtj Assessed Value(mry) Enterprise GODebt/Assessed Value(mrv] Total l,;eneraJ Dblization Debtl A.V.mrvl Total Revenue anGO uebt/A.V.Imrvl I'·',..,'.'?',"""'.,,.<'»''',c;/';'·;·>,<;',.;<';",".'.""'. General Obligation DebtPer capita Total Revenue and GODebtPer Capita 2009 2010 2011 2012 2013 Average ~6.10 ~6.10 ~6.20 .6.20 .,.70 ~.26 $4,868,459 .4,885,77>:>'1,621,143 $4,648,128 .5,344,326 54,873,567.00 ,"",794,U/4 $4,689,396 $4,565,367 $4,590,563 $5,276,616 $4,783,203.20 98.47%95.98)'0 98.79%98.76%98.73%98.1'% $4,844,090 $4,689,396 :;4,565,367 $4..>90,563 ~.276,616 $4,793,206.40 99.50%95.98)'0 98.79%98.76%98.73%98.3;)% s 4,649,409 s 5,101,448 s 5,295,406 s 4,285,383 •~s 18,084,246 ~17,159,791 s 18,527,140 s 19,657,738 •19,509,987 $1 26%30"0 L~%227,21%25)'0 s 14,019,0:>1 s 13,886,302 s 15,007,571 s 14,949,242 s 15,646,387 $14,701,831 s 1,348,409 s 1,233,173 s 1,820,575 s 1,644,256 s 1,695,138 51,548,310 10%9%12%11%11%W% $57,411,354 s 56,995,549 s 54,828,636 s 52,028,061 $64,183,054 $-$..s 5,682,565 s 12,280,863 s 11,452,328 15,~2o,1 32 ~14,530,0!l2 1,935,458 •4,>42,%1 •0,100,222 5,006,445 •2,763,776 7,618,023 s 17,223,830 $16,552,550 20,732,477 s 17,299,458 65,029,377 s 74,219,379 s 71,381,186 72,760,538 s .,.••;>.;•.•.-:...... 0.71%.53%1.43%I.Y,% 0.24%0.62%0.64%0.62%0.32% 0.95%2.15;0 2.07%2.56%2.02% 8.15%9.27%8.91%9.00%9.50.......'.';C'.;'..•.to·.;i.>..-\;~:.·"_~~f I'·.;,· $1,015 ~2,14U $2,033 ~2,501 $2,081 $8,667 $9,22U $8,767 $8,776 $9,802 Annual GrowthRale 8,313 0.27% 2013 857,398,200.6'05% 103,139 General Economic and Demographic Data 2009 2010 2011 2012 Population 7,503 8,050 8,142 8,291 Assessed Value s 798,108,100 s 800,947,400 s 801,175,000 s 808,516,900 $ Assessed ValuePer Capita 1$106,372 s 99,497 s 98,400 $97,517 S liP 10 Tax Payers asa %of Total Assessed Value 8.73%10.57%10.39%10.42% rvj:most recent year D-6 Page7of14 EXHIBIT B CITYOFKETCHIKAN KETCHIKANPUBLIC UTILITIES ENTERPRISE FUND FINANCIAL SUMMARY 2009 2010 2011 2012 2013 Audited Audited AUdited Audited Audited ASSETS UtilityPlanIn-Service $69,718,266 $67,177,925 $69,018,328$83,919,407 $83,919,407 Construction WorkinProgress 8,017,706 14,788,563 17,131,918 8,123,495 8,123,495 Cash 13,958,674 12,566,005 13,845,36816,767,889 16,767,889 RestrictedAssets 4,062,167 3,050,592 2,963,566 2,695,085 2,695,085 Other Assets 8,686,219 12,118,366 11,991,790 6,159,953 6,159,953 Total Assets 104,443,032 109,701,451 114,950,970 117,665,829 117,665,829 LIABILITIESANDNETASSETS RevenueBondsPayable 19,902,223 20,233,232 18,884,282 16,602,060 16,602,060 OtherLiabilities 4,045,215 3,983,215 4,847,079 5,443,636 5,443,636 Total Liabilities 23,947,438 24,216,447 23,731,361 22,045,696 22,045,696 NET ASSETS 80,495,594 85,485,004 91,219,609 95,620,133 95,620,133 Operating Revenues 33,310,537 32,975,154 34,172,941 34,802,74834,802,748 Operationand Maintenance 20,861,336 19,060,639 19,997,855 21,992,642 21,992,642 Administrative andGeneral 6,034,476 5,603,405 6,097,427 5,408,961 5,408,961 Depreciation 6,086,514 5,932,099 5,892,449 6,872,767 6,872,767 Payment in lieu ofTaxes Operating Income(Loss)328,211 2,379,011 2,185,210 528,378 528,378 Non-Operating Revenue(Expense)(402,557)(479,652)(363,607)(416,621)(416,621) Net Income (Loss)Before Contribution (74,346)1,899,359 1,821,603 111,757 111,757 Contributions 2,085,231 3,818,051 4,641,002 5,016,767 5,016,767 SpecialItem Transfer ofNetAssets-Swan Lake-LakeTyeeIntertieProject Transfer -Payment In lieu ofTaxes••(675,000)(728,000)(728.000)(728,000)(728,000) ChangeinNetAssets 1,335,885 4,989,410 5,734,605 4,400,5244,400,524 Population ofServiceArea 12,984 13,477 12,984 13,477 13,477 PopulationofCity 7,503 8,050 7,503 8,050 8,050 #of Electric Customers 7,365 7,418 7,365 7,418 7,418 #of Telephone AccessLines 7,467 6,994 7,467 6,994 6,994 #of Water Customers 3,217 3,207 3,217 3,207 3,207 RevenueBondCoverage 2.30 2.80 2.30 2,80 2.80 .Water isonlyprovidedwithintheCity ••Change in accounting standards payment inlieuoftaxmustbereportedasa transfer D-7 Page8of14 EXHIBIT B CITY OF KETCHIKAN PORT FINANCIAL SUMMARY 2009 2010 2011 2012 2012 2013 Audited Audited Audited AuditedRestated Audited ASSETS Cash $4.827.125 54.364,226 S2.373.808 52.285.517 S2.285.517 2.900.167 Port Facilities(net)44.947.620 43.642.947 42.020.640 47,766.776 47,766.776 53,490.542 Construction WorkinProgress 963.018 1,116,782 5.531,746 5.066.048 5.066.048 5,449.151 Restricted Assets 4.819,708 5.307.521 5.623.924 6.082.097 6.082.097 6.595,730 OtherAssets 1.730,443 1.281.312 3.670.192 4.518,553 4.236,5514.140.133 Total Assets 57.287.914 55,712,788 59.220.310 65,718.991 65,436.989 72,575,723 LIABILITIES AND NET ASSETS General Obligalion Bonds Payable 1.035.000 795.000 540.000 270.000 270.000 0 RevenueBondsPayable 36,540.000 35.830.000 35.090.000 34,315.00034,315.000 33,505.000 Other Liabilities 3.147.957 3.134.814 2.847.180 1.072,313 1.072.313 1.699.380 TotalLiabilities 40,722.957 39,759.81438,477.18035.657.31335.657.313 35.204.380 NET ASSETS 16.564.957 15.952.974 20,743.130 30,061.678 29.779.676 37,371.343 Operating Revenues 8.922.2288.000.492 7.986.404 8.592,255 8.592.255 9.145.920 Operation and Maintenance 5.368.009 5.319.252 3.957.909 3.884.156 3.888.525 4.416,473 Depreciation 1,460.265 1,446.5271.401,754 1.359.513 1.359.513 1.636.863 Property Taxes 154.041 167.219 152,762 142.575142,575 165.627 Payment in Lieu ofTaxes... Operating Income(Loss)1.939,913 1.067.494 2,473.979 3.206.011 3.201.642 2.926.957 Non-Operating Revenue (Expense)(1.718.248)(1.903,421)(2.043.804)201.299 223.562(912.634) NetIncome (Loss)BeforeContribution 221,665 (835.927)430.175 3.407.310 3.425.204 2.014,323 Contributions andCapitalGrants 905.943 518,944 4.654.981 6.214,416 6.214.416 8.676.543 Extraordinary Ilem SpecialHem Transfers (8.178)(8.178)(80.199) Transfer-PaymentinLieuofTaxes••(290.000)(295.000)(295.000)(295.000)(295.000)(319.000) Change inNet Assets 837.608 (611.983)4,790,156 9.318.548 9,336.442 10.291.667 1.25 x AnnualDebtService 2.45 2.00 2.24 3.36 3.36 3.00 1.0 x Annual Debt ServicefReserves AccountfRepair and Replacement Fund/SPH Lease Payments 1.13 0.99 1.16 1.67 1.67 1.41 ..Unaudited #ofShips 36 26 28 34 34 38 #of Calls/Slops 496 429 426 467 462 453 #ofWater Passengers 937,419 828.929 830.547 885,799 885.799938.124 Reflectsstatistical information provided bytheKetchikanVisitors Bureau Beginning in2005,change in accounting standards required payment inlieuof taxes tobe reported as transfers. D-8 Page9of14 CITYAND BOROUGH OFJUNEAU FINANCIAL SUMMARY General Governmental Fund EXHIBIT B Munidnal Financial Position 2010 2011 2012 2013 2014 Average roperty Tax Cenecnons Borrower 5 Property TaxRateper$1,000 $10.60 ~10.51 $10.55 $10.55 $10.66 ~10.57 Munici at Levy $41,048,853 $40,739,944 ~1,751,673 :;44,252,019 _,965,923 $42,551,",,2 Current Year's Collections $40,691,450 ~0,32'J,083 $41,431,682$43,987,108$44,818,184 $42,251,501 CurrentCollectianl<ate 99.13'".0.99%99.23%99.40%.9.6'1'\}\}.29% Total Year 5 Collections $40,879,741 $4U,5U1,293 $41,455,145 $43,Y87,1U8 $44,818,184$42,328,294 otai Collection Rate 99.5.%••.41'"99.L~'70 .9.40%99.6/'"99.47% Lienerai l'und !lP.161 .~Unesstsne 11"us me~eocv~effi~g~s(v~B#~$5,714,731 s 1,729,385 .$4,374,670 ~13,844,723 ~5,829,534 Expenditures s 49,158,125 s SO,54U,314 ~51,283,781 s 5,4gJ,977 ~53,003,117 s 5U,9U6,663 Fund Balance/Ex enditures 11.6370 3.42%6.7%~.66%26.10%11.32% otaJ Revenues ~66,541,842 s 66,008,466 ~5U,ili6,584 s 52,08Y,lJ33 ~65,37U,513s 6l!-OUY,288 Intergovernmental Revenues $12,389,683 ~14,313,ooU $15,464,700 ~15,281,700 ~29,140,692 ~17,317,955 Percentage Intergovernmental lY%22%31%29%45%29.03% ntucrpar veDI:rosman Revenue ebt-Enterprise Funds $46,370,845 $45,208,341 $43,679,682$41,906,06740,090,908 Revenue De t-Governmental Funds $2,718,662 ~3,599,575 $2,861,747 ~2,091,457 6,807,08 General Obhzaticn Debt -Governmental Funds s 156,356,UOO s 148,301,000 s 133,446.oUC s 131,385,000 122,U68,OOO General Obligation Debt -Enterprise run s s -~-~-s -- Total General uOl1gationDebt s 156,356,000 $148,3U1,000 s 133,446,uuu ~131,385,000122,068,000 rotar Revenue ana \,;jeneral Ubtieation e t s 2U5,44 ,'lIt s l"t'lU~I~179,987,42Y .~175,382,524 ~168,965,4 1«,' 1(.;U Vebti Iaxable Assessed.Value 3.Y8%328%3.U7%2. 1 otat Revenue an 1l..,jU ueot,1\.V•5.2270 4.94%4.4:l%4.1)%3. ·'i','..,<.·..r>,","";';,,,,'""''''''''''-" "Co-";",,.·."'<,'<"'"-,Co'"r. Lieneral 1 ueot i-er Capita ,..,...~,742 ::li4,113 $4,023 ~3,6Y2 Total Revenue and GO Debtr-er Capita ~,56Y $6,302 $5,546 $5,370 55,110 General Economic and Demnzraphic Data 2010 2011 2012 2013 2014 I Annual I i-opurauon ",</0 ",</0 0<,"'*1 '<,oOU """U041 1.<""'1 Taxable Assessed Value $3,933,364,442 s 3,989,344,944 $4,071,713,732$4,275,067,217 $4,379,714,933_ Assessed Value Per Capita $125,767 s 127,557$125,511 s 130,896 S 132,462 Top10Tax Payers asa%of Assessed Value 10.52%13.78%13,73%13.82%13.61% D-9 Page10of14 EXHIBIT B CITYAND BOROUGH OFJUNEAU HARBOR ENTERPRISE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AuditedAuditedAuditedAudited ASSETS PlantIn-Service(netofdepreciation)$11,923,364$13,827,335 $12,844,129 $11,875,368 $14,325,870 Construction WorkinProgress 29,935,711 29,889,294 33,499,769 42,397,974 40,419,697 Cash 4,470,053 4,728,522 4,660,755 3,466,374 4,030,992 RestrictedAssets 7,588,584 10,702,703 11,196,479 10,946,328 10,554,614 Other Assets 866,059 764,741 847,869 543,407 679,907 TotalAssets 54,783,771 59,912,595 63,049,001 69,229,451 70,011,080 LIABILITIESANDNET ASSETS RevenueBondsPayable 9,960,000 9,700,000 9,691,595 9,380,434 9,033,637 Other Liabilities 1,726,240 2,110,290 2,140,909 1,401,365 2,050,500 TotalLiabilities 11,686,240 11,810,290 11,832,504 10,781,799 11,084,137 NET ASSETS 43,097,531 48,102,305 51,216,497 58,447,652 58,926,943 OperatingRevenues 3,040,330 2,854,858 3,154,8853,173,272 3,508.430 OperationandMaintenance 2,133,877 2,492,110 2,434,329 2,498,178 2,814,717 Administrative andGeneral Depreciation 799,254 899,956 986,619 968,761 1,003,707 Operating Income(Loss)107,199 (537,208)(266,063)(293,667)(309,994) Non-Operating Revenue(Expense)(183,181)46,509 155,306 (214,686)128,433 NetIncome(Loss)BeforeContribution (75,982)(490,699)(110,757)(508,353)(181,561) CapitalContributions 242,186 1,690,873 2,549,949 7,392,466 660,852 Net Transfers-In (Out)400,0003,804,600 675,000 500,000 0 Special item-NPOIOPEBwriteoff ChangeinNetAssets 566,204 5,004,774 3,114,192 7,384,113 479,291 PopulationofCity 31,275 31,275 32,441 32,660 33,064 RevenueBondCoverage 2.18 1.19 1.79 1.21 1.67 D-IO Page11 of14 EXHIBIT B CITYAND BOROUGH OFJUNEAU PORT DEVELOPMENT SPECIAL REVENUEFUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AuditedAuditedAuditedAudited ASSETS Plant In-Service (netof depreciation) Construction WorkinProgress Cash 3,414,679 4,428,233 (208,085)(252,013)71,012 Restricted Assets OtherAssets 273,317 314,814 269,712 484,639 294,257 Total Assets 3,687,996 4,743,047 61,627 232,626 365,269 LIABILITIES ANDNETASSETS RevenueBondsPayable Other Liabilities 151,020 349,585 TotalLiabilities 151,020 349,585 NET ASSETS 3,687,996 4,743,047 61,627 81,606 15,684 OperatingRevenues 2,856,882 2,557,851 2,634,080 2,825,479 2,864,578 Operationand Maintenance 4,500 2,800 5,500 5,500 5,500 Administrative andGeneral Depreciation Operating Income (Loss)2,852,382 2,555,051 2,628,580 2,819,9792,859,078 Non-Operating Revenue (Expense) NetIncome(Loss)Before Contribution 2,852,382 2,555,051 2,628,5802,819,979 2,859,078 Capital Contributions Net Transfers-In (Out)(1,750,000)(1,500,000)(7,310,000)(2,800,000)(2,925,000) Change in Net Assets 1,102,382 1,055,051 (4,681,420)19,979 (65,922) PopulationofCity 31,275 31,275 32,441 32,660 33,064 RevenueBond Coverage N/A N/A N/A N/A N/A D-ll Page12of14 EXHIBIT B Cityand Borough of Juneau Conduit Debt WILDFLOWER COURT (Anotfor profit organziation) FINANCIAL SUMMARY 2010 2011 201220132014 AuditedAudited AuditedAuditedAudited ASSETS PlantIn-Service 5,674,338 4,909.305 4.620.999 4,734.678 3.771.100 Cash 1.255.867 1.582.128 1,752.043 1,437,085 1,970.693 Restricted Assets 1,735.178 1.707,402 2,170,928 1.489.365 1,450,054 Other Assets 1.312.915 1,399.517 1,444,749 1.786.787 1.267.699 Total Assets 9.978.298 9,598.352 9.988.719 9,447.915 8,459.546 LIABILITIESANDNETASSETS BondDebt 13.650.000 13.050.000 11.705.000 11.596,229 10.204,712 Other Liabilities 878.190 904,428 2.052.663 1.132.323 996.579 Total Liabilities 14.528,19013.954,428 13.757,663 12.728.552 11.201.291 NETASSETS(DEFICIT)(4.549,892)(4.356.076)(3,768.944)3.280.637 (2.741.745) Operating Revenues 10.361,609 10.859.195 10.841,324 11.057,791 11.447.862 Operating Expenses 9.802,944 9,894.353 9.594,317 9.666.530 9.961,681 Depreciation 937.147 832.579 780.765 935.669 1.008.253 OperatingIncome(Loss)(378,482)132.263 466.243 455.592 477,928 Non-Operating Revenue (Expense)27.924 61,553 120.890 32,713 60,964 Change inNet Assets (350.558)193.816 587.132 488.305 538.892 RevenueBondCoverage 1.011.33 1.32 1.12 1.10 The Bond Bankhas received notification fromsenior management of Wildflower Court thatfor calendar year 2013 and 2014 Wildflower Courtfellshortofthe required debtservice coverage ratioof 1.15 times.Per section 5.1 (b)oftheloan agreement between theCityand Borough ofJuneauand Wildflower Court,Wildflower Courtis working withtheCityand Borough to identify measures to return the facility to compliance with the debtservice coverage requirement oftheloan agreement. D-12 Page 13 of 14 EXHIBIT B CITYANDBOROUGHOFJUNEAU BARTLETT REGIONAL HOSPITAL FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AuditedAuditedAudited Audited ASSETS Plant In-Service (netof depreciation)$74,736,663 $72,772,410 $74,566,327 $74,002,798 $69,208,456 Construction Workin Progress 3,126,611 6,866,781 6.202.224 2,826,314 228,425 Cash 18.036,202 14,990.308 17,386,169 26,113,833 38,596,921 RestrictedAssets 8.555.051 10.160,114 6,549,498 5,490.768 5,327,673 Other Assets 20,549,937 23,011,263 23,462,113 25,230,206 20.528,164 TotaIAssets 125,004,464 127,800,876 128.166,331 133,663,919 133,889,639 LIABILITIES ANDNETASSETS RevenueBondsPayable 26.165.000 25,570,000 24,926,79525,304,679 24,346.618 OtherLiabilities 11,066,147 11.391,053 8,999,867 8,829,067 11,033.875 TotalLiabilities 37,231,147 36.961,05333,926,662 34,133,74635,380,493 NET ASSETS 87,773,317 90,839,823 94,239.669 99.530,173 98.509,146 Operating Revenues 82,640,681 90,680,83695,026,373 84.250,207 80,198,274 Operation and Maintenance 72.975,632 83,883,389 89,411,913 76,967,44478,820,476 Administrative andGeneral Depreciation 6,270.565 6.552,177 7,145,290 7.001,295 7,086,559 Operating Income (Loss)3.394,484 245,270 (1.530,830)281,468 (5,708.761) Non-Operating Revenue(Expense)911,555 1,579,634 3,306,366 4,119,820 3,610,234 NetIncome(Loss)Before Contribution 4.306,039 1,824,9041,775,536 4,401,288 (2.098.527) Capital Contributions 536,697 89,002 471,910 134,658 0 NetTransFers-In(Out)1,146,000 1,152,600 1,152,400 1.123,000 1.077,500 Specialitem-NPOIOPEB writeoff ChangeinNetAssets 5,988,736 3,066.506 3,399,846 5,658,946 (1,021,027) PopulationofCity 31,275 31,275 32,441 32,660 33.064 RevenueBondCoverage 5.15 3.63 3,00 7.34 2.50 D-13 Page14of14 LOAN AGREEMENT THISLOANAGREEMENT,datedasofthe1stdayofSeptember2015,between theAlaskaMunicipalBondBank(the"Bank"),abodycorporateandpoliticconstituted asaninstrumentalityoftheStateofAlaska(the"State")exercisingpublicandessential governmentalfunctions,createdpursuanttotheprovisionsofChapter85,Title44, AlaskaStatutes,asamended(the"Act"),havingitsprincipalplaceofbusinessat Juneau,Alaska,andtheCityofKingCove,Alaska,adulyconstitutedfirstclasscityof theState(the"City"): WIT NE SSE TH: WHEREAS,pursuanttotheAct,theBankisauthorizedtomakeloansofmoney (the"Loan"or"Loans")togovernmentalunits;and WHEREAS,theCityisaGovernmentalUnitasdefinedintheGeneralBond ResolutionoftheBankhereinaftermentionedandpursuanttotheActisauthorizedto acceptaLoanfromtheBanktobeevidencedbyitsmunicipalbonds;and WHEREAS,theCitysubmittedanapplication,asamended,totheBankfora Loanintheamountnottoexceed$3,100,000,andafterdueconsideration,theBoardof DirectorsoftheBankapprovedtheLoanatitsmeetingheldonAugust28,2013(the "OriginalAuthorization");and WHERAS,theBankmadeaLoantotheCitywithproceedsofitsGeneral ObligationBonds,2014SeriesTwo,intheamountof$1,235,000,withpaymentofsuch Loansecured,andevidenced,bytheissuanceoftheCity'sElectricUtilityRevenue Bond,2014(the"2014MunicipalBond");and WHEREAS,pursuanttotheOriginalAuthorization,theCityrequestedthatthe BankprovideitwithadditionalLoanproceedsintheamountnottoexceed$1,500,000 andtheCityhasdulyauthorizedtheissuanceofitsfullyregisteredbondinthe aggregateprincipalamountof$980,000(the"MunicipalBond"),whichbondistobe purchasedbytheBankasevidenceoftheLoaninaccordancewiththisLoan Agreement;and . WHEREAS,theOriginalApplicationoftheCitywasreconsideredbytheBoardof DirectorsatitsmeetingheldonAugust11,2015,andafterdueconsideration,affirmed theOriginalAuthorization;and WHEREAS,toprovidefortheissuanceofbondsoftheBankinordertoobtain from timetotimemoneywithwhichtomakeLoans,theBankadopteditsGeneral ObligationBondResolutiononJuly13,2005,asamended(the"GeneralBond Resolution")andSeriesResolutionNo.2015-04(S),approvedonAugust11,2015 (together withtheGeneralBondResolution,the"BondResolution"),authorizingthe makingofsuchLoantotheCityandthepurchaseoftheMunicipalBond;and WHEREAS,theBoardofDirectorsoftheBankapprovedcertain modifications to theGeneralBondResolution,effectiveonthedatewhenallbondsissuedunderthe termsoftheGeneralBondResolution,priortoFebruary19,2013,ceasetobe outstanding. NOW,THEREFORE,thepartiesagree: 1.TheBankherebymakestheLoanandtheCityacceptstheLoaninthe aggregate principal amount of$980,000.AsevidenceoftheLoanmadetotheCityand such money borrowedfromtheBankbytheCity,theCityherebysellstotheBankthe MunicipalBondintheprincipalamount,withtheprincipal installment payments,and bearinginterestfromitsdateattherateorratesperannum,statedinExhibitA appendedhereto. 2.TheCityrepresentsthatithasdulyadoptedorwill adopt allnecessary ordinancesorresolutions,includingResolutionNo.14-04andResolutionNo.14-05, eachadoptedon September 16,2013(together,the"CityResolution"),andhastaken orwilltakeallproceedingsrequiredbylawtoenableittoenterintothisLoan Agreement andissueitsMunicipalBondtotheBankandthattheMunicipalBondwill constitutearevenuebond,aspecialandlimitedobligationoftheCity,allduly authorizedbytheCityResolution.TheMunicipalBondshallbesecuredby"Net Revenue"oftheelectricutilityoftheCityasthesamemaybeaddedto,improvedand extended(the"ElectricUtility").NetRevenuemeans,foranyfiscalyearoftheCityor anyconsecutive12-monthperiodselectedbytheCityoutofthe30-monthperiod precedingthedateofissuanceoftheMunicipalBond,GrossRevenue.'lessanypart thereof thatmustbeusedtopayOperating Expenses." 1 "GrossRevenue"meansallincome,receiptsandrevenuederivedbyorfortheaccountoftheElectric Utilityfromtimetotimefromanysourcefromtheownership,leasingoroperationofallequipmentandall property,realandpersonal,oranyinteresttherein,whetherimprovedorunimproved,noworhereafter owned,operated,used,leasedormanagedbytheElectricUtilityandwhichcontributeinsomemeasure toGrossRevenue,andallearningsonanyfundoraccountthatispledgedtosecuretheMunicipalBond orbondissuedonaparitytherewith.However,thefollowingshallbeexcludedfromGrossRevenue:(1) theproceedsofanyborrowingbytheCityandtheearningsthereon(otherthanearningsonproceeds depositedinreservefunds);(2)proceedsofinsuranceorcondemnationproceedsotherthanbusiness interruptioninsurance;and(3)incomefrominvestmentsirrevocablypledgedtothepaymentofthe MunicipalBondorbondissuedonaparitytherewithissuedortobedefeasedunderanyrefundingbond planoftheElectricUtility. 2 "OperatingExpenses"meansthecurrentexpensesincurredforoperation,maintenanceorrepairofall equipmentandallproperty,realandpersonal,oranyinteresttherein,whetherimprovedorunimproved, noworhereafterowned,operated,used,leasedormanagedbytheElectricUtilityandwhichcontributein somemeasuretoGrossRevenueofanon-capitalnature,andshallincludewithoutlimitationpayments requiredbyanypowerpurchaseagreements,sourceofsupplyexpenses,fuelexpenses,production, transmissionanddistributionexpenses,customeraccountsexpenses,administrativeandgeneral AMBB/General ObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (King Cove).Docx Page2 3.Subjecttoanyapplicablelegallimitations,theamountstobepaidbythe City pursuant tothisLoan Agreement representinginterestdueonitsMunicipalBond (the"MunicipalBond Interest Payments")shallbecomputedatthesamerateorratesof interest bornebythecorrespondingmaturitiesofthebondssoldbytheBankinorderto obtainthemoneywithwhichtomaketheLoanandtopurchasetheMunicipalBond(the "LoanObligations")andshallbepaidbytheCityatleastseven(7)businessdays before theinterestpaymentdatesoastoprovidefundssufficienttopayinterestasthe samebecomesdueontheLoanObligations. 4.TheamountstobepaidbytheCity pursuant tothisLoan Agreement representingprincipaldueonitsMunicipalBond(the"MunicipalBondPrincipal Payments"),shallbepaidatleastseven(7)businessdaysbeforethepaymentdate statedintheMunicipalBondsoastoprovidefundssufficienttopaytheprincipalofthe LoanObligationsasthesamematuresbaseduponthematurityschedulestatedin ExhibitAappendedhereto. 5.IntheeventtheamountsreferredtoinSections3and4 hereof tobepaid bytheCitypursuanttothisLoan Agreement arenotmadeavailableatanytime specifiedherein,theCityagreesthatanymoneypayabletoitbyany department or agency oftheStatemaybewithheldfromitandpaidoverdirectlytotheTrusteeacting under theGeneralBondResolution,andthisLoan Agreement shallbefullwarrant, authority anddirectiontomakesuchpaymentuponnoticetosuch department or agency bytheBank,withacopyprovidedtotheCity,asprovidedintheAct. 6.IntheeventLoanObligationshavebeenrefundedandtheinterestrates theBankisrequiredtopayonitsrefundingbondsinanyyeararelessthantheinterest ratespayablebytheCityontheMunicipalBondforthecorrespondingyear pursuant to thetermsoftheMunicipalBond,thenboththeMunicipalBondInterestPaymentsand theMunicipalBondPrincipalPaymentswillbeadjustedinsucha manner that(i)the interest ratepaidbytheCityonanyprincipalinstallmentoftheMunicipalBondisequal expenses,insurancepremiums,leaserentals,legalandengineeringexpenses,paymentstopension, retirement,grouplifeinsurance,healthandhospitalizationfundsorotheremployeebenefitfundsthatare properlychargeabletocurrentoperations,interestoncustomerdeposits,payrolltaxexpenses,andany otherexpensesrequiredtobepaidundertheprovisionsoftheCity'sResolutionorbylaworpermittedby standardpracticesforpublicelectricutilitysystemssimilartothepropertiesandbusinessoftheElectric Utilityandapplicableinthecircumstances.OperatingExpensesshallnotincludepaymentsoftaxesor assessments (orpaymentsinlieuoftaxesorassessments)totheCity,paymentswithrespectto jUdgments,anyallowancesfordepreciationoramortization,oranyprincipal,redemptionpriceor purchasepriceof,orintereston,anyobligationsoftheCityincurredinconnectionwithallequipmentand allproperty,realandpersonal,oranyinteresttherein,whetherimprovedorunimproved,noworhereafter owned,operated,used,leasedormanagedbytheElectricUtilityandwhichcontributeinsomemeasure toGrossRevenueandpayablefromGrossRevenue;provided,thatOperatingExpensesshallinclude . debtserviceonobligationsenteredintoforthepurchaseofuptooneyear'sadvancesupplyofbulkfuel orothersuppliesotherwiseincludedwithinthisdefinitionofOperatingExpenses. AMBB/General ObligationBonds,2015SeriesThree Loan Agreement J:\Docs\37421742\Loan Agreement (King Cove).Docx Page3 totheinterestratepaidbytheBankonthecorrespondingprincipal installment ofthe Bank'srefundingbondsand(ii)ona present valuebasisthesumoftheadjusted MunicipalBondInterestPaymentsandMunicipalBondPrincipalPaymentsisequalto orlessthanthesumoftheMunicipalBondInterestPaymentsandMunicipalBond PrincipalPaymentsdueovertheremainingtermoftheMunicipalBondaspreviously established underthisLoanAgreement.IntheeventofsucharefundingofLoan Obligations,theBankshallpresenttotheCityfortheCity'sapproval,arevised scheduleofprincipal installment amountsandinterestratesfortheMunicipalBond.If approvedbytheCitytherevisedscheduleshallbeattachedheretoasExhibitAand incorporated hereinin replacement ofthepreviousExhibitAdetailingsaidprincipal installment amountsandinterestrates. 7.TheCityisobligatedtopaytotheBankFeesandCharges.SuchFees andChargesactuallycollectedfromtheCityshallbeinanamountsufficient,together withtheCity's Allocable Proportion(asdefinedbelow)ofothermoneyavailable therefor undertheprovisionsoftheBondResolution,andothermoneyavailabletherefor, includinganyspecificgrantsmadebytheUnitedStatesofAmericaoranyagencyor instrumentality thereof orbytheStateoranyagencyor instrumentality thereof and amountsapplied therefor fromamountstransferredtotheOperatingFund pursuant to Section606oftheGeneralBondResolution: (a)topay,asthesamebecomedue,theCity'sAllocableProportionof the Administrative ExpensesoftheBank;and (b)topay,asthesamebecomedue,theCity'sAllocableProportionof thefeesandexpensesoftheTrusteeandpayingagentfortheLoanObligations. TheCity's Allocable Proportionasusedhereinshallmeanthe proportionate amount ofthetotal requirement inrespecttowhichthetermisuseddeterminedbythe ratiothattheprincipal amount oftheMunicipalBondoutstandingbearstothetotalofall Loansthenoutstandingtoall Governmental UnitsundertheGeneralBondResolution, ascertifiedbytheBank.The waiver bytheBankofanyfeespayable pursuant tothis Section7shallnotconstitutea subsequent waiver thereof. 8.TheCityisobligatedtomaketheMunicipalBondPrincipalPayments scheduledbytheBank.ThefirstsuchMunicipalBondPrincipalPaymentisdueatleast seven(7)businessdayspriortothedateindicatedonExhibitAappendedhereto,and thereafter onthe anniversary thereof eachyear.TheCityisobligatedtomakethe MunicipalBondInterestPaymentsscheduledbytheBankonasemi-annualbasis commencing seven(7)businessdayspriortothedateindicatedonExhibitAappended hereto,andtopayanyFeesandChargesimposedbytheBankwithin30daysof receivingtheinvoiceoftheBanktherefor. AMBB/General ObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (King Cove).Docx Page4 9.TheBankshallnotsellandtheCityshallnotredeempriortomaturityany portionoftheMunicipalBondinanamount greater thantheLoanObligationswhichare thenoutstandingandwhicharethenredeemable,andintheeventofanysuchsaleor redemption,thesameshallbeinanamountnotlessthantheaggregateof(i)the principalamountoftheMunicipalBond(orportionthereof)toberedeemed,(ii)the interest toaccrueontheMunicipalBond(orportionthereof)toberedeemedtothenext redemptiondate thereof not previously paid,(iii)theapplicablepremium,ifany,payable ontheMunicipalBond(orportionthereof)toberedeemed,and(iv)thecostand expenses oftheBankineffectingtheredemptionoftheMunicipalBond(orportion thereof)toberedeemed.TheCityshallgivetheBankatleast50days'noticeof intentiontoredeemitsMunicipalBond. IntheeventtheLoanObligationswithrespecttowhichthesaleorredemption priortomaturityofsuchMunicipalBondisbeingmadehavebeenrefundedandthe refundingbondsoftheBankissuedforthepurposeofrefundingsuchLoanObligations wereissuedinaprincipalamountinexcessoforlessthantheprincipalamountofthe MunicipalBondremainingunpaidatthedateofissuanceofsuchrefundingbonds,the amount whichtheCityshallbeobligatedto payor theBankshallreceiveunderitem(i) aboveshallbetheprincipalamountofsuchrefundingbondsoutstanding. IntheeventtheLoan Obligations havebeenrefundedandtheinteresttheBank, isrequiredtopayontherefundingbondsislessthantheinteresttheBankwasrequired topayontheLoanObligations,theamountwhichtheCityshallbeobligatedto payor theBankshallreceiveunderitem(ii)aboveshallbetheamountofinteresttoaccrueon suchrefundingbondsoutstanding. IntheeventtheLoan Obligations havebeenrefunded,theamountwhichtheCity shallbeobligatedto payor theBankshallreceiveunderitem(iii)above,whenthe refundedLoanObligationsaretoberedeemed,shallbetheapplicablepremium,ifany, ontheLoanObligationstoberedeemed. NothinginthisSectionshallbeconstruedaspreventingtheCityfromrefunding theMunicipalBondinexchangeforanewMunicipalBondinconjunctionwitha refundingoftheLoanObligations. 10.Simultaneously withthedeliveryoftheMunicipalBondtotheBank,the CityshallfurnishtotheBank evidence satisfactory totheBankwhichshallsetforth, amongothermatters,thattheMunicipalBondwillconstituteavalidandbindingspecial andlimitedobligationoftheCity,securedbytheRevenueoftheElectricUtilityofthe City. 11.InvoicesforpaymentsunderthisLoan Agreement shallbeaddressedto theCityofKingCove,Attention:City Administrator,3380CStreet,Suite205, AMBB/General ObligationBonds,2015Series Three Loan Agreement 1:\Docs\37421742\Loan Agreement (King Cove).Docx Page5 Anchorage,Alaska99503.TheCityshallgivetheBankandthecorporatetrustofficeof the Trustee undertheGeneralBondResolutionatleast30days'writtennoticeofany changeinsuchaddress. 12.TheCityherebyagreesthatatthetimeofLoanfunding,itsdebtservice reserve account shallbeequaltothe2013ReserveReplacement,whichamountequals the$86,333.79depositedonJune29,2014andthe$79,298.38depositedon September 16,2015.Thedebtservicereserve account securespaymentofprincipal andinterestonits2014MunicipalBondandtheMunicipalBond.TheCityfurther agreesthattheCity'sdebtservicereserve account shallbeheldinthenameoftheCity withtheTrustee,andthattheyieldonamountsheldinsuchfund,whichweredeposited on September 16,2015,shallberestrictedtoayieldnotinexcessof3.6984percent. Forpurposesofthisparagraph12,"2013Reserve Requirement"shallhavethe meaningassignedtoitintheCityResolution. 13.TheCityagreestoestablish,maintainandcollectrentals,tariffs,rates, feesandchargesintheoperationofthebusinessoftheElectricUtilitythatwillproduce NetRevenueforanyfiscal year oftheCityoranyconsecutive 12-month periodselected bytheCityoutofthe30-monthperiodprecedingthedateofissuanceoftheMunicipal Bondorbondsissuedonaparitytherewith e~ual toorgreaterthan125percentofthe totalamountofAverageAnnualDebtServiceontheoutstandingMunicipalBondand alloutstandingparitybonds. 14.TheCityagreestoprovidetheBankwithannualwrittennotice(forthe termoftheMunicipalBond)evidencing whether theCityhassatisfiedtheratecovenant (setforthinparagraph13above).SuchnoticeshallbeprovidedbytheCitytotheBank withinninety-five(95)daysoftheendoftheCity'sfiscalyear.IftheCityfailstosatisfy theratecovenantinanyfiscalyear,theCityagreestoadjusttheratesandchargesfor useoftheservicesandfacilitiesoftheElectricUtilityasrequiredbytheCityResolution 3 "Average Annual Debt Service"means,with respect toany Municipal Bond,orbondsissuedona parity therewith,atanytime,thetotal amount ofDebt Service(1)onsuch bonds scheduled tobepaid thereafter,divided bythe number offiscal years oftheCityinwhichsuchDebt Service is scheduled tobe paid. (1)"Debt Service"means,with respect toany Municipal Bondforanyfiscal year oftheCity,an amount equaltothesumof(1)the principal amount ofsuchbondsdueorSUbjectto mandatory redemption duringsuchperiodandforwhichnosinkingfund installments havebeen established, (2)the amount ofany payment required tobemadeduringsuchperiodintoanysinkingfund established forthe payment ofsuchbonds,and(3)all interest payable duringsuchperiodon suchbondsandwith respect tothe Municipal Bond,orbondsissuedonaparitytherewith,with mandatory sinkingfund requirements,calculated onthe assumption that mandatory sinkingfund installments willbe applied tothe redemption or retirement ofsuch bonds onthedate specified in the series resolution authorizing suchbonds. AMBB/General Obligation Bonds,2015 Series Three Loan Agreement 1:\Docs\37421742\Loan Agreement (King Cove).Docx Page 6 andshallprovidetheBankwithwrittennoticeofsuch adjustment effectivethefollowing fiscalyear. 15.TheCityherebyagreestosecurethewrittenconsentoftheBankpriorto theissuanceofelectricutilityrevenuebondshavingalienonNetRevenueequalor superior totheMunicipalBond. 16.TheCityherebyagreestokeepandretain,untilthedatesixyearsafter theretirementoftheMunicipalBond,oranybondissuedtorefundtheMunicipalBond, orsuchlongerperiodasmayberequiredbytheCity'srecordretentionpoliciesand procedures,recordswithrespecttotheinvestment,expenditureanduseofthe proceedsderivedfromthesaleofitsMunicipalBond,includingwithoutlimitation, records,schedules,bills,invoices,checkregisters,cancelledchecksandsupporting documentation evidencinguseofproceeds,andinvestments and/or reinvestmentsof proceeds.TheCityagreesthatallrecordsrequiredbytheprecedingsentenceshallbe madeavailabletotheBondBankuponrequest. 17.PriortopaymentoftheamountoftheLoanoranyportionthereof,andthe delivery oftheMunicipalBondtotheBankoritsdesignee,theBankshallhavetheright tocancelalloranypartofits obligations hereunder if: (a)Any representation,warrantyorother statement madebytheCity totheBankinconnectionwithitsapplicationtotheBankforaLoanshallbeincorrector incomplete inanymaterialrespect. (b)TheCityhasviolated commitments madebyitinthetermsofthis LoanAgreement. (c)ThefinancialpositionoftheCityhas,intheopinionoftheBank, sufferedamateriallyadversechangebetweenthedateofthisLoan Agreement andthe scheduledtimeofdeliveryoftheMunicipalBondtotheBank. 18.TheobligationoftheBankunderthisLoan Agreement iscontingentupon delivery ofitsGeneralObligationBonds,2015SeriesThreeandreceiptoftheproceeds thereof. 19.TheCityagreesthatitwillprovidetheBankwithwrittennoticeofany default incovenantsundertheCityResolutionwithinthirty(30)daysfromthedate thereof. 20.TheCityagreesthatitshallfileitsannualfinancialstatementwiththe Municipal SecuritiesRulemakingBoardnotlaterthantwohundredten(210)daysafter theendofeachfiscalyearoftheCityforthetermoftheMunicipalBond.TheCity AMBB/General ObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (King Cove).Docx Page7 furtheragreesthatfilingsunderthisSection16shallbemadeinconnectionwithCUSIP Nos.01179P,011798and01179R.AdditionaloralternateCUSIPnumber(s)maybe addedfromtimetotimebywrittennoticefromtheBanktotheCity.TheCityagrees thatifitshallreceivefromtheBankCUSIPnumber(s)inadditiontothosesetforthin thisSectionthenitshallmakeitsfilingsusingbothCUSIPnumbershereinstatedand anyadditionalCUSIPnumber(s). 21.TheCityagreesthatitshallnottake,oromittotake,anyactionlawfuland withinitspowertotake,whichactionoromissionwouldcauseinterestontheMunicipal Bondtobecomesubjecttofederalincometaxesinadditiontofederalincometaxesto whichinterestonsuchMunicipalBondissubjectonthedateoforiginalissuance thereof. TheCityshallnotpermitanyoftheproceedsoftheMunicipalBond,orany facilitiesfinancedwithsuchproceeds,tobeusedinanymannerthatwouldcausethe MunicipalBondtoconstitutea"privateactivitybond"withinthemeaningofSection 141 oftheCode. TheCityshallmakenouseorinvestmentoftheproceedsoftheMunicipalBond whichwillcausetheMunicipalBondtobean"arbitragebond"underSection148ofthe Code.SolongastheMunicipalBondisoutstanding,theCity,shallcomplywithall requirementsofsaidSection148andallregulationsoftheUnitedStatesDepartmentof Treasuryissuedthereunder,totheextentthatsuchrequirementsare,atthetime, applicableandineffect.TheCityshallindemnifyandholdharmlesstheBankfromany obligationoftheCitytomakerebatepaymentstotheUnitedStatesundersaidSection 148arisingfromtheCity'suseorinvestmentoftheproceedsoftheMunicipalBond. 22.UponrequestoftheBank,theCityagreesthatifitsbondsconstituteten percent(10%)ormoreoftheoutstandingprincipalofmunicipalbondsheldbytheBank underitsGeneralBondResolution,itshallexecuteacontinuingdisclosureagreement preparedbytheBankforpurposesofSecuritiesandExchangeCommissionRule15c2- 12,adoptedundertheSecuritiesandExchangeActof1934. 23.TheCityagreesthatifitsbondsconstitutetenpercent(10%)ormoreof theoutstandingprincipalofmunicipalbondsheldbytheBankunderitsGeneralBond ResolutionitshallprovidetheBankforinclusioninfutureofficialstatements,upon request,financialinformationgenerallyofthetypeincludedinAppendixD,underthe heading "Summaries ofBorrowersRepresenting10%orMoreofOutstandingPrincipal ofBondsIssuedUnderthe2005GeneralBondResolution,"totheOfficialStatement andattachedheretoasExhibitB. 24.IfanyprovisionofthisLoanAgreementshallforanyreasonbeheldtobe invalidorunenforceable,theinvalidityorunenforceabilityofsuchprovisionshallnot AMBB/General ObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (King Cove).Docx Page8 affect anyoftheremainingprovisionsofthisLoan Agreement andthisLoan Agreement shallbeconstruedandenforcedasifsuchinvalidor unenforceable provisionhadnot beencontainedherein. 25.ThisLoan Agreement maybeexecutedinoneormorecounterparts,any ofwhichshallberegardedforallpurposesasanoriginalandallofwhichconstitutebut oneandthesameinstrument.Eachpartyagreesthatitwillexecuteanyandall documents orotherinstruments,andtakesuch other actionsasarenecessary,togive effect tothetermsofthisLoanAgreement. 26.No waiver by either partyofanytermorconditionofthisLoan Agreement shallbedeemedorconstruedasawaiverofany other termorconditionhereof,nor shallawaiverofanybreachofthisLoan Agreement bedeemedtoconstituteawaiver ofany subsequent breach,whether ofthesameorofa different section,subsection, paragraph,clause,phraseorotherprovisionofthisLoanAgreement. 27 .In thisLoanAgreement,unlessotherwisedefinedherein,allcapitalized termswhicharedefinedinArticleIoftheGeneralBondResolutionshallhavethesame meanings,respectively,assuchtermsaregiveninArticleIoftheGeneralBond Resolution. 28.ThisLoan Agreement mergesandsupersedesallpriornegotiations, representations andagreementsbetweenthepartiesheretorelatingtothesubject matterhereof andconstitutestheentire agreement betweenthepartiesheretoin respectthereof. [Remainder ofpage intentionally leftblank.] AMBB/General ObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (King Cove).Docx Page9 IN WITNESS WHEREOF,thepartiesheretohaveexecutedthisLoan Agreement thedayandyear first abovewritten. G COVE,ALASKA AMBB/General ObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (King Cove).Docx Page10 EXHIBIT A $930,000 CityofKingCove,Alaska ElectricUtilityRevenueBond,2015 ("MunicipalBond") Due October 1 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 Principal Amount $25,000 30,000 30,000 30,000 35,000 35,000 35,000 40,000 40,000 45,000 45,000 45,000 50,000 50,000 55,000 55,000 60,000 65,000 65,000 70,000 75,000 Interest Rate 5.00% 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 4.00 5.25 5.25 5.25 5.25 5.25 5.25 5.00 5.00 5.00 4.00 Principalinstallmentsshallbepayableon October 1ineachoftheyears,andinthe amounts setforthabove.InterestontheMunicipalBondshallbepayableonApril1, 2016,and thereafter on October 1andApril1ofeachyear. OptionalPrepayment:TheMunicipalBondprincipalinstallmentsdueonorafter October 1,2025,aresubjectto prepayment inwholeorinpartattheoptionoftheCity onanydateonorafterApril1,2025,atapriceof100%oftheprincipalamount thereof tobeprepaid,plusaccruedinteresttothedateofprepayment. AMBB/General ObligationBonds,2015 Series Three Loan Agreement -ExhibitA 1:\Docs\37421742\Loan Agreement (King Cove).Docx PageA-1 EXHIBIT B APPENDIXD Summaries of Borrowers Representing 10%orMoreof Outstanding Principal of Bonds IssuedUnderthe2005GeneralBondResolution Page1of14 EXHIBIT B Kenai Peninsula Borough -GeneralFund General Obligation FinancIal Summary Municipal Fmancial Position 20\0 20\1 20\2 2013 20\4 Average ProperlyTax Collections Borrower'sProperty Tax Rate per51,000 MunicipaJ Levy CurrentYear'sCollections Current Ccltecuon Rate 54.50 528.875,124 528,375,677 98.27% 54.50 529,058,274 528,630.610 98.53% $4.50 530,419A93 529,946,804 98.45%98.57% S4.s0 531,750,392 531,.332,5% 98.68% 55.40 529..669,460 529,252,398 98.59% TotalYear's Collections 529,868,219 529,044,494 S30,729,748 531,332,,5%529,611,923 TotalCollectionRate 99.98%99.95%99.92%99.70%98.68%99.81% 519,850,003 30% 567,188,610 566,417,519 22% 74,255,493 5 23.,:nO,985 I5 16,296,1485 72,452.478 5 21,466,583 s 21,268,520 s 71,347.,868 S 30% 71.108,637 S 30% 70,799,893 $ 21,705,8145 21,454,058 S 72.163,558 5 23,025,4235 22,B64,839 5 70,829,556 S 5 5 5 Fund Balance/Expenditures TotalRevenues TotalEndinz FundBalance Unreserved Ending Fund Balance Expenditures General Fund Intergovernmental Revenues Percenteee Intergovernmental 8,987,8135 13% B,533,331 5 12%14% 10,394037 5 14% 9,486,455 13% $8,402,746 12% 33,910,000 s s Overall Municipal Debt Position 5 -$ s -5 s -5 5 20~64,OOO 5 5 -5 s 20,364,000 5 s 20,364,000 s ,.c -..,?;'F~,'·)'.~::,:,; 0.32% 0.00% 032% 33,910,000 33,910,000 0.53% 0.00% 0.53% 5 $ 45,055,000 '5,055,000 45,055,000 0.65% 0.00% 0.65% General Obligation DebtPer Cesite S3BO 5612 5536 5473 5792 Total Revenue andGODebt Per-Capita 53BO 5612 5536 5473 General Economic and Demographic Data I Population Assessed Value Assessed ValuePerCapil:a Top10TaxPayersasa %ofTotal Assessed Value (mry);most recentyear 20\0 20\1 2012 2013 2014 Annual Growth Rate 53,578 55,400 56,369 ~56,862 0.19% 5 6,369,098,000 5 6,393,531.000 5 6,633,241,000 s 6,715 6,%o,'96,o00_ 5 118,875 5 115,407 5 117,67:;1 5 115 122,405 15.77%15.23%14.38%1 17.05% D-I Page2of14 EXHIBIT B Central Peninsula General Hospital FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited Audited Audited Audited Audited ASSETS Capital Assets (net of depreciation)$68,368,337 $67,842,931 $64,853,893 $69,429,959 $71,387,990 Cash 23,561,004 21,700,302 27,803,487 35,197,813 35,508,443 Cash heldfor Plant Replacement 10,528,599 10,097,241 11,421,461 11,322,729 16,447,887 Restricted Assets 1,241,196 3,584,121 633,493 500,000500,000 Unspent bond proceeds 31,275,450 Other Assets 18,093,771 19,105,718 29,383,574 29,863,006 36,846,307 Total Assets 121.792,907 122,330,313 134,095,908 146,313,507 191,966,077 LIABILITIES ANDNETASSETS Revenue Bonds Payable 32,490,000 GO Bonds Payable 37,920,000 35,990,000 32,255,000 30,130,000 27,905,000 Other Liabilities 14,057,585 10,965,610 18,041,771 18,176,258 20,336,761 Total Liabilities 51,977,585 46,955,610 50,296,771 48,306,258 80,731.761 NET ASSETS 69,815,322 75,374,703 83,799,137 98,007,249 111.234,316 Operating Revenues 88,941,888 101,279,075 116,849,605 123,951,269 126,713,712 Operating Expenses 78,326,691 86,771,449 99,255,770 102,247,165 104,364.018 Depreciation 8,381,029 8,056,5958,004,562 7,959,305 8,066,688 Operating Income (Loss)2,234,168 6,451,031 9,589,273 13,744,799 14,283,006 Non-Operating Revenue (Expense)249,199 (1.1 05,595)(808,253)(1,541,657)(1,070,583) Net Income (Loss)Before Contribution 2,483,367 5,345,436 8,781,020 12,203,142 13,212,423 Capital Contributions 176,391 212,945 52,843 2,004,970 14,644 Change inNet Assets 2,659,758 5,558,381 8,833,863 14,208,112 13,227,067 D-2 Page3of14 ""r "I'lLJ ,Of SITKA GENERAL OBLIGATION FINANCIAL SUMMARY Municipal Financial Position roperty ax 0 ections Borrower's Property TaxRate per $1,000 MUnicipal Levv Current Year's oUections Current ollecticn Rate Total Year'sCollections Total Collection Rate 2010 $6.00 55,768,331 55,735,%2 99.44:6 $5,8u1,822 10058° EXHIBIT B 2011 $6.00 .5,79,,400 $5,753,039 99.20:6 05,807,869 1"0.15:6 2012 56.00 ,,",,904,617 .5,874,918 99.50:6 55,909,321 10u.08% 2013 56.00 55,957,735 $5,893,452 98.92% 55,893,452 98.92 2014 $6.00 55,901,738 55,842,721 99.00% 55,842,1'" 99.00% Average 56.00 55,844,470 55,798,187 99.21 :6 55,833,551 99.82:6 Fund tsaiance Ex endttures Total Revenues Intergovernmental Revenues ercentage Intergovemmentar s 24,882,306 $ 5 2,219,501 s 11,508,475,• 23,260,649 • 49% 24,709,916 s 2,380,298 s 10% 13,584,873 $ 24,075,729 s 56% 26,584,728 s 2,659,323 s 10% 14,268,394 s 23,691,9U s 60% 25,953,885 s 2,693,860 s 10:6 15,996,580 5 23,628,379 5 68:6 26,50,,173 s 2,m,990 s 10:6 11,900,919 23,678,555 50.26% 25,760,552 2,519,688 9.77% Overau Municipal Vel1t Pcstnon RevenueDebt-Enterprise Funds Revenue Debt-Governmental Funds General Obligation Debt-Governmental Funds General C blizatlon Debt-Bnten rise Funds Total General Obligation Debt Total Revenue and General Obligation Debt G~:~n:men~~D:~t?i:~~~;'~;~;~X::~~ue Total Revenue anGO Debt/A.V. l.:JeneraJ ueot t-er Capna Total xevenue and l3L Debt Per Capita GeneralEconomicandDemographicData 5 48,467,078 s s 175,500 s s 32,5,0,000 I • $-$ s 32,550,000 $ I •81,192,578 $ 3.42~ 2010 68,807,401 s 165,750 s 36,300,000 s s 36,300,000 S 105,273,151 s 10.69% $4,138 $12,000 2011 68,593,411 156,000 32,290,000 32,290,000 101,039,411 326:6 1020% $3,607 $11,287 2012 S 106,145,822 s S 146,250 s s 31,020,000 s $-$ s 31,020,000 s 5 137,312,072 s .'.c-•.•••., 3.10:6 13.72% ",41' 515,116 2013 108,940,000 202,641 28,635,000 28,635,000 137,777,641 2.91 14.01% ',L·c·"·; ","< 515~167 2014 AnnualGrowth Rate Population Taxable AssessedValue Assessed Value PerCapita ToplD Tax Payers asa %ofAssessedValue s IS 8,881 953,574,685 s 107,072 s 8.21" 8,773 985,073,129 s 112,2'"S 7.64% 8,95 2 1 990,930,238 s 110,694 5 "1.57% 9,0841 1,001,066,784 s 110,201 5 7.5770 9,084 983,623.000 108,281 7.57 1.47:6 0.59% D-3 Page4of14 EXHIBIT B CityandBoroughofSitka Electric Enterprise Fund Financial Summary 2010 2011 201220132014 Audited Audited Audited Audited Audited Assets Cash 8,868,159 24,320,421 31,450,650 28,803,187 13,505,669 RestrictedAssets 7,149,277 6,871,164 3,595,875 21,197,459 18,121,955 Other Assets 4,256,023 5,010,167 7,266,275 13,897,615 11,777,153 Construction in Progress 5,555,467 11,646,987 18,086,724 58,930,539 137,885,040 UtilityPlantinService 64,914,833 63,103,150 61,775,003 59,900,343 59,508,277 TotalAssets 90,743,759 110,951,889 122,174,527 182,729,143 240,798,094 LiabilitiesandNetAssets Liabilities Other Liabilities 636,920 1,722,772 2,477,182 6,355,564 13,017,817 RevenueBondsPayable 28,090,000 48,700,000 47,570,000 79,485,000 105,100,000 Deferred loss/premium on bonds (815,343)1,471,509 (1,711,547)5,943,338 6,742,293 RevenueNotePayable 9,054,598 8,800,188 8,535,498 7,973,608 7,973,608 TotalUabilities 36,966,175 60,694,469 56,871,133 99,757,510 132,833,718 NetAssets 53,777,584 50,257,420 65,303,394 82,971,633 107,964,376 Operating Revenues 10,852,914 11,401,523 11,611,319 12,077,554 14,240,772 Operating Expenses Administrative andGeneral 1,699,737 1,739,698 2,003,768 1,975,492 2,860,066 Operation and Maintenance 4,366,115 5,257,342 5,914,895 5,152,028 4,964,074 Depreciation 1,994,177 1,987,558 1,971,7391,986,195 1,841,712 Operating Income 2,792,885 2,416,925 1,720,917 2,963,839 4,574,920 Nonoperating revenue (expense) Investment Income 523,298 490,986 459,107 314,600 196,399 Interest Expense (2,369,426)(1,725,198)(2,848,639)(1,678,238)(426,419) Other 208,962 -625,748 572,946 812,866 NetIncome before contributions andtransfers 1,155,719 1,182,713 (42,867)2,173,147 5,157,766 Capital contributions 2,853,752 4,039,237 5,266,050 17,169,455 19,455,106 ExtraordinaryItem: NetPensionObligationRelief 119,824 139,806 325,771 379,871 TransferIn(Out)net (23,898)--(998,128)- ChangeInNet Assets 3,985,573 5,341,774 5,362,989 18,670,245 24,992,743 Population of City and Borough 8,881 8,7738,9529,0849,098 #of electric customers 5,2785,282 5,3095,403 5,490 KwH 50ld 108,739,970 111,795,344 111,048,623 111,155,330 111,155,330 RevenueBondDebtService 4,108,407 3,477,959 3,467,567 4,529,240 5,045,158 RevenueBond Coverage (>1.25)1.34 1.41 1.43 1.27 1.34 Note:$1,440,000 transferred intoRate Stabilization Fundin FY2013 Note:Totalof rate Stabilization Fundasof June 30,2013 -$2,151,000 D-4 Page5of 14 EXHIBIT B CITYANDBOROUGHOF SITKA HARBOR ENTERPRISE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited Audited AuditedAudited Audited ASSETS Plant In-Service (netof depreciation)15,465,195 14,789,299 14,122,59113,550,23113,153,475 land 90,000 90,000 90,000 90,000 90,000 Construction WorkinProgress 317 20,229 57,838 665,476 7,824,365 Cash 3,014,067 3,733,467 4,735,101 6,599,187 6,616,954 RestrictedAssets 3,615,663 589,166 Other Assets 987,099 1,342,572 1.339,389 1,216,385 1,524,898 Total Assets 19,556.678 19,975.567 20,344,919 25,736,942 29,798.858 LIABILITIES ANDNET ASSETS RevenueBondsPayable 0 0 0 4,569,486 3.840,000 Other Liabilities 1,500,6371,405,227 1,156,003 1,144,138 1,689.033 Total Liabilities 1.500.637 1,405.227 1,156.003 5,713,624 5,529,033 NET ASSETS 18,056.041 18,570.340 19,188,916 20,023,318 24,269.825 Operating Revenues 3,040.330 2.854,858 3.154.8853.096,419 3,164,252 Operationand Maintenance 2,133,877 2,492.110 2,434.329 1,708.210 2,454,599 Administrative andGeneral Depreciation 799,254 899.956 986.619 668.511 666,074 Operating Income (Loss)107,199 (537.208)(266,063)719.698 43,579 Non-Operating Revenue(Expense)(183,181)46,509 155.306 156,844 776,434 Net Income (Loss)Before Contribution (75,982)(490,699)(110,757)876,542 820,013 Capital Contributions 242,186 1.690,873 2.549,949 0 3,458.599 Net Transfers-In (Out)400,000 3,804,600 675,000 (42,141)(32,105) Specialitem-NPOIOPEBwriteoff ChangeinNetAssets 566.204 5,004,774 3,114,192 834,401 4,246,507 Population of City 8.881 8,773 8,952 9,084 9,098 No payments of RevenueBondCoverage NoHarbor Bonds NoHarbor Bonds NoHarbor Bonds P&I S,16 D-5 Page6of14 IGITY ur ""I <-","AN GENERAL OBLIGATION FINANCIAL SUMMARY EXHIBIT B Municioal Financial Position ropeny .i ax 1....0 ecncns Borrower's Property TaxRateper$1,000 Municipal Levy (.urrent Year's Collections L urrent Collection Rate Total Year's Collections Total Collection Rate l3eneraJ.runa unreserved Ending Fund Balance Expenditures Fund Balance/Expenditures Total Revenues Intergovernmental Revenues Percentage Intergovernmental 2009 2010 2011 2012 2013 Averaae $6.10 $6.10 $6.20 56.20 $6.70 $6.26 $4,868,459 :>4,885,779 :>4,621,143 $4,648,128 ~,344,326 $4,873,567.00 'ii4,7~4,lf/4 :>4,689,396 :>4,565,367 $/l,59 ,563 :;5,276,616 $4,783,203.20 >8.47%95.98%98.79%9.76%98.73%98.15% $4,844,090 $4,689,396 $4,565,367 $4,590,563 $5,276,616 54,793,206.40 99.50%95.98%98.79%98.76%98.73%98.35% ~4,649,409 $5,101,448 s ~,295,406 s 4,285,383 s 4,074,588 ., $18,084,246 :;;17,159,791 s 18,527,140 :;;19,657,738 s 19,509,987 $1 780 26%30%29%22%21%25% s 14,019,651 $13,886,302 $15,007,571 $14,949,242 $15,646,387 $1'1701,831 $1,348,409 s 1,233,173 $1,820,575 s 1,64'1256 ~1,695,138 51,548,310 10%9%12%11%11%10% •7,618,023s65,OL9,377 ":",~-:--,'--::'>f· Overan MumapaJ Debt Position Revenue Debt-Enterprise Funds Revenue Debt Governmental Funds GeneralObligationDebt-Governmental Funds General Obligation Debt-Enterprise Funds Total General Obligation Debt Total Revenue and General Obligation Debt Governmental GODe 'II Assessed Value my) Ente prise GODebt/Assessed Value my) Total General L bligation Debt/A.V.nr- Total Revenue and GO Debt/A.V.(mrv h<,'<;;......""'..:..• General .DebtPer Capita Total Revenue and GO Debt Per Capita $57,411,354 $- ~5,682,565 s 1,935,458 0.71:» 0.24% 0.95% 8.15% $"1, $8,667 s 56,995,549 $54,828,636 $52,028,061 s s -s - $12,280,863 s 11,452,328 $15,726,032 ~ $4,~4:l,967 s 5,100,222 s 5,006,445 $ $17,223,830 s 16,552,550 $20,732,477 s•74,219,379 $71,;JlS1,186 $72,760,538 $ '<~::"':":':"';',:CO'."':'::< 1.~~:»1.43:»l.>~:» 0.62%0.64%0.62% 2.15%2.07%2.56% 9.27%8.91%9.00% :',C',:>:.:,.•,::•.:.,'".":.':':~:;',':".:,:,",,:,,';',-,--co .L,14U $L,J3';l :J>L",U 59,220 $8,767 $8,776 64,183,054 14,535,""2 2,763,776 032% 2.02% 9.50 $2,081 $9,802 2013 Annual Growth Rate D-6 Page7of14 8,313 0.27% 857,398,200.6.05% 103,139 EXHIBIT B CITYOF KETCHIKAN KETCHIKAN PUBLIC UTILITIES ENTERPRISE FUND FINANCIAL SUMMARY 2009 2010 2011 2012 2013 Audited Audited Audited Audited Audited ASSETS UtilityPlanIn-Service $69,718,266 $67,177,925 $69,018,328 $83,919,407 $83,919,407 Construction WorkinProgress 8,017,706 14,788,563 17,131.918 8,123,4958,123,495 Cash 13,958,674 12,566,005 13,845,368 16,767,889 16,767,889 Restricted Assets 4,062,167 3,050,592 2,963,566 2,695,085 2,695,085 Other Assets 8,686,219 12,118,366 11,991,790 6,159,953 6,159,953 TotaiAssets 104,443,032 109,701,451 114,950,970 117,665,829 117,665,829 LIABILITIES ANDNETASSETS RevenueBondsPayabie 19,902,223 20,233,232 18,884,282 16,602,060 16,602,060 Other Liabilities 4,045,215 3,983,215 4,847,079 5,443,636 5,443,636 Total Liabilities 23,947,438 24,216,447 23,731,361 22,045,696 22,045,696 NET ASSETS 80,495,594 85,485,004 91,219,60995,620,133 95,620,133 OperatingRevenues 33,310,537 32,975,154 34,172,941 34,802,748 34,802,748 Operationand Maintenance 20,861,336 19,060,639 19,997,855 21,992,642 21,992,642 Administrative andGeneral 6,034,476 5,603,405 6,097,427 5,408,961 5,408,961 Depreciation 6,086,514 5,932,099 5,892,449 6,872,767 6,872,767 PaymentinLieuofTaxes Operating Income (Loss)328,211 2,379,011 2,185,210 528,378 528,378 Non-Operating Revenue(Expense)(402,557)(479,652)(363,607)(416,621)(416,621) NetIncome (loss)BeforeContribution (74,346)1,899,359 1,821,603 111.757 111,757 Contributions 2,085,231 3,818,051 4,641,002 5,016,767 5,016,767 SpecialItem Transfer ofNetAssets-Swan lake -LakeTyeeIntertieProject Transfer -PaymentInLieuofTaxes--(675,000)(728,000)(728,000)(728,000)(728,000) ChangeinNetAssets 1,335,885 4,989,410 5.734,605 4,400,524 4,400,524 PopulationofServiceArea 12,984 13,477 12,984 13,477 13,477 PopulationofCity 7,503 8,050 7,503 8,050 8,050 #ofElectric Customers 7,365 7,418 7,365 7,418 7,418 #of Telephone AccessLines 7,467 6,994 7,467 6,994 6,994 #of Water Customers 3,217 3,207 3,217 3,207 3,207 RevenueBondCoverage 2.30 2.80 2.30 2.80 2.80 .Water isonlyprovidedwithintheCity ••Changein accounting standards payment inlieuoftaxmustbereportedasatransfer D-7 Page8of14 EXHIBIT B CITYOFKETCHIKAN PORT FINANCIAL SUMMARY 2009 2010 2011 2012 2012 2013 Audited Audited Audited Audited Restated Audited ASSETS Cash S4,827.125 54.364.226 52.373.808 $2.285.517 S2.285.517 2.900.167 PortFacilities(neO 44.947.620 43.642.947 42.020.640 47.766.776 47.766.776 53.490.542 Construction WorkinProgress 963.018 1.116.782 5.531.746 5.066.048 5.066.048 5.449.151 RestrictedAssets 4.819.708 5.307.521 5.623,924 6.082.097 6.082.097 6.595.730 OtherAssets 1.730.443 1.281.312 3.670.192 4.518.553 4.236.551 4.140.133 TotalAssets 57.287.914 55.712.788 59.220.310 65,718.991 65.436.989 72.575.723 LIABILITIES ANDNETASSETS GeneralObligation Bonds Payable 1.035.000 795.000 540.000 270.000 270.000 0 RevenueBondsPayable 36.540.000 35.830.000 35.090.00034.315.000 34.315.000 33.505.000 Other Liabilities 3.147.957 3.134.814 2.847.180 1.072.3131.072,313 1.699.380 Total Liablfities 40.722.957 39.759.814 38.477.180 35.657.31335.657.313 35.204.380 NETASSETS 16.564.957 15.952.974 20.743.130 30,061.678 29.779.676 37.371.343 Operating Revenues 8.922.228 8.000.492 7.986.404 8.592.2558.592.255 9.145.920 OperaUon and Maintenance 5.368.009 5.319.252 3.957.9093.884.156 3.888.525 4.416.473 Depreciation 1.460.265 1.446.527 1.401.754 1.359.513 1.359.513 1.636.863 Property Taxes 154.041 167.219 152,762 142.575142.575 165.627 PaymentinLIeuofTaxes•• Operating Income {Loss}1.939.913 1.067.494 2.473.979 3.206.011 3.201.642 2.926.957 Non-Operating Revenue (Expense)(1.718.248)(1.903.421)(2.043.804)201.299223.562 (912.634) NetIncome (Loss)Before Contribution 221.665 (835.927)430.175 3.407.310 3.425.204 2.014.323 Contributions andCapitalGrants 905.943 518,944 4.654.981 6.214,416 6.214.416 8.676.543 Extraordinary Item SpecialItem Transfers (8.178)(8,178)(80.199) Transfer -PaymentinLieuofTaxes••(290.000)(295.000)(295,000)(295.000)(295.000)(319.000) ChangeinNetAssets 837.608 (611.983)4.790.156 9.318.548 9.336.442 10,291.667 1.25 x Annual Debt Service 2.45 2.00 2.24 3.36 3.36 3.00 1.0x Annual Debt Service/Reserves Account/Repair and Replacement Fund/SPH Lease Payments 1.13 0.99 1.16 1.67 1.67 1.41 ..Unaudited #af Ships 36 26 28 34 34 38 #of Calls/Stops 496 429 426 467 462 453 #ofWater Passengers 937.419 828.929 830,547 885.799885.799 938.124 Reflects statistical information provided bythe Ketchikan Visilors Bureau Beginning in2005,change in accounting standards required paymentin lieuoftaxestobe reported as transfers. D-8 Page9of14 EXHIBIT B CITYAND BOROUGH OF JUNEAU FINANCIAL SUMMARY General Governmental Fund Municipal Financial Position Property Tax L cuecnoes Borrowers i-reerrv axRateper$1,000 Municipal Levv Current Year's Collections L urrent Collection Rate Total Year'sLO ections otai Collection Rate General Fund Unassigned Pus bmerzencv UJ:eratina Res (GA.:iB#54 expenditures Fund Balance/Ex enditures Total Revenues tntergoverrunental Revenues Percentage Intergovernmental 2010 2011 2012 2013 2014 Average OJ 0.60 $10.51 510.55 510.55 $10.66510.57 841,D48,853 $40,739,944 ~1,751,673 544,252-019 $44,965,923 ~,55L682 840,691,450 540,329,083 '141,431,682 0"-3,987,108 $44,818,184 542,251,501 99.13%98.99%9•.23 99.40%99.677.99.29% $40,879,741 840,501,293 :541,455,145 543,987,108 544,818,1",»L,328,294 99.59%"-'.41'"99:L'J'7"99.40'"99.67%99.47% s 5,714,731 :0 1,729,385 s 3,484,161 s 4,374,670 :0 13,844,723 ~5,829,534 s 49,158,125 s ,,",540,314 ~51,~,781 $5U,4W,977 s 03,'53,117 I :0 OU,_Ob,,",,, 11.63%3.42%6.79%8.66%26.10%11.32 s 66,541.842 s {jjj,008,466 ~50,036.584 s 52,08~,U33 s 65,370,513 s 60,009,288 ~12-389,683 $14,313,000 :0 15,464,700 ~15,2B1,700 s 2~,140,692 ~17,317,955 19%22%31%29%45ib 29.03% 5 46,370,845 s 45,208,341 s 43,679,682 s 41,906,067 1$s 2,718,662 ~3,599,575 s 2,861,747 s 2,091,457 $ s 156,356,000 s 148,301,000 s 133,446,000 5 131,305,000 :0 122,068,00 $-I~-~-s -- 5 156,356,000 ~1,",,301,000 s 1",,446,00 ~131,30.:>,000 122,068,00u $205,445,507 ~197,108,~6 ~179,~87,429 s 175,382,524 168,965~4.""". uverau MUnIClpal Debt l'osition RevenueDebt -Enterprise unas Kevenue Debt -Governmental Funds ven ation Debt -Covemmental Funds General Ohlization Debt .En temrise Funds 10ta1 'Vene.ral Obligation Debt Total Revenue and General Obligation Debt Total Revenue and GU Uebtl A.V.522% 3.72% 4.94% 328",3.07" 4.1U%3.86% General Obligation Total Revenue and.LiU Debt Fer capita $4,999 $6,569 $4.742 $6,302 $4,113 ~",548 $3,692 $5,110 13.61% 2014 I Annual ~o,u""I ".L'" $4,379,714,933l1li45% s 132,462 13.82% $130,896 $4,275,067,217 13.73% s 4,071,713,732 s 125,511 13.78% 2011 .;1.1, s 3,989,344,944 s 127,557 ;/ 10.52% 2010 s 125,767 s 3,933,364,442TaxableAssessedValue Assessed Value Per Capita Top10 Tax Payers asa %of Assessed Value General Economic and Demozranhic Data i-opuiauon D-9 Page10of14 EXHIBIT B CITYAND BOROUGH OFJUNEAU HARBOR ENTERPRISE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AUdited AuditedAuditedAudited ASSETS Plant In-Service (netof depreciation)$11,923,364 $13,827,335 $12,844,129 $11,875,368 $14,325,870 Construction WorkinProgress 29,935,711 29,889,294 33,499,769 42,397,974 40,419,697 Cash 4,470,053 4,728,522 4,660,755 3,466,374 4,030,992 Restricted Assets 7,588,584 10,702,703 11,196,479 10,946,328 10,554,614 Other Assets 866,059 764,741 847,869 543,407 679,907 TotaI Assets 54,783,771 59,912,595 63,049,001 69,229,451 70,Ol 1,080 LIABILITIES ANDNETASSETS Revenue Bonds Payable 9,960,000 9,700,000 9,691,595 9,380,434 9,033,637 Other Liabilities 1,726,240 2,110,290 2,140,909 1,401,365 2,050,500 Total Liabilities 11,686,240 n810,290 11,832,504 10,781,799 11,084,137 NET ASSETS 43,097,531 48,102,305 51,216,497 58,447,652 58,926,943 Operating Revenues 3,040,330 2,854,858 3,154,885 3,173,272 3,508,430 Operation and Maintenance 2,133,877 2,492,110 2,434,329 2,498,178 2,814,717 Administrative and General Depreciation 799,254 899,956 986,619 968,761 1,003,707 Operating Income(Loss)107,199 (537,208)(266,063)(293,667)(309,994) Non-Operating Revenue (Expense)(183,181)46,509 155,306 (214,686)128,433 Net Income (Loss)Before Contribution (75,982)(490,699)(110,757)(508,353)(181,561) Capital Contributions 242,186 1,690,873 2,549,949 7,392,466 660,852 Net Transfers-In (Out)400,000 3,804,600 675,000 500,000 °Specialitem-NPO/OPEB write off Change inNetAssets 566,204 5,004,774 3,114,192 7,384,113 479,291 Population ofCity 31,27531,275 32,441 32,660 33,064 Revenue BondCoverage 2,18 1,19 1.79 1,21 1.67 D-IO Page11 of14 EXHIBIT B CITYAND BOROUGH OF JUNEAU PORT DEVELOPMENT SPECIAL REVENUE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AuditedAuditedAuditedAudited ASSETS Plant In-Service (netof depreciation) Construction WorkinProgress Cash 3,414,679 4,428,233 (208,085)(252,013)71,012 Restricted Assets Other Assets 273,317 314,814 269,712 484,639 294,257 Total Assets 3,687,996 4,743,047 61,627 232,626 365,269 LIABILITIES ANDNETASSETS Revenue BondsPayable Other Liabilities 151,020 349,585 Total Liabilities 151,020 349,585 NET ASSETS 3,687,996 4,743,047 61,627 81,606 15,684 Operating Revenues 2,856,882 2,557,851 2,634,080 2,825,479 2,864,578 Operation and Maintenance 4,500 2,800 5,500 5,500 5,500 Administrative andGeneral Depreciation Operating Income (Loss)2,852,382 2,555,051 2,628,5802,819,979 2,859,078 Non-Operating Revenue(Expense) NetIncome(Loss)Before Contribution 2,852,382 2,555,051 2,628,580 2,819,979 2,859,078 Capital Contributions Net Transfers-In (Out)(1,750,000)(1,500,000)(7,310,000)(2,800,000)(2,925,000) Change inNetAssets 1,102,382 1,055,051 (4,681,420)19,979 (65,922) Population ofCity 31,275 31,275 32,441 32,660 33,064 Revenue BondCoverage N/A N/A N/A N/A N/A D-ll Page12of14 EXHIBIT B Cityand Borough of Juneau Conduit Debt WILDFLOWER COURT (A not for profit organziation) FINANCIAL SUMMARY 2010 2011 20122013 2014 Audited Audited AuditedAudited Audited ASSETS PlantIn-Service 5.674.338 4.909.305 4,620,9994,734,678 3.771,100 Cash 1,255,8671.582,128 1,752,043 1,437.085 1,970,693 RestrictedAssets 1,735,178 1,707,402 2,170,928 1,489,365 1,450,054 OtherAssets 1.312,915 1,399,517 1,444,749 1,786,787 1,267,699 TotalAssets 9,978,298 9,598,352 9,988,719 9,447,915 8,459,546 LIABILITIES ANDNETASSETS BondDebt 13.650,000 13.050,000 11,705,000 11,596,229 10.204,712 OtherLiabilities 878,190 904,428 2,052,663 1,132,323 996,579 TotalLiabilities 14,528.190 13,954,428 13,757,663 12,728.552 11,201,291 NETASSETS(DEFICIT)(4,549.892)(4,356,076)(3,768,944)3,280,637 (2,741,745) OperatingRevenues 10,361.609 10,859,195 10,841.324 11,057,791 11,447.862 Operating Expenses 9.802,944 9,894,353 9,594,317 9,666,530 9,961,681 Depreciation 937.147 832,579 780,765 935,669 1,008,253 OperatingIncome(Loss)(378,482)132,263 466,243 455,592 477,928 Non-Operating Revenue(Expense)27.924 61,553 120,890 32,713 60,964 ChangeinNetAssets (350,558)193,816 587,132 488,305 538,892 RevenueBondCoverage 1.01 1.33 1.321.12 1.10 The Bond Bankhas received notification fromsenior management of Wildflower Courtthatfor calendar year 2013 and 2014 Wildflower Courtfellshortoftherequireddebtservice coverage ratioof 1.15 times.Persection5.1(b)oftheloan agreement betweentheCityand Borough ofJuneauandWildflower Court,Wildflower Courtis working withtheCityand Borough to identify measures toreturnthefacilityto compliance withthedebtservice coverage requirement oftheloan agreement. D-12 Page130f14 EXHIBIT B CITYANDBOROUGHOF JUNEAU BARTLETT REGIONAL HOSPITAL FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited Audited AuditedAuditedAudited ASSETS PlantIn-Service(netof depreciation)$74,736,663 $72,772,410 $74,566,327 $74,002,798 $69,208,456 Construction Workin Progress'3,126,611 6,866,781 6,202,224 2,826,314 228,425 Cash 18,036,202 14,990,308 17,386,169 26,113,833 38,596,921 Restricted Assets 8,555,051 10,160,114 6,549,498 5,490,768 5,327,673 Other Assets 20,549,937 23,011,263 23,462,113 25,230,206 20,528,164 TotalAssets 125,004,464 127,800,876 128,166,331133,663,919 133,889,639 LIABILITIES ANDNET ASSETS RevenueBondsPayable 26,165,000 25,570,000 24,926,795 25,304,67924,346,618 OtherLiabilities 11,066,147 11,391,053 8,999,867 8,829,067 11,033,875 TotalLiabilities 37,231,147 36,961,053 33,926,662 34,133,746 35,380,493 NET ASSETS 87,773,317 90,839,823 94,239,669 99,530,173 98,509,146 Operating Revenues 82,640,681 90,680,836 95,026,373 84,250,207 80,198,274 Operation andMaintenance 72,975,632 83,883,389 89,411,913 76,967,44478,820,476 Administrative andGeneral Depreciation 6,270,565 6,552,177 7,145,290 7,001,2957,086,559 Operating Income (Loss)3,394,484 245,270 (1,530,830)281,468 (5,708,761) Non-Operating Revenue(Expense)911,555 1,579,634 3,306,366 4,119,820 3,610,234 NetIncome(Loss)Before Contribution 4,306,039 1,824,904 1,775,536 4,401,288 (2,098,527) CapitalContributions 536,697 89,002 471,910 134,658 0 Net Transfers-In (Out)1,146,000 1,152,600 1,152,400 1,123,000 1,077,500 Specialitem-NPO/OPEBwriteoff ChangeinNetAssets 5,988,736 3,066,506 3,399,846 5,658,946 (1,021,027) Population ofCity 31,275 31,275 32,441 32,660 33,064 Revenue BondCoverage 5.15 3.63 3.00 7.34 2.50 D-13 Page14of14 LOAN AGREEMENT THISLOANAGREEMENT,datedasofthe1stdayof September 2015,between theAlaskaMunicipalBondBank(the"Bank"),abodycorporateandpoliticconstituted asaninstrumentalityoftheStateofAlaska(the"State")exercisingpublicandessential governmentalfunctions,createdpursuanttotheprovisionsof Chapter 85,Title44, AlaskaStatutes,asamended(the"Act"),havingitsprincipalplaceofbusinessat Juneau,Alaska,andtheHainesBorough,Alaska,adulyconstitutedhomeruleborough oftheState(the"Borough"): WIT NE SSE TH: WHEREAS,pursuanttotheAct,theBankisauthorizedtomakeloansofmoney (the"Loan"or"Loans")to governmental units;and WHEREAS,theBoroughisa Governmental UnitasdefinedintheGeneralBond ResolutionoftheBank hereinafter mentionedandpursuanttotheActisauthorizedto acceptaLoanfromtheBanktobeevidencedbyitsmunicipalbonds;and WHEREAS,theBoroughdesirestoborrowmoneyfromtheBankintheamount nottoexceed$1,375,000andhassubmittedanapplicationtotheBankforaLoanin theamountnottoexceed$1,375,000,andtheBoroughhasdulyauthorizedthe issuanceofitsfullyregisteredbondintheaggregateprincipalamountof $1,155,000 (the"MunicipalBond"),whichbondistobepurchasedbytheBankasevidenceofthe LoaninaccordancewiththisLoanAgreement;and WHEREAS,theapplicationoftheBoroughcontainstheinformationrequestedby theBank;and WHEREAS,toprovidefortheissuanceofbondsoftheBankinordertoobtain fromtimetotimemoneywithwhichtomakeLoans,theBankhasadoptedtheGeneral ObligationBondResolutiononJuly13,2005,asamended(the"GeneralBond Resolution")andSeriesResolutionNo.2015-04(S),approvedonAugust11,2015 (togetherwiththeGeneralBondResolution,the"BondResolution"),authorizingthe makingofsuchLoantotheBoroughandthepurchaseoftheMunicipalBond;and WHEREAS,theBoardoftheBankapprovedcertain modifications totheGeneral BondResolution,effectiveonthedatewhenallbondsissuedunderthetermsofthe GeneralBondResolution,priortoFebruary19,2013,ceasetobeoutstanding. NOW,THEREFORE,thepartiesagree: 1.TheBankherebymakestheLoanandtheBoroughacceptstheLoanin theaggregateprincipalamountof$1,155,000.AsevidenceoftheLoanmadetothe BoroughandsuchmoneyborrowedfromtheBankbytheBorough,theBoroughhereby sellstotheBanktheMunicipalBondintheprincipalamount,withtheprincipal installment payments,andbearinginterestfromitsdateattherateorratesperannum, statedinExhibitAappendedhereto. 2.TheBoroughrepresentsthatithasdulyadoptedorwilladoptall necessaryordinancesorresolutions,includingOrdinanceNo.14-07-380,passedon August 26,2015,andResolutionNo.15-08-639,adoptedonAugust25,2015(together, the"BoroughLegislation"),andhastakenorwilltakeallproceedingsrequiredbylawto enableittoenterintothisLoan Agreement andissueitsMunicipalBondtotheBank andthattheMunicipalBondwillconstituteageneralobligationbond,securedbythefull faithandcreditoftheBorough,alldulyauthorizedbytheBoroughLegislation. 3.Subjecttoanyapplicablelegallimitations,theamountstobepaidbythe BoroughpursuanttothisLoan Agreement representinginterestdueonitsMunicipal Bond(the"MunicipalBondInterestPayments")shallbecomputedatthesamerateor ratesofinterestbornebythecorrespondingmaturitiesofthebondssoldbytheBankin ordertoobtainthemoneywithwhichtomaketheLoanandtopurchasetheMunicipal Bond(the"LoanObligations")andshallbepaidbytheBoroughatleastseven(7) businessdaysbeforetheinterestpaymentdatesoastoprovidefundssufficienttopay interest asthesamebecomesdueontheLoanObligations. 4.TheamountstobepaidbytheBoroughpursuanttothisLoanAgreement representingprincipaldueonitsMunicipalBond(the"MunicipalBondPrincipal Payments"),shallbepaidatleastseven(7)businessdaysbeforethepaymentdate statedintheMunicipalBondsoastoprovidefundssufficienttopaytheprincipalofthe Loan Obligations asthesamematuresbaseduponthematurityschedulestatedin ExhibitAappendedhereto. 5.IntheeventtheamountsreferredtoinSections3and4 hereof tobepaid bytheBoroughpursuanttothisLoan Agreement arenotmadeavailableatanytime specifiedherein,theBoroughagreesthatanymoneypayabletoitbyanydepartmentor agencyoftheStatemaybewithheldfromitandpaidoverdirectlytotheTrusteeacting undertheGeneralBondResolution,andthisLoan Agreement shallbefullwarrant, authorityanddirectiontomakesuchpaymentuponnoticetosuch department or agencybytheBank,withacopyprovidedtotheBorough,asprovidedintheAct. 6.IntheeventLoan Obligations havebeenrefundedandtheinterestrates theBankisrequiredtopayonitsrefundingbondsinanyyeararelessthantheinterest ratespayablebytheBoroughontheMunicipalBondforthecorrespondingyear pursuant tothetermsoftheMunicipalBond,thenboththeMunicipalBondInterest PaymentsandtheMunicipalBondPrincipalPaymentswillbeadjustedinsucha manner that(i)theinterestratepaidbytheBoroughonanyprincipalinstallmentofthe AMBB/GeneralObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (Haines).Docx Page 2 MunicipalBondisequaltotheinterestratepaidbytheBankonthecorresponding principalinstallmentoftheBank'srefundingbondsand (ii)onapresentvaluebasisthe sumoftheadjustedMunicipalBondInterestPaymentsandMunicipalBondPrincipal PaymentsisequaltoorlessthanthesumoftheMunicipalBondInterestPaymentsand MunicipalBondPrincipalPaymentsdueovertheremainingtermoftheMunicipalBond aspreviouslyestablishedunderthisLoanAgreement.Intheeventofsucharefunding ofLoanObligations,theBankshallpresenttotheBoroughfortheBorough'sapproval,a revisedscheduleofprincipal installment amountsandinterestratesfortheMunicipal Bond.IfapprovedbytheBoroughtherevisedscheduleshallbeattachedheretoas ExhibitAandincorporatedhereininreplacementofthepreviousExhibitAdetailingsaid principalinstallmentamountsandinterestrates. 7.TheBoroughisobligatedtopaytotheBankFeesandCharges.Such FeesandChargesactuallycollectedfromtheBoroughshallbeinanamountsufficient, together withtheBorough'sAllocableProportion(asdefinedbelow)ofothermoney availablethereforundertheprovisionsoftheBondResolution,andothermoney availabletherefor,includingany specific grantsmadebytheUnitedStatesofAmerica oranyagencyor instrumentality thereof orbytheStateoranyagencyorinstrumentality thereof andamountsapplied therefor fromamountstransferredtotheOperatingFund pursuant toSection606oftheGeneralBondResolution: (a)topay,asthesamebecomedue,theBorough'sAllocable Proportionofthe Administrative ExpensesoftheBank;and (b)topay,asthesamebecomedue,theBorough'sAllocable ProportionofthefeesandexpensesoftheTrusteeandpayingagentfortheLoan Obligations. TheBorough'sAllocableProportionasusedhereinshallmeantheproportionate amountofthetotalrequirementinrespecttowhichthetermisuseddeterminedbythe ratiothattheprincipalamountoftheMunicipalBondoutstandingbearstothetotalofall Loansthenoutstandingtoall Governmental UnitsundertheGeneralBondResolution, ascertifiedbytheBank.The waiver bytheBankofanyfeespayablepursuanttothis Section7shallnotconstitutea subsequent waiverthereof. 8.TheBoroughisobligatedtomaketheMunicipalBondPrincipalPayments scheduledbytheBank.ThefirstsuchMunicipalBondPrincipalPaymentisdueatleast seven(7)businessdayspriortothedateindicatedonExhibitAappendedhereto,and thereafter onthe anniversary thereof eachyear.TheBoroughisobligatedtomakethe MunicipalBondInterestPaymentsscheduledbytheBankonasemi-annualbasis commencingseven(7)businessdayspriortothedateindicatedonExhibitAappended hereto,andtopayanyFeesand.Charges imposedbytheBankwithin30daysof receivingtheinvoiceoftheBanktherefor. AMBB/General ObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (Haines).Docx Page3 9.TheBankshallnotsellandtheBoroughshallnotredeempriortomaturity anyportionoftheMunicipalBondinanamount greater thantheLoanObligationswhich arethenoutstandingandwhicharethenredeemable,andintheeventofanysuchsale orredemption,thesameshallbeinanamountnotlessthantheaggregateof(i)the principalamountoftheMunicipalBond(orportionthereof)toberedeemed,(ii)the interesttoaccrueontheMunicipalBond(orportionthereof)toberedeemedtothenext redemptiondatethereofnotpreviouslypaid,(iii)theapplicablepremium,ifany,payable ontheMunicipalBond(orportionthereof)toberedeemed,and(iv)thecostand expensesoftheBankineffectingtheredemptionoftheMunicipalBond(orportion thereof)toberedeemed.TheBoroughshallgivetheBankatleast50days'noticeof intentiontoredeemitsMunicipalBond. IntheeventtheLoan Obligations withrespecttowhichthesaleorredemption priortomaturityofsuchMunicipalBondisbeingmadehavebeenrefundedandthe refundingbondsoftheBankissuedforthepurposeofrefundingsuchLoanObligations wereissuedinaprincipalamountinexcessoforlessthantheprincipalamountofthe MunicipalBondremainingunpaidatthedateofissuanceofsuchrefundingbonds,the amountwhichtheBoroughshallbeobligatedto payor theBankshallreceiveunder item(i)aboveshallbetheprincipalamountofsuchrefundingbondsoutstanding. IntheeventtheLoanObligationshavebeenrefundedandtheinteresttheBank isrequiredtopayontherefundingbondsislessthantheinteresttheBankwasrequired topayontheLoanObligations,theamountwhichtheBoroughshallbeobligatedtopay ortheBankshallreceiveunderitem(ii)aboveshallbetheamountofinteresttoaccrue onsuchrefundingbondsoutstanding. IntheeventtheLoan Obligations havebeenrefunded,theamountwhichthe Boroughshallbeobligatedto payor theBankshallreceiveunderitem(iii)above,when therefundedLoanObligationsaretoberedeemed,shallbetheapplicablepremium,if any,ontheLoanObligationstoberedeemed. NothinginthisSectionshallbeconstruedaspreventingtheBoroughfrom refundingtheMunicipalBondinexchangeforanewMunicipalBondinconjunctionwith arefundingoftheLoanObligations. 10.Simultaneously withthedeliveryoftheMunicipalBondtotheBank,the BoroughshallfurnishtotheBankevidence satisfactory totheBankwhichshallset forth,amongotherthings,thattheMunicipalBondwillconstituteavalidandbinding generalobligationoftheBorough,securedbythefullfaithandcreditoftheBorough. 11.InvoicesforpaymentsunderthisLoan Agreement shallbeaddressedto theHainesBorough,Attention:FinanceDirector,P.O.Box1209,Haines,Alaska AMBB/General ObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (Haines).Docx Page4 99827.TheBoroughshallgivetheBankandthecorporatetrustofficeoftheTrustee undertheGeneralBondResolutionatleast30days'writtennoticeofanychangein suchaddress. 12.TheBoroughherebyagreestokeepandretain,untilthedatesixyears aftertheretirementoftheMunicipalBond,oranybondissuedtorefundtheMunicipal Bond,orsuchlongerperiodasmayberequiredbytheBorough'srecordretention policiesandprocedures,recordswithrespecttotheinvestment,expenditureanduseof theproceedsderivedfromthesaleofitsMunicipalBond,includingwithoutlimitation, records,schedules,bills,invoices,checkregisters,cancelledchecksandsupporting documentation evidencinguseofproceeds,andinvestments and/or reinvestmentsof proceeds.TheBoroughagreesthatallrecordsrequiredbytheprecedingsentenceshall bemadeavailabletotheBondBankuponrequest. 13.PriortopaymentoftheamountoftheLoanoranyportionthereof,andthe deliveryoftheMunicipalBondtotheBankoritsdesignee,theBankshallhavetheright tocancelalloranypartofitsobligations hereunder if: (a)Anyrepresentation,warrantyorother statement madebythe BoroughtotheBankinconnectionwithitsapplicationtotheBankforaLoanshallbe incorrectorincompleteinanymaterialrespect. (b)TheBoroughhasviolatedcommitmentsmadebyitinthetermsof thisLoanAgreement. (c)ThefinancialpositionoftheBoroughhas,intheopinionofthe Bank,sufferedamateriallyadversechangebetweenthedateofthisLoanAgreement andthescheduledtimeofdeliveryoftheMunicipalBondtotheBank. 14.TheobligationoftheBankunderthisLoan Agreement iscontingentupon deliveryofitsGeneralObligationBonds,2015SeriesThreeandreceiptoftheproceeds thereof. 15.TheBoroughagreesthatitwillprovidetheBankwithwrittennoticeofany default incovenantsundertheBoroughLegislationwithinthirty(30)daysfromthedate thereof. 16.TheBoroughagreesthatitshallfileitsannualfinancialstatementwiththe MunicipalSecuritiesRulemakingBoardnotlaterthantwohundredten(210)daysafter theendofeachfiscalyearoftheBoroughforthetermoftheMunicipalBond.The BoroughfurtheragreesthatfilingsunderthisSection16shallbemadeinconnection withCUSIPNos.01179P,011798and01179R.AdditionaloralternateCUSIP number(s)maybeaddedfromtimetotimebywrittennoticefromtheBanktothe AMBB/General ObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (Hainesj.Docx Page5 Borough.TheBoroughagreesthatifitshallreceivefromtheBankCUSIPnumber(s)in additiontothosesetforthinthisSectionthenitshallmakeitsfilingsusingbothCUSIP numbershereinstatedandanyadditionalCUSIPnumber(s). 17.TheBoroughagreesthatitshallnottake,oromittotake,anyactionlawful andwithinitspowertotake,whichactionoromissionwouldcauseinterestonthe MunicipalBondtobecomesubjecttofederalincometaxesinadditiontofederalincome taxestowhichinterestonsuchMunicipalBondissubjectonthedateoforiginal issuancethereof. TheBoroughshallnotpermitanyoftheproceedsoftheMunicipalBond,orany facilitiesfinancedwithsuchproceeds,tobeusedinany manner thatwouldcausethe MunicipalBondtoconstitutea"privateactivitybond"withinthemeaningofSection 141 oftheCode. TheBoroughshallmakenouseor investment oftheproceedsoftheMunicipal BondwhichwillcausetheMunicipalBondtobean"arbitragebond"underSection148 oftheCode.SolongastheMunicipalBondisoutstanding,theBorough,shallcomply withallrequirementsofsaidSection148andallregulationsoftheUnitedStates Department ofTreasuryissuedthereunder,totheextentthatsuchrequirementsare,at thetime,applicableandineffect.TheBoroughshallindemnifyandholdharmlessthe BankfromanyobligationoftheBoroughtomakerebatepaymentstotheUnitedStates undersaidSection148arisingfromtheBorough'suseorinvestmentoftheproceedsof theMunicipalBond. 18.UponrequestoftheBank,theBoroughagreesthatifitsbondsconstitute tenpercent(10%)ormoreoftheoutstandingprincipalofmunicipalbondsheldbythe BankunderitsGeneralBondResolution,itshallexecuteacontinuingdisclosure agreementpreparedbytheBankforpurposesofSecuritiesandExchangeCommission Rule15c2-12,adoptedundertheSecuritiesandExchangeActof1934. 19.TheBoroughagreesthatifitsbondsconstitutetenpercent(10%)ormore oftheoutstandingprincipalofmunicipalbondsheldbytheBankunderitsGeneralBond ResolutionitshallprovidetheBankforinclusioninfutureofficialstatements,upon request,financialinformationgenerallyofthetypeincludedinAppendixD,underthe heading "Summaries ofBorrowersRepresenting10%orMoreof Outstanding Principal ofBondsIssuedUnderthe2005GeneralBondResolution,"totheOfficialStatement andattachedheretoasExhibitB. 20.IfanyprovisionofthisLoan Agreement shallforanyreasonbeheldtobe invalidorunenforceable,theinvalidityor unenforceability ofsuchprovisionshallnot affectanyoftheremainingprovisionsofthisLoan Agreement andthisLoanAgreement AMBB/GeneralObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (Haines).Docx Page6 shallbeconstruedandenforcedasifsuchinvalidorunenforceableprovisionhadnot beencontainedherein. 21.ThisLoan Agreement maybeexecutedinoneormorecounterparts,any ofwhichshallberegardedforallpurposesasanoriginalandallofwhichconstitutebut oneandthesameinstrument.Eachpartyagreesthatitwillexecuteanyandall documentsorotherinstruments,andtakesuchotheractionsasarenecessary,togive effect tothetermsofthisLoanAgreement. 22.No waiver byeitherpartyofanytermorconditionofthisLoanAgreement shallbedeemedorconstruedasawaiverofanyothertermorconditionhereof,nor shallawaiverofanybreachofthisLoan Agreement bedeemedtoconstituteawaiver ofany subsequent breach,whether ofthesameorofadifferentsection,subsection, paragraph,clause,phraseorotherprovisionofthisLoanAgreement. 23.InthisLoanAgreement,unlessotherwisedefinedherein,allcapitalized termswhicharedefinedinArticleIoftheGeneralBondResolutionshallhavethesame meanings,respectively,assuchtermsaregiveninArticleIoftheGeneralBond Resolution. 24.ThisLoan Agreement mergesandsupersedesallpriornegotiations, representationsandagreementsbetweenthepartiesheretorelatingtothesubject matterhereofandconstitutestheentireagreementbetweenthepartiesheretoin respectthereof. [Remainder ofpageintentionallyleftblank.] AMBB/GeneralObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (Haines).Docx Page7 INWITNESSWHEREOF,thepartiesheretohaveexecutedthisLoanAgreement thedayandyearfirstabovewritten. ESBOROUGH,ALASKA AJ~ DAViDSOSA BoroughManager By:--4',"="",=":"':7:~'-::":::':-"'"",,"",,~==------- AMBB/GeneralObligationBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (Haines).Docx Page8 EXHIBIT A $1,155,000 HainesBorough,Alaska GeneralObligationBond,2015 ("MunicipalBond") Due October 1 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 Principal Amount $35,000 40,000 40,000 40,000 40,000 45,000 45,000 50,000 50,000 55,000 55,000 60,000 65,000 65,000 70,000 70,000 75,000 80,000 85,000 90,000 Interest Rate 2.00% 2.00 4.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 4.00 5.25 5.25 5.25 5.25 5.25 Principalinstallmentsshallbepayableon October 1ineachoftheyears,andinthe amountssetforthabove.InterestontheMunicipalBondshallbepayableonApril1, 2016,andthereafteron October 1andApril1ofeachyear. OptionalPrepayment:TheMunicipalBondprincipalinstallmentsdueonorafter October 1,2025,are subject to prepayment inwholeorinpartattheoptionofthe Boroughonanydateonor after April1,2025,atapriceof100%oftheprincipal amountthereoftobeprepaid,piusaccruedinteresttothedateofprepayment. AMBB/GeneralObligationBonds,2015SeriesThree Loan Agreement -ExhibitA 1:\Docs\37421742\LoanAgreement (Haines).Docx PageA-1 EXHIBIT B APPENDIXD Summaries of Borrowers Representing 10%orMore of Outstanding Principal of Bonds Issued Underthe2005 General Bond Resolution Page 1 of 14 EXHIBITB Kenai Peninsula Borough.GeneralFund General Obligation Financial Summary Municipal Fmandal Position Properly Tax Collections Borrower's Prooertv Tax Rate cer 51,000 Munidoal Lew Current Year's Collections Current Collection Rate Total Year's Collections Total Collection Rate 2010 2011 2012 2013 201.Average 54.50 $4.50 54.50 54.50 54.50 SSAO $28,875,124-529,058,274 $30,419.493 $30,823.<97 531,750,392 ,29,669A60 52B,375,677 528,630,610 529,946,804 $30,382,636 531,332,596 529,252,398 98.27%98.53%98.45%9857%98.68%98.59% 528,868,219 $29,044,494 S30.396A59 S30,729,748 531,332..5%529,611,923 99.98%99.95%99.92%99.70%98.68%99.81% General Fund Total Endinl!:Fund Balance Unreserved Endinz Fund Balance EXDend.itu~ Fund Balance/Expenditures Total Revenues Intergovernmental Revenues Percenteae Intergovernmental s 5 5 5 5 23,025,423 s 22.864,839 s 70,829,556S 32% 68,716,762 s 8,987.813 S 13% 21,705.814 S 21,454,058 $ 72.163.558 5 30% 70,799,893 s 8,538,331 s 12% 21,466..583 s 21,268.520 5 71,347.,868 s 30% 71,108,637 5 9,749,464 s 14% 23,310,985 5 16,296,148 5 72,.452,478 s 22% 74,255,493 S 10,392.037 , 14% 15,896,686 519,850,003 73.376,361 $66,417,519 22%30% 74,945,074567,188,610 9,486,455 $8,402,746 13%12% 20,364,000 5 5 5 s 33,910,000 s 0.65% 0.00% 45,055,000 45,055,000 45,055,000 s 5 s 0.40% 0.00% s s s 26,820,0005 26,820,000 26,820,000 5 5 5 0_46% 0.00% s s s 30,230,000 30,230,000 S 30,230,000 $ s s 0.53% 0.00% 5 s, 33,910,000 33,910,000 s s s 0.32% 0.00'% 20,36<,000 20,364,000 5 s $ s 5 ,General Obllganon Debt-Governmental Funds (GeneralFundonly) General Obli£ation Debt-Enterprise Funds Revenue Debt-Governmental Funds Revenue Debt-Enterprise Funds Tolal Revenue Debt Overall Municipal Debt Posil:ion Total Revenue and GO Debt/A.V.(mry)0.32%0.53%0.46%0.40%0.65% General Obftaencn Debt Per Capita Total Revenue and GO Debt Per Capita $380 5380 5612 5612 5536 5536 5473 5473 0792 0792 GeneralEconomic and Demographic Data I Population Assessed Value Assessed Value Per Capita Top10 Tax Payers as a %of Total Assessed Value ICmry):most recent year 2010 2011 20U 2013 2014 Annual Growfh Rale 53,5/8 55,400 56,369 56,756 56.862 0.19% s 6,369,098,000 s 6,393,531,000 s 6,633,241,000 5 6,716,010,0005 6,960,'96,000_ 5 118,875 s 115,407 s 117,675 5 118,331 5 122,405 15.77%15.23%14.38%16.18%17.05% D-I Page2of14 EXHIBIT B Central Peninsula GeneralHospital FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited Audited Audited Audited Audited ASSETS CapitalAssets(netofdepreciation)$68.368,337 $67,842.931 $64,853,893 $69,429,959 $71,387,990 Cash 23,561,004 21,700,302 27,803,487 35,197,813 35,508,443 CashheldforPlantReplacement 10,528,599 10,097,241 11,421,46111,322,729 16,447,887 RestrictedAssets 1,241,196 3,584,121 633,493 500,000 500,000 Unspent bondproceeds 31,275,450 OtherAssets 18,093,771 19,105,718 29,383,574 29,863,006 36,846,307 TotalAssets 121,792,907 122,330,313 134,095,908 146,313,507 191,966,077 LIABILITIES ANDNETASSETS RevenueBondsPayable 32,490,000 GOBondsPayable 37,920,00035,990,000 32,255,000 30,130,000 27,905,000 Other Liabilities 14,057,585 10,965,610 18,041,771 18,176,258 20,336,761 Total Liabilities 51,977.585 46,955,610 50,296,771 48,306,258 80,731,761 NET ASSETS 69,815,322 75,374,703 83,799,137 98,007.249 111,234,316 OperatingRevenues 88,941,888 101,279,075 116,849,605 123,951,269 126,713,712 OperatingExpenses 78,326,691 86,771.449 99,255,770 102,247,165 104,364.018 Depreciation 8,381,029 8,056,595 8,004,562 7,959,305 8.066,688 Operating Income (Loss)2,234,168 6,451,031 9,589,273 13,744,799 14,283,006 Non-Operating Revenue(Expense)249,199 (1,105,595)(808,253)(1,541,657)(1,070,583) NetIncome(Loss)Before Contribution 2.483,367 5,345.436 8,781,020 12,203,142 13,212.423 Capital Contributions 176,391 212,945 52,843 2,004,970 14,644 ChangeinNetAssets 2,659,758 5,558,381 8,833,863 14,208,112 13,227,067 D-2 Page3of14 EXHIBIT B "",,"""u I OF~""" GENERAL OBLIGATION FINANCIAL SUMMARY Municlnal Financial Position roperty ax Collections Borrower'sPropertyTaxRate per $l~OOO Municipal Levv Current Year'sCo ections CurrentCollectionRate Total Year's Collections Total ollection Rate 2010 56.00 55,Y68,331 100.58% 2011 56.00 55,I>9,4w $5.753,039 99.20% lu0.15% 2012 $6.00 .5,904,617 55,874,918 99.50% 100.08" 2013 2014 $6.00 55,901,738 55,842,721 99.00% 99.00" Average 55,798,187 99.21 % 99.82% 9.77% 5u.26% 25,760,552 11,900,919 23,670,555 68", 15,996,5lill 5 23,628,379 $ 10% 60% 2,693,860 s 14,268,394 5 23,691,912 s 10% 56% 13,584,873 S 2<\'075,729 s 10% 24,709,9165 49% 11,508,475 s 23,260,649 5 38% 9% 5 24,=,306 s Fund Balance/Expenditures Total Revenues Percentage Intergovernmental Intergovernmental Revenues 202,641 <8,635,000 28,635,000 137,777,641 -$ 146,250 s 31,0<0,000 s 31,020,000 $ 137,3 2,072 s 106,145,822 $ s $ s 156,000 s 32,290,000 $ 32,290,000 101,039,411 165,750 s 36,300,000 s 36,300,000 s 105,273,151 $ s s s 175,500 s 32,550,000 s 32,550,000 81,192,578 $ $ S s $ " RevenueDebt Governmental Funds Genera!Obligation Debt-Governmental Funds General Obligation Debt-Enterprise Funds eta!General Obltgatton Debt Tcta Revenue and General Obligation Debt uverau MUIUcipaI Vein"OSition Revenue De t -Enterprise Funds Total Revenue andGO Debt/A.V. I csenerar ',treor i-er Capita Total xevenue andGODe t PerCapita 8.52% ::' 3.69:6 10.69% 326% 1020% ,:"",,":-':.';};":.''.'..". $3,607 '11,287 3. 13.72% 291' 14.01 GeneralEconomicandDemographicData Population Taxable AssessedValue AssessedValuePerCapita Top10Tax Payersasa %ofAssessedValue s s 2010 953,574,685 s 8.21% 2011 errs 985,073,129 s 7.64% 2012 7.57% 2013 110,201 s 7.57% 2014 983,623,000 108,281 7.57' Annual Growth Rate 1.47% 0.59% D-3 Page4of14 EXHIBIT B CityandBoroughofSitka Electric Enterprise Fund Financial Summary 2010201120122013 2014 Audited Audited Audited Audited Audited Assets Cash 8,868,159 24,320,421 31,450,650 28,803,187 13,505,669 Restricted Assets 7,149,277 6,871,164 3,595,875 21,197,459 18,121,955 Other Assets 4,256,023 5,010,167 7,266,275 13,897,615 11,777,153 Construction in Progress 5,555,467 11,646,987 18,086,724 58,930,539 137,885,040 UtilityPlantinService 64,914,833 63,103,150 61,775,003 59,900,343 59,508,277 TotalAssets 90,743,759 110,951,889 122,174,527 182,729,143 240,798,094 liabilities andNetAssets liabilities Other liabilities 636,920 1,722,772 2,477,182 6,355,564 13,017,817 RevenueBondsPayable 28,090,000 48,700,000 47,570,000 79,485,000 105,100,000 Deferred loss/premium on bonds (815,343)1,471,509 (1,711,547)5,943,338 6,742,293 Revenue NotePayable 9,054,598 8,800,188 8,535,498 7,973,608 7,973,608 TotalLiabilities 36,966,175 60,694,469 56,871,133 99,757,510 132,833,718 NetAssets 53,777,584 50,257,420 65,303,394 82,971,633 107,964,376 Operating Revenues 10,852,914 11,401,523 11,611,31912,077,554 14,240,772 Operating Expenses Administrative and General 1,699,737 1,739,698 2,003,768 1,975,492 2,860,066 Operation and Maintenance 4,366,115 5,257,342 5,914,895 5,152,028 4,964,074 Depreciation 1,994,177 1,987,558 1,971,739 1,986,195 1,841,712 Operating Income 2,792,885 2,416,925 1,720,917 2,963,839 4,574,920 Nonoperating revenue (expense) Investment Income 523,298 490,986 459,107 314,600 196,399 Interest Expense (2,369,426)(1,725,198)(2,848,639)(1,678,238)(426,419) other 208,962 -625,748 572,946 812,866 Net Income before contributionsandtransfers 1,155,719 1,182,713 (42,867)2,173,147 5,157,766 Capital contributions 2,853,752 4,039,237 5,266,050 17,169,455 19,455,106 Extraordinary Item: NetPensionObligationRelief 119,824 139,806 325,771 379,871 TransferIn(Out)net (23,898)--(998,128)- ChangeInNetAssets 3,985,573 5,341,774 5,362,989 18,670,245 24,992,743 Popuiation ofCityand Borough 8,881 8,7738,952 9,0849,098 #of electric customers 5,2785,282 5,309 5,403 5,490 KwH Sold 108,739,970 111,795,344 111,048,623111,155,330 111,155,330 Revenue BondDebtService 4,108,407 3,477,959 3,467,567 4,529,240 5,045,158 RevenueBond Coverage (>1.25)1.34 1.41 1.431.27 1.34 Note:$1,440,000 transferred intoRate Stabilization Fundin FY2013 Note:Totalof rate Stabilization Fundasof June 30,2013 -$2,151,000 D-4 Page5of14 EXHIBIT B CITY ANDBOROUGHOFSITKA HARBOR ENTERPRISE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 AuditedAuditedAuditedAudited Audited ASSETS PlantIn-Service(netofdepreciation)15,465,195 14,789,299 14,122,591 13,550,231 13,153,475 land 90,000 90,000 90,000 90,000 90,000 Construction WorkinProgress 317 20,229 57,838 665,476 7,824,365 Cash 3,014,067 3,733,467 4,735,101 6,599,187 6,616,954 RestrictedAssets 3,615.663 589,166 OtherAssets 987,099 1,342,572 1,339,389 1,216,385 1,524.898 TotalAssets 19,556,678 19,975,567 20,344,919 25,736.942 29,798,858 LIABILITIES ANDNETASSETS RevenueBondsPayable °°°4,569,486 3,840,000 OtherLiabilities 1,500,637 1,405,227 1,156,003 1,144,138 1,689,033 TotalLiabilities 1,500,637 1,405,227 1,156,003 5,713,624 5,529,033 NET ASSETS 18,056,041 18,570,340 19,188,916 20,023,318 24,269,825 OperatingRevenues 3,040,330 2,854,858 3,154,885 3,096,419 3,164,252 OperationandMaintenance 2,133,877 2,492,110 2,434,329 1,708,210 2,454,599 Administrative andGeneral Depreciation 799,254 899,956 986,619 668,511 666,074 Operating Income (Loss)107,199 (537,208)(266,063)719,698 43,579 Non-Operating Revenue(Expense)(183,181)46,509 155,306 156,844 776,434 NetIncome(Loss)Before Contribution (75,982)(490,699)(110,757)876,542 820,013 Capital Contributions 242,186 1,690,873 2,549,949 °3,458,599 Net Transfers-In (Out)400,000 3,804,600 675,000 (42,141)(32,105) Specialitem-NPOIOPEBwriteoff ChangeinNetAssets 566,204 5,004,774 3,114,192 834,401 4,246,507 PopulationofCity 8,881 8,773 8,952 9,084 9,098 No payments of RevenueBondCoverage NoHarbor Bonds NoHarbor Bonds NoHarbor Bonds P&I 5.16 D-5 Page6of14 EXHIBIT B 1<';'1 y U~"'""mK"N GENERALOBLIGATION FINANCIAL SUMMARY M tmicipal Financial Position 2009 2010 2011 2012 2013 Average [Property aax Conecttons Borrower's Property TaxRateoer $1,000 ~6.10 ~6.1O ~6.20 56.20 56.70 56.26 Munici al LeVY $4,868,459 $4,885,779 $4,621,143 $4,648,128 :;5,344,326 $4,873,567.00 Current Year's L ollections $4,794,074 $4,689,396 $4,565,367 $4,590,563 56,276,616 $4,783,203.20 Current COllection Rate 98.47%95.98%Y8.79%98.76%9~.73%98.15% Total Year's Collections $4,_,090 :>4,689,396 $4,565,367 $4,5"",563 ~5,276,616 $4,793,2D6.40 Total Collection Rate 99.50%95.98%98.79%98.76%98.73%98.35% 'General rand Unreserved Ending FundBalance S 4,649,409 5 5,101,448 s 5,295,406 s 4,285,383 s 4,074,588 $4,681,247 Expenditures s 18,084,246 :;17,159,791 s 18,527,140 s 19,657,738 :;19,509,987 :;l8,587,780 Fund Balance/x enditures 26%30%29%2270 21%25% Total Revenues 5 14,019,651 s 13,886,302 s 15,007,571 $14,949,242 $15,646,387$14,701,831 Intergovernmental Revenues S 1,348,409 $1,233,173 S 1,820,575 S 1,644,256 s 1,695,138 51,548,310 Percentage Interzovemmental 10%9%12%11%11%10% uveran [Vlumapat Debt Posrtten Revenue Debt -Enterprise Funds s 57,411,3$4 s 56,995,$49 $$4,828,636 s 52,028,061 $64,183,054 Revenue Debt Governmental Funds s -~-$- Ceneral Obliaaticn Debt -lrlJ vernmental Funds 0,682,565 s 12,280,863 ~11,452,328 ~15,726,U32 s 14,535,0ll2 General Obligation Debt-Enterprise Funds 1,935,458 ~4,942,~b7 ~5,lUu,=~5,000,445 $2,763,776 Total General Obligation Debt 7,618,023 $17,223,830 s 16,552,550 :; 2o,.$ 17,299,458 Total Revenue and General Obligation Debt 65,029,377 s 74,219,379 s 71,381,186 $72,~s 81,482,512 ->2/-:"::~·:'.'.~i.~y.·:;\~~-~f?:..%~;,.-;}~,,;\'ij.f·%::_~>~~\:'-':~;::.,-',",",0._,".J '........ Governmental GO Debt/AssessedValue(mry)0.71%1.~3%1.43%1.71 Enterprise GODebt/Assessed Value (1 my)0.24",0.62%0.64%0.62%0.32% otal Ceneral Obuzation Debt!A.V.mrvl 0.95%2.15%2.07%2.56%L.02% Total Revenue and GO Debt/A.V.nry)8.15%9.27%8.91%9.00%9.50 ,.\:<i:"....',.-"'..L ....'..';'"F::-,;"';;;'"-,../;,;...:;..,;,'..'..'.:-;''i_'''~{-;'_..,...........,'.'..'.."......,...<;':..'.'.'.:;::»~>- General uougation Debt er l apira $1/010 $2,140 52,033 $2,501 $2,OBl Total Revenue and GODebt Per Capita $8,667 59,220 $8,767 $8,776 $9,802 General Economic and Demographic Data 2009 2010 2011 2012 2013 Annual Growth Rale Population 7,503 8,050 8,142 8,291 8,313 0.27% Assessed Value $798,lOB,100 $800,947,400 $801,175,000 $808,516,900 S =".,.,IIIiiiAssessedValuePerCapitaJ~106,372 $99,497 s 98,400 s 97,517 S 103,139 Top10TaxPayers as a %ofTotal Assessed Value 8.73%10.57%1039%10.42%11.92% IlIIUY):most recentyear D-6 Page7of14 EXHIBIT B CITYOF KETCHIKAN KETCHIKAN PUBLIC UTILITIES ENTERPRISE FUND FINANCIAL SUMMARY 2009 2010 2011 2012 2013 AUdited Audited Audited Audited Audited ASSETS UtilityPlanIn-Service $69,718,266 $67,177,925$69,018,328 $83,919,407 $83,919,407 Construction WorkinProgress 8,017,706 14,788,563 17,131,918 8,123,4958,123,495 Cash 13,958,674 12,566,005 13,845,368 16,767,889 16,767,889 RestrictedAssets 4,062,167 3,050,592 2,963,566 2,695,085 2,695,085 Other Assets 8,686,219 12,118,366 11,991,790 6,159,953 6,159,953 TotalAssets 104,443,032 109,701,451 114,950,970117,665,829 117,665,829 LIABILITIES ANDNETASSETS RevenueBondsPayable 19,902,223 20,233,232 18,884,28216,602,060 16,602,060 Other Liabilities 4,045,215 3,983,215 4,847,079 5,443,636 5,443,636 TotalLiabilities 23,947,438 24,216,447 23,731,361 22,045,696 22,045,696 NET ASSETS 80,495,594 85,485,004 91,219,609 95,620,133 95,620,133 Operating Revenues 33,310,537 32,975,154 34,172,941 34,802,748 34,802,748 OperationandMaintenance 20,861,336 19,060,639 19,997,855 21,992,642 21,992,642 Administrative andGeneral 6,034,476 5,603,405 6,097,427 5,408,961 5,408,961 Depreciation 6,086,514 5,932,099 5,892,449 6,872,767 6,872,767 Payment inLieuofTaxes Operating Income (Loss)328,211 2,379,011 2,185,210 528,378528,378 Non-Operating Revenue(Expense)(402,557)(479,652)(363,607)(416,621)(416,621) Net Income (Loss)BeforeContribution (74,346)1,899,359 1,821,603 111,757 111,757 Contributions 2,085,231 3,818,051 4,641,002 5,016,767 5,016,767 SpecialItem Transfer ofNetAssets-Swan Lake-LakeTyeeIntertieProject Transfer -PaymentInLieuofTaxes••(675,000)(728,000)(728,000)(728,000)(728,000) ChangeinNetAssets 1,335,885 4,989,410 5,734,605 4,400,524 4,400,524 PopulationofServiceArea 12,984 13,477 12,984 13,477 13,477 Population ofCity 7,503 8,050 7,503 8,050 8,050 #ofElectricCustomers 7,365 7,418 7,365 7,418 7,418 #of Telephone AccessLines 7,467 6,994 7,467 6,994 6,994 #of Water Customers 3,217 3,207 3,217 3,207 3,207 RevenueBondCoverage 2,30 2.80 2,30 2,80 2.80 .Water isonlyprovidedwithintheCity ••Changeinaccounting standards payment inlieuoftaxmustbereportedasatransfer D-7 Page8of14 EXHIBIT B CITYOFKETCHIKAN PORT FINANCIAL SUMMARY 2009 2010 2011 2012 2012 2013 Audited Audited Audited AuditedRestated Audited ASSETS Cash 54,827,125 54,364,226 52,373,80852,285,517 $2,285,517 2,900,167 Port Facilities (net)44,947,620 43,642,947 42,020,640 47,766,77647,766,776 53,490,542 Construction WorkinProgress 963,018 1,116,782 5,531,746 5,066,048 5,066,048 5,449,151 Restricted Assets 4,819,708 5,307,521 5,623,924 6,082,097 6,082,097 6,595,730 OtherAssets 1,730,443 1,281,312 3,670,192 4,518,553 4,236,5514,140,133 TotalAssets 57,287,914 55,712,788 59,220,310 65,718,991 65,436,989 72,575,723 LIABILITIES ANDNETASSETS General Obligation BondsPayable 1,035,000 795,000 540,000 270,000 270,000 0 RevenueBondsPayable 36,540,000 35,830,000 35,090,000 34,315,000 34,315,000 33,505,000 Other Liabilities 3,147,9573,134,814 2,847,180 1,072,313 1,072,3131,699,380 Total Liabilities 40,722,957 39,759,814 38,477,18035,657,313 35,657,313 35,204,380 NETASSETS 16,564,957 15,952,974 20,743,130 30,061,678 29,779,676 37,371,343 Operating Revenues 8,922,228 8,000,492 7,986,404 8,592,2558,592,255 9,145,920 Operation and Maintenance 5,368,009 5,319,252 3,957,909 3,884,156 3,888,525 4,416,473 Depreciation 1,460,265 1,446,527 1,401,754 1,359,513 1,359,513 1,636,863 Property Taxes 154,041 167,219 152,762 142,575 142,575 165,627 paymentinLieuofTaxes•• Operating Income {Loss]1,939,913 1,067,494 2,473,979 3,206,011 3,201,642 2,926,957 Non-Operating Revenue (Expense)(1,718,248)(1,903,421)(2,043,804)201,299 223,562 (912,634) NetIncome (Loss)BeforeContribution 221,665 (835,927)430,175 3,407,310 3,425,204 2,014,323 Contributions andCapitalGrants 905,943 518,944 4,654,981 6,214,416 6,214,416 8,676,543 Extraordinary Item SpecialItem Transfers (8,178)(8,178)(80,199) Transfer -PaymentinlieuofTaxes U (290,000)(295,000)(295,000)(295,000)(295,000)(319,000) ChangeinNetAssets 837,608 (611,983)4,790,156 9,318,5489,336,442 10,291,667 1.25 x AnnualDebtService 2.45 2.00 2.24 3.36 3.36 3.00 1.0 x Annual Debt Service/Reserves Account/Repair and Replacement Fund/SPH lease Payments 1.13 0.99 1.16 1.67 1.67 1.41 *Unaudited Ii ofShips 36 26 28 34 34 38 Ii of Calls/Stops 496 429 426 467 462 453 #ofWater Passengers 937,419 828.929 830,547 885,799 885,799 938,124 Reflects statistical information provided by the Ketchikan Visitors Bureau Beginning in2005,changein accounting standards required paymentinlieuoftaxestobe reported as transfers. D-8 Page9of14 CITYAND BOROUGH OFJUNEAU FINANCIAL SUMMARY General Governmental Fund EXHIBIT B Municipal Financial Position 2010 2011 2012 2013 2014 Average perty ax l cuecncns Borrower s Property axRate er $1,000 $10.60 $10.51 510.55 510.55 $10.66 5lD.57 Munici a Levv $41,048,853 $40,739,944 541,751,613 $44,252,019 :>44,965,923 $42",51,682 Current Year's COllections $40,691,450 $40,329,083 $41,431,682 543,987,108 $44.818,184 """",""I,SOl Current Collection Rate 99.13 98.99%99.23':'0 99.40%99.67%99.29:> Total Year's l..ouecuore $40,879,741$40,501,293$41,455,145 ..3,>"1,1""",*.81 ,1""$42,328,294 TotalL ollection Rate 99.09%".41'"99.29'jD 99.40%99.67 99.47,0 Genera!Fund nassigned Plus Emergencv Up eratina Res GA::iB#54 5 5,714,731 ~1,729,385 I ~3.484;~5 5,829.534 Expenditures s 49,158,125 $50,540.314$51.=,781 5 I553.0,1175 OU,>Ub,b63 Fund Balance!ljx enditures 11.63%3.42%6.79%8.66 26.10%11.32% Total Revenues 5 66,541,842 5 66,008,460 I ~50,030,0""~52,009,=~65,3/u",13 ~oO,uu>,,",,,O Intergovernmental Revenues 5 12,389,683 5 14,313,000 5 15A64,7oo s 15,281,700 $29,140,692s17,317,955 Percentage Intergovernmental 19%22%31'"29%45%29.03% Overan MuntCipal Uebt Posmon Revenue veot -Enterprise t-unes S 46,370,845 S 45,208,341 5 43,679,682 5 41,906,067 $ Revenue Debt -Governmental Funds ~2,718,662 $3,599,575 5 2,861,747 5 2,091,457 s venerar Obhgation Debt-Governmental Funds 5 156,356,00 $148,301,000 5 133,446,u00 $131,3";,000 ~122,U68, General Oblization Debt-Enterprise Funds s 5 -$-$-~- otar General Obligation Le t $156,356,000 ~140,301,000 ~133.446.00U s 131,3ll:,000$122,068,00 TOtal xevenue and General ODJlgation Debt s 205,445,,07 5 197,108,916 I ~179.987,4'L~$175.382",24 '~168,965,»4 -'.""~"I2,f:,~~',:'~·fi.:Y'{£oi'~f/:.'i::::-:,:':1~,':??1t,"~~.~:~:~:;::.;.':~'i:,~",;;:,..",,-~.'.":/~";;';: Governmental GU Debf/Taxable Assessed.Value 3.~~'"".IZ'"'-'lIS'".uJ7o Ll9"'1 Total Revenue and ~v ueotr A.V.5_22%4.94%4.42%4.10%,.8->."'--i-:·-'c.oo ';;C'.-'..o -~o'_.'c ',:,"'--"'>':'je-..~':',~°o.'7':'.,-,,:"<.~"."':~'''-.'';,~"'-'""--';.:,,<,, cenerar ueot t-erCatnta $4,999 $4,742 ",1M $4,023 "",o>Z Total Revenue ana GU I ebt Fer ...:aVila 56,'09 $6,302 55,548 $5,370 55,110 General Economic and Demczranhic Data 20lD 2011 2012 2013 2014 I Annual r-opiuauon ",~/o ",</0 '<,o/.u '<,OOU '",U,,",1.z~, Taxable Assessed Value $3,933,364,442 5 3,989.344,944 $4,071,713,73254.275,067,217 $4,379,714,933_ Assessed ValuePerCapita $125,767 $127,557 5125,511 s 130.896 S 132A62 Top10 Tax Payers asa %of Assessed Value 10.;:)2%13.78%13.73%13.82%13.61% D-9 Page 10of14 EXHIBIT B CITYAND BOROUGH OFJUNEAU HARBOR ENTERPRISE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AuditedAuditedAudited Audited ASSETS PlantIn-Service(netofdepreciation)$11,923,364 $13,827,335 $12,844,129$11,875,368 $14,325,870 Construction WorkinProgress 29,935,711 29,889,294 33,499,769 42,397,97440,419,697 Cash 4,470,053 4,728,522 4,660,755 3,466.374 4,030,992 Restricted Assets 7,588,584 10,702,703 11,196,479 10,946,328 10,554,614 Other Assets 866,059 764,741 847,869 543,407 679.907 TotalAssets 54,783,771 59,912,595 63,049,001 69,229,451 70,011,080 LIABILITIES ANDNET ASSETS Revenue BondsPayable 9,960,000 9,700,000 9,691,5959,380,434 9,033,637 Other Liabilities 1,726,240 2,110,290 2,140,909 1,401,365 2,050,500 Total Liabilities 11,686,24011,810,290 11,832,504 10,781,799 11,084,137 NET ASSETS 43,097,531 48,102,305 51,216,497 58,447,652 58,926,943 Operating Revenues 3,040,330 2,854,858 3,154,8853,173,272 3,508,430 Operationand Maintenance 2,133,877 2,492,110 2,434,329 2,498,178 2,814,717 Administrative andGeneral Depreciation 799,254 899,956 986,619 968,761 1,003,707 Operating Income (Loss)107,199 (537,208)(266,063)(293,667)(309,994) Non-Operating Revenue(Expense)(183,181)46,509 155,306 (214,686)128,433 Net Income (Loss)BeforeContribution (75,982)(490,699)(110,757)(508,353)(181,561) Capital Contributions 242,186 1,690,873 2,549,949 7,392,466 660,852 Net Transfers-In (Out)400,000 3,804,600 675,000 500,000 0 Specialitem-NPO/OPEBwriteoff ChangeinNetAssets 566,204 5,004,774 3,114,192 7,384,113 479,291 PopulationofCity 31,275 31,275 32,441 32,660 33,064 RevenueBondCoverage 2.18 1.19 1.79 1.21 1.67 D-I0 Page11of14 EXHIBIT B CITYAND BOROUGH OFJUNEAU PORT DEVELOPMENT SPECIALREVENUEFUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AuditedAudited AuditedAudited ASSETS Plant In-Service (netofdepreciation) Construction WorkinProgress Cash 3,414,679 4,428,233 (208,085)(252,013)71,012 RestrictedAssets OtherAssets 273,317 314,814 269.712 484,639 294,257 TotalAssets 3,687,996 4,743,047 61,627 232,626 365,269 LIABILITIES ANDNETASSETS RevenueBondsPayable Other Liabilities 151,020 349,585 TotalLiabilities 151,020 349,585 NET ASSETS 3,687,996 4,743,047 61,627 81,606 15,684 OperatingRevenues 2,856,882 2,557,851 2,634,080 2,825,4792,864,578 Operationand Maintenance 4,500 2,800 5,500 5,500 5,500 Administrative andGeneral Depreciation Operating Income (Loss)2,852,382 2,555,051 2,628,580 2,819,979 2,859,078 Non-Operating Revenue(Expense) NetIncome(Loss)Before Contribution 2,852,382 2,555,051 2,628,580 2,819,979 2,859,078 Capital Contributions Net Transfers-In (Out)(1,750,000)(1,500,000)(7,310,000)(2,800,000)(2,925,000) ChangeinNetAssets 1,102,382 1,055,051 (4,681,420)19,979 (65,922) PopulationofCity 31,275 31,275 32,441 32,660 33,064 RevenueBondCoverage N/A N/A N/A N/A N/A D-ll Page12of14 EXHIBIT B City and Borough of Juneau Conduit Debt WILDFLOWER COURT(A not for profit organziation) FINANCIAL SUMMARY 2010 2011 20122013 2014 Audited Audited AuditedAudited Audited ASSETS Plant In-Service 5,674,338 4,909,305 4,620,999 4,734,678 3,771,100 Cash 1,255,867 1,582,128 1,752,043 1,437,085 1,970,693 Restricted Assets 1,735,178 1,707,402 2,170,928 1,489,365 1,450,054 Other Assets 1,312,915 1,399,517 1,444,749 1,786,787 1,267,699 Total Assets 9,978,298 9,598,352 9,988,7199,447,915 8,459,546 LIABILITIES AND NET ASSETS Bond Debt 13,650,000 13,050,000 11,705,000 11,596,229 10,204,712 Other Liabilities 878,190 904,428 2,052,663 1,132,323 996,579 Total Liabilities 14,528,190 13,954,428 13,757,663 12,728,552 11,201,291 NET ASSETS (DEFICIT)(4,549,892)(4,356,076)(3,768,944)3,280,637 (2,741,745) Operating Revenues 10,361,609 10,859,195 10,841,324 11,057,791 11,447,862 Operating Expenses 9,802,944 9,894,353 9,594,317 9,666,530 9,961,681 Depreciation 937,147 832,579 780,765 935,669 1,008,253 Operating Income (Loss)(378,482)132,263 466,243 455,592477,928 Non-Operating Revenue (Expense)27,924 61,553 120,890 32,713 60,964 Change in Net Assets (350,558)193,816 587,132 488,305 538,892 Revenue Bond Coverage 1.011.33 1.32 1.12 1.10 TheBondBankhas received notification fromsenior management of Wildflower Courtthatfor calendar year 2013 and 2014 Wildflower Courtfellshortoftherequireddebtservice coverage ratioof1.15 times.Persection5.1(b)of theloan agreement between theCityandBoroughof Juneau and Wildflower Court,Wildflower CourtisworkingwiththeCityand Borough to identify measures toreturnthe facility tocompliancewiththedebtservice coverage requirement oftheloan agreement. D-12 Page13of14 EXHIBIT B CITY ANDBOROUGHOFJUNEAU BARTLETT REGIONAL HOSPITAL FINANCIAL SUMMARY 2010 2011 2012 2013 2014 AuditedAuditedAuditedAudited Audited ASSETS PlantIn-Service(netof depreciation)$74,736,663 $72,772,410 $74,566,327$74,002,798 $69,208,456 ConstructionWorkinProgress 3,126,611 6,866.781 6,202,224 2,826,314 228,425 Cash 18,036,202 14,990,308 17,386,169 26,113,833 38,596,921 RestrictedAssets 8,555,051 10,160,114 6,549,498 5,490,768 5,327,673 OtherAssets 20,549,937 23,011,263 23,462,11325,230,206 20,528,164 TotalAssets 125,004,464 127,800,876 128,166,331 133,663,919 133,889,639 LIABILITIES ANDNETASSETS RevenueBondsPayable 26,165,000 25,570,000 24,926,795 25,304,679 24,346,618 Other liabilities 11,066,147 11,391,053 8,999,8678,829,067 11,033,875 TotalLiabilities 37,231,147 36,961,053 33,926,662 34,133,746 35,380,493 NETASSETS 87,773,317 90,839,823 94,239,669 99,530,17398,509,146 OperatingRevenues 82,640,681 90,680,836 95,026,373 84,250,207 80,198,274 OperationandMaintenance 72,975,632 83,883,38989,411,913 76,967,444 78,820,476 Administrative andGeneral Depreciation 6,270,565 6,552,177 7,145,290 7,001,295 7,086,559 Operating Income (Loss)3,394,484 245,270 (1,530,830)281,468 (5,708,761) Non-Operating Revenue(Expense)911,555 1,579,634 3,306,366 4,119,820 3,610,234 NetIncome(Loss)BeforeContribution 4,306,039 1,824,9041,775,536 4,401,288 (2,098,527) CapitalContributions 536,697 89,002 471,910 134,658 °Net Transfers-In (Out)1,146,000 1,152,600 1,152,400 1,123,000 1,077,500 Specialitem-NPO/OPEBwriteoff ChangeinNetAssets 5,988,736 3,066,5063,399,846 5,658.946 (1,021,027) Population of City 31,275 31,275 32,441 32,660 33,064 RevenueBondCoverage 5,15 3,63 3,00 7,34 2.50 D-13 Page14of14 LOAN AGREEMENT THISLOAN AGREEMENT,datedasofthe1stday of September 2015,between theAlaskaMunicipalBondBank(the"Bank"),abody corporate andpoliticconstituted asan instrumentality oftheStateofAlaska(the"State")exercisingpublicandessential governmental functions,createdpursuanttotheprovisionsofChapter85,Title44, AlaskaStatutes,asamended(the"Act"),havingitsprincipalplaceofbusinessat Juneau,Alaska,andtheKodiakIslandBorough,Alaska,adulyconstitutedsecond classboroughoftheState(the"Borough"): WIT NE SSE TH: WHEREAS,pursuanttotheAct,theBankisauthorizedtomakeloansofmoney (the"Loan"or"Loans")to governmental units;and WHEREAS,theBoroughisa Governmental UnitasdefinedintheGeneralBond ResolutionoftheBank hereinafter mentionedandpursuanttotheActisauthorizedto acceptaLoanfromtheBanktobeevidencedbyitsmunicipalbonds;and WHEREAS,theBoroughdesirestoborrow money fromtheBankinthe aggregate amountnottoexceed $10,000,000 andhassubmittedtwoapplicationstothe BankfortwoLoansinthe aggregate amountnottoexceed$10,000,000,andthe BoroughhasdulyauthorizedtheissuanceofitsGeneralObligationSchoolBond,2015 SeriesAinthe aggregate principal amount of$6,210,000andGeneralObligation SchoolBond,2015SeriesBbondintheaggregateprincipalamountof$1,780,000 (together,the"MunicipalBond"),whichbondsaretobepurchasedbytheBankas evidence oftheLoansin accordance withthisLoanAgreement;and WHEREAS,theapplicationoftheBoroughcontainstheinformationrequestedby theBank;and WHEREAS,toprovidefortheissuanceofbondsoftheBankinordertoobtain fromtimetotimemoneywithwhichtomakeLoans,theBankhasadoptedtheGeneral ObligationBondResolutiononJuly13,2005,asamended(the"GeneralBond Resolution")andSeriesResolutionNo.2015-04(S),approvedon August 11,2015 (together withtheGeneralBondResolution,the"BondResolution"),authorizingthe makingofsuchLoanstotheBoroughandthepurchaseoftheMunicipalBond;and WHEREAS,theBoardoftheBankapprovedcertain modifications totheGeneral BondResolution,effectiveonthedatewhenallbondsissuedunderthetermsofthe GeneralBondResolution,priorto February 19,2013,ceasetobeoutstanding. NOW,THEREFORE,thepartiesagree: 1.TheBankherebymakestheLoansandtheBoroughacceptstheLoansin the aggregate principal amount of$7,990,000.As evidence oftheLoansmadetothe BoroughandsuchmoneyborrowedfromtheBankbytheBorough,theBoroughhereby sellstotheBanktheMunicipalBondintheprincipalamounts,withtheprincipal installment payments,andbearinginterestfromtheirdatesattheratesperannum, statedinExhibitAappendedhereto. 2.TheBoroughrepresentsthatithasdulyadoptedorwilladoptall necessaryordinances orresolutions,includingResolutionNos.FY2016-05and FY2016-06,eachadoptedonAugust20,2015(together,the"BoroughResolution"), andhastakenorwilltakeallproceedingsrequiredbylawtoenableitto enter intothis Loan Agreement andissueitsMunicipalBondtotheBankandthattheMunicipalBond will constitute generalobligationbonds,securedbythefullfaithandcreditofthe Borough,alldulyauthorizedbytheapplicableBoroughResolution. 3.Subject toanyapplicablelegallimitations,theamountstobepaidbythe Borough pursuant tothisLoan Agreement representinginterestdueonitsMunicipal Bond(the"MunicipalBondInterestPayments")shallbecomputedatthesamerateor ratesofinterestbornebythe corresponding maturities ofthebondssoldbytheBankin ordertoobtainthemoneywithwhichtomaketheLoansandtopurchasetheMunicipal Bond(the"Loan Obligations")andshallbepaidbytheBoroughatleastseven(7) business daysbeforetheinterestpaymentdatesoastoprovidefunds sufficient topay interestasthesame becomes dueontheLoanObligations. 4.TheamountstobepaidbytheBoroughpursuanttothisLoan Agreement representingprincipaldueonitsMunicipalBond(the"MunicipalBondPrincipal Payments"),shallbepaidatleastseven(7)businessdaysbeforethepaymentdate statedintheMunicipalBondsoastoprovidefunds sufficient topaytheprincipalofthe Loan Obligations asthesamematuresbaseduponthematurityschedulestatedin ExhibitAappendedhereto. 5.Inthe event theamountsreferredtoinSections3and4 hereof tobepaid bytheBorough pursuant tothisLoan Agreement arenotmadeavailableatanytime specifiedherein,theBoroughagreesthatanymoneypayabletoitbyany department or agencyoftheStatemaybewithheldfromitandpaidoverdirectlytothe Trustee acting undertheGeneralBondResolution,andthisLoan Agreement shallbefullwarrant, authority anddirectiontomakesuchpaymentuponnoticetosuch department or agencybytheBank,withacopyprovidedtotheBorough,asprovidedintheAct. 6.Inthe event Loan Obligations havebeenrefundedandtheinterestrates theBankisrequiredtopayonitsrefundingbondsinanyyeararelessthantheinterest AMBB/General ObligationandRefundingBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (KIB).Docx Page2 ratespayablebytheBoroughontheMunicipalBondforthecorrespondingyear pursuant tothetermsoftheMunicipalBond,thenboththeMunicipalBondInterest PaymentsandtheMunicipalBondPrincipalPaymentswillbeadjustedinsucha manner that(i)theinterestratepaidbytheBoroughonanyprincipal installment ofthe MunicipalBondisequaltotheinterestratepaidbytheBankonthecorresponding principal installment oftheBank'srefundingbondsand(ii)onapresentvaluebasisthe sumoftheadjustedMunicipalBondInterestPaymentsandMunicipalBondPrincipal PaymentsisequaltoorlessthanthesumoftheMunicipalBondInterestPaymentsand MunicipalBondPrincipalPaymentsdueovertheremainingtermoftheMunicipalBond aspreviously established underthisLoan Agreement.Intheeventofsucharefunding ofLoanObligations,theBankshallpresenttotheBoroughfortheBorough'sapproval,a revised schedule ofprincipal installment amountsandinterestratesfortheMunicipal Bond.IfapprovedbytheBoroughtherevised schedule shallbeattachedheretoas ExhibitAandincorporatedhereinin replacement ofthepreviousExhibitAdetailingsaid principal installment amountsandinterestrates. 7.TheBoroughisobligatedtopaytotheBankFeesandCharges.Such FeesandChargesactuallycollectedfromtheBoroughshallbeinanamountsufficient, together withtheBorough's Allocable Proportion(asdefinedbelow)ofothermoney available therefor undertheprovisionsoftheBondResolution,andothermoney availabletherefor,includinganyspecificgrantsmadebytheUnitedStatesofAmerica oranyagencyor instrumentality thereof orbytheStateoranyagencyor instrumentality thereof andamountsapplied therefor from amounts transferredtotheOperatingFund pursuant toSection606oftheGeneralBondResolution: (a)topay,asthesamebecomedue,theBorough's Allocable Proportionofthe Administrative ExpensesoftheBank;and (b)topay,asthesamebecomedue,theBorough's Allocable Proportionofthefeesand expenses ofthe Trustee andpayingagentfortheLoan Obligations. TheBorough's Allocable Proportionasusedhereinshallmeanthe proportionate amount ofthetotal requirement inrespecttowhichthetermisuseddeterminedbythe ratiothattheprincipal amount oftheMunicipalBondoutstandingbearstothetotalofall Loansthenoutstandingtoall Governmental UnitsundertheGeneralBondResolution, ascertifiedbytheBank.The waiver bytheBankofanyfeespayablepursuanttothis Section7shallnotconstitutea subsequent waiver thereof. 8.TheBoroughisobligatedtomaketheMunicipalBondPrincipalPayments scheduledbytheBank.ThefirstsuchMunicipalBondPrincipalPaymentisdueatleast seven(7)businessdayspriortothedateindicatedonExhibitAappendedhereto,and thereafter onthe anniversary thereof eachyear.TheBoroughisobligatedtomakethe AMBB/General Obligation andRefundingBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (KIB).Docx Page3 MunicipalBondInterestPaymentsscheduledbytheBankona semi-annual basis commencingseven(7)businessdayspriortothedateindicatedonExhibitAappended hereto,andtopayanyFeesandChargesimposedbytheBankwithin30daysof receivingtheinvoiceoftheBanktherefor. 9.TheBankshallnotsellandtheBoroughshallnotredeempriortomaturity anyportionoftheMunicipalBondinanamount greater thantheLoanObligationswhich arethenoutstandingandwhicharethenredeemable,andintheeventofanysuchsale orredemption,thesameshallbeinanamountnotlessthantheaggregateof(i)the principalamountoftheMunicipalBond(orportionthereof)toberedeemed,(ii)the interesttoaccrueontheMunicipalBond(orportionthereof)toberedeemedtothenext redemptiondate thereof not previously paid,(iii)the applicable premium,ifany,payable ontheMunicipalBond(orportionthereof)toberedeemed,and(iv)thecostand expensesoftheBankineffectingtheredemptionoftheMunicipalBond(orportion thereof)toberedeemed.TheBoroughshallgivetheBankatleast50days'noticeof intentiontoredeemitsMunicipalBond. IntheeventtheLoanObligationswithrespecttowhichthesaleorredemption priortomaturityofsuchMunicipalBondisbeingmadehavebeenrefundedandthe refundingbondsoftheBankissuedforthepurposeofrefundingsuchLoanObligations wereissuedinaprincipalamountinexcessoforlessthantheprincipalamountofthe MunicipalBondremainingunpaidatthedateof issuance ofsuchrefundingbonds,the amountwhichtheBoroughshallbeobligatedto payor theBankshallreceiveunder item(i)aboveshallbetheprincipal amount ofsuchrefundingbondsoutstanding. IntheeventtheLoan Obligations havebeenrefundedandtheinteresttheBank isrequiredtopayontherefundingbondsislessthantheinteresttheBankwasrequired topayontheLoanObligations,theamountwhichtheBoroughshallbeobligatedtopay ortheBankshallreceiveunderitem(ii)aboveshallbetheamountofinteresttoaccrue onsuchrefundingbondsoutstanding. IntheeventtheLoan Obligations havebeenrefunded,theamountwhichthe Boroughshallbeobligatedto payor theBankshallreceiveunderitem(iii)above,when therefundedLoan Obligations aretoberedeemed,shallbetheapplicablepremium,if any,ontheLoan Obligations toberedeemed. NothinginthisSectionshallbeconstruedaspreventingtheBoroughfrom refundingtheMunicipalBondin exchange foranewMunicipalBondinconjunctionwith arefundingoftheLoanObligations. 10.Simultaneously withthe delivery oftheMunicipalBondtotheBank,the BoroughshallfurnishtotheBank evidence satisfactory totheBankwhichshallset AMBB/General ObligationandRefundingBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (KIB).Docx Page4 forth,amongotherthings,thattheMunicipalBondwillconstituteavalidandbinding generalobligationoftheBorough,securedbythefullfaithandcreditoftheBorough. 11.Invoicesfor payments underthisLoan Agreement shallbeaddressedto theKodiakIslandBorough,Attention:FinanceDirector,710MillBayRoad,Kodiak, Alaska99615.TheBoroughshallgivetheBankandthecorporatetrustofficeofthe TrusteeundertheGeneralBondResolutionatleast30days'writtennoticeofany changeinsuchaddress. 12.TheBoroughherebyagreestokeepandretain,untilthedatesixyears aftertheretirementoftheMunicipalBond,oranybondissuedtorefundtheMunicipal Bond,orsuchlongerperiodasmayberequiredbytheBorough'srecordretention policiesandprocedures,recordswithrespecttotheinvestment,expenditureanduseof theproceedsderivedfromthesaleofitsMunicipalBond,including without limitation, records,schedules,bills,invoices,checkregisters,cancelledchecksandsupporting documentation evidencinguseofproceeds,andinvestmentsand/or reinvestments of proceeds.TheBoroughagreesthatallrecordsrequiredbytheprecedingsentenceshall bemadeavailabletotheBondBankuponrequest. 13.Priorto payment oftheamountoftheLoansoranyportionthereof,and the delivery oftheMunicipalBondtotheBankoritsdesignee,theBankshallhavethe righttocancelalloranypart of itsobligations hereunder if: (a)Anyrepresentation,warranty or other statement madebythe BoroughtotheBankin connection withits applications totheBankfortheLoansshall be incorrect or incomplete inanymaterialrespect. (b)TheBoroughhasviolated commitments madebyitinthetermsof thisLoanAgreement. (c)ThefinancialpositionoftheBoroughhas,intheopinionofthe Bank,sufferedamaterially adverse changebetweenthedateofthisLoan Agreement andthescheduledtimeof delivery oftheMunicipalBondtotheBank. 14.TheobligationoftheBankunderthisLoan Agreement iscontingentupon delivery ofitsGeneral Obligation Bonds,2015SeriesThreeandreceiptoftheproceeds thereof. 15.TheBoroughagreesthatitwillprovidetheBankwithwrittennoticeofany defaultincovenantsundertheBoroughResolutionwithinthirty(30)daysfromthedate thereof. AMBB/General ObligationandRefundingBonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (KIB).Docx Page5 16.TheBoroughagreesthatitshallfileitsannualfinancialstatementwiththe MunicipalSecuritiesRulemakingBoardnotlaterthantwohundredten(210)daysafter theendofeachfiscalyearoftheBoroughforthetermoftheMunicipalBond.The Boroughfurtheragreesthatfilings under thisSection16shallbemadeinconnection withCUSIPNos.01179P,011798and01179R.Additional oralternateCUSIP number(s)maybeaddedfromtimetotimebywrittennoticefromtheBanktothe Borough.TheBoroughagreesthatifitshallreceivefromtheBankCUSIPnumber(s)in additiontothosesetforthinthisSectionthenitshallmakeitsfilingsusingbothCUSIP numbershereinstatedandany additional CUSIPnumber(s). 17.TheBoroughagreesthatitshallnottake,oromittotake,anyactionlawful andwithinitspowertotake,whichactionoromissionwouldcauseinterestonthe MunicipalBondtobecome subject tofederalincometaxesinadditiontofederalincome taxestowhichinterestonsuchMunicipalBondis subject onthedateoforiginal issuance thereof. TheBoroughshallnot permit anyoftheproceedsoftheMunicipalBond,orany facilitiesfinancedwithsuchproceeds,tobeusedinany manner thatwouldcausethe MunicipalBondtoconstitutea "private activitybond"withinthemeaningofSection141 oftheCode. TheBoroughshallmakenouseor investment oftheproceedsoftheMunicipal BondwhichwillcausetheMunicipalBondtobean "arbitrage bond"underSection148 oftheCode.Solongasthe Municipal Bondisoutstanding,theBorough,shallcomply withallrequirements of said Section 148andallregulationsoftheUnitedStates Department ofTreasuryissued thereunder,totheextentthatsuchrequirementsare,at thetime,applicableandineffect.TheBoroughshallindemnifyandholdharmlessthe BankfromanyobligationoftheBoroughtomakerebatepaymentstotheUnitedStates undersaidSection148arisingfromtheBorough'suseor investment oftheproceedsof theMunicipalBond. 18.UponrequestoftheBank,theBoroughagreesthatifitsbondsconstitute tenpercent(10%)ormoreoftheoutstandingprincipalofmunicipalbondsheldbythe BankunderitsGeneralBondResolution,itshallexecuteacontinuingdisclosure agreement preparedbytheBankforpurposesofSecuritiesandExchangeCommission Rule15c2-12,adopted under theSecuritiesandExchangeActof1934. 19.TheBoroughagreesthatifitsbondsconstitutetenpercent(10%)ormore oftheoutstandingprincipalof municipal bondsheldbytheBankunderitsGeneralBond ResolutionitshallprovidetheBankforinclusioninfutureofficialstatements,upon request,financialinformation generally ofthetypeincludedin Appendix D,underthe heading "Summaries of Borrowers Representing 10%orMoreofOutstandingPrincipal AMBB/General Obligationand Refunding Bonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (KIB).Docx Page6 ofBondsIssuedUnderthe2005GeneralBondResolution,"totheOfficialStatement andattachedheretoasExhibitB. 20.IfanyprovisionofthisLoan Agreement shallforanyreasonbeheldtobe invalidorunenforceable,the invalidity or unenforceability ofsuchprovisionshallnot affectanyoftheremaining provisions ofthisLoan Agreement andthisLoan Agreement shallbeconstruedand enforced asifsuchinvalidor unenforceable provisionhadnot beencontainedherein. 21.ThisLoan Agreement maybeexecutedinoneormorecounterparts,any ofwhichshallberegardedforallpurposesasanoriginalandallofwhichconstitutebut oneandthesameinstrument.Eachpartyagreesthatitwillexecuteanyandall documents orotherinstruments,andtakesuchotheractionsasarenecessary,togive effect tothetermsofthisLoan Agreement. 22.No waiver by either partyofanytermorconditionofthisLoan Agreement shallbedeemedorconstruedasawaiverofanyothertermorconditionhereof,nor shalla waiver ofanybreachofthisLoan Agreement bedeemedtoconstituteawaiver ofany subsequent breach,whether ofthesameorofa different section,subsection, paragraph,clause,phraseor other provisionofthisLoan Agreement. 23.InthisLoan Agreement,unlessotherwisedefinedherein,allcapitalized termswhicharedefinedinArticleIoftheGeneralBondResolutionshallhavethesame meanings,respectively,assuchtermsaregiveninArticleIoftheGeneralBond Resolution. 24.ThisLoan Agreement mergesandsupersedesallpriornegotiations, representations and agreements betweenthepartiesheretorelatingtothesubject matterhereof and constitutes theentire agreement betweenthepartiesheretoin respectthereof. AMBB/General Obligationand Refunding Bonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (KIB).Docx Page7 IN WITNESS WHEREOF,thepartiesheretohaveexecutedthisLoan Agreement thedayandyearfirstabovewritten. KODIAKISLANDBOROUGH,ALASKA By:!f~.Jid- KARLETON SHOR=T,...------- FinanceDirector AMBB/General Obligationand Refunding Bonds,2015SeriesThree Loan Agreement 1:\Docs\37421742\Loan Agreement (KIB).Docx Page8 EXHIBIT A $6,210,000 KodiakIslandBorough,Alaska GeneralObligationSchoolBond,2015SeriesA ("SeriesAMunicipalBond") Due October1 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 Principal Amount $195,000 200,000 205,000 215,000 225,000 240,000 250,000 265,000 275,000 290,000 305,000 320,000 335,000 355,000 370,000 390,000 410,000 430,000 455,000 480,000 Interest Rate 2.00% 2.00 4.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 4.00 5.25 5.25 5.25 5.25 5.25 Principalinstallmentsshallbepayableon October 1ineachoftheyears,andinthe amounts setforthabove.Interest ontheSeriesAMunicipalBondshallbepayableon April1,2016,and thereafter on October 1andApril1ofeachyear. OptionalPrepayment:TheSeriesAMunicipalBondprincipalinstallmentsdueonor after October 1,2025,are subject to prepayment inwholeorinpartattheoptionofthe Boroughonanydateonor after April1,2025,atapriceof100%oftheprincipal amount thereof tobeprepaid,plusaccruedinteresttothedateofprepayment. AMBB/General Obligation andRefundingBonds,2015SeriesThree Loan Agreement -Exhibit A 1:\Docs\37421742\Loan Agreement (KIB).Docx PageA-1 $1,780,000 KodiakIslandBorough,Alaska GeneralObligationSchoolBond,2015SeriesB ("SeriesBMunicipalBond") Due October 1 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Principal Amount $145,000 150,000 155,000 160,000 170,000 180,000 190,000 200,000 210,000 220,000 Interest Rate 2.00% 2.00 4.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 Principal installments shallbepayableon October 1ineachoftheyears,andinthe amounts setforthabove.Interest ontheSeriesBMunicipalBondshallbepayableon April 1,2016,and thereafter on October 1andApril1ofeachyear. OptionalPrepayment:TheSeriesBMunicipalBondprincipalinstallmentsdueonor after October 1,2025,are subject to prepayment inwholeorinpartattheoptionofthe BoroughonanydateonorafterApril1,2025,atapriceof100%oftheprincipal amount thereof tobeprepaid,plusaccruedinteresttothedateofprepayment. AMBB/General Obligation andRefundingBonds,2015SeriesThree Loan Agreement -Exhibit A 1:\Docs\37421742\Loan Agreement (KIB).Docx PageA-2 EXHIBIT B APPENDIXD Summaries of Borrowers Representing 10%orMore of Outstanding Principal ofBonds IssuedUnderthe2005GeneralBondResolution Page1of14 EXHIBIT B Kenai Peninsula Borough-GeneralFund General Obligatfon Financial Summary 2010 2011 2012 2013 2014 Averae S4.s0 $4.50 54.50 '>4.50 5450 55.40 $28,875,124-529,058,274 530,419.493 530,823,497 531,750,392 529.669,460 $28,375,677 528,630,610 529,946,804 $30,382,636 531,332,5%529,252,398 98.27%98.53%98.45%98.57%98.68%98.59% 528,868,219 52.9,044.494 530,396,459 530,729,748 531,332,,5%529,611,923 99.98%99.95%99.92%99.70%98.68%99.81% s 23,025,423 5 21,705,814 s 21,466.,583 s s 22,864,839 s 21A~,058 s 21,268,520 s s 70,829,556 S 72,163,558 $71,347,868 s 32%30%30% S 68,716,762 s 70,799,893 s 71,108,637 5 5 8,987,813 5 8,538,331 s 9,749,464 s 13%12%14% s s s s s s s $s 20,364,000 5 33,910,000 $30,230,000 s 26,820,000 $$s 20,364,000 $33,910,000 s 30,230,000 s 26,820,000 20,364,000 5 33,910,000 s 30,230,000 s 26..820,000 '-".-~~-y,'...,~'~.:)'.:';i-.;"_::;;'.:'.:~_-'c_:,'_,'::'''''~i'''''";",""---i_·.'h:~-{~<"·-'.-~-;.. 0.53%0.46%0.40% 0.00%0.00%0.00% 0.53%0.46%0.40% .-,---,,:~:.;.-.-","."'--'".-"..-:-..-.,---_.~~;-::;.;. $612 $536 5473 $612 5336 5473 2010 2011 2012 2013 2014 53,578 55,l100 56,369 56,756 s 6,369,098,000 s 6,393,531,000 s 6,633,241,000 s 6,716,010,000 s s 118,875 s 115.407 $117,675 S 118,331 S 15.77%1523%14..38%16.18% Population AssessedValue Assessed ValuePer Capita Top10Tax Payersasa %ofTotal AssessedValue GeneralEconomicand Demographic Data (m).most recentar D-l Page2of14 EXHIBIT B Central Peninsula GeneralHospital FINANCIALSUMMARY 2010 2011 2012 2013 2014 Audited Audited Audited Audited Audited ASSETS CapitalAssets(netofdepreciation)$68,368,337 $67,842,931 $64,853,893 $69,429,959 $71,387,990 Cash 23,561,004 21,700,302 27,803,487 35,197,81335,508,443 CashheldforPlantReplacement 10,528,599 10,097,241 11,421,461 11,322,729 16,447,887 RestrictedAssets 1,241,196 3,584,121 633,493 500,000 500,000 Unspent bondproceeds 31,275,450 Other Assets 18,093,771 19,105,718 29,383,574 29,863,006 36,846,307 TotalAssets 121.792,907 122,330,313134,095,908 146,313,507 191,966,077 LIABILITIESANDNETASSETS RevenueBondsPayable 32,490,000 GOBondsPayable 37,920,000 35,990,00032,255,000 30,130,000 27,905,000 Other Liabilities 14,057,58510,965,610 18,041,771 18,176,258 20,336,761 TotalLiabilities 51,977,585 46,955,610 50,296,771 48,306,258 80,731,761 NET ASSETS 69,815,322 75,374,703 83,799,137 98,007,249 111,234,316 OperatingRevenues 88,941,888 101,279,075116,849,605 123,951,269 126,713,712 OperatingExpenses 78,326,691 86,771,449 99,255,770 102,247,165 104,364,018 Depreciation 8,381,029 8,056,5958,004,562 7,959,305 8,066,688 Operating Income (Loss)2,234,168 6,451,031 9,589,273 13,744,799 14,283,006 Non-Operating Revenue(Expense)249,199 (1,105,595)(808,253)(1,541,657)(1,070,583) NetIncome(Loss)Before Contribution 2,483,367 5,345,436 8,781,020 12,203,14213,212,423 CapitalContributions 176,391 212,945 52,843 2,004,970 14,644 ChangeinNetAssets 2,659,758 5,558,381 8,833,863 14,208,112 13,227,067 D-2 Page3of14 EXHIBIT B ""t ANU I Ur >;IIKA GENERAL OBLIGATION FINANCIAL SUMMARY Municfual Financial Position roperty lax ccuecuons Borrower'sPro er •TaxRate per $1,000 Municipal Levy Current Year'sCollections Current{,.olleetionRate 2010 $6.00 $$.768,331 $5,735,%2 99.44% 2011 $6.00 $$,799.400 55,753,039 99.2U% 2012 $6.00 .5,904,617 99.50% 2013 $6.00 55,957,735 5S,893,452 98.92% 2014 $6.00 $$,901,738 $5,842,721 99.00% Average 56.00 $5,844,470 $5,790,187 99.21% TotalYear's Collections Tol:alCollection Rate $$,801,822 $5,807,869 100.15% 55,909,321 100.08% 5S,893,452 90.92 $5,842,,,,.1 99.00% $5,833,551 9';;/.82% venera1 .runu Unreserve l bnctmg fund.Balance Expen titures Fund Balance Expenditures IOtal xevenues Interzovemmental Revenues Percentage Interzcvemmental s 8,853,936 s s 23,597,203 s 38% s 24,882,306 s I 5 2,219,001 5 9% 11,508,475 I • 23,260,649 5 49% 24,709,916 5 2,380,298 5 10% 13,584,873 s 24,075,729 5 56", 26,SM,728 s 2,659,323 s 10% 14,268,394 5 23,691,912 s 60% 25,953,885 s 23,628,379 s 68% 26,507,173 s 2,m,990 $ 10% 11,90U,919 5026% 25,760,552 2,519,688 9.77% 32,290,000 5 68,593,411 s 156,000 s 28,635,000 108,940,000 202,641 28,635,000 17,m, -$ 31,020,000 s 31,OlO,000 s 137,312,072 s 106,145,822 $ 146,250 s s s s 32,290,000 101,039,411 -$ 68,807,4015 165,750 s 36,300,000 s 36,300,000 s 105,273,151 s s 32,550,000 s 5 -$ I s 32,550,000 s 5 81,192,578 s General Obligation Debt-Enterprise Funds General Oblfzatton Debt-Governmental FW1ds Revenue Debt -Governmental Fun 5 ctat General Obligation De t Tota Revenue and General Oblfzatton Debt OverallMlUUcipal vel1l rosition Revenue Debt-Enterprise Funds To talRevenue andGO Debt/AV. .General 1 Debt Per Cantta Tot Revenue andGODeotPer Capita 0.42% 8.52% '3,665 59,142 10.69% 512,000 326'" 1020% ~,60 511,287 0.10% 515,116 2.9] 14:.01% ,".-":.<-~~~,,!,,~Yi~::C-{'\ 53,152 515,167 General Economic and Demographic Data 2010 2011 2012 2013 2014 Annual Growth Rate Population Taxable AssessedValue AssessedValuePerCapita Top 10Tax Payersasa %ofAssessedValue $ S 8,8Bl 953,574,685 5 107,372 5 8.21% 8,773 985,073,129 5 112,285 S 7.64% 990,930,238 s 110,694 5 7.57% 9,0841 1,001,066,784 $ 110,201 IS 7.57% 9,084 983,623,000 108,281 7.57' 1.47% 0.59% D-3 Page4of14 EXHIBIT B CityandBoroughof Sitka Electric Enterprise Fund Financial Summary 2010 201120122013 2014 Audited Audited Audited Audited Audited Assets Cash 8,868,159 24,320,421 31,450,650 28,803,187 13,505,669 Restricted Assets 7,149,277 6,871,164 3,595,875 21,197,459 18,121,955 Other Assets 4,256,023 5,010,167 7,266,275 13,897,615 11,777,153 Construction in Progress 5,555,467 11,646,987 18,086,724 58,930,539 137,885,040 UtilityPlantin 5ervice 64,914,833 63,103,150 61,775,003 59,900,343 59,508,277 TotalAssets 90,743,759 110,951,889 122,174,527 182,729,143 240,798,094 Liabilities and Net Assets Liabilities Other Liabilities 636,920 1,722,772 2,477,182 6,355,564 13,017,817 RevenueBondsPayable 28,090,000 48,700,000 47,570,000 79,485,000 105,100,000 Deferred loss/premium on bonds (815,343)1,471,509 (1,711,547)5,943,338 6,742,293 Revenue Note Payable 9,054,598 8,800,188 8,535,498 7,973,608 7,973,608 Total Liabilities 36,966,175 60,694,469 56,871,133 99,757,510 132,833,718 Net Assets 53,777,584 50,257,420 65,303,394 82,971,633 107,964,376 Operating Revenues 10,852,914 11,401,523 11,611,31912,077,554 14,240,772 Operating Expenses Administrative and General 1,699,737 1,739,698 2,003,768 1,975,492 2,860,066 Operation and Maintenance 4,366,115 5,257,342 5,914,895 5,152,028 4,964,074 Depreciation 1,994,177 1,987,558 1,971,739 1,986,195 1,841,712 Operating Income 2,792,885 2,416,925 1,720,917 2,963,839 4,574,920 Nonoperating revenue (expense) Investment Income 523,298 490,986 459,107 314,600 196,399 Interest Expense (2,369,426)(1,725,198)(2,848,639)(1,678,238)(426,419) Other 208,962 -625,748 572,946 812,866 Net Income before contributions andtransfers 1,155,719 1,182,713 (42,867)2,173,147 5,157,766 Capital contributions 2,853,752 4,039,237 5,266,050 17,169,455 19,455,106 Extraordinary Item: NetPensionObligationRelief 119,824 139,806 325,771 379,871 Transfer In(Out)net (23,898)-(998,128) Change InNet Assets 3,985,573 5,341,774 5,362,989 18,670,245 24,992,743 Population ofCityand Borough 8,881 8,7738,952 9,084 9,098 #of electric customers 5,278 5,282 5,3095,403 5,490 KwfJ Sold 108,739,970 111,795,344 111,048,623111,155,330 111,155,330 Revenue BondDebt Service 4,108,407 3,477,959 3,467,567 4,529,240 5,045,158 Revenue Bond Coverage (>1.25)1.34 1.41 1.43 1.27 1.34 Note:$1,440,000 transferred intoRate Stabilization FundinFY2013 Note:Totalof rate Stabilization Fundasof June 30,2013-$2,151,000 D-4 Page5of14 EXHIBIT B CITY AND BOROUGH OF SITKA HARBOR ENTERPRISE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AuditedAuditedAudited Audited ASSETS PlantIn-Service(netofdepreciation)15,455,195 14,789,299 14,122,59113,550,231 13.153,475 land 90,000 90,000 90,000 90,000 90,000 Construction WorkinProgress 317 20,229 57,838 555,475 7,824,355 Cash 3,014,057 3,733,457 4,735,101 6,599,187 5,515,954 RestrictedAssets 3,615,663 589,166 Other Assets 987,099 1,342,572 1,339,3891,215,385 1,524,898 TotalAssets 19,556,678 19,975,567 20,344,919 25,735,942 29,798,858 LIABILITIES ANDNET ASSETS RevenueBondsPayable 0 0 0 4,569,486 3,840,000 OtherLiabilities 1,500,637 1,405,227 1,156,003 1,144,138 1,589,033 Total Liabilities 1,500,637 1,405,227 1,156,003 5,713,524 5,529,033 NET ASSETS 18,056,041 18,570,340 19,188,916 20,023,318 24,259,825 Operating Revenues 3,040,330 2,854,858 3,154,885 3,095,419 3,154,252 OperationandMaintenance 2,133,877 2,492,110 2,434,329 1,708,210 2,454,599 Administrative andGeneral Depreciation 799,254 899,956 985,619 668,511 656,074 Operating Income (Loss)107,199 (537,208)(266,063)719,698 43,579 Non-Operating Revenue(Expense)(183,181)46,509 155,306 156,844 776,434 Net Income (Loss)BeforeContribution (75,982)(490,699)(110,757)875,542 820,013 Capital Contributions 242,185 1,690,873 2,549,949 0 3,458,599 Net Transfers-In (Out)400,000 3,804,600 575,000 (42,141)(32,105) Specialitem -NPOIOPEBwriteoff ChangeinNetAssets 566,204 5,004,774 3,114,192 834,401 4,245,507 PopulationofCity 8,881 8,773 8,952 9,084 9,098 No payments of RevenueBondCoverage NoHarbor Bonds No Harbor Bonds NoHarborBonds P&I 5.16 D-5 Page 6 of 14 EXHIBIT B CITY u,"'''"n""'N GENERAL OBLIGATION FINANCIAL SUMMARY Murticfnal Financial Position 2009 2010 2011 2012 2013 Average rcperty ax LO ecnons Borrower's Property TaxRateper$1,000 56.10 56.10 56.20 56.20 56.70 56.26 Munidpal Levy 54,868.459 54,885,779 54,621,14354,648,128 ~5,344,326 54,873,567.00 Current Year's Collections ~,794,074 ::>4,689,396 >4,565,367 :;>0,590,563 ::0,276,616 54,783,20320 l urrent l ollection Rate 98.47%95.98%98.79%98.76%98.73%98.15% Total Year'sL ollections 54,844,090 54,689,396 54,565,367 54,590,563 :>5,276,616 54,793,206.40 Total Collection Rate 99.50%95.98%98.79%98.76%98.73%98.35% nsenerar tan Unreserved.Ending FundBalance $4,649,409 5 5,101,448 s 5,295,406 s 4,285,383 s 4,074,588 >.Expenditures s 18,084,246 $17,159,791 s 18,527,140 $19,657,738 5 19,509,987518,780 Fund Balance/Expenditures 26%30Jf,29%22jf,21%25% Total Revenues 5 14,ill9,651 ~13,886,302 ~15,007,571 ~14,94~,242 s 15,646,387 514,701,831 ntergovemmental Revenues s 1,348,409 5 1,233,173 $1,820,575 ~1,644,256 s 1,695,138 51,548,310 Percentage Intergovernmental 10%9%12%11%11%10% 'Overan MumclpaJ Debt Posttfcn Revenue Debt -Enterprise Funds s 57,411,354 s 56,995,549 $54,828,636 s 52,028,061 $64,183,054 Revenue Debt Governmental Funds $-$-$- ueneraL Obligation Debt -Governmental Funds ~5,682,565 $12,280,863 s 11,452,328 s 15,726,032 s 14,535,,,,,2 General Obligation Debt-Enterprise Funds s 1,935,458 s 4,942,967 ~5,100,222 $5,006,445 $2,763,776 Total General Obligation Debt $7,618,023 $17,223,830 $16,552,550 ~.17,299,458 Total Revenue and General a Iization Debt ~65,029,377 ~74,219,379 $71,381,186 $I:$81,48<.::>12 .;:::.'.-;'::_':~:;~~i-~!\,~:-;"-,:-t,(.[.:·-:.~~~?-t-{\'A~:;'?:'A~?;~-;:':~-t'/,':--.,.;--'·c._''.'«.Hc,<'0:",:.' Governmental GO Debt/Assessed Value IIU"V"J U.l1'70 1':>6'70 L.0670 Enten riseGO Debt /Assessed Value rnrvj u.24%0.62%0.64%0.62'7'0 032% Total oenerar Obligation Debt/A.V.(mrv)0.95%2.15%2.07%2.56%2.02% Total Revenue and GO Debt/A.V.(mrv)8.15%927%8.91%9.00%9.50 -.'-::,:',,:'';''''.:X'J"·'::i"i :,:7.:''''".;.:":,' General Ublieation Debt Fer Capita "1m:~l,14L sz,J3':l ~2"'U Total Revenue andGODebtPer Ca ita $8,667 59,220 $8,767 $8,776 2 General Economic and Demographic Data 2009 2010 2011 2012 2013 Annual Growth Rate Population 7,503 8,050 8,142 8,291 8,313 0.27% AssessedValue $798,108,100 $800,947,400 $801,175,000 $808,516,900 $W~_Assessed ValuePerCapita 1$106,372 S 99,497 s 98,400 5 97,517 S 103,139 Top10TaxPayersasa %ofTotalAssessedValue 8.73%10.57%10.39%10.42%11.92% I(mry):mostrecentyear D-6 Page 7 of 14 EXHIBIT B CITYOF KETCHIKAN KETCHIKAN PUBLIC UTILITIES ENTERPRISE FUND FINANCIAL SUMMARY 2009 2010 2011 2012 2013 AUdited Audited Audited Audited Audited ASSETS UtilityPlanIn-Service $69,718,266 $67,177,925$69,018,328 $83,919,407 $83,919,407 Construction Work inProgress 8,017,706 14,788,563 17,131.918 8,123,495 8,123,495 Cash 13,958,674 12,566,00513,845,368 16,767,889 16,767,889 RestrictedAssets 4,062,167 3,050,592 2,963,566 2,695,0852,695,085 Other Assets 8,686,219 12,118,36611,991,790 6,159,953 6,159,953 TotaI Assets 104,443,032 109,701,451 114,950,970117,665,829 117,665,829 LIABILITIES ANDNETASSETS RevenueBondsPayable 19,902,223 20,233,232 18,884,282 16,602,060 16,602,060 Other Liabilities 4,045,215 3,983,215 4,847,079 5,443,636 5,443,636 Total Liabilities 23,947,438 24,216,447 23,731,361 22,045,696 22,045,696 NET ASSETS 80,495,594 85,485,004 91,219,60995,620,133 95,620,133 Operating Revenues 33,310,537 32,975,154 34,172,941 34,802,748 34,802,748 Operation andMaintenance 20,861,336 19,060,639 19,997,855 21,992,642 21,992,642 Administrative andGeneral 6,034,476 5,603,405 6,097,427 5,408,961 5,408,961 Depreciation 6,086,514 5,932,099 5,892,449 6,872,767 6,872,767 Payment inLieuofTaxes Operating Income (Loss)328,211 2,379,011 2,185,210 528,378 528,378 Non-Operating Revenue(Expense)(402,557)(479,652)(363,607)(416,621)(416,621) NetIncome(Loss)Before Contribution (74,346)1,899,359 1,821,603 111,757 111,757 Contributions 2,085,231 3,818,051 4,641,002 5,016,767 5,016,767 SpecialItem Transfer ofNetAssets-Swan Lake-LakeTyeeIntertieProject Transfer -PaymentInLieuofTaxes••(675,000)(728,000)(728,000)(728,000)(728,000) ChangeinNet Assets 1,335,885 4,989,410 5,734,605 4,400,524 4,400,524 Population ofServiceArea 12,984 13,477 12,984 13,477 13,477 Population ofCity 7,503 8,050 7,503 8,050 8,050 #ofElectric Customers 7,365 7,418 7,365 7,418 7,418 #of Telephone AccessLines 7,467 6,994 7,467 6,994 6,994 #of Water Customers 3,217 3,207 3,217 3,207 3,207 RevenueBondCoverage 2.30 2.80 2.30 2.80 2,80 .Water isonlyprovidedwithintheCity ••Change in accounting standards payment inlieuoftaxmustbereportedasatransfer D-7 Page8of14 EXHIBIT B CITYOFKETCHIKAN PORT FINANCIAL SUMMARY 2009 2010 2011 2012 2012 2013 Audited Audited Audited Audited Restated Audited ASSETS Cash 54.827.125 54.364.226 52.373.80852.285.51752.285.517 2.900.167 PortFacilities(net)44.947.620 43.642.947 42.020.640 47,766.776 47.766.776 53.490.542 Construction Work In Progress 963.018 1.116.782 5.531.746 5.066,046 5.066.048 5.449.151 Restricted Assets 4.819.708 5.307.521 5.623.924 6.082.0976.082.097 6.595.730 OtherAssets 1.730.443 1.281.312 3.670.192 4.518.553 4.236.5514.140.133 Total Assets 57.287.914 55.712,788 59.220.310 65.718.991 65.436.989 72.575.723 LIABILITIES ANDNETASSETS General Obligation Bonds Payable 1.035.000 795.000 540.000 270.000270.000 0 Revenue Bonds payable 36.540.000 35.830.000 35.090.000 34.315.000 34.315.000 33.505.000 Other Liabilities 3.147.957 3.134.814 2.847.180 1.072.313 1.072.3131.699.380 Total Liabilities 40.722.957 39.759.81438.477,18035.657.31335.657.313 35.204.380 NETASSETS 16.564.957 15.952.974 20.743.130 30.061.678 29.779.676 37.371.343 Operating Revenues 8.922.228 8.000.492 7.986.404 8,592.255 8.592.255 9.145.920 Operation and Maintenance 5.368.009 5.319.252 3.957.909 3.884.156 3.886.525 4.416.473 Depreciation 1.460.265 1.446.527 1.401.754 1.359.513 1.359.513 1.636.863 Property Taxes 154.041 167.219 152.762 142.575 142.575165.627 PaymentinLieuofTaxes•• OperatIng Income(Loss)1.939.913 1.067.494 2.473.979 3.206.011 3,201.642 2.926.957 Non-Operating Revenue (Expense)(1.718.248)(1.903.421)(2.043.804)201.299 223,562 (912.634) NetIncome(Loss)BeforeContribution 221.665 (835.927)430.175 3.407.310 3.425.204 2.014.323 Contributions andCapitalGrants 905.943 518.944 4.654.981 6.214.416 6.214,416 8.676.543 Extraordinary Item Speclalltem Transfers (8.178)(8.178)(80.199) Transfer-paymentinLieuofTaxes••(290.000)(295.000)(295.000)(295.000)(295.000)(319.000) ChangeinNetAssets 637.608 (611.983)4.790.156 9.318.5489.336.442 10.291.667 1.25 x Annual Debt Service 2.45 2.00 2.24 3.36 3.36 3.00 1.0 x Annual Debt Service/Reserves Account/Repair andReplacementFund/SPH lease Payments 1.13 0.99 1.16 1.67 1.67 1.41 ..Unaudited "#ofShips 36 26 26 34 34 38 #of Calls/Slops 496 429 426 467 462 453 If ofWater Passengers 937.419 828.929 830.547885.799 885,799 938.124 Reflects statistical information provided bylhe Ketchikan Visitors Bureau Beginning in2005,changein accounting standards required paymentinlieuoftaxestobe reported as transfers. D-8 Page9of14 CITYANDBOROUGHOFJUNEAU FINANCIAL SUMMARY General Governmental Fund EXHIBIT B Municioal Financial Position 2010 2011 2012 2013 2014 Averaae openyJaxLonections Borrowers rcpertv axRateper $1,000 $10.60 $10.51 $10.55 $10.55 $10.66510.57 Municioal Levv 841,048,853 840,739,944 $41,751,673 $44,252,019 $44,965,923 542",51,682 Current Year'sCo ections $40,691,450 $40,329,083 $41,431,682 $43,987,10!)~,8nr,184 $42,251,501 CUrrent Collection Rate 99.13%98.99%99.23%99.40%99.67'99.29% Totalrear's Collections 840,879,741 84 ),501,293 $41,455,145 043,9l>/,lUll :;44.818,184 $42,328,294 Total ollection Rate 99.59%99.41%99.29',0 99.4%99.67""99.47 Yo uenerat l'una Unassigned Plus Emerzencv Oneratina Res (c..iAbB#54 $5,714,731 $1,729,385 $3,484,161 s 4,374,670 $13,844.723 $5,829,534 Expenditures s 49,158,125 $50,540,314 $-~~~781 s sn~497,977 s 53,053,117 --S~663 Fund Balance/Expenditures 11.63%3.42%6.79%8.66%26.10%11.32% -rotal Revenues s 66,541.842 -S 66,008,466 -f 50,lTj6,5ll'l s 52,089;033 $65,37lJ:5IT SOll;OlT9;Wf Interaovernmental Revenues S 12,389,683 s 14,313,000 S 15,464,700 S 15,281,700 s 29,140,692 $17,317,955 Percentage Intergovernmental 19%22%31'%29%45%29.03% uvera I Mumcipal De t Posrtton -uevenuc vel:lt -1:.I1 terprise undS 5 46,370,84$$43,679,682 5 41,906,067 $40,090,908 Revenue Debt -Governmental Funds $2,718,662 s 2,861,747 s 2,091,457 $6,807,086 General Dblization Debt -Governmental Funds )156,356,000 148,301,000 $133,446,000 S 131,385,000 s 122,068,000 General Obligation Debt -Enterprise Funds S "IS -S -s -1-:;-- Total Genera!Obligation De t )156,356,000 s 148,"U1,000 s l3,446,OOU S 131,385,000 5 122,068,000 Total Revenue an 1General Obngation Debt S 205,445,oUI ~1W,10S;916-)179,~l>/,42")175,:%2,524 S 168, .",",'..-·':2}'?;\,~.;{:/:.?~t~.;;?;;~37~,~:~~:'i€?~'~~':{7-}:.i:.-.nxt'}~~\~,~:co~':-:'-,,':'::",-,,',,':' GovemmentalGU Debt/Taxable Assessed Value 0.>81,0./2%3.28%3.07% Total Revenue ana \,.JU ueot!»:v.5.22%4.94%4.42%4.10%3. .:,c:,·::"o:,·,:~,,'L '<:i::':·':,X':.·::'·:.:,,::'"cc ,"-,.--,'",--"-","---.-:-.~;:-,~-'-;-:.:'::··;-::';::-;:f-·:~_;":;;H':r'<~,-,-,'-~--"-'-,:'\~-:ii:';o>:",-.,,-..c_:',-'>'.F~: ticn Debt $4,999 $4,742 84,113 $4,023 $3,692 Total Revenue and <.;()Debt Per ::aoita :>6,59 :>6,302 $5,548 55,370 ,;s,11 General Economic and Demnzrauhic Data 2010 2011 2012 2013 2014 -,Annual i-opuiauon ~1,~/~~l,U~~2,041 ~"'bbU oj,Ubi 12'''' Taxable Assessed Value $3,933,364,442 $3,989,344,944 $4,071,713,732 $4,275,067,217 $4,379,714.933_ Assessed ValuePerCapita S 123,767 $127,557 S 125,511 S 130,896S132,462 Top 10Tax Payers asa %of Assessed Value 10.52%13.78%13.73%13.82%13.61% D-9 Page10of14 EXHIBIT B CITYAND BOROUGH OFJUNEAU HARBOR ENTERPRISE FUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AuditedAuditedAuditedAudited ASSETS PlantIn-Service(netofdepreciation)$11,923,364 $13,827,335$12,844,129 $11,875,368 $14,325,870 Construction WorkinProgress 29,935,711 29,889,294 33,499,769 42,397,974 40,419,697 Cash 4,470,053 4,728,5224,660,755 3,466,374 4,030,992 Restricted Assets 7,588,584 10,702,703 11,196,479 10,946,328 10,554,614 Other Assets 866,059 764,741 847,869 543,407 679,907 TotaIAssets 54,783,771 59,912,595 63,049,00169,229,451 70,011,080 LIABILITIESANDNETASSETS Revenue BondsPayable 9,960,000 9,700,0009,691,595 9,380,434 9,033,637 Other Liabilities 1,726,240 2,110,290 2,140,909 1,401,365 2,050,500 Total Liabilities 11,686,240 11,810,290 11,832,504 10,781,799 11,084,137 NET ASSETS 43,097,531 48,102,305 51,216,497 58,447,652 58,926,943 OperatingRevenues 3,040,330 2,854,858 3,154,885 3,173,272 3,508,430 Operationand Maintenance 2,133,877 2,492,110 2,434,329 2,498,178 2,814,717 Administrative andGeneral Depreciation 799,254 899,956 986,619 968,761 1,003,707 Operating Income (Loss)107,199 (537,208)(266,063)(293,667)(309,994) Non-Operating Revenue(Expense)(183,181)46,509 155,306 (214,686)128,433 Net Income (Loss)BeforeContribution (75,982)(490,699)(110,757)(508,353)(181,561) Capital Contributions 242,186 1,690,873 2,549,949 7,392,466 660,852 Net Transfers-In (Out)400,000 3,804,600 675,000 500,000 °Specialitem-NPOfOPEBwriteoff ChangeinNetAssets 566,204 5,004,774 3,114,192 7,384,113 479,291 PopulationofCity 31,275 31,275 32,441 32,660 33,064 RevenueBondCoverage 2,18 1.19 1.79 1.21 1.67 D-IO Page11 of14 EXHIBIT B CITYAND BOROUGH OFJUNEAU PORT DEVELOPMENT SPECIAL REVENUEFUND FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AuditedAudited AuditedAudited ASSETS Plant In-Service (netof depreciation) Construction WorkinProgress Cash 3,414,679 4,428,233 (208,085)(252,013)71,012 RestrictedAssets OtherAssets 273,317 314,814 269,712 484,639 294,257 Total Assets 3,687,996 4,743,047 61,627 232,626 365,269 LIABILITIES ANDNETASSETS RevenueBondsPayable Other Liabilities 151,020 349,585 TotalLiabilities 151,020 349,585 NET ASSETS 3,687,996 4,743,047 61,627 81,606 15,684 OperatingRevenues 2,856,882 2,557,851 2,634,080 2,825,479 2,864,578 Operationand Maintenance 4,500 2,800 5,500 5,500 5,500 Administrative andGeneral Depreciation Operating Income (Loss)2,852,382 2,555,051 2,628,580 2,819,979 2,859,078 Non-Operating Revenue(Expense) NetIncome(Loss)Before Contribution 2,852,382 2,555,051 2,628,580 2,819,979 2,859,078 Capital Contributions Net Transfers-In (Out)(1,750,000)(1,500,000)(7,310,000)(2,800,000)(2,925,000) ChangeinNetAssets 1,102,382 1,055,051 (4,681,420)19,979 (65,922) PopulationofCity 31,275 31,275 32,441 32,660 33,064 RevenueBondCoverage N/A N/A N/A N/A N/A D-ll Page 12of14 EXHIBIT B CityandBorough of Juneau Conduit Debt WILDFLOWER COURT (Anotfor profit organziation) FINANCIAL SUMMARY 201020112012 2013 2014 Audited Audited Audited Audited Audited ASSETS Plant In-Service 5,674,338 4,909,305 4,620,999 4,734,678 3,771,100 Cash 1,255,867 1,582,128 1,752,043 1,437,085 1,970,693 Restricted Assets 1,735,178 1,707,402 2,170,928 1,489,365 1,450,054 Other Assets 1,312,9151,399,517 1,444,749 1,786,787 1,267,699 Total Assets 9,978,298 9,598,352 9,988,719 9,447,915 8,459,546 LIABILITIES ANDNETASSETS Bond Debt 13,650,000 13,050,000 11,705,000 11,596,229 10,204,712 Other Liabilities 878,190 904,428 2,052,663 1,132,323 996,579 Total Liabilities 14,528,190 13,954,428 13,757,663 12,728,552 11,201,291 NETASSETS (DEFICIT)(4,549,892)(4,356,076)(3,768,944)3,280,637 (2,741,745) Operating Revenues 10,361,609 10,859,195 10,841,324 11,057,791 11,447,862 Operating Expenses 9,802,9449,894,353 9,594,3179,666,530 9,961,681 Depreciation 937,147 832,579 780,765935,669 1,008,253 Operating Income (Loss)(378,482)132,263 466,243455,592 477,928 Non-Operating Revenue (Expense)27,924 61,553 120,890 32,713 60,964 Change inNet Assets (350,558)193,816 587,132 488,305 538,892 RevenueBond Coverage 1.011.33 1.32 1.12 1.10 TheBondBankhasreceivednotificationfromseniormanagementofWildflowerCourtthatforcalendaryear2013and2014 WildflowerCourtfellshortoftherequireddebtservicecoverageratioof1.15times.Persection5.1 (b)oftheloanagreement betweentheCityandBoroughofJuneauandWildflowerCourt,WildflowerCourtisworkingwiththeCityandBoroughto identifymeasurestoreturnthefacilitytocompliancewiththedebtservicecoveragerequirementoftheloanagreement. D-12 Page 13 of 14 EXHIBIT B CITY AND BOROUGH OF JUNEAU BARTLETT REGIONAL HOSPITAL FINANCIAL SUMMARY 2010 2011 2012 2013 2014 Audited AuditedAuditedAuditedAudited ASSETS PlantIn-Service(netof depreciation)$74,736,663 $72,772,410 $74,566,327 $74,002,798 $69,208,456 Construction Workin Progress·3,126,611 6,866,781 6,202,224 2,826,314 228,425 Cash 18,036,202 14,990,30817,386,169 26,113,833 38,596,921 Restricted Assets 8,555,051 10,160,114 6,549,498 5,490,768 5,327,673 Other Assets 20,549,937 23,011,263 23,462,113 25,230,206 20,528,164 TotalAssets 125,004,464 127,800,876 128,166,331 133,663,919 133,889,639 LIABILITIES ANDNETASSETS Revenue BondsPayable 26,165,000 25,570,000 24,926,795 25,304,67924,346,618 Other Liabilities 11,066,147 11,391,053 8,999,867 8,829,067 11,033,875 Total Liabilities 37,231,147 36,961,05333,926,662 34,133,746 35,380,493 NET ASSETS 87,773,317 90,839,82394,239,669 99,530,17398,509,146 Operating Revenues 82,640,681 90,680,836 95,026,373 84,250,207 80,198,274 Operation andMaintenance 72,975,632 83,883,389 89,411,913 76,967,444 78,820,476 Administrative andGeneral Depreciation 6,270,565 6,552,177 7,145,290 7,001,295 7,086,559 Operating Income(Loss)3,394,484 245,270 (1,530,830)281,468 (5,708,761 ) Non-Operating Revenue(Expense)911,555 1,579,634 3,306,366 4,119,820 3,610,234 Net Income (Loss)Before Contribution 4,306,039 1,824,904 1,775,536 4,401,288 (2,098,527) Capital Contributions 536,697 89,002 471,910 134,658 °Net Transfers-In (Out)1,146,000 1,152,600 1,152,400 1,123,0001,077,500 Specialitem-NPOIOPEBwriteoff ChangeinNetAssets 5,988,736 3,066,5063,399,846 5,658,946 (1,021,027) Population ofCity 31,275 31,275 32,441 32,660 33,064 RevenueBondCoverage 5.15 3.63 3.00 7.34 2.50 D-13 Page14of14 ~:-XPE'-'If-.NCE ••till. COMMITME1{T NATIONAL PUBLIC FINANCE GUARANTEE CORPORATION COMMITMENT TOISSUEA DEBT SERVICE RESERVE SURETY BOND Application No.:2015-006268-002 SaleDate:August 26,2015 Program Type:Negotiated DP RE:$5,198,465.78 Debt Service Reserve Fundfor $96,210,000 Alaska Municipal BondBank,General Obligation and Refunding Bonds,2015 Series Three (the "Obligations") This commitment toissuea debt service reserve surety bond(the "Commitment") dated August 26,2015 constitutes an agreement between Alaska Municipal Bond Bank (the "Issuer")and National Public Finance Guarantee Corporation ("National"),astock insurance company incorporated under thelawsoftheStateofNew York Basedonan approved application dated August 4,2015,the Insurer agrees,upon satisfaction ofthe conditions herein,toissueonthe earlier of(i)90daysofsaid approval date or(ii)onthe date of delivery of and payment forthe Obligations,a debt service reserve surety bond(the "Surety Bond"),forthe Obligations,guaranteeing the payment tothe issuer ofupto $5,198,465.78 onthe Obligations.The issuance ofthe Surety Bondshallbe subject tothe following terms and conditions: 1.Payment bythe Applicant,orbythe Trustee on behalf ofthe Applicant,onthe dateof delivery ofand payment forthe Obligations,ofa nonrefundable premium inthe amount of $38,988.49 [.75%(premium rate)oftotal surety bond amount of $5,198,465.78 onthe Obligations].The premium setoutinthis paragraph shallbethe total premium required tobepaidonthe Policy issued pursuant tothis Commitment. 2.The Obligations shallhave received an unqualified opinion ofbond counsel with respect tothedue authorization,execution and delivery ofthe Obligations,aswellas with respect tothetax treatment of interest onthe Obligations. 3.There shallhavebeenno material adverse change inthe Obligations orthe Resolution,Bond Ordinance,TrustIndenture or other official document authorizing the issuance ofthe Obligations orinthefinal official statement or other similar document, including the financial statements included therein. 4.There shallhavebeenno material adverse change inany information submitted tothe Insurer asapartofthe Application or subsequently submitted tobeapartofthe Application totheInsurer. 5.No event shallhave occurred which would allow any underwriter orany other purchaser ofthe Obligations nottoberequiredto purchase the Obligations at closing. ••~. COMMJT~.·::.·.!~: 6.Prior tothe delivery of and payment for the Obligations,none of the information or documents submitted asapart of the Application tothe Insurer shallbe determined to contain any untrue or misleading statement of a material fact or failto state a material fact required tobe stated therein or necessary in order to make the statements contained therein not misleading. 7.No material adverse change affecting any security for the Obligations shall have occurred prior tothe delivery of and payment for the Obligations. 8.This Commitment may be signed in counterpart bythe parties hereto. 9.Compliance withthe Insurer's Conditions for Debt Service Reserve Fund Surety Bonds Provided by National (see Attachment A). This Commitment may be signed in counterpart bythe parties hereto. Dated this 26 th day of August,2015. National Public Finance Guarantee Corporation BY~"../~,/, Secretary f By: Title: ••&1. <:OMMITMf:.Nl S T B E I~G ':it ATTACHMENT A CONDITIONS FORDEBTSERVICERESERVEFUND SURETY BONDSPROVIDEDBY NATIONAL Surety bondsarenoteligible substitutes forcashindebtservicereservefunds associated withlease revenuebondsand certificates of participation.Forothertypesofsecurities,the following provisions shallapply: Intheeventtheissuerelectstofundthedebt service reservewitha surety policyinlieuofcash,National requiresthattheissuer and/or the underlying obligor ofthebondsenterintoaFinancial Guaranty Agreement withNational providing for,among other things,the reimbursement toNationalof amounts drawn under the surety bond.A sample draftofsuchan agreement isattached. The Surety Bondmaybe structured to provide debtservice reserve fund replacement forthe current issueofbondsandanyotherdebtissuedonparitytherewith.However,inallcases,the Surety Bondwill expireonthe earlier ofa)thefinal maturity dateofthe current issueofbondsorb)thedateofanearly retirement,refunding,redemption,defeasance,etc.ofthe current issueofbonds. A)Provision mustbemadeinthebond documents forthecreationofadebt service reservefundand theremustbea requirement to maintain thatfundatacertainlevel.Itshouldalsobeprovidedthat this requirement maybe satisfied bycashora qualified surety bondora combination ofthesetwo (Note:A"qualified surety bond"meansa surety bondwhich satisfies therequiredtermshereinand isissuedbyan insurance company acceptable to National). B)Inthose instances wherethe issuance ofparitydebtwillcausethedebtservice reserve fund requirement toincrease,National requiresthatatthetimeof issuance ofsuchparitydebt,eithercash oraqualified surety bondbeprovidedto satisfy the increased debtservice reserve fund requirement. C)Intheeventthatthedebtservice reserve fund contains bothaNational Surety Bondandcash, National requiresthatthecashbedrawndown completely beforeanydemandismadeonthe Surety Bond.ForthetermoftheNational Surety Bond,and providedNationalisnotindefault,theBond Bankwillsecurethewrittenapprovalof National priorto securing a surety bondtosaisfythereserve requirement.Notwithstanding the foregoing,nowrittenapprovalofNationalwillberequiredif(i)the BondBankhasprovided National (atitslastknown address)withawritten request to approve the useofasuretyand National hasnot responded withinfifteen(15)business days following such request,and(ii)the proposed surety provider isratedinthe"A"category byoneoftheRating Agencies currently ratingthe Surety Provider atthetimeof deliver ofsuch surety policy.Inanyevent wherethedebtservicereservefund contains asuretybondfrom another entityandaNational Surety Bond,the documents shouldprovideforapro-rata draw oneachofthesuretybondsand reimbursement tothe respective Surety Bondprovidersonapro-ratabasis. D)Intheeventthata surety bondhasbeendrawnonany available monies,asdefinedinthe Indenture or Authorizing Resolution:mustbeused first to reimburse National,inorderto reinstate the Surety Bondtoitsrequiredamount,andsecondto replenish thecashinthedebtservicereservefund. E)Ifthe Indenture or Authorizing Resolution provideforthe issuance of additional bondsthatdonot sharea common reservefundwiththe current issue,Nationalwillissuea surety bondthatis,byits terms,available onlyasareserveforthe current issue.Insuchcases,Nationalwouldrequirea covenant thatany revenues available fordebtservicemustbe distributed betweenthe current issue andany additional bondsonaproratabasis without regardtothe existence ofafundeddebtservice reserveorasuretybond. F)Thebond documents mustrequirethe Trustee to deliver aDemandForPayment(seeattachedform) atleastthreedayspriortothedateonwhichfundsarerequired. G)Withrespecttoany security interest in collateral grantedtothe bondholders,Nationalmustbe grantedthatsameinterest subject onlytothatofthe bondholders interest.Thiswouldapplyto existingsecurity,ifany,aswellasany security interest tobegrantedinthefuture. CXi"Ef"!1[NCf.CCMM!T!!iE-.N: H)Nationalmustreceiveanopinionfromcounseltothe issuer/obligor addressed to National thatthe Financial Guaranty Agreement isalegal,validandbinding obligation ofthe issuer/obligor,hasbeen duly authorized and executed andis enforceable against the issuer/obligor in accordance withits terms. I)Provisions mustbemadefor National tobepaidall amounts owedtoitunderthetermsofthe Financial Guaranty Agreement orany other documents beforethebond documents maybe terminated. J)Ingeneralterms,the "flow of funds"inthe Indenture or Authorizing Resolution shouldbe structured asfollows: 1)Allgross revenues shouldbeappliedinthe following orderwiththepriorityindicated: i)Expenses of operation and maintenance; ii)Debtserviceonthebonds; iii)Reimbursement of amounts advanced byNational; iv)Reimbursement ofcash amounts,ifany,drawnfromthereservefund; v)Payment toNationalof interest on amounts advanced; vi)Replenishment ofRenewaland Replacement Fund; vii)Allotherlawfuluses,including thedebtservice payment onany subordinate bonds. K)Itwillbethe responsibility ofthe trustee/paying agentto maintain adequate recordsastothe amount available tobedrawnatanygiventime under the surety bond/LOCo L)Theremaybenooptional redemption ofbondsor distribution offundstotheissuer and/or the underlying obligor unlessall amounts owedtoNational under thetermsoftheFinancial Guaranty Agreement orany other documents havebeenpaidinfull. FINANCIAL GUARANTY AGREEMENT FINANCIAL GUARANTY AGREEMENT made as of September 16,2015,byand between Alaska Municipal Bond Bank (the"Issuer"of "Bond Bank")andNational Public Finance Guarantee Corporation (the"Insurer"),organized under thelaws ofthestate ofNew York. WITNESSETH: WHEREAS,theIssuerhasorwillissuethe Obligations;and WHEREAS,pursuant totheterms ofthe Document theIssueragreesto make certain payments onthe Obligations;and WHEREAS,theInsurerwillissueitsSurety Bond,substantially intheformsetforthin Annex Ato tins Agreement,guaranteeing certain payments by theIssuersubjecttothetermsandlimitations of the SuretyBond;and WHEREAS,to induce theInsurerto issue the Surety Bond,theIssuerhasagreedtopaythe premium forthe Surety Bond andto reimburse theInsurerforall payments made bytheInsurer under theSurety Bond,allas more fullysetforthinthis Agreement;and WHEREAS,theIssuer understands thattheInsurer expressly requiresthedelivery of this Agreement aspart ofthe consideration forthe execution bytheInsurer of the Surety Bond;and NOW,THEREFORE,in consideration of the premises and of the agreements herein contained and of the execution ofthe Surety Bond,the Issuer andtheInsureragreeasfollows: ARTICLE I DEFINITIONS;SURETY BOND Section 1.01.Definitions.The terms which arecapitalized herein shall have the meanings specifiedin Annex Bhereto. Section 1.02.SuretyBond. (a)The Insurer willissuethe Surety Bond in accordance withandsubjecttothetermsand conditions ofthe Commitment. (b)The maximum liability of theInsurer under theSurety Bond andthe coverage andterm thereof shallbe subject toandIimitedbythetermsand conditions oftheSuretyBond. Section 1.03.Premium.In consideration of theInsurer agreeing toissuetheSuretyBond hereunder, tileIssuer hereby agreesto payor causeto be paid the Premium setforthin Annex Bhereto.The Premium ontile Surety Bond is not refundable foranyreason. Section 1.04.Certain Other Expenses.The Issuer will pay all reasonable feesand disbursements of tileInsurer'sspecialcounselrelatedtoany modification of this Agreement ortheSuretyBond. ARTICLE II REIMBURSEMENT OBLIGATIONS OF ISSUER AND SECURITY THEREFOR Section2.01.Reimbursement for Payments Under the Surety Bond and Expenses. (a)The Issuerwill reimburse theInsurer,withinthe Reimbursement Period,without demand or noticebytileInsurertotheIssueror ally other person,totileextent of eachSuretyBond Payment withinterestoneachSurety Bond Payment fromand including thedate made tothedate of the reimbursement atthelesser of the Reimbursement Rateorthe maximum rate of interestpermittedby then applicable law. (b)TheIssueralsoagreestoreimbursetheInsurerimmediatelyandunconditionallyupon demand,totheextentpermittedbystatelaw,forallreasonableexpensesincurredbytheInsurerin connectionwiththeSuretyBondandtheenforcementbytheInsurer of theIssuer'sobligationsunder thisAgreement,theDocument,andanyotherdocumentexecutedinconnectionwiththeissuance of theObligations,togetherwithinterestonallsuchexpensesfromandincludingthedateincurredto thedate ofpaymentattheratesetforthinsubsection(a)ofthisSection2.01. (c)TheIssueragreesthatallamountsowingtotheInsurerpursuanttoSection1.03 hereof and thisSection2.01mustbepaidinfullpriortoanyoptionalredemptionorrefunding oftheObligations. (d)Allpayments made totheInsurerunderthisAgreementshallbepaidinlawfulcurrency of theUnitedStatesinimmediatelyavailablefundsattheInsurer'sofficeatIManhattanvilleRoad, Suite301,Purchase,NewYork10577,Attention:PortfolioSurveillanceGroup,oratsuchother placeasshallbedesignatedbytheInsurer. Section2.02.Allocation of Payments.TheInsurerandtheIssuerherebyagreethateachpayment receivedbytheInsurerfromoron behalf of theIssuerasareimbursementtotheInsurerasrequiredby Section2.01 hereof shallbeappliedbytheInsurerfirst,towardpayment of anyunpaidpremium;second, towardrepayment of theaggregateSuretyBondPaymentsmadebytheInsurerandnotyetrepaid,payment ofwhichwillreinstatealloraportion oftheSurety Bond Coveragetotheextent of suchrepayment(butnot toexceedtheSuretyBondLimit);andthird,uponfullreinstatement of theSuretyBondCoveragetothe SuretyBondLimit,towardotheramounts,including,withoutlimitation,anyinterestpayablewithrespectto anySuretyBondPaymentsthenduetotheInsurer. Section2.03.SecurityforPayments;Instruments of FurtherAssurance.Totheextent,butonlytothe extent,thattheDocument,oranyrelatedindenture,trustagreement,ordinance,resolution,mortgage, securityagreementorsimilarinstrument,if any,pledgestotheOwnersoranytrusteetherefor,orgrantsa securityinterestorlieninoronanycollateral,property,revenueorotherpayments("Collateraland Revenues")inordertosecuretheObligationsorprovideasource ofpaymentfortheObligations,theIssuer herebygrantstotheInsurerasecurityinterestinorlienon,asthecase may be,andpledgestotheInsurerall suchCollateralandRevenuesassecurityfor payment of allamountsduehereunderandunderthe Document oranyother document executedinconnectionwiththeissuance of theObligations,which securityinterest,lienand/orpledgecreatedorgrantedunderthisSection2.03shallbesubordinateonlyto theinterests of theOwnersandanytrusteethereforinsuchCollateralandRevenues,exceptasotherwise provided.TheIssueragreesthatitwill,fromtimetotime,execute,acknowledgeanddeliver,orcausetobe executed,acknowledgedanddelivered,anyandallfinancingstatements,if applicable,andallotherfurther instrumentsas may berequiredbylaworasshallreasonablyberequestedbytheInsurerfortheperfection of thesecurityinterest,if any,grantedunderthisSection2.03andforthepreservationandprotection of all rights oftheInsurerunderthisSection2.03. Section2.04.UnconditionalObligation.Theobligationshereunderareabsoluteandunconditional andwillbepaidorperformedstrictlyinaccordancewiththisAgreement,subjecttothelimitations of the Document,irrespectiveof: (a)anylack of validityorenforceabilityof,oranyamendmentorothermodificationof,or waiverwithrespecttotheObligations,the Document oranyotherdocumentexecutedinconnection withtheissuance oftheObligations;or (b)anyexchange,releaseornonperfection of anysecurityinterestinpropertysecuringthe Obligationsorthis Agreement oranyobligationshereunder;or (c)anycircumstancesthatmightotherwiseconstituteadefenseavailableto,ordischargeof,the IssuerwithrespecttotheObligations,the Document oranyotherdocumentexecutedinconnection withtheissuance oftheObligations;or (d)whetherornotsuchobligationsarecontingentormatured,disputedorundisputed,liquidated orunliquidated. Section2.05.Insurer's Rights.TheIssuershallrepaytheInsurertotheextentofpaymentsmadeand expenses incurred bytheInsurerin connection withthe Obligations andthis Agreement.The obligation of theIssuertorepaysuchamountsshallbe subordinate onlytotherightsoftheOwnerstoreceive regularly scheduled principal andinterestonthe Obligations. Section2.06.On-GoingInfonnation Obligations of Issuer.TheIssuerwillmake available tothe Insurer,at reasonable timesandupon reasonable notice,allrecordsrelativeto2005pooledloan program. ARTICLE TIl AMENDMENTS TO DOCUMENT SolongasthisAgreementisin effect,theIssueragreesthat National willbedeemedasthebondholder of the2015SeriesThreeBondsregardinganyamendmentsand modifications tothe Resolution and2015 SeriesThree Resolution withrespecttoanyactioninwhichtheconsent of bondholders is required. ARTICLE IV EVENTS OF DEFAULT;REMEDIES Section4.01.Events ofDefault.The following eventsshall constitute Events ofDefault hereunder: (a)TheIssuershallfailtopaytotheInsurerwhendueanyamountpayableunder Sections 1.03; or (b)TheIssuershallfailtopaytotheInsureranyamountpayableunder Sections 1.04and 2.01 hereofandsuchfailureshallhave continued foraperiodinexcess ofthe Reimbursement Period;or (c)Any material representation orwarrantymadebytheIssuerundertheDocumentor hereunderoranystatementinthe application fortheSuretyBondoranyreport,certificate,financial statement,documentorotherinstrumentprovidedin connection withthe Commitment,theSurety Bond,the Obligations,orherewithshallhavebeen materially falseatthetimewhenmade;or (d)ExceptasotherwiseprovidedinthisSection4.01,theIssuershallfailtoperformany of its other obligations underthe Document,oranyotherdocumentexecutedin connection withthe issuance of the Obligations,or hereunder,providedthatsuch failure continuesformorethan30days afterreceiptbytheIssuer ofwrittennotice ofsuch failure to perform;or (e)TheIssuershall(i)voluntarily commenceanyproceedingorfileanypetitionseekingrelief undertheUnitedStatesBankruptcyCodeoranyother Federal,stateor foreign bankruptcy, insolvencyorsimilarlaw,(ii)consenttothe institution of,or fail to controvert inatimelyand appropriate manner,anysuchproceedingorthefiling ofanysuch petition,(iii)applyfororconsentto the appointment of a receiver,trustee,custodian,sequestrator orsimilar official forsuchpartyorfora substantial part of its property,(iv)fileananswer admitting the material allegations of apetition filed againstitinanysuch proceeding,(v)makea general assignment forthebenefitof creditors,(vi) becomeunable,admitinwritingits inability orfail generally topayitsdebtsastheybecomedueor (vii)takeactionforthepurpose ofeffecting any ofthe foregoing;or (f)An involuntary proceedingshallbecommencedoran involuntary petitionshallbefiledina court of competentjurisdiction seeking(i)reliefinrespect of the Issuer,or of a substantial part of its property,undertheUnitedStatesBankruptcyCodeoranyother Federal,stateor foreign bankruptcy, insolvency orsimilarlawor(ii)the appointment of a receiver,trustee,custodian,sequestrator or similar official fortheIssuerorfora substantial part of its property;andsuch proceeding or petition shallcontinue undismissed for60daysoranorderordecreeapprovingororderingany of the foregoing shallcontinueunstayed andineffectfor30 days. Section 4.02.Remedies.If an Event of Default shall occur andbecontinuing,thentheInsurer may take whatever actionatlaworinequity may appear necessary ordesirabletocollectthe amounts thendue and thereafter to become due under this Agreement orto enforce performance of any obligation oftheIssuer totheInsurer under the Document oranyrelated instrument,andanyobligation,agreement or covenant of theIssuer under this Agreement;provided,however,thattheInsurer may nottakeanyactiontodirector require acceleration or other early redemption of the Obligations or adversely affecttherights of the Owners.Inaddition,if an Event of Default shall occur duetothefailuretopaytotheInsurerthe amounts due under Section 1.03hereof,theInsurershall have therighttocanceltheSurety Bond in accordance with itsterms.Allrightsand remedies of theInsurer under thisSection4.02are cumulative andtheexercise of anyone remedy doesnot preclude theexercise of oneor more of theother available remedies. ARTICLE V SETTLEMENT The Insurershall,ingoodfaith,decide and determine thevalidity of aclaimforaSurety Bond Payment.Notwithstanding theforegoing,theInsurershall unconditionally and irrevocably cause payment of the principal of andinterestonthe Obligations upon thelater of (i)three(3)daysafterreceiptbythe Insurer of a demand for payment,duly executed bythe paying agent,or(ii)the payment date of the Obligations as specified inthe demand for payment presented bythe paying agenttotheInsurer.The Issuer shall reimburse theInsurertotheextent of such Surety Bond Payment as provided forinArticleII of this Agreement. ARTICLE VI MISCELLANEOUS Section6.01.Interest Computations.All computations ofinterestdue hereunder shallbe made onthe basis oftheactual number of days elapsed over ayear of360 days. Section 6.02.Exercise of Rights.Nofailureordelayonthepart of theInsurertoexerciseanyright, power or privilege under this Agreement andno course ofdealing between the Insurer andtheIssuerorany other party shall operate asa waiver of anysuchright,power orprivilege,nor shallanysingleorpartial exercise of anysuchright,power or privilege preclude anyotherorfurther exercise thereof ortheexercise of anyotherright,power orprivilege.The rightsand remedies herein expressly provided are cumulative and not exclusive of anyrightsor remedies which theInsurer would otherwise have pursuant tolawor equity.No notice toor demand onany party inanycaseshallentitlesuchpartytoanyotherorfurther notice or demand in similar orother circumstances,or constitute a waiver of theright of theotherpartyto any other orfurtheractioninany circumstances without noticeordemand. Section 6.03.Amendment andWaiver.Any provision of this Agreement may be amended,waived, supplemented,discharged or terminated onlywiththe prior writtenconsent of theIssuerandtheInsurer. The Issuer hereby agreesthat upon thewritten request of the Paying Agent,theInsurer may make or consenttoissueany substitute fortheSurety Bond tocureany ambiguity orformaldefector omission inthe Surety Bond which doesnot materially change theterms of theSuretyBondnor adversely affecttherights ofthe Owners,andthis Agreement shallapplytosuchsubstitutedsuretybond.TIleInsureragreestodeliver totheIssuerandtothe company or companies,if any,ratingtheObligations,a copy of suchsubstituted suretybond. Section 6.04.Successors andAssigns;Descriptive Headings. (a)This Agreement shallbind,andthebenefits thereof shallinureto,the IssuerandtheInsurer andtheir respective successorsandassigns. (b)The descriptive headings of thevarious provisions of this Agreement areinsertedfor convenience of reference only andshallnotbe deemed toaffectthe meaning or construction of any ofthe provisions hereof Section6.05.Other Sureties.IftheInsurershall procure any other suretyto reinsure theSuretyBond, tins Agreement shallinuretothe benefit of such other surety,its successors andassigns,soastogivetoita directright of actionagainsttheIssuerto enforce this Agreement,and"tileInsurer,"wherever usedherein, shallbe deemed to include such reinsuring surety,asits respective interests may appear. Section6.06.SignatureonBond.TheIssuer'sliabilityshallnotbeaffectedbyitsfailuretosignthe Surety Bond norbyany claim thatotherindemnityorsecuritywastohavebeenobtainednorbytherelease ofanyindemnity,northereturnorexchange ofanycollateralthat may havebeenobtained. Section6.07.Waiver.TheIssuerwaivesanydefensethatthisAgreementwasexecutedsubsequent tothedate of theSuretyBond,admittingandcovenantingthatsuchSuretyBondwasexecutedpursuantto theIssuer'srequestandinrelianceontheIssuer'spromisetoexecutethisAgreement. Section6.08.Notices,Requests,Demands.Exceptasotherwiseexpresslyprovidedherein,allwritten notices,requests,demandsorothercommunicationstoorupontherespectivepartiesheretoshallbedeemed tohavebeengivenormadewhenactuallyreceived,orinthecase of telexortelecopiernoticesentovera telexoratelecopiermachineownedoroperatedbyapartyhereto,whensent,addressedasspecifiedbelow oratsuchotheraddressasany of theparties may hereafterspecifyinwritingtotheothers: If totheIssuer:AlaskaMunicipalBondBank 333 Willoughby Avenue,II tl1 Floor Juneau,Alaska99811-0405 Attention:RyanS.Williams,FinanceDirector IftothePayingAgent:TheBank ofNewYorkMellonTrustCompany,N.A. SanFrancisco,Califomia Attention:CorporateTrustOfficer 1£10 theInsurer:NationalPublicFinanceGuaranteeCorporation IManhattanvilleRoad,Suite301 Purchase,NewYork10577 Attention:PortfolioSurveillanceGroup Section6.09.Survival of RepresentationsandWarranties.Allrepresentations,warrantiesand obligationscontainedhereinshallsurvivetheexecutionanddelivery of thisAgreementandtheSurety Bond. Section6.10.GoverningLaw.This Agreement andtherightsandobligations ofthepartiesunderthis Agreementshallbegovernedbyandconstruedandinterpretedinaccordancewiththelaws of theState. Section6.11.Counterparts.This Agreement maybeexecutedinany number of copiesandbythe differentpartiesheretoonthesameorseparatecounterparts,each ofwhichshallbedeemedtobeanoriginal instrument.Completecounterparts ofthisAgreementshallbelodgedwiththeIssuerandtheInsurer. Section6.12.Severability.Intheeventanyprovision of tins Agreementshallbeheldinvalidor unenforceablebyanycourt of competentjurisdiction,suchholdingshallnotinvalidateorrender unenforceableanyotherprovision hereof Section6.13.Survival of Obligations.Notwithstandinganythingtothecontrarycontainedinthis Agreement,theobligation of theIssuertopayallamountsduehereunderandtherights of theInsurerto pursue all remediesshallsurvivetileexpiration,terminationorsubstitution of theSuretyBondandthis Agreement. INWITNESSWHEREOF,eachofthepartiesheretohascauseda counterpart ofthis Agreement tobe duly executed and delivered as ofthedate first above written. National Public Finance Gua~""lnw;te6(e7'"c_0-lo{_p_or-=~pti...o....~"".>h"__~t Attest:~!,~L~.Sec ANNEXB DEFINITIONS Forallpurposes of thisAgreementandtheSuretyBond,exceptasotherwiseexpresslyprovidedherein orunlessthecontextotherwiserequires,allcapitalizedtermsshallhavethe meaning assetoutbelow,which shallbeequallyapplicabletoboththesingularandpluralforms of such terms, "Agreement"meansthisFinancialGuarantyAgreement. "ClosingDate"means September 16,2015. "Commitment"meansthe commitment toissueMunicipalBondGuarantyInsuranceintheform attachedheretoasAnnex C. "DebtServicePayments"meansthosepaymentsrequiredtobemadebyoron behalf of theIssuer whichwillbeappliedto payment ofprincipal of andinterestontheObligations. "Demand forPayment"meansthecertificatesubmittedtotheInsurerfor payment undertheSurety BondsubstantiallyintheformattachedtotheSuretyBondasAttachment I. "Document"meanstheGeneralBondResolution,adoptedJuly13,2005,asamendedand supplementedbySeriesResolutionNo.2015-04(S),approvedonAugust 11,2015. "Event of Default"shallmeanthoseevents ofdefaultsetforthinSection4.01 ofthe Agreement. "Insurer"hasthe same meaning assetforthinthefirst paragraph ofthisAgreement. "Issuer"meansAlaskaMunicipalBondBank. "Obligations"means $96,210,000 AlaskaMunicipal Bond Bank,GeneralObligationBonds,2015 SeriesThree. "Owners"meanstheregistered owner of anyObligationasindicatedinthebooksmaintainedbythe PayingAgent,theIssueroranydesignee of theIssuerforsuchpurpose. "PayingAgent"means The Bank of New YorkMellonTrustCompany,N.A.,SanFrancisco, Califomia. "Premium"means$38,988.49payabletotheInsureronorpriortotheClosingDate. "Reimbursement Period"means,withrespecttoaparticularSuretyBondPayment,theperiod commencing onthedate of suchSuretyBond Payment andendingontheearlier of thedate of cancellation of theSuretyBonddueto nonpayment of Premium whendueorontheexpiration of365 daysfollowing suchSuretyBondPayment. "Reimbursement Rate"meansCitibank's prime rateplusthree(3)percentperannum,as of thedate of suchSuretyBondPayment,said"primerate"beingtherate of interestannouncedfromtimetotimeby Citibank,N.A.,NewYork,New York,asits prime rate.Therate of interestshallbecalculatedonthebasis of theactual number ofdayselapsedovera 360-day year. "State"meanstheState of NewYork. "SuretyBond"meansthatsuretybondattachedheretoasAnnexAandissuedbytheInsurer guaranteeing,subjecttothetermsandlimitationsthereof,DebtServicePaymentsrequiredtobemadeby theIssuerundertheDocument. "SuretyBondCoverage"meanstheamountavailableatanyparticulartimetobepaidundertheterms ofthe SuretyBond,whichamountshallneverexceedtheSuretyBondLimit. "SuretyBondLimit"means$5,198,465.78. "SuretyBondPayment"meansan amount equaltotheDebtServicePaymentrequiredtobemadeby theIssuerpursuanttothe Document less(i)thatportion oftheDebt Service Payment paidbyoron behalf of theIssuer,and(ii)otherfundslegallyavailableforpaymenttotheOwners,allascertifiedinaDemandfor Payment. ••El. ANNEXC COMMITMENT [Tobe provided.] [!j]national!..public finance I!illl guarantee DEBT SERVICE RESERVE SURETY BOND National Public Finance Guarantee Corporation Purchase,NewYork10577 SuretyBondNo.NPI401270 NationalPublicFinanceGuaranteeCorporation(the"Insurer"),inconsideration of thepaymentofthe premiumandsubjecttotheterms of thisSuretyBond,herebyunconditionallyandirrevocablyguaranteesthefull andcompletepaymentsthataretobeappliedtopaymentofprincipalofandinterestontheObligations(as hereinafterdefmed)andthatarerequiredtobemadebyoronbehalf of AlaskaMunicipalBondBank(the"Issuer") undertheGeneralBondResolution,adoptedJuly13,2005,asamendedandsupplementedbySeriesResolutionNo. 2015-04(S),approvedonAugust 11,2015(the"Document")toTheBank of NewYorkMellonTrustCompany, N.A.,SanFrancisco,California(the"PayingAgent"),assuchpaymentsareduebutshallnotbesopaid,in connectionwiththeissuancebytheIssuerof$96,210,000AlaskaMunicipalBondBank,GeneralObligation Bonds,2015SeriesThree(the"Obligations"),providedthattheamountavailablehereunderforpaymentpursuant to anyone DemandforPayment(ashereinafterdefmed)shallnotexceed$5,198,465.78(the"SuretyBondLimit"); provided,further,thattheamountavailableatanyparticulartimetobepaidtothePayingAgentundertheterms hereof (the"SuretyBondCoverage")shallbereducedandmaybereinstatedfromtimetotimeassetforthherein. I.Asusedherein,theterm"Owner"shallmeantheregisteredownerofanyObligationasindicated inthebooksmaintainedbytheapplicablepayingagent,theIssueroranydesigneeoftheIssuerforsuchpurpose. Theterm"Owner"shallnotincludetheIssueroranypersonorentitywhoseobligationorobligationsbyagreement constitutetheunderlyingsecurityorsource of paymentfortheObligations. 2.Uponthelaterof:(i)three(3)daysafterreceiptbytheInsurerofademandforpaymentinthe formattachedheretoasAttachmentI(the"DemandforPayment"),dulyexecutedbythePayingAgent;or(ii)the paymentdateoftheObligationsasspecifiedintheDemandforPaymentpresentedbythePayingAgenttothe Insurer,theInsurerwillmakeadepositoffundsinanaccountwithU.S.BankTrustNationalAssociation,inNew York,NewYork,oritssuccessor,sufficientforthepaymenttothePayingAgent,ofamountsthatarethendueto thePayingAgent(asspecifiedintheDemandforPayment)subjecttotheSuretyBondCoverage. 3.DemandforPaymenthereundermaybemadebywrittenorelectronicdelivery of theexecuted DemandforPaymentc/otheInsurer.If aDemandforPaymentmadehereunderdoesnot,inanyinstance,conform tothetermsandconditions of thisSuretyBond,theInsurershallgivenoticetothePayingAgent,aspromptlyas reasonablypracticable,thatsuchDemandforPaymentwasnoteffectedinaccordancewiththetermsandconditions of thisSuretyBondandbrieflystatethereason(s)therefor.UponbeingnotifiedthatsuchDemandforPayment wasnoteffectedinaccordancewiththisSuretyBond,thePayingAgentmayattempttocorrectanysuch nonconformingDemandforPaymentif,andtotheextentthat,thePayingAgentisentitledandabletodoso. 4.TheamountpayablebytheInsurerunderthisSuretyBondpursuanttoaparticularDemandfor PaymentshallbelimitedtotheSuretyBondCoverage.TheSuretyBondCoverageshallbereducedautomatically totheextent of eachpaymentmadebytheInsurerhereunderandwillbereinstatedtotheextent of each reimbursement of theInsurerpursuanttotheprovisionsofArticle II oftheFinancialGuarantyAgreementdatedthe datehereofbetweentheInsurerandtheObligor(the"FinancialGuarantyAgreement");provided,thatnopremium isdueandunpaidonthisSuretyBondandthatinnoeventshallsuchreinstatementexceedtheSuretyBondLimit. TheInsurerwillnotifythePayingAgent,inwritingwithinfive(5)days of suchreimbursement,that theSurety BondCoveragehasbeenreinstatedtotheextent of suchreimbursementpursuanttotheFinancialGuaranty Agreementandsuch reinstatement shallbeeffectiveas of thedatetheInsurergivessuchnotice.Thenoticetothe PayingAgentwillbesubstantiallyintheformattachedheretoasAttachment2. 5.Anyservice of processontheInsurerornoticetotheInsurermaybemadetotheInsureratits officeslocatedatIManhattanvilleRoad,Suite301,Purchase,NewYork10577andsuchserviceofprocessshall bevalidandbinding. DSRF-NATL-1 10/14 Page6of13 III_I national I ._public finance I i guarantee 6.The term of thisSuretyBondshallexpireontheearlierof(i)OctoberI,2044(thematuritydate oftheObligationsbeingcurrentlyissued),or(ii)thedateonwhichtheIssuerhasmadeallpaymentsrequiredtobe madeontheObligationspursuanttotheDocument. 7.ThepremiumpayableonthisSuretyBondisnotrefundableforanyreason,includingthe paymentpriortomaturityoftheObligations. 8.Anysuit hereunder inconnectionwithanypaymentmaybebroughtonlybythePayingAgent withinoneyearafter(i)aDemandforPayment,withrespecttosuchpayment,ismadepursuanttotheterms of this SuretyBondandtheInsurerhasfailedtomakesuchpayment,or (ii)paymentwouldotherwisehavebeendue hereunderbutforthefailureonthepartofthePayingAgenttodelivertotheInsureraDemandforPayment pursuanttothe terms of thisSuretyBond,whicheverisearlier. 9.ThereshallbenoaccelerationpaymentdueunderthisPolicyunlesssuchaccelerationisatthe soleoption of theInsurer. Inwitnesswhereof,theInsurerhascausedthisSuretyBondtobeexecutedinfacsimileonits behalf byits dulyauthorizedofficers,this16th day of September,2015. National Public Finance Guarantee Corporation 11~{-til- President Attest~_D_'¥iIf_~_'._/'_rA_~_~-4-/ Secretary DSRF-NATL-I 10/14 Page7of13 ~]national.-_public finance lIlil!l guarantee Attachment 1 SuretyBondNo.NP1401270 DEMAND FOR PAYMENT ___,20 National PublicFinance Guarantee Corporation 1 Manhattanville Road,Suite301 Purchase,NewYork10577 Attention:President RE:$5,198,465.78 Debt Service Reserve Fundforthe $96,210,000 Alaska Municipal BondBank,General Obligation Bonds,2015SeriesThree Reference ismadeto Policy No.NP1401270 (the "Policy")issuedbythe National Public Finance Guarantee Corporation (the "Insurer").Thetermswhichare capitalized hereinandnot otherwise definedhave the meanings specified inthe Policy unlessthe context otherwiserequires. The Paying Agent hereby certifies that: (a)In accordance withthe provisions of the Document (attached heretoas Exhibit A),payment isduetothe Owners of the Obligations on (the"Due Date")inanamountequalto$ (the "Amount Due"). (b)The amounts legally available tothe Paying AgentontheDueDatewillbe$less thanthe Amount Due(the "Deficiency"). The Paying Agent hereby requests that payment of the Deficiency be made bythe Insurer under thePolicyanddirects that payment under thePolicybemadetothe following account bybankwire transfer of federalor other immediately available fundsinaccordancewiththeterms of thePolicy: [PAYING AGENT'S ACCOUNT INFORMATION] [Paying Agent] ABA#: G.L.Account No#: FFCTAS#: Ref: Attn:NamelPhone number Beneficiary Address: [Name of Bank] [Street Address] [City,StateZip] Anypersonwhoknowinglyandwithintenttodefraudanyinsurancecompanyorotherpersonfilesanapplication forinsuranceorstatement of claimcontaininganymateriallyfalseinformation,orconcealsforthepurpose of misleading,informationconcerningany fact materialthereto,commitsa fraudulent insuranceact,which is acrime, andshallalsobesubjecttoacivil penalty nottoexceedfivethousanddollarsandthe stated value of theclaim for eachsuchviolation. [PAYING AGENT] By -'-_ Its _ DSRF-NATL-I 10/14 Page8 of13 I ••Jnational !_.public financeL_iW!_guarantee Attachment2 SuretyBondNo.NPl40l270 NOTICEOF REINSTATEMENT ___,,20_ [PayingAgent] [Address] ReferenceismadetotheSuretyBondNo.NPl40l270 (the"SuretyBond")issuedbytheNational PublicFinanceGuaranteeCorporation(the"Insurer").Thetermswhicharecapitalizedhereinandnototherwise defmedhavethemeaningsspecifiedintheSuretyBondunlessthecontextotherwiserequires. TheInsurerherebydeliversnoticethatitisinreceiptofpaymentfromtheObligorpursuantto ArticleIIoftheFinancialGuarantyAgreementandas ofthe date hereof theSuretyBondCoverageis $ National Public Finance Guarantee Corporation President Attest: Secret:aIy DSRF-NATL-I 10114 Page9of13 COi\'l~..liT\llEN'S,Rf:NGTH CERTIFICATE OF NATIONAL PUBLIC FINANCE GUARANTEE CORPORATION I,DanielE.McManus,Jr.,Secretary of NationalPublicFinanceGuaranteeCorporation, doherebycertifythattheinformationconcerningNationalPublicFinanceGuarantee CorporationandtheSuretyBondunderthecaption"GeneralBondResolutionReserveFund- DebtServiceReserveFundSuretyBond",assetforthintheOfficialStatement,datedAugust26, 2015,regardingthe$5,198,465.78DebtServiceReserveFundforthe$96,210,000Alaska MunicipalBondBank,GeneralObligationBonds,2015SeriesThreeisaccurateandcomplete. INWITNESSWHEREOF,IhereuntosetmyhandanddeliverthisCertificateonthis16th day of September,2015. NATIONAL PUBLIC FINANCE GUARANTEE CORPORATION B~E~~t AuthorizedOfficer TAX CERTIFICATE AlaskaMunicipalBondBank 333WilloughbyAvenue,11 thFloor Juneau,Alaska99811 RE:$5,198,465.78DebtServiceReserveFundforthe$96,210,000AlaskaMunicipalBond Bank,GeneralObligationBonds,2015SeriesThree (the "Obligations") LadiesandGentlemen: In connectionwiththeissuance of the above-referenced obligations(the "Obligations"),NationalPublicFinanceGuaranteeCorporation(the"Insurer")isissuingadebt servicereservefundsuretybond(the"SuretyBond")securingthepayment of principaland interestontheObligations. Thisistoadviseyouthat: 1.TheSuretyBondisanunconditionalobligation of theInsurertopayscheduled payments of principalandinterestontheObligationsintheevent of afailuretodosobythe AlaskaMunicipalBondBank(the"Issuer"); 2.Theinsurance premium intheamount of $38,988.49representsthechargefora transfer of creditriskandweredeterminedinarm'slengthnegotiationsandisrequiredtobepaid asaconditiontotheissuance of theSuretyBond; 3.Noportion of suchpremiumrepresentsanindirectpayment of costsrelatedtothe issuance of theObligationsotherthanforthetransfer of creditrisk; 4.TheInsurerdoesnotreasonablyexpectthatitwillbecalledupontomakeany paymentunderthePolicy; 5.TotheextenttheInsureriscalledupontomakeanypaymentunderthePolicy, theInsurerreasonablyexpectstopursueallavailablelegalremediestosecure reimbursement for suchpayment;and 6.TheInsurerwouldnothaveissuedthePolicyintheabsence of aDebtService ReserveFund of thesizeandtypeestablishedintheGeneralBondResolution,adoptedJuly 13, 2005,asamendedand supplemented bySeriesResolutionNo.2015-04(S),approvedonAugust 11,2015,pursuanttowhichtheObligationsarebeingissued. Dated:September16,2015 National Public Finance Guarantee Corporation ~E~~/'By _ Secretary September 16,2015 AlaskaMunicipalBondBank 333WilloughbyAvenue,11thFloor Juneau,Alaska 99811 RBCCapitalMarkets,LLC TwoEmbarcaderoCenter,Suite1200 SanFrancisco,California 94111 $5,198,465.78 DebtServiceReserveFundforthe $96,210,000 AlaskaMunicipalBondBank GeneralObligationBonds 2015SeriesThree LadiesandGentlemen: IamGeneralCounsel of NationalPublicFinanceGuaranteeCorporation,aNewYork corporation(the "Corporation"),andhaveactedascounseltothe Corporation inconnection withtheissuance of FinancialGuarantyInsuranceSuretyBondNo.NP1401270 (the"Surety Bond")relatingto$5,198,465.78DebtServiceReserveFundforthe$96,210,000Alaska MunicipalBondBank,GeneralObligationBonds,2015SeriesThree(the"Bonds"). Insoacting,Ihave examined acopy of theSuretyBondandsuchotherrelevantdocumentsasI havedeemednecessary. Basedupontheforegoing,Iam of thefollowingopinion: .1.The Corporation isafinancialguarantyinsurancecompany,duly incorporated andvalidly existingunderthelaws of theState of New Yark andislicensedandauthorizedtoissuethe SuretyBondunderthelaws of theState of NewYork. 2.TheSuretyBondhasbeendulyexecutedandarevalidandbindingobligations of the Corporationenforceableinaccordancewithitstermsexceptthattheenforcement of the SuretyBondmaybelimitedbylawsrelatingtobankruptcy,insolvency,reorganization, moratorium,receivershipandothersimilarlawsaffectingcreditors'rightsgenerallyandby generalprinciples of equity(regardless of whethersuch enforceability isconsideredina proceedinginequityoratlaw). ••m. COM jI..lI ;'.:,;~,.-f:f;,J CO r H 3.TheSuretyBondisnotrequiredtoberegisteredundertheSecuritiesAct of 1933,as amended. V~'.../.£r/~/ DanielE.McManus,Jr. GeneralCounsel September 16,2015 ,'~c c ••fJl. CC':VlivlITr"'l~N,srn ~r~G T if TheBank of NewYorkMellonTrustCompany,N.A. SanFrancisco,California $5,198,465.78 DebtServiceReserveFundforthe $96,210,000 AlaskaMunicipalBondBank GeneralObligationBonds 2015SeriesThree LadiesandGentlemen: Inconnectionwiththeabove-describedobligations(the"Obligations")ofwhichyouareacting aspayingagent(the"PayingAgent"),pleasebeadvisedthatthepaymenttoyou of principal of andinterestontheObligationshasbeenguaranteedbyapolicy of financialguarantyinsurance (the"Policy")issuedbyNationalPublicFinanceGuaranteeCorporation(the"Insurer").U.S. BankTrustNationalAssociation,NewYork,NewYork,(the"FiscalAgent")isactingasthe fiscalagentfortheInsurer. ThePolicyunconditionallyandirrevocablyguaranteestoanyownerorholder of theObligations or,ifapplicable,of thecouponsappertainingthereto(the"Owner"),thefullandcomplete paymentrequiredtobemadebyoron behalf of theissuer of theObligations(the"Issuer")tothe PayingAgentoritssuccessor of anamountequalto(i)theprincipal of (eitheratthestated maturityorbyanyadvancement of maturitypursuanttoamandatorysinkingfundpayment)and intereston,theObligationsassuchpaymentsshallbecomeduebutshallnotbesopaid(except thatintheevent of anyacceleration of theduedateofsuchprincipalbyreason of mandatoryor optionalredemptionoraccelerationresultingfromdefaultorotherwise,otherthanany advancement of maturitypursuanttoamandatorysinkingfundpayment,thepayments guaranteedbythePolicyshallbemadeinsuchamountsandatsuchtimesassuchpayments of principalwouldhavebeenduehadtherenotbeenanysuchacceleration);and(ii)the reimbursementofanysuchpaymentwhichissubsequentlyrecoveredfromanyOwnerpursuant toafinal judgment byacourt of competent jurisdiction thatsuchpaymentconstitutesan avoidablepreference(a"Preference")totheOwnerwithinthemeaningofanyapplicable bankruptcylaw.Theamountsreferredtoinclauses(i)and(ii)of theprecedingsentenceare referredtocollectivelyinthisletterasthe"InsuredAmounts." ThePolicydoesnotinsureagainstlossofanyprepaymentpremiumwhichmayatanytimebe payablewithrespecttoanyObligations.ThePolicydoesnot,underanycircumstance,insure againstlossrelatingto:(i)optionalormandatoryredemptions(otherthanmandatorysinking fundredemptions);(ii)anypaymentstobemadeonanacceleratedbasis;(iii)payments of the purchaseprice of ObligationsupontenderbyanOwnerthereof;or(iv)anyPreferencerelating to(i)through(iii)above. COMMITMENf -2- r F1 ENG '!H IntheeventthattheIssuerdoesnotmakefullandcompletepaymentwhendue of theprincipal of andinterestontheObligations,pleaseimmediatelynotifytheInsurerbytelephoneat(914) 765-3333andbyemail atClaimsManagement@mbia.com.Ontheduedateorwithinone businessdayafterreceipt of suchnotice,whicheverislater,theInsurerwilldepositfundswith theFiscalAgentsufficienttopaytheObligations(or,if applicable,couponsappertaining thereto)thendue.Uponpresentmentandsurrender of suchObligations(or,if applicable, coupons)or presentment of suchother proof of ownership of Obligationstogetherwithany appropriateinstruments of assignmenttoevidencetheassignment of theInsuredAmountsdue ontheObligationsasarepaidbytheInsurer,andappropriateinstrumentstoeffectthe appointment of theInsurerasagentfortheOwnersinanylegal proceeding relatedtopayment of InsuredAmountsontheObligations(or,if applicable,coupons),suchinstrumentsbeingina formsatisfactorytotheFiscalAgent,theFiscalAgentshalldisbursetoyoupayment of the InsuredAmountsdueonsuchObligations(and,if applicable,coupons),lessanyamountheldby youforthepayment of suchInsuredAmountsandlegallyavailabletherefor. Forms of suchinstruments of assignmentandinstrumentstoeffecttheappointment of the InsurerassuchagentfortheOwners(collectively,the"ClaimDocuments"),whicharecurrently acceptabletotheFiscalAgentandtheInsurer,areonfilewiththeFiscalAgent.TheInsurer may,fromtimetotime,filerevisedforms of ClaimDocumentswiththeFiscalAgentin substitutionfortheforms previously filedwiththeFiscalAgent,anduponsuchfiling,the revisedformsshallsupersedeallforms of ClaimDocuments previously filedwiththeFiscal Agent,exceptasotherwisedirectedbytheInsurerinwriting. Intheeventthatyoushallhavepriorknowledge of animpendingfailurebytheIssuertomake paymentontheObligations(or,if applicable,coupons)whendue,pleaseimmediatelynotifythe Insurersothatitwillbepossibletohavefundsavailableforyouontheduedatetomake paymentsagainstsurrenderedObligations(and,if applicable,coupons). Yourcooperationinthismatterwillbemostappreciatedandwillmakeitpossibleforthe Owners of ObligationsguaranteedbytheInsurertobeassured of allpaymentswhendue. Verytrulyyours, William C.Fallon President CERTIFICATE OF SECRETARY I,KENNETHJ.FISHER,SecretaryoftheBoardof Regents oftheUniversityof Alaska(the"Board"),HEREBYCERTIFYthatattachedheretoisatrueandcorrectcopy ofaresolution,entitled"RESOLUTIONOFTHEBOARDOFREGENTSOFTHE UNIVERSITYOFALASKAAUTHORIZINGTHEISSUANCEANDSALEOFNOTTO EXCEED $87,500,000 PRINCIPAL AMOUNTOFUNIVERSITYOFALASKAGENERAL REVENUEBONDS,2015 SERIESU;APPROVINGTHEFORMOFA SUPPLEMENTALINDENTUREANDALOAN AGREEMENT;AUTHORIZINGTHE SALEOFTHEBONDSTOTHEALASKAMUNICIPALBONDBANK;AND AUTHORIZINGANDAPPROVINGRELATEDMATTERS,"adoptedatthemeetingof theBoardonJune4-5,2015,andofrecord,andthatsaid Resolution hasnotbeen altered,amended,or repealed,andisinfullforceandeffectonthedatehereof. INWITNESS WHEREOF,Ihavehereuntosetmyhandandcausedtobe impressedhereonthesealoftheUniversity of Alaskathis16thdayofSeptember2015. KENNETHJ.FISHER Secretary,Boardof Regents UniversityofAlaska University of Alaska General Revenue Bond,2015 Series U CERTIFICATE OF SECRETARY l:\Docs\31200628\80nd Dccuments'Certnicate Of secrerev ReBondResclutrcn.Occx Board of Regents'Office Phone:(907)450-8010 Fax:(907)450-8012 EMAIL:ua-bor@alaska.edu www.alaska.edulbor/ 202ButrovichBuilding 910 YukonDrive P.O.Box755300 Fairbanks,AK99775-5300 UNIVERSITY OF ALASKA BOARD OF REGENTS RESOLUTIONOFTHEBOARDOFREGENTSOFTHEUNIVERSITYOF ALASKAAUTHORIZINGTHEISSUANCEANDSALEOFNOTTO EXCEED$87,500,000PRINCIPALAMOUNTOFUNIVERSITYOFALASKA GENERALREVENUEBONDS,2015SERIESU;APPROVINGTHEFORM OFASUPPLEMENTALINDENTUREANDALOANAGREEMENT; AUTHORIZINGTHESALEOFTHEBONDSTOTHEALASKA MUNICIPALBONDBANK;ANDAUTHORIZINGANDAPPROVING RELATEDMATTERS. WHEREAS,theUniversity of Alaska(the"University")isauthorizedpursuantto AlaskaStatutesChapter14.40,asamended(the"Act")toissuerevenuebondsto paythecost of acquiring,constructing,orequippingoneormoreprojectsthatthe Board of Regents(the"Board")of theUniversitydeterminesisnecessary;and WHEREAS,theUniversityintendstoissueitsGeneralRevenueBonds,2015 SeriesU,inaprincipalamountnottoexceed$87,500,000(the"Bonds")forthe purpose of (i)payingaportion of thecost of constructing,acquiring,andor equippingtheUniversity'sCombinedHeatandPowerPlant(the"Project");(ii) satisfyingthereservefundingrequirement;(iii)payingcapitalizedinterestonthe Bonds;and(iv)payingthecosts of issuingtheBonds; WHEREAS,theBondswillbeissuedunderandpursuantto,andsecuredby,the TrustIndenturedatedas of June1,1992,asamended(the"MasterIndenture"), andanEighteenthSupplementalIndenture(the"SupplementalIndenture,"and togetherwiththeMasterIndenture,the"Indenture"),whichshallbeintheform presentedtoandmadepart of therecords of thismeeting;and WHEREAS,therehasbeenpresentedtothismeetingtheform of aLoan Agreement(the"LoanAgreement")foruseinconnectionwiththesaleofthe BondstotheAlaskaMunicipalBondBank(the"BondBank");and WHEREAS,bondsissuedunderthetermsoftheMasterIndenture,and correspondingsupplementalindentures,aresecuredbyaparityreservefund(the "ReserveFund");and WHEREAS,onMarch1,2013,theUniversityenteredintoasupplemental indenturewhich,amongotherthings,modifiedandamendedtheMaster Resolutiontoeliminatetheestablishment of theReserveFundwhichbecomes effectiveafterallbondsissuedpriortoMarch31,2013ceasetobeoutstanding. NOW,THEREFORE,BEITRESOLVEDBYTHEBOARDOFREGENTSOF THEUNIVERSITYOFALASKAASFOLLOWS: Section1.Theissuance of theBondsinanamountnottoexceedthe aggregateprincipalamount of $87,500,000isherebyauthorizedandapproved. Section2.ThePresident,thePresident'sdesignee,theVicePresidentfor Financeand Administration andChiefFinancialOfficer,andController (collectively,the"AuthorizedOfficers")are,andeach of themis,hereby authorizedtocausetheBondstobeissued,anddeliveredtotheBondBank,ona datenolaterthan180daysfromthedate of approval of thisResolution,subjectto thetermsandconditions of thisResolution,theIndentureandtheLoan Agreement. Section3.TheformandcontentoftheLoanAgreement,inallrespects,is herebyauthorized,approved,andconfirmedwithsuchchangesastheAuthorized Officersconsidernecessaryorappropriate.TheAuthorizedOfficersare,and each of themis,herebyauthorizedtooffertheBondsatnegotiatedsaleand negotiatetheterms of thesalewiththeBondBank. An AuthorizedOfficerisherebyauthorizedtoexecutethefinalform of LoanAgreementregardingthesale of theBondsupontheirapproval of thesale details of theBonds,including,butnotlimitedto,theaggregateprincipalamount of theBonds,thepurchaseprice of theBonds,thematurityandtheinterest paymentdates of theBonds,theredemptionprovisions,andtheinterestrate of eachprincipalmaturity of theBonds.Provided,however,theaggregateprincipal amount of theBondsshallnotexceedEighty-SevenMillionFiveHundred ThousandDollars($87,500,000)andthetrueinterestcostontheBondsshallnot exceedfivepercent(5%).Priortoexecution of theLoanAgreement,such AuthorizedOfficer,withtheassistance of theUniversity'sfinancialadvisor,shall takeintoaccountthosefactorswhich,intheirjudgment,willresultinthelowest trueinterestcostontheBonds. Section4.SubjecttoSectionIhereof,theAuthorizedOfficersare,and each of themis,herebyauthorizedtoissuetheBondsinanaggregateprincipal amountdeterminedbysuchAuthorizedOfficerastheamountnecessaryto(i) adequatelyprovidefundingforaportionofthecost of theProject,(ii)pay capitalizedinterestontheBonds,(iii)satisfythereservefundingrequirement,and (iv)paycostsassociatedwiththeissuance of theBonds. Section5.Theformandcontent of theSupplementalIndentureare hereby,inallrespectsauthorized,approved,andconfirmed,andeachofthe AuthorizedOfficersishereby,inallrespectsseverallyauthorized,empowered, anddirectedtoexecuteanddelivertheSupplementalIndentureforandonbehalf of theUniversitytotheTrusteenamedthereinforthesecurity of theBonds, includingnecessarycounterparts,intheformnowbeforethismeeting,butwith suchchanges,modifications,additions,anddeletionsthereinasshalltothem seemnecessary,desirable,orappropriate,theexecution thereof toconstitute conclusiveevidence of theirapproval of anyandallchanges,modifications, additions,ordeletionstheretofromtheform,andaftertheexecutionanddelivery of theSupplementalIndenture,theAuthorizedOfficersare,andeach of themis, herebyauthorized,empowered,anddirectedtodoallsuchactsandthingsandto executeallsuchdocumentsasmaybenecessaryorconvenienttocarryoutand complywiththeprovisions of theSupplementalIndentureasexecuted. Theformandcontent of theBondassetforthintheSupplemental Indentureishereby,inallrespects,authorized,approved,andconfirmedsubject toappropriateinsertionsandrevisionsastheAuthorizedOfficersconsider necessaryorappropriate. Section6.TheAuthorizedOfficersare,andeachofthemis,herebyauthorized, uponexecution of theLoanAgreement,todelivertheBondstotheTrustee pursuanttheretoforauthenticationundertheIndenture,and,uponauthentication anduponreceipt of thepurchaseprice of theBonds,todelivertotheTrusteea writtenorderinthenameoftheUniversitydirectingtheTrusteetodeliverthe BondstotheBondBankpursuanttotheLoanAgreement,andtoreceivethe proceeds of sale of theBondsandgiveawrittenreceiptthereforonbehalf of the University,toapplysaidproceedsandtheothermoneysrequiredtobetransferred ordepositedinaccordancewiththeterms of theIndentureandinsuchmanneras isrequiredtocausetheconditionsprecedenttotheissuance of theBondstobe compliedwith,andtodoandperformorcausetobedoneandperformed,forand on behalf of theUniversity,allactsandthingsthatconstituteconditionsprecedent totheauthenticationanddeliveryoftheBondsorthatareotherwiserequiredtobe doneandperformedbyoronbehalf of theUniversitypriortoorsimultaneously withthedelivery of theBonds. Section7.If requiredbytheBondBanknow,orinthefuture,the AuthorizedOfficersare,andeachofthemis,herebyauthorized,empowered,and directedtoentera"continuingdisclosureundertaking"pursuanttotheRulel5c2- 12 of theSecuritiesandExchangeCommission. Section8.TheAuthorizedOfficersare,andeach of themis,hereby authorizedtoexecutealldocumentsandtotakeanyactionnecessaryordesirable tocarryouttheprovisionsofthisResolutionandtoeffectuatetheissuanceand delivery of theBonds. Section9.ThisResolutionshalltakeeffectimmediatelyuponapprovalby theBoard. CERTIFICATE REGARDING EIGHTEENTH SUPPLEMENTAL INDENTURE I,MYRONJ.DOSCH,Controller oftheUniversityofAlaska(the"University"), HEREBYCERTIFYthatattachedheretoisatrueandcorrectcopyoftheEighteenth SupplementalIndenturedatedasofSeptember1,2015,byandbetweentheUniversity andTheBankofNewYorkMellonTrustCompany,N.A.,astrustee,andthatsaid EighteenthSupplementalIndenturehasnotbeenamendedorrepealed,butisinfullforce andeffectiveonthedatehereof. INWITNESSWHEREOF,Ihavehereuntosetmyhandandhavecausedtheseal oftheUniversitytobeimpressedhereonthis16thdayof September 2015. UNIVERSITYOF ALASKA MYRONJ.DOSCH Controller [SEAL] UniversityofAlaskaGeneralRevenueBond,2015SeriesU CERTIFICATE REGARDING EIGHTEENTH SUPPLEMENTAL INDENTURE 1:\Docs\31200628\Bond Documents\Certificate Of Supplementallndenlure.Docx EIGHTEENTH SUPPLEMENTAL INDENTURE byand between UNIVERSITY OF ALASKA and THE BANK OF NEW YORK MELLON TRUST COMPANY,N.A., as Trustee Datedasof September 1,2015 $86,085,000 UNIVERSITY OF ALASKA GENERAL REVENUE BOND,2015 SERIES U TABLE OF CONTENTS Page ARTICLE 1-DEFINITIONS 2 Section101-Definitions 2 ARTICLE II-AUTHORIZATION,TERMS,AND ISSUANCE 5 Section201-Authorization,Principal Amount,Description,andSeries5 Section202-Purpose 5 Section 203-IssueDateandForm 5 Section 204-Denominations,Maturities,and Interest Rates 6 Section 205-Redemption 7 Section206-Saleofthe2015Bond 7 ARTICLE III-EXECUTION AND DELIVERY 7 Section 301-Executionand Delivery of the2015Bond 7 ARTICLE IV-DISPOSITION OF PROCEEDS 7 Section 401-Interest Account.7 Section402-Construction Fund 8 Section 403-ReserveFund 8 ARTICLE V-BOOK-ENTRY 8 Section501-Book-Entry 8 ARTICLE VI-MiSCELLANEOUS 8 Section601-Continuing Disclosure 8 Section 602-Authorized Officers 9 Section603-Effective Date 9 Section 604-Counterparts 9 Exhibit A Exhibit B FormofSeriesUBond Description of Project University ofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture J:\Docs\31200628\Bond Documents\Eighteenth Supplementallndenture.Docx Page i SUPPLEMENTAL INDENTURE THISEIGHTEENTH SUPPLEMENTAL INDENTURE(the"Supplemental Indenture"),datedasof September 1,2015,betweentheUNIVERSITYOF ALASKA (the"University"),apubliccorporationandgovernmentalinstrumentalityoftheStateof Alaska,createdandexistingunderSection2ofArticleVIIoftheAlaskaConstitution andChapter40ofTitle14oftheAlaskaStatutes,andTHEBANKOFNEWYORK MELLONTRUSTCOMPANY,N.A.,anationalbankingassociation(the"Trustee"). WITNESSETH: WHEREAS,theUniversityandthepredecessortotheTrusteeenteredintoa TrustIndenturedatedasofJune1,1992,asamended(the"Indenture")tosecurethe University'sGeneralRevenueBonds(the"Bonds");and WHEREAS,underthetermsoftheIndenture,theUniversityandtheTrusteemay enterintoasupplementalindenturefromtimetotimetoauthorizetheissuanceofone ormoreSeriesofBonds;and WHEREAS,theUniversityhasissuedseventeenSeriesofBondsunderthe Indenture(collectively,the"PriorBonds");and WHEREAS,itisthepurposeofthisEighteenthSupplementalIndentureto authorizetheissuanceoftheUniversity'sGeneralRevenueBond,2015SeriesU,inthe principalamountof$86,085,000(the"2015Bond");and WHEREAS,theUniversitywilluseproceedsofthe2015Bond(i)topayaportion ofthecostsassociatedwiththeProject,(ii)tomakeadeposittotheReserveFund,(iii) topaycapitalizedinterestonthe2015Bond,and(iv)topaycostsassociatedwiththe issuanceofthe2015Bond,allasmorefullydescribedherein;and WHEREAS,AdditionalBondsofaSerieshavinganequallienonRevenueswith thePriorBondsmaybeissuedunderSection206(b)oftheIndentureupondeliveryto theTrusteeofacertificatestatingthattheUniversity'sRevenuesforthefiscalyear precedingtheissuanceofAdditionalBondsisatleast2.0timesthemaximum aggregatedebtservicethatwillbedueatanytimeaftertheissuanceoftheAdditional Bondsand1.0timesanyamountofdraws,interest,andexpensesthendueandowing underanyReserveEquivalent;and WHEREAS,inordertoprovidefor,amongothermatters,theauthenticationand deliveryofthe2015Bond,toestablishanddeclarethetermsandconditionsuponwhich the2015Bondaretobeissuedandsecured,andtosecurethepaymentoftheprincipal orRedemptionPriceandinterestthereon,theUniversityhasauthorizedtheexecution anddeliveryofthisEighteenthSupplementalIndenture;and WHEREAS,allactsandproceedingsrequiredbylawnecessarytomakethe 2015Bond,whenexecutedanddulyissuedbytheUniversityandauthenticatedand UniversityofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture 1:\Docs\3120D628\Bond Documents\Eighteenth Supplemental Jndenlure.Docx Page1 delivered bythe Trustee,thevalid,binding,andlegal obligations ofthe University,and to constitute the Indenture andthis Eighteenth Supplemental Indenture validand binding agreements fortheusesand purposes therein andhereinsetforth,in accordance with their terms,havebeen done andtaken;andthe execution and delivery of the Indenture andthis Eighteenth Supplemental Indenture havebeeninall respects duly authorized; NOW,THEREFORE,THIS EIGHTEENTH SUPPLEMENTAL INDENTURE WITNESSETH,thatin order to secure the payment ofthe principal or Redemption Price of,andthe interest on,the2015Bondatany time issuedand outstanding under this Eighteenth Supplemental Indenture,according toitstenor,andto secure the performance and observance of allthe covenants inthe Indenture andhereinsetforth, andto declare thetermsand conditions uponand subject towhichthe2015Bondisto beissuedand delivered,andforandin consideration of the premises andofthe mutual covenants herein contained andofthe purchase and acceptance ofthe2015Bondby the Owners thereof,and for other valuable consideration,the receipt whereof is hereby acknowledged,the University covenants and agrees withtheTrustee,for the benefit of the respective Owners fromtimeto time ofthe 2015 Bond,andtheBonds,asfollows: ARTICLE I-DEFINITIONS Section 101-Definitions. (a)All defined terms contained inthe Indenture shallhavethe same meanings,respectively,inthis Eighteenth Supplemental Indenture assuch defined terms aregivenin Section 101ofthe Indenture. (b)Inaddition,asusedinthis Eighteenth Supplemental Indenture,unlessthe context shall otherwise require,the following terms shallhavethe following respective meanings: "Bond Bank"means the Alaska Municipal BondBank,a public body corporate and politic constituted asa public corporation and instrumentality of theStateof Alaska. "Fitch"means FitchRatings,organized and existing under thelawsofthe State of Delaware,its successors and their assigns,and,ifsuch organization shallbe dissolved or liquidated orshallno longer perform the functions of a securities rating agency,"Fitch"shallbe deemed torefertoany other nationally recognized securities rating agency (other than Standard &Poor's or Moody's)designated bythe Authorized Officer. "Investment Securities"means any of the following: (a)Direct general obligations oftheUnited States of America and obligations (including obligations ofany federal agency or corporation)the timely payment of the principal and interest onwhich,byactofthe Congress of theUnited States orinthe opinion ofthe Attorney General oftheUnited States inofficeatthe time such UniversityofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture 1:\Docs\31200628\Bond Documenls\Eighteenth Supplemental Indenture.Docx Page2 obligationswereissued,arefullyand unconditionally guaranteedbythefullfaithand creditoftheUnitedStatesofAmerica,orsolongasatthetimeoftheirpurchasesuch investmentswillnotadverselyaffectthe then-current ratings,ifany,assignedtothe BondsbyeachRatingAgency,anyotherevidencesofanownershipinterestin obligationsorinspecifiedportions thereof (whichmayconsistofspecifiedportionsof theinterestthereon)ofthecharacterdescribedinthissubparagraph(a); (b)AnybondsorotherobligationsofanystateoftheUnitedStatesof Americaorofanyagency,instrumentality,orlocalgovernmentalunitofanysuchstate whichatthetimeoftheirpurchaseunderthisEighteenthSupplementalIndentureare ratedinoneofthetwohighestratingcategoriesofeachRatingAgency; (c)Bonds,debentures,participationcertificates(representingatimely guarantyofprincipalandinterest),notesor similar evidencesofindebtednessofanyof thefollowing:FinancingCorporation,FederalHomeLoanBankSystem,FederalFarm CreditBank,FannieMae(excluding"stripped"securities),FederalHomeLoan MortgageCorporation,ResolutionFundingCorporation,GovernmentNationalMortgage Association; (d)Publichousingbondsissuedbypublicagenciesormunicipalitiesandfully securedastothepaymentofbothprincipalandinterestbyapledgeofannual contributionsunderanannualcontributionscontractorcontractswiththeUnitedStates ofAmerica;ortemporarynotes,preliminarynotes,orprojectnotesissuedbypublic agenciesormunicipalities,ineachcasefullysecuredastothepaymentofboth principalandinterestbyarequisitionorpaymentagreementwiththeUnitedStatesof America;provided,however,thatanyinvestmentpurchasedpursuanttothis subparagraph(d)shallberatedinoneofthetwohighestratingcategoriesofeach RatingAgency; (e)Primecommercialpaperofacorporationincorporatedunderthelawsof anystateoftheUnitedStatesofAmerica,havingatthetimeoftheirpurchaseunder thisEighteenthSupplementalIndenturearatinginoneofthetwohighestrating categoriesfromeachRatingAgency; (f)Interest-bearingtimedeposits,certificatesofdeposit,includingthose placedbyathirdpartypursuanttoanyagreementbetweentheTrusteeandthe University,interestbearingmoneymarketaccounts,overnightbankdeposits,trust funds,trustaccounts,bankers'acceptances,orothersimilarbankingarrangementswith banks(whichmayincludeanyfiduciaryortheTrusteeoranyofitsaffiliates),provided thatsuchdepositsaremadewithbanksratedinoneofthetwohighestratingcategories byeachRatingAgencyatthetimethedepositismadeorarefullyFDICinsured; (g)Sharesofadiversifiedopen-end management investmentcompanyas definedintheInvestmentCompanyActof1940,whichisamoneymarketfund,which arerated(whichratingshall,inthecaseofS&P,haveasubscriptof"m"or"m-G")at thetimeoftheirpurchasebyeachRatingAgencynolowerthanthetwohighestrating categoriesassignedtotheBondsbytheRatingAgency; University of Alaska General Revenue Bond,2015SeriesU Eighteenth Supplemental Indenture 1:\Docs\31200628\Bond Documents\Eighteenth Supplemental Indenture.Docx Page3 (h)Sharesofadiversifiedopen-endmanagementinvestmentcompanyas definedinthe Investment CompanyActof1940,that.investsintheInvestment Securitiesdescribedin subparagraphs (a),(b),and(c)above,providedthatsuchfund shallhaveatthetimeof investment insuchfundatleastoneofthehighestratings availablefromeachRatingAgency,includingwithoutlimitationanymutualfundfor whichtheTrusteeoranaffiliateoftheTrusteeservesasinvestmentmanager, administrator,shareholder servicingagent,and/orcustodianorsubcustodian, notwithstandingthat(i)theTrusteeoranaffiliateoftheTrusteereceivesfeesfrom fundsforservicesrendered,(ii)theTrusteecollectsfeesforservicesrenderedpursuant tothisEighteenth Supplemental Indenture,whichfeesareseparatefromthefees receivedfromsuchfunds,and(iii)servicesperformedforsuchfundsandpursuantto thisEighteenth Supplemental Indenturemayattimesduplicatethoseprovidedtosuch fundsbytheTrusteeoranaffiliateoftheTrustee; (i)Repurchaseorreverserepurchaseagreements(includingthoseofthe Trusteeoritsaffiliates)forobligationsofthetypespecifiedinsubparagraphs(a)and(c) above,providedthat either (i)therepurchaseagreementisanunconditionalobligation ofthecounterpartyandsuch counterparty (oranaffiliatedguarantor)isratedatthetime ofitspurchasebyeachRatingAgencynolowerthantheratingassignedtotheBonds bysuchRatingAgency,or(ii)therepurchaseagreementisanobligationofa counterpartythatisratedatthetimeofitspurchasebyeachRatingAgencyinan investmentgradecategoryandiscollateralizedbyobligationswhich(A)aremarkedto marketatintervals,(B)haveavalueequaltonotlessthanthepercentageofthe amounttherebysecured,and(C)havesuchadditionallegalrequirementsspecifiedby eachRatingAgency(ifany)ratingtheagreement,takingintoaccountthematurityof suchobligations;and 0)Any investment agreement withabank,bankholdingcompany,insurance companyorotherfinancialinstitutionratedatthetimesuchinvestmentismadebyeach RatingAgencynolowerthanoneofthetwohighestratingcategoriesfromeachRating AgencyorguaranteedbyanentityratedbyeachRatingAgencynolowerthanthetwo highestcategoriesofratingassignedfromeachRatingAgencyratingsuchBonds. (k)Anyreferencehereinto"ratingcategories"shallbeconsideredtobea referencetoarating category withoutamodifierandtoalongtermorshorttermrating, asthecasemaybe. (I)Anyother investment securitiesofRatingQuality. "Loan Agreement"meanstheLoan Agreement betweentheUniversityandthe BondBanksecuringpaymentofaloanasevidencedbythe2015Bond. "Moody's"meansMoody'sInvestorsService,Inc.,acorporationdulyorganized andexistingunderandbyvirtueofthelawsoftheStateofDelaware,andits successorsandassigns,exceptthatifsuchcorporationshallbedissolvedorliquidated orshallnolongerperformthefunctionsofasecuritiesratingagency,thentheterm "Moody's"shallbedeemedtorefertoanyother nationally recognizedsecuritiesrating UniversityofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture 1:\Docs\31200628\Bond Documents\Eighleenlh Supplemental Indenture.Docx Page4 agency (other thanFitchor Standard &Poor's)designated byan Authorized Officer. "Project"means the University's Combined Heatand Power Plantas described in Exhibit B attached hereto. "Rating Agencies"shallmean Moody's Investor Service,Standard &Poor's Rating Services,andFitchRatings,Inc.or their respective successors andassigns, designated byan Authorized Officer toprovidearatingwith respect tothe2015Bond. "Rating Quality"means,with respect totheBondandinthe determination ofthe University,havingterms,conditions and/or a credit quality suchthattheitemstatedto be of "Rating Quality"willnot impair theabilityofthe University toobtaintheratings receivedwith respect totheBondandwillnot cause anysuchRating Agency to lower or withdraw theratingithas assigned totheBond. "Standard &Poor's"shallmean Standard &Poor's Ratings Services,aDivision ofThe McGraw-Hili Companies,Inc.,andits successors and assigns,except that if such corporation or division shallbe dissolved or liquidated orshallno longer perform the functions ofa securities ratingagency,thentheterm "Standard &Poor's"shallbe deemed torefertoany other nationally recognized securities rating agency (other than Moody's orFitch)designated byan Authorized Officer. "2015 Bond"means theBondofthe University authorized bythis Eighteenth Supplemental Indenture andherein designated "General Revenue Bond,2015 Series U,"inthe principal amount of $86,085,000. ARTICLE II-AUTHORIZATION,TERMS,AND ISSUANCE Section 201-Authorization,Principal Amount.Description,andSeries. In order to provide funds necessary forthe purposes specified in Section 206of the Indenture and Section 202ofthis Eighteenth Supplemental Indenture,in accordance withand subject totheterms,conditions,and limitations established herein andinthe Indenture,a Series of General Revenue Bondsis hereby authorized tobe issuedinthe aggregate principal amount of $86,085,000.TheBondofsuch Series shallbe designated and entitled "General Revenue Bond,2015 Series U." Section202-Purpose. The purpose for which the 2015 Bondisbeingissuedisto provide funds (i)to payaportionofthe Cost of Acquisition or Construction oftheProject,(ii)topay capitalized interest onthe 2015 Bond,(iii)to provide funds to satisfy the Reserve Requirement,and(iv)topay Costs of Issuance ofthe2015Bond. Section 203 -Issue DateandForm. The2015Bondshallbedatedasofthedatethe2015Bondis delivered tothe BondBank.The2015Bondandthe Trustee's certificate of authentication aretobein UniversityofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture 1:\Docs\31200628\Bond Documents\Eighleenth SuppJementallndenture.Docx Page5 substantially theforms thereof setforthinExhibitAwithsuchnecessaryorappropriate variations,omissions,andinsertionsasarepermittedbytheIndenture. The2015Bondshallbeissuedinthedenominationof$5,000oranyintegral multiplethereof.The2015Bondshallbeissuedinitiallyintheformofasingle, authenticated,fullyregisteredBondinthenameoftheBondBankwithmaturities expressedasinstallmentsofprincipalpayable.ReferencesinthisEighteenth SupplementalIndentureto"maturities"shallbedeemedreferencesto"principal installments"or"principalamounts"andreferencesto"redemption"shallbedeemedto bereferencesto"prepayment"solongasthe2015BondisheldbytheBondBank. Uponissuance,theownershipofthe2015Bondshallberegisteredintheregistrybooks inthenameoftheBondBank.TheregistrybooksshallbekeptbytheTrustee. Section204-Denominations,Maturities,andInterestRates. The2015BondshallmatureonOctober1inthefollowingyears,andbear interestfromitsdate,payableonApril1,2016,and semiannually thereafter onApril1 andOctober1ineachyear,attheratesperannumsetoppositesuchyearsinthe followingtable: 2015SeriesUBond MaturityDatePrincipalInterestMaturityDatePrincipal Interest (October 1)Amount Rate (October 1)Amount Rate 2018 $1,560,000 4.00%2032 $3,110,0005.25% 20191,635,0005.00 2033 3,275,0005.25 20201,715,0005.00 2034 3,455,0005.25 20211,805,0005.00 20353,640,000 5.25 20221,900,0005.00 20363,835,000 5.25 2023 1,995,0005.00 2037 4,040,000 5.00 2024 2,100,000 5.00 2038 4,245,000 5.00 2025 2,205,000 5.00 2039 4,465,000 5.00 2026 2,320,000 5.00 2040 4,670,000 4.00 2027 2,435,000 5.00 2041 4,860,000 4.00 2028 2,560,0005.00 20425,055,0004.00 2029 2,695,000 5.00 2043 5,265,0004.00 20302,815,0004.00 2044 5,480,000 4.00 2031 2,950,000 5.25 ForsolongastheBondBankistheregisteredownerofthe2015Bond, paymentsofprincipal thereof andinterestthereonshallbemadeasprovidedinthe LoanAgreement.IntheeventtheBondBankisnolongertheregisteredownerofthe 2015Bond,paymentsofprincipal thereof andinterestthereonwillbemadeasprovided forintheIndenture. The2015Bondshallbeissuedinregisteredforminthedenominationof$5,000 oranyintegralmultiplethereof,notexceedingtheaggregateprincipalofthe2015Bond authorizedherein. UniversityofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture J:\Docs\31200628\Bond Documents\Eighteenth Supplemenlallndenture.Docx Page6 Section205-Redemption. Theprincipalinstallmentsofthe2015Bondmaturingonorafter October 1,2025, aresubjecttoredemption,either asawholeorinpartinanyorderofmaturityselected bytheUniversity,onanydate,whichshallbeselectedbytheUniversityonorafterApril 1,2025,subjecttothetermsandconditionssetforthintheLoanAgreement,ata RedemptionPriceequaltotheprincipalamountthereofplusaccruedinteresttothedate ofredemption. Section206-Saleofthe2015Bond. The2015BondshallbesoldatnegotiatedsaletotheBondBankpursuanttothe termsoftheLoanAgreement. ARTICLE III-EXECUTION AND DELIVERY Section 301 -ExecutionandDeliveryofthe2015Bond. Afterexecutionofthe2015BondbytheUniversityandauthenticationbythe TrusteeinaccordancewithSection303oftheIndenture,anduponsatisfactionofthe conditionscontainedintheIndenture,the2015BondshallbedeliveredtotheBond BankinaccordancewiththetermsoftheLoanAgreement. ARTICLE IV-DISPOSITION OF PROCEEDS Section401-InterestAccount. (a)ThereisherebycreatedintheInterestAccountasubaccounttopay capitalizedinterestonthe2015Bond(the"CapitalizedInterestSubaccount").Onthe dateofissuanceofthe2015Bond,proceedsintheamountof$2,198,008.85,which amounthasbeendeterminedtobenogreaterthantheamountofinterestpayableon the2015BondduringtheconstructionoftheProject.Anyamountremaininginthe CapitalizedInterest Subaccount onApril2,2016,shallbedepositedintotheDebt ServiceFundandusedtopayprincipalof,andintereston,the2015Bond. (b)ThereisherebycreatedintheInterestAccounta subaccount topayCosts ofIssuance(the"SeriesUCostsofIssuanceSubaccount").Onthedateofissuanceof the2015Bond,proceedsintheamountof$109,250.70shallbedepositedintothe SeriesUCostsofIssuanceSubaccount.AmountsheldintheSeriesUCostsof IssuanceSubaccountshallbeappliedatthewrittendirectionoftheUniversitytothe paymentofcostsofissuanceofthe2015Bond.TheTrusteeshallalsodepositintothe SeriesUCostsofIssuance Subaccount suchadditionalamountsasmaybedelivered totheTrusteebytheUniversityforsuchpurpose.AnyamountremainingintheSeries UCostsofIssuanceSubaccountninety(90)daysfollowingthedateofissuanceofthe 2015Bondshallbeappliedtothepaymentofinterestonthe2015Bondonthenext interestpaymentdateforthe2015Bond. University ofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture 1:\Docs\31200628\Bond Documents\Eighteenth Supplemenlallndenture.Docx Page7 Section402-ConstructionFund. ThereisherebycreatedintheConstructionFund,a2015ConstructionAccount (the"2015SeriesUConstructionAccount").Onthedateofissuanceofthe2015Bond, proceedsintheamountof$87,500,000shallbedepositedintothe2015SeriesU ConstructionAccountandappliedbytheUniversitytopayCostsofAcquisitionor ConstructionoftheProjectdescribedinExhibitB.The establishment ofthe2015 SeriesUConstructionAccountshallbeforthebenefitoftheUniversity,andthe Universitymayenforcepaymenttherefromuponcompliancewiththeproceduresset forthintheIndenture. TheTrusteeshallinitiallyserveastheDepositoryforallfundsheldinthe2015 SeriesUConstructionAccount.Investmentoffundsheldwithinthe2015SeriesU ConstructionAccountshallonlybepursuanttothewrittendirectionoftheUniversity. TheUniversitymaycauseamountstobewithdrawnfromthe2015SeriesU ConstructionAccount,atanytime,forpaymentofCostsofAcquisitionorConstruction oftheProject. Section403-ReserveFund. Onthedateofissuanceofthe2015Bond,proceedsintheamountof $2,792,918.75 shallbedepositedintotheReserveFund.TheUniversityhereby covenantsandagreesthatuponthedateofissuanceofthe2015Bond,theamount heldintheReserveFundwillbeanamountequaltotheReserveFundRequirement. TheReserveRequirementmaybesatisfiedwithBondproceeds,cash,aReserve Equivalent,oracombinationthereof. OnMarch1,2013,theUniversityenteredintoaSixteenthSupplemental Indenturewhich,amongotherthings,authorizedcertainamendmentstotheIndenture includingeliminationoftheReserveFundandReserveRequirementatsuchtimewhen allBondsOutstandingpriortoMarch1,2013ceasetobeOutstandingundertheterms oftheIndenture. ARTICLE V-BOOK-ENTRY Section 501 -Book-Entry. WhenandifnolongerheldbytheBondBank,the2015Bondshallbeissuedin bookentryformpursuanttoSection306oftheIndenture. ARTICLE VI-MISCELLANEOUS Section601-ContinuingDisclosure. TheUniversityacknowledqesthat,underRule15c2-12oftheSecuritiesand ExchangeCommission(the"Rule"),theUniversitymaynoworinthefuturebean "obligatedperson"withrespecttobondsoftheBondBank.Inaccordancewiththe University ofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture I:\Docs\31200628\BondDocumenls\Eighleenth Supplementalrndenture.Docx Page8 Rule,andastheBondBankmayrequire,anAuthorizedOfficerisherebydirectedand authorizedtoreview,approveandexecuteacontinuingdisclosureundertakingif requestedbytheBondBank.NotwithstandinganyotherprovisionofthisEighteenth SupplementalIndenture,failureoftheUniversitytocomplywithacontinuingdisclosure certificate,ifanyshallnotbeconsideredadefaultoftheUniversity'sobligationsunder thisEighteenthSupplementalIndenture,theIndentureorthe2015Bond;however,the beneficialownerofthe2015Bondmaybringanactionforspecificperformance,to causetheUniversitytocomplywithitsobligationsunderthisSection601. Section602-AuthorizedOfficers. TheAuthorizedOfficersareeachherebyauthorizedtoexecutealldocuments andtotakeanyactionnecessaryordesirabletocarryouttheprovisionsofthis EighteenthSupplementalIndentureandtoeffectuatetheissuanceanddeliveryofthe 2015Bond. Section603-EffectiveDate. ThisEighteenthSupplementalIndentureshallbeeffectiveasofthedatefirst abovewritten. Section604-Counterparts. ThisEighteenthSupplementalIndenturemaybeexecutedinanynumberof counterparts,eachofwhichshallberegardedasanoriginalandallofwhichshall constitutebutoneandthesameinstrument. INWITNESSWHEREOF,theUniversityhascausedthisEighteenth SupplementalIndenturetobeexecutedbyits Controller anditsofficialsealtobe impressedhereon,andtheTrusteehascausedthisEighteenthSupplementalIndenture tobeexecutedbyoneofitsAuthorizedOfficers,allasofthedayandyearfirstabove written. UNIVERSITY OF ALASKA [SEAL]By:~j.~ MYRONJ.DOSCH Controller THEBANKOFNEWYORKMELLONTRUST COMPANY,N.A.,asTrustee BY:~~ AuthorizedOfficer UniversityofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture 1:\Docs\31200628\8ond Documents\Eightsenth Supplementallndenture.Docx Page9 EXHIBIT A [FORMOFSERIESUBOND] UNITEDSTATESOF AMERICA STATEOF ALASKA UNIVERSITY OFALASKA NO.1 GENERAL REVENUE BOND,2015SERIESU REGISTERED OWNER:Alaska Municipal BondBank PRINCIPALAMOUNT: $----- UNIVERSITY OF ALASKA(the"University"),apubliccorporationoftheStateof AlaskaorganizedandexistingunderandbyvirtueofthelawsoftheStateofAlaska, acknowledgesitselfindebtedto,andforvaluereceivedherebypromisestopaytothe RegisteredOwneridentifiedabove,orregisteredassigns,butonlyfromthesources hereinafter providedfor,thePrincipalInstallmentAmountsshownontheinstallment paymentschedulesetforthbelow(unlessprepaidpriortheretoasprovidedherein), togetherwithinterestonsuchinstallmentsfromthedate hereof orthemostrecentdate towhichinteresthasbeenpaidordulyprovidedfor,attheinterestratessetforthbelow, on ,20_,andoneach 1and 1thereafter: YearofPrincipal Interest YearofPrincipal Interest Principal Installment Rate Principal Installment Rate payment Amount payment Amount 1)1) 2018 $--%2032 $--% 2019 2033 2020 2034 2021 2035 2022 2036 2023 2037 2024 2038 2025 2039 2026 2040 2027 2041 2028 2042 2029 2043 2030 2044 2031 Paymentofprincipalandinterestwillbemadebycheckordraftmailed,orwire transfer totheregisteredownerappearingonthebondregisteronthe15thdaypriorto eachpaymentdateattheaddressappearingonthebondregisteroftheUniversitykept University of Alaska GeneralRevenueBond,2015 Series U Eighteenth Supplemental Indenture-Exhibit A I:\Docs\31200628\Bond Documents\Eighteenth Suppjementallndenture.Docx PageA-1 atthecorporatetrustofficeoftheTrustee.Bothprincipalofandinterestonthisbond arepayableinanycoinorcurrencyoftheUnitedStatesofAmericawhich,onthe respectivedatesofpaymentthereof,shallbelegaltenderforthepaymentofpublicand privatedebts.Notwithstanding theforegoing,forsolongastheAlaskaMunicipalBond BankistheRegisteredOwnerofthis2015Bond,paymentsofprincipalofandinterest onthe2015BondwillbemadetotheAlaskaMunicipalBondBankinaccordancewith theLoan Agreement asdefinedintheEighteenthSupplementalIndenturereferredto below. ThisbondisoneofadulyauthorizedissueofbondsoftheUniversitydesignated "GeneralRevenueBonds,"issuedpursuanttoChapter40ofTitle14oftheAlaska Statutes,asamended(the"Act"),andequallyandratablysecuredunderaTrust Indenture,datedasofJune1,1992,asamended,fromtheUniversitytotheTrustee, andaEighteenthSupplementalIndentureauthorizingtheGeneralRevenueBond,2015 SeriesU(the"2015Bond")(saidTrustIndentureandEighteenthSupplemental Indenturebeinghereincalledthe"Indenture").CopiesoftheIndentureareonfileatthe officeoftheUniversityandatthecorporatetrustofficeoftheTrustee,andreferenceto theIndentureandanyandallsupplementstheretoandmodificationsandamendments thereof andtotheActismadeforadescriptionofthepledgesandcovenantssecuring the2015Bond;thenature,extentand manner ofenforcementofsuchpledges;the rightsandremediesoftheregisteredownerofthe2015Bondwithrespectthereto,and thetermsandconditionsuponwhichthe2015Bondisissuedandmaybeissued thereunder,toalloftheprovisionsofwhichtheregisteredownerofthe2015Bond,by itsacceptanceofthis2015Bond,consentsandagrees. TotheextentandinthemannerpermittedbythetermsoftheTrustIndenture, theprovisionsoftheTrustIndentureoranyindenture amendatory thereof or supplementaltheretomaybemodifiedoramendedbytheUniversity(i)withthewritten consentoftheOwnersofatleastamajorityinprincipalamountoftheBonds Outstandingatthetimesuchconsentisgiven,and,incaselessthanalloftheseveral SeriesofBondswouldbeaffectedthereby,withsuchconsentoftheOwnersofatleast amajorityinprincipalamountoftheSeriessoaffectedandOutstandingatthetime suchconsentisgiven,and,incasethemodificationoramendmentchangestheterms ofanySinkingFundInstallment,withsuchconsentoftheOwnersofatleastamajority inprincipalamountoftheBondsoftheparticularSeriesandmaturityentitledtosuch SinkingFundInstallmentandOutstandingatthetimesuchconsentisgiven;or (ii)by thetermsofaSupplementalIndenturethatiseffectiveonlyafterallBondsofeach SeriesOutstandingonthedateofsuchSupplementalIndentureshallceasetobe Outstanding. TheUniversityauthorizedandapprovedtheSixteenthSupplementalIndenture, datedMarch1,2013,whichmodifiedandamendedtheTrustIndenture,effectiveonthe datewhenallBondsissuedpriortoMarch1,2013ceasetobeOutstanding,by(i) eliminatingthe establishment andmaintenanceoftheReserveFundandrelated fundingobligations,(ii)providingthattheTrustIndenturemaybeamendedbythe writtenconsentoftheOwnersofatleastamajorityinprincipalamountofBondsthen UniversityofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture -Exhibit A 1:\Docs\31200628\Bond Documenls\Eighteenth Supplemental Indenture.Dccx PageA-2 Outstanding,and,incaselessthanalloftheseveralSeriesofBondswouldbeaffected thereby,withsuchconsentoftheOwnersofatleastamajorityinprincipalamountof theSeriessoaffectedandthenOutstanding,and,incasethemodificationor amendment changesthetermsofanySinkingFundInstallment,withsuchconsentof theOwnersofatleastamajorityinprincipalamountoftheBondsoftheparticular SeriesandmaturityentitledtosuchSinkingFundInstallmentthenOutstanding,andthat suchconsent,ineachinstance,ofanOwnerofBondsmayberevoked,unlesssuch consentbyitstermsismadeirrevocable,and(iii)providingthatanunderwriteror purchaserofaSeriesofBondsmayconsenttoamodificationof,oramendmentto,the TrustIndentureasOwnerofsuchBondsatthetimesuchBondsareissued. AsprovidedintheIndenture,the2015Bondisaspecialobligation,whichisa revenueobligationoftheUniversity,andissecuredastopaymentoftheprincipaland RedemptionPricethereof,andinterestthereon,inaccordancewithitstermsandthe provisionsoftheIndenture.TheUniversityisobligatedtopaytheprincipalor RedemptionPriceofandinterestonthe2015Bondonlyfromrevenuesorfundsofthe UniversitypledgedthereforundertheIndenture,andtheStateofAlaskaisnotobligated topaysuchprincipalorinterestonthe2015Bond.Neitherthefaithandcreditnorthe taxingpoweroftheStateofAlaskaispledgedtothepaymentoftheprincipalofor interestonthe2015Bond. The2015BondistransferableasprovidedintheIndenture,onlyuponthebooks oftheUniversitykeptforthepurposeattheabove-mentionedofficeoftheTrustee,by theregisteredowner hereof inperson,orbyitsdulyauthorizedattorney,uponsurrender ofthis2015Bond together withawritten instrument of transfer satisfactorytothe Trusteedulyexecutedbytheregisteredowneroritsdulyauthorizedattorney,and thereuponanewregistered2015Bondor2015Bonds,andinthesameaggregate principalamount,interestrateandmaturitydate,shallbeissuedtothetransfereein exchange therefor asprovidedintheIndenture,anduponpaymentofthecharges thereinprescribed.TheUniversity,theTrusteeandanyPayingAgentmaydeemand treatthepersoninwhosenamethe2015Bondisregisteredastheabsoluteowner hereof forthepurposeofreceivingpaymentof,oronaccountof,theprincipalor RedemptionPrice hereof andinterestduehereonandforallotherpurposes. This2015BondissubjecttoprepaymentattheoptionoftheUniversityin accordancewiththeapplicableprovisionsoftheIndentureandtheapplicableprovisions oftheLoanAgreement. The2015BondshallnotbeentitledtoanybenefitundertheIndentureorbevalid orbecomeobligatoryforanypurposeuntilthe2015Bondshallhavebeen authenticatedbytheexecutionbytheTrusteeoftheTrustee'sCertificateof Authenticationhereon. Itisherebycertifiedandrecitedthatallconditions,acts,andthingsrequiredby lawandtheIndenturetoexist,tohavehappened,andtohavebeenperformed precedenttoandintheissuanceofthe2015Bond,exist,havehappenedandhave beenperformedandthattheissueofthe2015Bond,togetherwithallother UniversityofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture -Exhibit A 1:\Docs\31200628\Bond Documents\Eighteenth Supptementallndenture.Docx PageA-3 indebtedness oftheUniversity,complies inallrespectswiththe applicable lawsofthe StateofAlaska,including,particularly,theActandiswithineverydebtandotherlimit prescribedbysaidlawsoftheStateofAlaska. IN WITNESS WHEREOF,the University ofAlaskahascausedthis2015Bondto besignedinitsnameandonits behalf bythe signature ofitsVice President forFinance and Administration and Chief FinancialOfficer,andits corporate sealtobeimpressed hereonandattestedbythesignatureofitsController. DATED:September 16,2015. UNIVERSITY OF ALASKA (S EA L) ASHOK ROY Vice President forFinanceand Administration and Chief FinancialOfficer ATTEST: MYRONJ.DOSCH Controller UniversityofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture -Exhibit A I:\Oocs\31200628\8ond Documents\Eigh!eenlh Supplemental Indenture.Docx PageA-4 TRUSTEE'S CERTIFICATE OF AUTHENTICATION ThisbondistheUniversityofAlaska'sGeneralRevenueBond,2015SeriesU, deliveredpursuanttothewithinmentionedIndentureandSupplementalIndenture. THEBANKOFNEWYORKMELLONTRUST COMPANY,NA, asTrustee DATED:September16,2015 AuthorizedOfficer University ofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture -Exhibit A 1:\Docs\31200628\Bond Documents\Eighteenth Supplemenlallndenture.Docx PageA-5 [FORMOF ASSIGNMENTI FORVALUERECEIVEDtheundersignedherebysells,assigns,andtransfers [PleaseprintortypewriteNameandAddressofTransferee]thewithinBondandall rights thereunder andheretoirrevocablyconstitutesandappoints ________________________attorney toregister thetransferofthewithinBondonthebookskeptforregistrationthereof,withfullpower ofsubstitutioninthepremises. Dated:-------- SIGNATUREGUARANTEED: NOTICE:Thesignaturetothisassignment mustcorrespondwiththenameasitappears uponthefaceofthewithinbondinevery particular,withoutalterationor enlargement or anychangewhatever. NOTICE:Signature(s)mustbeguaranteedbyamemberoftheNewYorkStock Exchangeoracommercialbankortrustcompany. UniversityofAlaskaGeneralRevenueBond,2015SeriesU Eighteenth Supplemental Indenture -Exhibit A 1:\Docs\31200628\Bond Documenls\Eighteenth Supplementallndenlure.Docx PageA-6 EXHIBITB DESCRIPTION OF PROJECT Proceedsofthe2015BondwillbeusedbytheUniversitytofinanceaportionof thecapitalcostsoftheUniversity'sCombinedHeatandPowerPlant,locatedonthe UniversityofAlaskaFairbanksCampus. UniversityofAlaskaGeneralRevenueBond,2015SeriesT Eighteenth Supplemental Indenture -Exhibit B 1:\Docs\31200628\Bond Documents\Eighteenth Supplementallndenture.Docx PageB-1 FEDERALTAX CERTIFICATE UNIVERSITYOF ALASKA $86,085,000GENERALREVENUEBOND,2015SERIESU I,MYRONJ.DOSCH,Controller oftheUniversityofAlaska(the"Issuer"orthe "University"),HEREBYCERTIFYthatasofthedatehereof,onthebasisofthefacts, estimatesandcircumstancesstatedherein,Ireasonablyexpectthefollowingregarding theamountanduseofthegrossproceedsoftheUniversityofAlaska$86,085,000 GeneralRevenueBond,2015SeriesU(the"Bond"). PRELIMINARY MATTERS 1.PurposeofCertificate.Thiscertificateisprovidedpursuantto §1.148-2(b)(2)oftheTreasuryRegulationsforpurposesofdemonstratingthe tax-exempt statusoftheBondundertherelevantprovisionsoftheTreasuryRegulations andtheInternalRevenueCodeof1986,asamended(togetherwiththeTreasury Regulations,the"Code")andtoestablishthefactsandcircumstancesthatformthebasis fortheIssuer'sexpectationsthattheBondisnotan"arbitragebond"withinthemeaning ofCode. 2.OfficerofIssuer.Iamthedulychosen,qualified,andactingofficerofthe Issuercharged,alongwithotherofficersoftheIssuer,withtheresponsibilityforissuing theBond.IamfamiliarwiththefactshereincertifiedandIamdulyauthorizedtoexecute anddeliverthiscertificateonbehalfoftheIssuer.Tothebestofmyknowledge, information,andbelief,theexpectationsstatedhereinarereasonableandthereareno otherfactsorestimatesthatwouldmateriallychangesuchexpectations. 3.Allcapitalizedtermsnototherwisedefinedhereinshallhavethemeanings providedintheTrustIndenturebetweentheIssuerandTheBankofNewYorkMellon TrustCompany,N.A.(the"Trustee"),datedasofJune1,1992,asamended(the"Master Indenture"),andanEighteenthSupplementalIndenturebetweentheIssuerandthe Trustee,datedasofSeptember 1,2015 (the"SupplementalIndenture,"andtogetherwith MasterIndenture,the"Indenture").Allothertermsnototherwisedefinedshallhavethe meaningsascribedtothemintheCode. AUTHORIZATION AND GOVERNMENTAL PURPOSE OFTHEBOND 4.Authorization.TheBondisauthorizedunderAlaskaStatutes14.40,an authorizingresolution(the"Resolution")oftheIssuer'slegislativebody(the"Boardof Regents")adoptedatthemeetingheldonJune4-5,2015,andissuedpursuanttothe termsoftheIndenture. 5.GovernmentalPurpose.TheUniversityisapublicinstitutionofhigher learningintheStateofAlaska.TheBondisbeingissuedbytheUniversitytotheAlaska MunicipalBondBank(the"BondBank")toevidencetheobligationoftheUniversityto repayaloanmadebytheBondBanktotheUniversityfromaportionoftheproceedsof University of Alaska General Revenue Bond,2015 Series U FEDERAL TAX CERTIFICATE r:\Docs\31200628\Bond Documenls\Federal Tax Certificate.Docx Page1of9 theBondBank'sGeneralObligationBonds,2015SeriesThree,allocabletothe University(the"BondBankBonds").TheBondBankisloaningtheproceedsoftheBond BankBondstotheUniversity pursuant toaloan agreement (the"Loan Agreement")to providefundsforthefollowingpurposes: (a)Toprovidefundstofinanceaportionofthecapitalcostsofthe University'scombinedheatandpowerplantownedandoperatedbytheUniversity (collectively,the"Project"); (b)ToprovidefundstopaycapitalizedinterestontheBondthrough April 1,2016; (c)ToprovidefundsfordeposittotheReserveFund;and (d)TopaycostsofissuanceoftheBond. 6.PrivateActivityBond.Asofthedatehereof,theIssuerreasonablyexpects thatnoactionoreventduringtheentirestatedtermoftheBondwillcauseeitherthe "privatebusinessusetests,"the"privatesecurityorpaymenttest,"orthe"privateloan financingtest,"assuchtermsaredefinedinthe Treasury Regulationstobemet.(See, "EXPECTATIONS ASTOPRIVATE ACTIVITY BONDS"herein.) NoportionofthedebtserviceontheBondwillbederived directly orindirectlyfrom payments(whetherornottothe Issuer oranyrelatedparty)inrespectofproperty,or borrowedmoney,usedortobeusedforaprivatebusinessuse. 7.IssuerCovenant.The Issuer hascovenantedinSection711ofthe Indenturethatitwilldoandperformallactsandthingsnecessaryor desirable inorderto assurethatinterestpaidontheBondshall,forthepurposesoffederalincometaxation, be excludable fromthegrossincomeoftherecipients thereof andexemptfromsuch taxation.TheIssuerrecognizesthat,in fulfillment oftheforegoingcovenant,itmaynot, andherebyrepresentsthatitwillnot,takeany deliberate action subsequent tothedate hereof thatwillcausetheconditionsofeithertheprivatebusinessusetestsortheprivate loanfinancingtesttobemet. 8.ThetotalamountofproceedsoftheBondwillnotexceedthetotal amount necessary forthe governmental purposesoftheBond. SOURCESANDUSESOFPROCEEDSOFBOND 9.ThetotalamountofsaleproceedsoftheBondis $92,949,206.05 (the"Sale Proceeds").TheSaleProceeds reflect.the $86,085,000 aggregateprincipal amount of theBond,plus $6,864,206.05 ofnetoriginalissuepremium.Thereisnodirectmonetary benefitsuchasarebateofbond insurance premium,suretybondpremiumorletterof creditfeebeingreceivedbythe Issuer inconnectionwiththeissuanceoftheBond. UniversityofAlaskaGeneralRevenueBond,2015SeriesU FEDERAL TAX CERTIFICATE J:\Docs\31200628\Bond Documents\Federal Tax Certific:ate.Docx Page 2 of9 10.TheSale Proceeds willbe allocated asfollows: (a)$87,500,000 willbe deposited inthe2015 Series U Construction Account heldwithinthe Construction FundtopaycostsoftheProject; (b)$2,198,008.85 willbe deposited inthe Capitalized Interest Subaccount heldwithinthe Interest Account; (c)$109,250.70 willbe deposited inthe Series U Costs of Issuance Subaccount heldwithinthe Interest Account; (d)$2,792,918.75 willbe deposited inthe Reserve Fund; (e)$310,039.26 willbe allocated to payment of underwriter's discount; and (f)$38,988.49 willbe allocated to payment of debt service reserve surety bond premium fortheBondBankReserveFund(as described in paragraph 22). 11.No Pre-Issuance Accrued Interest.The Issuer willnot receive accrued interest oftheBond;theBondisdatedthedateofclosing. REPLACEMENT PROCEEDS 12.BondNot Outstanding Longer Than Necessary.TheBondwillnotbe outstanding for aperiod longer thanone hundred twenty percent (120%)ofthe average reasonably expected economic lifeofthe facilities financed with proceeds oftheBond, determined inthe manner assetforthin §147(b)oftheCode. 13.BonaFideDebt Service Fund.The Issuer will deplete anyfundthatis used primarily to achieve a proper matching of revenues ofthe Issuer with principal and interest payments ontheBondat least onceeachbondyear,except for a reasonable carryover amount whichwillnot exceed the greater of(a)the earnings onthefund for the immediately preceding bondyear;or(b)one-twelfth ofthe principal and interest payments ontheBondforthe immediately preceding bondyear.The average maturity oftheBondisatleastfiveyearsandtheBondhasafixedrateof interest that does not vary over itsterm.Accordingly,the Issuer will exclude earnings on moneys described in this paragraph fromany calculation of Rebatable Arbitrage irrespective of the amount of such earnings. 14.No Other Replacement Proceeds.Other than amounts specifically identified as replacement proceeds of theBondinthis certificate,there areno amounts (including without limitation sinking funds,pledgedfunds,and other replacement proceeds)that(a)areheldbyor derived fromtheIssuer,anyrelatedpartytotheIssuer, orthe State of Alaska;and(b)havea sufficiently direct nexus totheBondortothe governmental purposes oftheBondto conclude thatthe amounts wouldhavebeenused University ofAlaskaGeneral Revenue Bond,2015SeriesU FEDERAL TAX CERTIFICATE 1:\Docs\31200628\Bond Documents\Federal Tax Certiflcate.Docx Page 3 of9 forthose governmental purposesiftheproceedsoftheBondwerenotusedortobeused forthosegovernmentalpurposes. CALCULATION OF ARBITRAGE YIELD 15.ComputationofYieldonBond.ForpurposesofthisCertificate,theyield ontheBondisdeemedtobeequaltotheyieldontheBondBankBonds.Forthe purposeofcalculatingtheyieldontheBondBankBonds,thepurchasepriceoftheBond BankBondsistheinitialofferingpriceoftheBondBankBondstothepublic(excluding bondhouses,brokers,andotherintermediaries)atwhichpriceatleast10%oftheBond BankBondsweresold. TheyieldontheBondBankBondshasbeendeterminedtobe3.6984%.Such determination astoyieldhasbeenmadebyWesternFinancialGroup,LLCandisbased ontherepresentationsmadetotheIssuerbyWesternFinancialGroup,LLC,andinturn byRBCCapitalMarkets,LLC,managing underwriter oftheBondBankBonds,astothe offeringpricesatwhichasubstantialamountoftheBondBankBondsweresold.See ExhibitAattachedhereto. 16.ComputationofYieldonInvestments.Theyieldonaninvestment allocatedtoanissueisthediscountratethat,whenusedincomputingthepresentvalue asofthedatetheinvestmentisfirstallocatedtotheissueofallunconditionallypayable receiptsfromtheinvestment,producesanamountequaltothepresentvalueofall unconditionally payablepaymentsfortheinvestment.Thefrequencyofcompounding interestthatisusedtocalculateyieldsoninvestmentsallocatedtotheBondisthesame asthatusedtocalculatetheyieldontheBondBankBonds. 17.TheIssuerrepresentsthatithasnotenteredinto,nordoesitintendtoenter into,atransactionseparateandapartfromtheoriginalsaleoftheBondforthetransfer, waiver,ormodificationofanyrightthatispartofthetermsoftheBondorisotherwise associatedwiththeBond(e.g.,aredemptionright).TheIssuerunderstandsthatany suchtransactionwillbetreatedasareissuanceoftheBondforpurposesofarbitrage yieldcalculationandwillrequirerecalculationoftheyieldontheBond. 18.TheIssuerrepresentsthatithasnotenteredinto,nordoesitintendtoenter into,atransaction(a)theprimarypurposeofwhichisreducingtheIssuer'sriskofinterest ratechangeswithrespecttotheBond;and(b)whichdoesnotcontainasignificant investment element. FUNDSAND YIELD RESTRICTIONS 19.RevenueFund.TheIssuerhasestablishedtheRevenueFundunderthe Indenture.RevenueswillbedepositedintheRevenueFundascollected.The RevenueFundwillbeheldseparateandapartfromallotherfundsandaccountsofthe Issuer.AmountsmaybepaidoutoftheRevenueFundwithoutrestrictionforoperations oftheIssuer.AmountsshallbepaidoutoftheRevenueFundanddepositedintheDebt ServiceFundtotheextentnecessaryforthepaymentofdebtserviceontheBond. University ofAlaskaGeneralRevenueBond,2015SeriesU FEDERAL TAX CERTIFICATE I:\Docs\31200628\Bond Documents\Federal Tax Certificale.Docx Page 4 of9 AmountsalsoshallbepaidoutoftheRevenueFundfordepositintotheReserveFundto theextentnecessarytocausetheamountthereintoequal one-half ofMaximum AggregateDebtServiceontheBondorsuchotherlesseramountasisrequiredinorder tomaintainthetax-exemptstatusoftheBond(the"ReserveRequirement").Thereare noassurancesthatmoneywillbeavailableintheRevenueFundtopaydebtserviceon theBondiftheIssuerencountersfinancialdifficulties. 20.DebtServiceFund.TheIssuerhasestablishedtheDebtServiceFund undertheIndenture,whichshallbeusedforthesalepurposeofpayingtheprincipaland redemptionpriceof,andintereston,theBond,includingtheparitybondsissuedunder theIndenture.TheDebtServiceFundisusedprimarilytoachieveapropermatchingof revenuesoftheIssuerwithprincipalandinterestpaymentsontheBond.TheIssuerwill depletetheDebtServiceFundatleastonceeachbondyear,exceptforareasonable carryoveramountnotexceedingthegreaterof(a)theearningsontheDebtServiceFund fortheimmediatelyprecedingbondyear;or(b)one-twelfthoftheprincipalandinterest paymentsontheBondfortheimmediatelyprecedingbondyear. 21.IssuerReserveFund.TheIssuerhasestablishedtheReserveFundunder theIndenturetoprovidesecurityforthepaymentofdebtserviceonallbondsissued pursuanttothetermsoftheMasterIndenture,assupplementedfromtimetotime, includingtheBond(collectively,the"ParityBonds").TheIndenturerequiresthatthe ReserveFundbefundedinanamountequaltotheReserveRequirement.Amounts heldintheReserveFundarevalued(pursuanttothecalculationsofFirstSouthwest Company,LLC,asfinancialadvisortotheIssuer)at$8,928,159.50.Onthedate hereof (aftertakingintoaccounttheissuanceoftheBond)theReserveRequirement(pursuant tothecalculationsoftheIssuer'sFinancialAdvisorandtheTrustee)isequalto $11,721,078.25.TheIssuerwill deposit availablefunds,intheamountof $2,792,918.75,intheReserveFundtosatisfytheReserveRequirementonthedateof issuanceoftheBond.SeeExhibitBattachedhereto. OnthedatehereoftheamountondepositintheReserveFundshallequalthe ReserveRequirement.Saidamountwillnotexceedtheleast often percent(10%)ofthe statedprincipalamountoftheParityBonds(includingtheBond),themaximumannual principalandinterestrequirementsontheParityBonds(includingtheBond),orone hundredtwenty-fivepercent(125%)oftheaverageannualprincipalandinterest requirementsontheParityBonds(includingtheBond).TheReserveFundisa commingledfundforpurposesof §1.148-6(e)oftheTreasuryRegulations,andthe IssuerherebyallocatesamountsintheReserveFundtotheoutstandingParityBondsin accordancewith §1.148-6(e)(6)oftheTreasuryRegulationsbasedontheoriginalstated principalamountsofeachissueofsuchParityBonds. 22.BondBankReserveFund.TheBondBankhasestablishedthe2005 GeneralResolutionReserveFund(the"BondBankReserveFund")asacommon reservefundsecuringallbonds,includingtheBondBankBonds,issuedunderthe GeneralResolution(together,the"BondBankGOBonds"),astheGeneralResolutionis definedintheFederalTaxCertificateexecutedbytheBondBankonthedatehereof. TheBondBankReserveFundisfundedatanamountequaltotheleastof(i)maximum UniversityofAlaskaGeneralRevenueBond,2015 Series U FEDERAL TAX CERTIFICATE 1:\Oocs\31200628\Bond Documents\Federal Tax Certificate.Docx Page 5 of9 annualdebtserviceontheBondBankGOBonds,(ii)125%ofaverageannualdebt service,(iii)10%oftheinitialprincipal amount ofeachseriesofBondBankGOBonds,or (iv)suchlower amount asmayberequiredbylaw(the"BondBankReserve Requirement").TheBondBankwilluseproceedsinthe amount of $38,988.49 fromthe BondBankBondstopaycostsofsecuringadebtservicereservesuretybondtosatisfy theBondBankReserveRequirement. 23.Yield Restrictions.ThegrossproceedsoftheBonddescribedinthis certificate maybeinvestedasfollows: (a)Amounts allocatedtotheDebtServiceFundmaybeinvestedatan unrestricted yieldfora temporary periodnottoexceedthirteenmonthsfromthe dateof deposit therein. (b)Amounts allocatedtotheRevenueFundmaybeinvestedatan unrestrictedyield. (c)Amounts allocatedtotheReserveFundmaybeinvestedatayield whichisnotin excess oftheyieldoftheBond. (d)Amounts allocatedtothe Construction Fundmaybeinvestedatan unrestrictedyieldfora temporary periodnotexceedingthreeyearsfromtheissue dateoftheBond. (e)Except as otherwise providedinthis paragraph 23,any amounts actuallyor constructively receivedfromthe investment of proceeds oftheBond maybeinvestedatanunrestrictedyieldfora temporary periodendingoneyear beginning onthedateofreceipt. (f)Gross proceeds notdescribedinthepreceding subsections ofthis sectionwillbeinvestedatayieldwhichisnotinexcessoftheyieldoftheBond plus one-eighth ofone percent (0.125%). Minor Portion.Allgross proceeds willbeinvestedin accordance withthis paragraph23.Tothe extent suchamountsremainonhandfollowingtheperiodsset forthinthisparagraph23and thereby exceedthelimitssetforthinthisparagraph23,the Issuer willinvestsuch amounts atarestrictedyieldassetforthinsuchparagraphs; provided,however,thataportionofsuchamounts,nottoexceedinthe aggregate the lesser of $100,000 orfive percent (5%)ofthesale proceeds oftheBond(the "Minor Portion"),maybeinvestedatayieldwhichishigherthantheyieldontheBond. PROJECT 24.The Issuer hasincurredorwillincurwithinsix months ofthedate hereof a bindingobligationtoathirdpartywhichisnot subject toany contingencies withinthe controlofthe Issuer orarelatedparty pursuant towhichthe Issuer isobligatedtoexpend atleastfive percent (5%)oftheSaleProceeds described in paragraph 1O(a)aboveonthe University of Alaska General Revenue Bond,2015SeriesU FEDERAL TAX CERTIFICATE 1:\Docs\31200628\Bond Documenls\Federal Tax Certificale.Docx Page 6 of9 Project.TheIssuerreasonablyexpectsthatworkonoracquisitionoftheProjectwill proceedwithduediligencetocompletionandthattheproceedsoftheBonddescribedin paragraph10(a)abovewillbeexpendedontheProjectwithreasonabledispatch.The Issuerreasonablyexpectsthateighty-fivepercent(85%)oftheSaleProceedsdescribed inparagraph10(a)abovewillhavebeenexpendedontheProjectpriortothedatethatis threeyearsaftertheissuedateoftheBond.AnysuchSaleProceedsnotexpended priortothedatethatisthreeyearsaftertheissuedateoftheBond,willbeinvestedata yieldnot"materiallyhigher"thantheyieldontheBond,exceptassetforthinparagraph 23above.TheIssuerreasonablyexpectsthatanyamountderivedfromtheinvestment ofmoneyreceivedfromthesaleoftheBondanddepositedinthe2015Construction Account,heldwithintheConstructionFundandfromtheinvestmentofsuchinvestment incomewillnotbecommingledwithamountsofsubstantialotherreceiptsorrevenuesof theIssuerandwillbeexpendedpriortothedatethatisthreeyearsaftertheissuedateof theBond,oroneyearafterreceiptofsuchinvestmentincome,whichever islater.Any suchinvestmentproceedsnotexpendedpriortosuchdatewillbeinvestedatayieldnot "materiallyhigher"thantheyieldontheBond,exceptassetforthinparagraph23above. Forpurposesofthiscertificate,"materiallyhigher"shallhavethemeaningsetforthin §1.148-2(d)(2)oftheTreasuryRegulations. REBATE 25.TheIssuerwillcalculateorcausetobecalculatedtheRebateAmountwith respecttotheBondatleastonceeveryfiveyearsfromthedatehereof,andonthedate thelastoftheBondareredeemed,inaccordancewith §148(f)oftheCodeand §1.148-3 oftheTreasuryRegulations. EXPECTATIONS ASTO PRIVATE ACTIVITY BONDS 26.Notmorethantenpercent(10%)oftheproceedsoftheBondwillbeusedin suchamannerastocausetheBondtobeaprivateactivitybondunder §141ofthe Code. GeneralPrivateActivityBondTests. (a)Notmorethantenpercent(10%)oftheproceedsoftheBondwillbe usedinatradeorbusinessofanongovernmentalperson,otherthanusebya nongovernmentalpersonasamemberofthegeneralpublic.Anongovernmental personisanypersonorentityotherthanastateorlocalgovernmentalunit. Nongovernmental personsincludethefederalgovernment.Forpurposesof determininguse,theIssuerwillapplyrulessetforthinapplicableTreasury RegulationsandRevenueProcedurespromulgatedbytheInternalRevenue Service,including,amongothers,thefollowingrules:(i)any activity carriedonbya personotherthananaturalpersonorastateorlocalgovernmentalunitwillbe treatedasatradeorbusinessofa nongovernmental person;(ii)a nongovernmentalpersonwillbetreatedasaprivatebusinessuserofproceedsof theBondasaresultofownership,actualorbeneficialuseoftheproceeds pursuanttoalease,ora management orincentivepaymentcontract,orcertain University ofAlaska General Revenue Bond,2015SeriesU FEDERAL TAX CERTIFICATE 1:\Docs\31200628\Bond Documenls\Federal Tax Certificate.Docx Page 7 of9 otherarrangementssuchasanoutputcontractorotherspecialarrangement;and (iii)anongovernmentalpersonwillbetreatedasaprivatebusinessuserofthe proceedsoftheBondifthepersonhasspeciallegalentitlementstouseof,directly orindirectly,theProject. (b)Nomorethantenpercent(10%)ofthedebtserviceontheBondwill bedirectlyorindirectly(i)securedbyanyinterestinpropertyusedortobeusedin thetradeorbusinessofa nongovernmental person,orsecuredbypaymentsin respectofpropertyusedortobeusedinthetradeorbusinessofa nongovernmentalperson;or(ii)derivedfrompaymentsinrespectofproperty,or borrowedmoney,usedortobeusedinthetradeorbusinessofa nongovernmentalperson.Thistestisappliedbycomparingthepresentvalueof thepaymentsorpropertywiththepresentvalueofthedebtservicetobepaidover thetermoftheBond,ineachcasediscountedtotheIssueDateatadiscountrate equaltotheyieldontheBond. (c)NoproceedsoftheBondwillbeused(directlyorindirectly)tomake orfinanceloanstoanyperson. 27.SaleofProperty.TheIssuerwillnotsell,encumber,orotherwisedispose ofanypersonalpropertycomponentsoftheProject,exceptsuchpartsorportionsthat maybedisposedofbecauseofnormalwear,obsolescence,ordepreciation,priortothe finalmaturityoftheBond. MISCELLANEOUS MATTERS 28.NoportionoftheproceedsoftheBondwillbeusedasasubstituteforother fundswhichwereotherwisetobeusedforthegovernmentalpurposesforwhichtheBond isissuedandwhichwillbeusedtoacquire,directlyorindirectly,securitiesobligations, annuitycontractsorother investment typepropertyproducingayieldinexcessofthe yieldontheBond. 29.TherearenootherobligationsoftheIssuerwhicharesoldatsubstantially thesametimeastheBond(August26,2015),aresoldpursuanttoacommonplanof financingtogetherwiththeBond,andarereasonablyexpectedtobepaidoutof substantially thesamesourceoffundsastheBond. 30.OtherthanthefundsandaccountsdescribedinthisCertificate,thereareno otherfunds,accounts,ormoneysoftheIssuerheldundertheIndentureorotherwise, whicharereasonablyexpectedtobeusedtopaydebtserviceontheBondorforwhich thereisareasonableassurancethatamountsthereinwillbeavailableto pay debtservice ontheBondiftheIssuerencountersfinancialdifficulties.Itisexpectedthatdebtservice ontheBondwillbepaideachyearfromcurrentrevenuesoftheIssuer. 31.TheBondisnotandwillnotbepartofatransactionorseriesoftransactions thatattempttocircumventtheprovisionsof §148oftheCodeandtheregulations thereunder by(i)enablingtheIssuertoexploitthedifferencebetweentax-exemptand University of Alaska General Revenue Bond,2015 Series U FEDERAL TAX CERTIFICATE 1:\Docs\31200628\Bond Documenls\Federal Tax Certificate.Docx Page 8 of9 taxableinterestratestogainamaterialfinancialadvantage;or(ii)overburdeningthe tax-exempt bondmarket.TheIssuerhascovenantedintheIndenturethatitwillmakeno useorinvestmentoftheproceedsoftheBondwhichwillcausetheBondtobean "arbitragebond"subjecttofederalincometaxationundertheCode. 32.TheBondisnota"hedgebond"becausenotmorethanfiftypercent(50%) oftheproceedsoftheBondwillbeinvestedinnonpurposeinvestments(asdefinedin §148(f)(6)(A)oftheCode),havingsubstantiallyguaranteedyieldforfouryearsormore withinthemeaningof §149(g)(3)(A)(ii)oftheCode.Further,theIssuerreasonably expectsthatatleasteighty-five percent (85%)ofthespendableproceedsoftheBondwill beusedtocarryoutthe governmental purposeoftheBondwithinthe three-year period beginningonthedatetheBondisissued. 33.Otherthantotheextentofpreliminaryexpenditures (i.e.,architectural, engineering,surveying,soiltesting,bondissuance,andsimilarcoststhatareincurred priorto commencement ofacquisition,construction,orrehabilitationoftheProject,other thanlandacquisition,sitepreparation,andsimilarcostsincidentto commencement of construction),noportionoftheamountdescribedinparagraph10(a)abovewillbe disbursedtoreimbursetheIssuerforanyexpendituresmadebytheIssuerpriortothe datethatis60daysbeforetheearlieroftheissuedateorthedatetheIssueradopteda resolution(the"Declaration"),describingtheProject,statingthemaximumprincipal amountofobligationsexpectedtobeissuedfortheProject,andstatingtheIssuer's reasonableexpectationonthatdatethatitwouldreimburseexpendituresforcostsofthe Projectwithproceedsofanobligation. 34.Tothebestofmyknowledge,information,andbelief,theabove expectations arereasonable. DATED:September16,2015 UNIVERSITYOF ALASKA MYRONJ.DOSCH Controller University of Alaska General Revenue Bond,2015SeriesU FEDERAL TAX CERTIFICATE I:\Docs\31200628\Bond Documents\Federal Tax Certificate.Docx Page 9 of 9 EXHIBITA CERTIFICATE OFTHE FINANCIAL ADVISOR I,LAWRENCEW.PIERCE,asfinancialadvisorfortheAlaskaMunicipalBond Bank(the"Bank")herebycertifywithrespecttotheBank'sGeneralObligationBonds, 2015SeriesThree(the"Bonds"),asfollows: 1.Ihavenoreasontobelievethatthefinancialinformationfoundin Appendix DofthePreliminaryOfficialStatementdatedAugust19,2015,andthefinal OfficialStatementdatedAugust26,2015,relatingtotheBondscontainsanuntrue statement ofmaterialfactoromitstostateamaterialfactnecessarytomakethe statementstherein,inlightofthecircumstanceunderwhichtheyweremade,not misleadinginanymaterialrespects. 2.PaymentoftheBondsissecuredbyareservefund;basedonmy calculations(andaffirmedbytheTrustee)Ihavedeterminedthereservefund requirementtobe$58,705,591.41asofthedatehereof.Theamountofthereserve fundrequirementisareasonableamounttofacilitatemarketingoftheBondsatthe mostfavorableinterestratesavailable. 3.IhavecomputedtheyieldontheBondstobenotlessthan3.6984% basedontherepresentationsmadetotheBankbyRBC_CapitalMarkets,LLC,on behalfofitselfandasrepresentativeoftheunderwritersnamedinthebondpurchase contractdated August 26,2015,astotheofferingpricesatwhichatleast10%ofeach maturityoftheBondsweresold,orreasonablyexpectedtobesold.Forpurposesof thiscertificate,theterm"yield"meansthatyieldwhichiscomputedasdescribedin Section1.148-4ofthe Treasury Regulations. 4.IhavecomputedtheweightedaveragematurityoftheBondstobe 17.7084years.TheweightedaveragematurityoftheBondsisthesumoftheproducts oftheissuepriceandtheparamountofeachgroupofidenticalbondsandthenumber ofyearstomaturity(determinedseparatelyforeachgroupofidenticalbondsandtaking intoaccountmandatoryredemption,ifany)dividedbytheaggregatesaleproceedsof theBonds. DATEDthis16thdayof September 2015. WESTERNFINANCIALGROUP,LLC ~~-E-- Page1of3 EXHIBITA UNDERWRITER REPRESENTATIONS AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree ThiscertificateisbeingdeliveredbyRBCCapitalMarkets,LLC,onbehalfofitself andasrepresentativeoftheunderwritersnamedinthebondpurchasecontractdated August26,2015(the"Underwriter")inconnectionwiththeissuancebytheAlaska MunicipalBondBank(the"BondBank")oftheBondBank'sGeneralObligationBonds, 2015SeriesThree(the"Bonds"). Eachcapitalizedtermusedherein,butnotdefinedherein,shallhavethe meaningspecifiedforsuchtermintheFederalTaxCertificate,datedthedatehereof, andrelatingtotheBonds. 1.Theundersignedisauthorizedtoexecutethiscertificateonbehalfofthe Underwriter,whichcertificationsarenotnecessarilybasedonpersonalknowledge,but mayinsteadbebasedoneitherdueinquirydeemedadequatebytheundersignedor institutionalknowledge(orboth)regardingthematterssetforthherein. 2.TheUnderwriterhasmadeabonafidepublicofferingoftheBondsatthe prices(orthepricescorrespondingtotheyields)setforthontheinsidecoverofthe OfficialStatement.OnthesaledateoftheBonds(August26,2015),atleast10%of eachmaturityoftheBonds,exceptassetforthinthefollowingparagraph,weresoldto thepublicatinitialofferingpricesnotgreaterthantherespectivepricescorresponding totheyieldsshownontheinsidecoveroftheOfficialStatement. InthecaseoftheBondsmaturingonOctober1,intheyears 2016,2019,2024, 2025and2026,theUnderwriterherebyrepresentsthattheactualsalespriceofsuch BondsisconsistentwiththeUnderwriter'sreasonableexpectationsthatatleast10%of theBondsofthatmaturitywouldbesoldattherespectiveinitialofferingpriceasshown ontheinsidecoveroftheOfficialStatement.- Theterm"public,"asusedherein,doesnotincludebondhouses,brokers, dealers,andsimilarpersonsororganizationsactinginthecapacityofunderwritersor wholesalers. 3.TheamountoftheReserveFundRequirement(asdefinedinthe2005 GeneralBondResolution,asamended)isareasonableamounttofacilitatemarketing oftheBondsatthemostfavorableinterestratesavailable. 4.ThestatementscontainedintheOfficialStatementundertheheading "Underwriting"aretrueandcorrectinallmaterialrespects. Page2of3 EXHIBITA 5.Theserepresentationsareprovidedto (i)Wohlforth,Brecht&Cartledge ("Wohlforth")andtheAlaskaMunicipalBondBanktoprovidethemwithinformation concerningtheBonds;(ii)Wohlforthtoprovidethemwithinformationconcerningthe municipalbondoftheUniversityofAlaska;(iii)K&LGatesLLPtoprovidethemwith informationconcerningthemunicipalbondoftheHainesBorough;and(iv)Foster PepperPLLCandLevesqueLawGroupLLCtoprovidethemwithinformation concerningthemunicipalbondsoftheCityofKingCoveandtheKodiakIsland Borough,forpurposesofformulatingtheiropinionswithrespecttosuchmunicipal bonds;andarenottobeusedorrelieduponbyanyotherperson.TheUnderwriter expressesnoviewregardingthelegalsufficiencyorthecorrectnessofanylegal interpretationmadebybondcounsel,nothinghereinrepresentsourinterpretationofany laws,andinparticular,regulationsundertheCode,andtheUnderwriterexpressesno viewregardingthelegalsufficiencyofanyrepresentationsmadeherein. DATEDthis16thdayof September 2015. RBCCAPITALMARKETS,LLC By 1=.=(\~ AuthorizedSItory AMBB/General Obligation Bonds,2015SeriesThree Underwriter Representations 1:\Docs\37421742\Underwriter Representations.Docx Page3of3 Page2 EXHIBIT B UniversityofAlaska DSRF Calculation-2015SeriesU (BOND BANK) Final Final TotalExisting 2015 Series T 2015 Series U Pro-Forma Aggregate Fiscal General Revenue General Revenue General Revenue General Revenue Year BondDebt Service BondDebt Service'BondDebt Service'BondDebtService 2016 14,060,911 14,060,911 2017 13,998,489 3,267,500 4,057,863 21,323,852 2018 13,925,266 3,267,500 4,057,863 21,250,629 2019 12,948,194 4,895,750 5,586,663 23,430,607 2020 12,946,831 4,900,000 5,589,588 23,436,419 2021 12,956,569 4,899,750 5,585,838 23,442,157 2022 12,800,569 4,899,875 5,587,838 23,288,282 2023 12,442,238 4,895,250 5,590,213 22,927,701 2024 11,222,781 4,895,625 5,587,838 21,706,244 2025 10,357,206 4,895,625 5,590,463 20,843,294 2026 10,137,819 4,899,875 5,587,838 20,625,532 2027 10,128,994 4,898,125 5,589,713 20,616,832 2028 7,713,194 4,895,250 5,585,838 18,194,282 2029 4,302,128 4,895,875 5,585,963 14,783,966 2030 3,236,156 4,899,500 5,589,588 13,725,244 2031 3,231,538 4,895,875 5,585,913 13,713,326 2032 2,647,006 4,894,750 5,587,175 13,128,931 2033 2,647,588 4,895,625 5,588,100 13,131,313 2034 1,130,038 4,898,000 5,585,494 11,613,532 2035 288,731 4,896,500 5,588,831 10,774,062 2036 289,631 4,895,750 5,587,588 10,772,969 2037 4,895,250 5,586,369 10,481,619 2038 4,899,375 5,589,700 10,489,075 2039 4,897,625 5,587,575 10,485,200 2040 4,899,500 5,589,825 10,489,325 2041 5,589,800 5,589,800 2042 5,589,200 5,589,200 2043 5,585,900 5,585,900 2044 5,589,500 5,589,500 2045 5,589,600 5,589,600 173,411,877 114,273,750 158,993,669 446,679,296 MADS 23,442,157 2015SeriesU ,NetofCapitalized Interest 1/2 MADS =11,721,078.25 DESPOSIT TO DSRF Current Balance 8,928,159.50 2,792,918.75 Michael Hostina GeneralCounsel ArdithLynch Associate GeneralCounsel Michael O'Brien Associate GeneralCounsel Matthew Cooper Associate GeneralCounsel Andy Harrington Associate GeneralCounsel II UNIVERSITY of ALAS KA Many Traditions One Alaska September16,2015 203 Butrovich Building P.O.Box755160 Fairbanks,Alaska 99775-5160 Telephone:(907)450-8080 Facsimile:(907)450-8081 Legal@a1askaedu TheBankofNewYorkMellonTrust Company,N.A.,asTrustee 100PineStreet,Suite3150 SanFrancisco,CA94111 LadiesandGentlemen: Thisopinionisbeingrenderedtoyouinconnectionwiththeissuancebythe UniversityofAlaska(the"University")ofitsGeneralRevenueBond,2015SeriesU(the "Bond"),pursuanttoaTrustIndenturedatedasofJune1,1992,asamended,byand betweentheUniversityandTheBankofNewYorkMellonTrustCompany,as successortrustee(the"Trustee"),andaEighteenthSupplementalTrustIndenture, datedasof September 1,2015,byandbetweentheUniversityandtheTrustee (together,the"Indenture").TheBondisauthorizedbyaBondResolution(the"Bond Resolution")adoptedbytheBoardofRegentsoftheUniversityatameetingheldon June 4-5,2015.Capitalizedtermsusedhereinshallhavethesamemeanings setforth intheIndenture. IamGeneralCounselwiththeUniversityand,inconnectionwiththeissuance andsaleofthe Bond andthedeliveryofthisopinion,Ihaveobtainedtheopinionof BondCounselandexaminedthedocumentsreferredtohereinandsuchother documents,records,andlawsasIhavedeemedrelevantandnecessaryasabasisfor thefollowinglegalopinions: 1.Allapprovals,consents,andordersofanygovernmentalauthority,board, agency,orcommissionhaving jurisdiction thatwouldconstituteconditionsprecedentto theperformancebytheUniversityofitsobligationsundertheIndentureandtheBond andthatcanreasonablybeobtainedatthistimehavebeenobtained. 2.TheBondResolutionwasdulyadoptedatageneralmeetingoftheBoard ofRegentswhichwascalledandheldwithpropernoticeandpursuanttolawandin accordancewithallapplicableopenmeetinglawsandatsuchmeetingaquorumwas presentandactingatthetimeoftheadoptionoftheBondResolutionandtheBond ResolutionwasadoptedbyamajorityvoteoftheBoardofRegents. 3.Thereisnopendinglitigationoradministrativeactionorproceeding,or,to myknowledge after dueinquirythreatened,whichinanywayaffectstheexistenceof TheBankofNewYorkMellonTrustCompany,NA September16,2015 Page2 theUniversity,thetitlesofitsofficerstotheirrespectiveoffices,orseekstothreaten, restrain,orenjointheissuance,sale,ordeliveryoftheBond,ortheright,power,and authorityoftheUniversitytoimpose,charge,andcollecttheRevenuespledgedtopay theprincipalofandinterestontheBond,orthepledgethereof,orinanywaycontesting oraffectingthevalidityorenforceabilityoftheBond,theBondResolution,orthe _lDdenture,or conte§ting QL.9uestioning the proceedin~and <!utllpriJy ynder whichthe Bondhasbeenauthorized,sold,executed,issued,anddelivered. Verytrulyyours, UNIVERSITYOF ALASKA ~?~ MichaelHostina GeneralCounsel Z:IConfidential-Restricted-PrivilegedIBonds\2015 GeneralRevenueSeries U\2015.09.08 BondSeriesUUA Opinion.Docx SIGNATURE CERTIFICATE Theundersigned,theVicePresidentforFinanceandAdministrationandChief Financial Officer,andtheController,respectively,oftheUniversityofAlaska(the "University"),HEREBYCERTIFYasfollows: 1.Subscribedbelowareourtrueandgenuinesignatures; 2.Onorbeforethedatehereof,$86,085,000aggregateprincipalamountof theUniversityofAlaskaGeneralRevenueBond,2015SeriesU(the"Bond"),wasduly and completely executedinthenameandonbehalfoftheUniversitybythemanual signature oftheundersignedAshokRoy,VicePresidentforFinanceand Administration and Chief FinancialOfficer,andbytheimpressionthereonoftheofficialsealofthe University,andattestedbythemanualsignatureoftheundersignedMyron J.Dosch, Controller; 3.Thesealwhichisimpresseduponthiscertificatehasbeenimpressedupon theBondandisthelegallyadopted,proper,andtheonlyofficialsealoftheUniversity; and 4.Onthedatehereof,wewereandarethedulychosen,qualifiedofficersof the University holdingtheofficesindicatedbytheofficialtitlessetoppositeourrespective namesbelow. INWITNESSWHEREOF,wehavehereuntosetourhandsandcausedthesealof the University tobehereuntoimpressedthis16thdayof September 2015. Signature ~~~ASHOK ROY MYRONJ.DOSCH [SEAL] OfficialTitle VicePresidentforFinanceand Administration andChiefFinancialOfficer Controller University ofAlaskaGeneralRevenueBond,2015SeriesU SIGNATURE CERTIFICATE l:\Docs\3120062B\8ond Documenls\Signafure Certificate.Daoc CERTIFICATE OF DELIVERY AND PAYMENT, WITH RECEIPT FORTHE BOND I,MYRONJ.DOSCH,Controller ofthe University of Alaska(the "University") hereby certifyasfollows: 1.That the University of Alaska's $86,085,000 principal amount ofthe General Revenue Bond,2015SeriesU(the"Bond")onthedate hereof delivered tothe Alaska Municipal BondBank(the "Purchaser"). 2.That atorbeforethetimeofsuch delivery therewasreceivedbyThe BankofNewYorkMellon Trust Company,N.A.,asTrustee,on behalf ofthe University fromthePurchaser,the amount of $92,600,178.30 asfull payment forthe2015 Series UBond,computedasfollows: PrincipalofBonds Plus:Original IssuePremium Less:Underwriter's Discount Less:Surety BondPremium Amount Received onDelivery $86,085,000.00 6,864,206.05 (310,039.26) (38,988.49) $92,600,178.30 IN WITNESS WHEREOF,Ihave hereunto setmyhandthis16th day of September 2015. UNIVERSITY OF ALASKA RECEIPT FOR BOND The undersigned hereby acknowledges receipt ofthe University of Alaska General RevenueBond,2015SeriesU,inthe principal amount of $86,085,000. DATED:September 16,2015 University ofAlaskaGeneral Revenue Bond,2015SeriesU CERTIFICATE OF DELIVERY AND PAYMENT,WITH RECEIPT FOR BOND 1:\Docs\31200628\Bond Documents\Certificate Of Delivery &Payment.Docx CERTIFICATE REGARDING COMPLIANCE WITHRULE15c2-12 I,MYRONJ.DOSCH,as Controller oftheUniversityofAlaska(the"University"), actinginmyofficialcapacity,DO HEREBY CERTIFYthattothebestofmyknowledge andbelieftheUniversityhascompliedinallmaterialrespectswitheachcontinuing disclosureundertakingtheUniversityhasenteredintounderRule15c2-12adoptedby theSecuritiesandExchangeCommissionundertheSecuritiesExchangeActof1934, asamendedfromtimetotime. DATEDasofthis16thdayof September 2015. UNIVERSITY OFALASKA By ~d'~ MYRONJ.DOSCH Controller 1:\Docs\37421742\Cert ReComplRule15c2 University.Docx CERTIFICATE OF CONTROLLER ASTO 2015SERIESUSPECIMENBOND I,MYRONJ.DOSCH,asControlleroftheUniversityofAlaska(the"University"), herebycertifythatattachedheretoisaspecimenofthe$86,085,000aggregateprincipal amountoftheUniversityofAlaskaGeneralRevenueBond,2015SeriesU,datedthe dateofdelivery,issuedunderandpursuanttotheResolutionoftheBoardofRegentsof theUniversityofAlaskaentitled"RESOLUTIONOFTHEBOARDOFREGENTSOF THEUNIVERSITYOF ALASKA AUTHORIZINGTHEISSUANCEANDSALEOFNOT TOEXCEED$87,500,000PRINCIPALAMOUNTOF UNIVERSITY OFALASKA GENERALREVENUEBONDS,2015SERIESU;APPROVING THEFORMOFA SUPPLEMENTAL INDENTUREANDALOANAGREEMENT;AUTHORIZING THE SALEOFTHEBONDSTOTHEALASKAMUNICIPALBONDBANK;AND AUTHORIZING AND APPROVING RELATEDMATTERS,"adoptedbytheBoardof RegentsatitsmeetingheldonJune4-5,2015. INWITNESSWHEREOF,Ihavehereuntosetmyhandandhavecausedthe sealoftheUniversitytobeimpressedhereonthis16thdayof September 2015. UNIVERSITYOF ALASKA -~I-.~ MYRONJ.DOSCH Controller [SEAL) University of Alaska General Revenue Bond,2015SeriesU CERTIFICATE OF CONTROLLER ASTOSPECIMENBOND J:\Docs\31200628\Bond Documents\Certificate Of Controller Re Bond.Doc SPECIMEN UNITEDSTATESOFAMERICA STATEOFALASKA UNIVERSITYOFALASKA NO.1 GENERALREVENUEBOND,2015SERIESU $86,085,000 REGISTEREDOWNER:AlaskaMunicipalBondBank PRINCIPALAMOUNT:Eighty-SixMillionEighty-FiveThousandDollars UNIVERSITYOF ALASKA (the "University"),·a publiccorporationoftheStateof AlaskaorganizedandexistingunderandbyvirtueofthelawsoftheStateofAlaska, acknowledgesitselfindebtedto,andforvaluereceivedherebypromisestopaytothe RegisteredOwneridentifiedabove,orregisteredassigns,butonlyfromthesources hereinafterprovidedfor,thePrincipal Installment Amountsshownontheinstallment paymentschedulesetforthbelow(unlessprepaidpriortheretoasprovidedherein), togetherwithinterestonsuchinstallmentsfromthedatehereoforthemostrecentdate towhichinteresthasbeenpaidordulyprovidedfor,attheinterestratessetforthbelow, onApril1,2016,andoneachOctober1andApril1thereafter: Year ofPrincipal Interest Year ofPrincipalInterest Principal Installment Rate PrincipalInstallmentRate payment Amount payment Amount (October 1)(October 1) 2018 $1,560,000 4.00%2032$3,110,0005.25% 2019 1,635,000 5.00 20333,275,0005.25 2020 1,715,000 5.00 20343,455,0005.25 2021 1,805,000 5.00 20353,640,0005.25 2022 1,900,000 5.00 20363,835,0005.25 2023 1,995,000 5.00 2037 4,040,000 5.00 2024 2,100,000 5.00 2038 4,245,000 5.00 2025 2,205,000 5.00 2039 4,465,000 5.00 2026 2,320,000 5.00 2040 4,670,000 4.00 2027 2,435,000 5.00 2041 4,860,000 4.00 2028 2,560,000 5.00 20425,055,0004.00 2029 2,695,000 5.00 2043 5,265,0004.00 2030 2,815,000 4.00 20445,480,0004.00 2031 2,950,000 5.25 Paymentofprincipalandinterestwillbemadebycheckordraftmailed,orwire transfertotheregisteredownerappearingonthebondregisteronthe15thdaypriorto eachpaymentdateattheaddressappearingonthebondregisteroftheUniversitykept atthecorporatetrustofficeoftheTrustee.Bothprincipalofandinterestonthisbond arepayableinanycoinorcurrencyoftheUnitedStatesofAmericawhich,onthe respectivedatesofpaymentthereof,shallbelegaltenderforthepaymentofpublicand privatedebts.Notwithstandingtheforegoing,forsolongastheAlaskaMunicipalBond BankistheRegisteredOwnerofthis2015Bond,paymentsofprincipalofandinterest onthe2015BondwillbemadetotheAlaskaMunicipalBondBankinaccordancewith theLoanAgreementasdefinedintheEighteenthSupplementalIndenturereferredto below. ThisbondisoneofadulyauthorizedissueofbondsoftheUniversitydesignated "GeneralRevenueBonds,"issuedpursuanttoChapter40ofTitle14oftheAlaska Statutes,asamended(the"Act"),andequallyandratablysecuredunderaTrust Indenture,datedasofJune1,1992,asamended,fromtheUniversitytotheTrustee, andaEighteenthSupplementalIndentureauthorizingtheGeneralRevenueBond,2015 SeriesU(the"2015Bond")(saidTrustIndentureandEighteenthSupplemental Indenturebeinghereincalledthe"Indenture").CopiesoftheIndentureareonfileatthe officeoftheUniversityandatthecorporatetrustofficeoftheTrustee,andreferenceto theIndentureandanyandallsupplementstheretoandmodificationsandamendments thereof andtotheActismadeforadescriptionofthepledgesandcovenantssecuring the2015Bond;thenature,extentandmannerofenforcementofsuchpledges;the rightsandremediesoftheregisteredownerofthe2015Bondwithrespectthereto,and thetermsandconditionsuponwhichthe2015Bondisissuedandmaybeissued thereunder,toalloftheprovisionsofwhichtheregisteredownerofthe2015Bond,by itsacceptanceofthis2015Bond,consentsandagrees. TotheextentandinthemannerpermittedbythetermsoftheTrustIndenture, theprovisionsoftheTrustIndentureoranyindentureamendatorythereofor supplementaltheretomaybemodifiedoramendedbytheUniversity(i)withthewritten consentoftheOwnersofatleastamajorityinprincipalamountoftheBonds Outstandingatthetimesuchconsentisgiven,and,incaselessthanalloftheseveral SeriesofBondswouldbeaffectedthereby,withsuchconsentoftheOwnersofatleast amajorityinprincipalamountoftheSeriessoaffectedandOutstandingatthetime suchconsentisgiven,and,incasethemodificationoramendmentchangestheterms of any SinkingFundInstallment,withsuchconsentoftheOwnersofatleastamajority inprincipalamountoftheBondsoftheparticularSeriesandmaturityentitledtosuch SinkingFundInstallmentandOutstandingatthetimesuchconsentisgiven;or(ii)by thetermsofaSupplementalIndenturethatiseffectiveonlyafterallBondsofeach SeriesOutstandingonthedateofsuchSupplementalIndentureshallceasetobe Outstanding. TheUniversityauthorizedandapprovedtheSixteenthSupplementalIndenture, datedMarch1,2013,whichmodifiedandamendedtheTrustIndenture,effectiveonthe datewhenallBondsissuedpriortoMarch1,2013ceasetobeOutstanding,by(i) eliminatingtheestablishmentandmaintenanceoftheReserveFundandrelated fundingobligations,(ii)providingthattheTrustIndenturemaybeamendedbythe writtenconsentoftheOwnersofatleastamajorityinprincipalamountofBondsthen Outstanding,and,incaselessthanalloftheseveralSeriesofBondswouldbeaffected thereby,withsuchconsentoftheOwnersofatleastamajorityinprincipalamountof theSeriessoaffectedandthenOutstanding,and,incasethemodificationor amendment changesthetermsofanySinkingFundInstallment,withsuchconsentof theOwnersofatleastamajorityinprincipalamountoftheBondsoftheparticular SeriesandmaturityentitledtosuchSinkingFundInstallmentthenOutstanding,andthat Page2 suchconsent,ineachinstance,ofanOwnerofBondsmayberevoked,unlesssuch consentbyitstermsismadeirrevocable,and(iii)providingthatanunderwriteror purchaserofaSeriesofBondsmayconsenttoamodificationof,oramendmentto,the TrustIndentureasOwnerofsuchBondsatthetimesuchBondsareissued. AsprovidedintheIndenture,the2015Bondisaspecialobligation,whichisa revenueobligationoftheUniversity,andissecuredastopaymentoftheprincipaland RedemptionPricethereof,andinterestthereon,inaccordancewithitstermsandthe provisionsoftheIndenture.TheUniversityisobligatedtopaytheprincipalor RedemptionPriceofandinterestonthe2015Bondonlyfromrevenuesorfundsofthe UniversitypledgedthereforundertheIndenture,andtheStateofAlaskaisnotobligated topaysuchprincipalorinterestonthe2015Bond.Neitherthefaithandcreditnorthe taxingpoweroftheStateofAlaskaispledgedtothepaymentoftheprincipalofor interestonthe2015Bond. The2015BondistransferableasprovidedintheIndenture,onlyuponthebooks oftheUniversitykeptforthepurposeattheabove-mentionedofficeoftheTrustee,by theregisteredownerhereofinperson,orbyitsdulyauthorizedattorney,uponsurrender ofthis2015Bondtogetherwithawritteninstrumentoftransfersatisfactorytothe Trusteedulyexecutedbytheregisteredowneroritsdulyauthorizedattorney,and thereuponanewregistered2015Bondor2015Bonds,andinthesameaggregate principalamount,interestrateandmaturitydate,shallbeissuedtothetransfereein exchangethereforasprovidedintheIndenture,and uponpaymentofthecharges thereinprescribed.TheUniversity,theTrusteeandanyPayingAgentmaydeemand treatthepersoninwhosenamethe2015Bondisregisteredastheabsoluteowner hereofforthepurposeofreceivingpaymentof,oronaccountof,theprincipalor RedemptionPricehereofandinterestduehereonandforallotherpurposes. This2015BondissubjecttoprepaymentattheoptionoftheUniversityin accordancewiththeapplicableprovisionsoftheIndentureandtheapplicableprovisions oftheLoanAgreement. The2015BondshallnotbeentitledtoanybenefitundertheIndentureorbevalid orbecomeobligatoryforanypurposeuntilthe2015Bondshallhavebeen authenticatedbytheexecutionbytheTrusteeoftheTrustee'sCertificateof Authenticationhereon. .ltisherebycertifiedandrecitedthatallconditions,acts,andthingsrequiredby lawandtheIndenturetoexist,tohavehappened,andtohavebeenperformed precedenttoandintheissuanceofthe2015Bond,exist,havehappenedandhave beenperformedandthattheissueofthe2015Bond,togetherwithallother indebtednessoftheUniversity,compliesinallrespectswiththeapplicablelawsofthe StateofAlaska,including,particularly,theActandiswithineverydebtandotherlimit prescribedbysaidlawsoftheStateofAlaska. IN WITNESSWHEREOF,theUniversityofAlaskahascausedthis2015Bondto besignedinitsnameandonitsbehalfbythesignatureofitsVicePresidentfor Finance Page3 andAdministrationandChiefFinancialOfficer,anditscorporatesealtobeimpressed hereonandattestedbythesignatureofitsController. DATED:September 16,2015. UNIVERSITY OFALASKA (8 EAL) ATTEST: MYRONJ.DOSCH Controller AS~ VicePresidentforFinanceand Administration andChiefFinancialOfficer Page4 [FORMOF ASSIGNMENTI FORVALUERECEIVEDtheundersignedherebysells,assigns,andtransfersto [PleaseprintortypewriteNameandAddressofTransferee]thewithinBondandall rightsthereunderandtheretoandirrevocablyconstitutesandappoints ___--=--_::-:--...,..,,--~=------:--_::_____=__:__,:____:_:--:__~-_:_:_attorneytoregister thetransferofthewithinBondonthebookskeptforregistrationthereof,withfullpower ofsubstitutioninthepremises. Dated:_ SIGNATUREGUARANTEED: NOTICE:Thesignaturetothisassignment mustcorrespondwiththenameasitappears uponthefaceofthewithinbondinevery particular,withoutalterationorenlargementor anychangewhatever. NOTICE:Signature(s)mustbeguaranteedbyamemberoftheNewYorkStock Exchangeoracommercialbankortrustcompany. Page5 WOHLFaRTH I BRECHT I CARTLEDGE A PROFESSIONAL CORPORATION Julius J.Brecht Cynthia L.Cartledge William A.Earnhart Michael Gatti Nathaniel Parr Eric E.Wohlforth BoardofRegents UniversityofAlaska 910YukonDrive ButrovichBuilding,Suite208 Fairbanks,AK99775 ATTORNEYS AT LAW 900 WEST 5TH AVENUE,SUITE 600 ANCHORAGE,ALASKA 99501-2048 September16,2015 TELEPHONE 907.276.6401 FACSIMILE 907.276.5093 WEBSITE WWW.AKATTY.COM LadiesandGentlemen: WehaveexaminedtheConstitutionandlawsoftheStateofAlaskaandarecord oftheproceedingsrelatingtotheissuanceoftheUniversityofAlaska(the"University") GeneralRevenueBond,2015SeriesU(the"Bond")intheaggregateprincipalamount of$86,085,000.TheUniversityconstitutesabodycorporateunderArticleVII,Section 2,oftheAlaskaConstitution. TheBondisauthorizedbyandissuedpursuanttoChapter40,Title14,ofthe AlaskaStatutes,asamended(the"Act"),andaResolutionoftheBoardofRegentsof theUniversitydulyadoptedonJune4-5,2015(the"Resolution"),andareissued pursuanttoanindenturebetweentheUniversity,asIssuer,andTheBankofNewYork MellonTrustCompany,N.A.,assuccessortrustee,datedasofJune1,1992(the "MasterIndenture"),asamendedandsupplementedbypriorsupplementalindentures and,specificallyfortheBond,byaEighteenthSupplementalIndenturebetweenthe UniversityandtheTrustee,datedasofSeptember1,2015(the"Supplemental Indenture"andtogetherwiththeMasterIndenture,the"Indenture"). TheBondbearsinterestattheratesperannumandmaturesonOctober1 in eachoftheyearsandintherespectiveprincipalamountssetoutasfollows: MaturityDatePrincipal Interest MaturityDatePrincipal Interest (October 1)Amount Rate (October 1)Amount Rate 2018 $1,560,000 4.00%2032 $3,110,000 5.25% 2019 1,635,000 5.00 2033 3,275,000 5.25 2020 1,715,000 5.00 2034 3,455,000 5.25 2021 1,805,000 5.00 2035 3,640,000 5.25 2022 1,900,0005.00 2036 3,835,000 5.25 2023 1,995,000 5.00 2037 4,040,000 5.00 2024 2,100,000 5.00 2038 4,245,000 5.00 2025 2,205,000 5.00 2039 4,465,000 5.00 2026 2,320,000 5.00 2040 4,670,000 4.00 2027 2,435,000 5.00 2041 4,860,000 4.00 2028 2,560,000 5.00 2042 5,055,000 4.00 2029 2,695,000 5.00 2043 5,265,000 4.00 2030 2,815,000 4.00 2044 5,480,000 4.00 2031 2,950,000 5.25 BoardofRegents University ofAlaska September 16,2015 Page2 TheBondshallbearinterestfromthedateofdelivery.Thefirstinterestpayment dateshallbeApril1,2016,andsemiannuallythereafteronOctober1andApril1in eachyear.TheBondisdatedasofthedateofdelivery.TheBondissubjectto redemptionpriortomaturityasprovidedintheIndentureandformofBond. InconnectionwiththeissuanceoftheBond,wehavereviewedtheIndentureand theFederalTaxCertificateoftheUniversitydatedthedatehereof(the"Tax Certificate"),anopinionofcounseltotheUniversity,certificatesoftheUniversity,the Trustee,andothers,andotherdocuments,opinions,andmatterstotheextentwe deemednecessarytorendertheopinionssetforthherein. Theopinionsexpressedhereinarebasedonananalysisofexistinglaws, regulations,rulings,andcourtdecisionsandcovercertainmattersnotdirectly addressedbysuchauthorities.Suchopinionsmaybeaffectedbyactionstakenor omittedoreventsoccurringafterthedatehereof.Wehavenotundertakentodetermine ortoinformanypersonwhetheranysuchactionsoreventsaretakenordooccur.We disclaimanyobligationtoupdatethisletter.Wehaveassumedthegenuinenessofall documentsandsignaturespresentedtous(whetherasoriginalsorascopies)byany partiesotherthantheUniversityandthedueandlegalexecutionanddelivery thereof by anypartiesotherthantheUniversity.Wehavenotundertakentoverifyindependently, andhaveassumedaccuracyofthefactualmattersrepresented,warranted,orcertified inthedocumentsreferredtointheprecedingparagraph.Furthermore,wehave assumedcompliancewiththecovenantsandagreementscontainedintheIndenture andtheTaxCertificate,including(withoutlimitation)covenantsandagreements compliancewithwhichisnecessarytoassurethatfutureactions,omissions,orevents willnotcauseinterestontheBondtobeincludedingrossincomeforfederalincometax purposes.WecallattentiontothefactthattherightsandobligationsundertheBond, theIndenture,andtheTaxCertificatemaybesubjecttobankruptcy,insolvency, reorganization,arrangement,fraudulentconveyance,moratorium,andotherlaws relatingtooraffectingcreditors'rightsgenerally,andtotheapplicationofequitable principles.Finally,weexpressnoopinionastotheOfficialStatementorotheroffering materialrelatingtotheBond.Allcapitalizedtermsusedhereinandnotdefinedherein areusedwiththemeaningassignedtosuchtermsbytheIndenture. Subjecttotheforegoing,weareoftheopinionthat,underexistinglaw: 1.UndertheConstitutionandlawsoftheStateofAlaska,theUniversityhas thepowertoadopttheResolution,enterintotheIndenture,andperformthe agreementsthereinonitspartcontainedandtoissuetheBond. 2.TheIndentureandLoanAgreementhavebeendulyauthorized,executed, anddeliveredandconstitutevalidandlegallybindingobligationsoftheUniversity enforceableinaccordancewiththeirterms(subject,astoenforcementofremedies,to applicablebankruptcy,reorganization,insolvency,moratorium,orotherlawsaffecting creditors'rightsgenerallyfromtimetotimeineffect). 1:\Docs\31200628\Bond Documents\WBC FinalApproving Opinian.docx BoardofRegents UniversityofAlaska September 16,2015 Page3 3.TheBondisvalidandlegallybindinginaccordancewithitsterms,has beenexecutedbydulyauthorizedpersons,andconstitutesavalidandlegallybinding specialrevenueobligationoftheUniversity,payableandenforceableinaccordance withitstermsandthetermsoftheIndenture,subjecttolawsrelatingtobankruptcy, insolvency,reorganization,moratorium,andotherlawsaffectingcreditors'rights theretoforeorhereafterenactedtotheextentapplicableandsubjecttotheexerciseof individualdiscretioninappropriatecasesandtotheapplicationofequitableprinciplesif equitableremediesaresought.TheBonddoesnotconstituteanindebtednessor liabilityoftheStateofAlaskaorofanyothersubdivisionthereof,exceptasaspecial obligationoftheUniversityashereindescribed. 4.PursuanttotheAct,theIndenturecreatesavalidlienontheRevenues pledgedbytheIndentureforthesecurityoftheBondonaparitywithoutstandingbonds previouslyissuedundertheMasterIndentureandwithAdditionalBonds,ifany,issued ortobeissuedundertheMasterIndenturesubjecttonopriorliengrantedunderthe Act. 5.Underexistinglaws,regulations,rulings,andjudicialdecisions,intereston theBondisexcludablefromgrossincomeoftheowners thereof forfederalincometax purposesandisnotanitemoftaxpreferenceforpurposesofthefederalalternative minimumtaximposedonindividualsandcorporations.However,interestontheBond istakenintoaccountindetermining"adjustedcurrentearnings"forpurposesof computingthealternativeminimumtaximposedoncertaincorporations.Theopinions setforthinthisparagrapharesubjecttotheconditionthattheUniversitycomplywithall requirementsoftheInternalRevenueCodeof1986,asamended,andtheregulations applicablethereto,thatmustbesatisfiedsubsequenttotheissuanceoftheBondin orderthatinterestthereonbe,orcontinuetobe,excludablefromgrossincomefor federalincometaxpurposes.TheUniversityhascovenantedtocomplywithall applicablerequirements.Failuretocomplywithcertainofsuchrequirementsmaycause interestontheBondtobeincludedingrossincomeforfederalincometaxpurposesto beretroactivetothedateofissuanceoftheBond.Weexpressnootheropinion regardingotherfederaltaxconsequencesrelatingtotheownershipordispositionof,or theaccrualorreceiptof,interestontheBond. 6.Underexistinglaw,interestontheBondisfreefromtaxationbytheState ofAlaskaexceptfortransfer,estate,andinheritancetaxes,andexcepttotheextentthat inclusionofsaidinterestincomputingthefederalalternativeminimumtaximposedon corporations,asdescribedabove,mayaffectthecorrespondingprovisionsoftheState ofAlaskacorporateincometax. Exceptasexpresslystatedabove,weexpressnoopinionregardinganyother federalorstateincometaxconsequencesofacquiring,carrying,owning,ordisposingof theBond.OwnersoftheBondshouldconsulttheirtaxadvisorregardingthe applicabilityofanycollateraltaxconsequencesofowningtheBond,whichmayinclude originalissuediscount,originalissuepremium,purchaseatamarketdiscountorata 1:\Docs\31200628\Bond Documents\WBC Final Approving Opinion.docx BoardofRegents UniversityofAlaska September 16,2015 Page4 premium,taxation uponsale,redemption or other disposition,and various withholding requirements. Thisopinionisgivenasofthedatehereof,andwe assume no obligation to update,revise,or supplement thisopinionor reflect anyfactsor circumstances thatmay hereafter cometoour attention orany changes inlaw that may hereafter occur. Sincerely, WOHLFaRTH,BRECHT &CARTLEDGE <..~.~.A lA_A EricE.Wohlforth v--rV"T .... EEW:dc 1:\Docs\31200628\Bond Documenls\WBC FinalApproving Opinion.docx OMS No.1545-0720 Form8038-G (Rev.September 2011) DepartmentoftheTreasury InternalRevenueService Information Return for Tax-Exempt Governmental Obligations ~UnderInternal Revenue Codesection 149(e) ~Seeseparateinstructions. Caution:If theissue price is under $100,000,useFormB03B-Ge. If Amended Return,checkhere ~D 2 Issuer's employer identification number (EIN) UniversityofAlaska 92-6000147 3a Name of person (other thanissuer)with whom theIRSmay communicate about this return (see instructions)3bTelephonenumberofotherpersonshownon3a 4 Number and street (orP.O.box ifmailisnot delivered to street address) 209ButrovichBuilding,P.O.Box 756540 I Room/suite 6City,town,or post office,state.and ZIP code Fairbanks,Alaska 99775-6540 7Dateofissue September16,2015 8Nameofissue 9 CUSIP number General Revenue Bond,2015 Series U 10a Name and title of officer or other employee ofthe issuer whom the IRSmaycallfor more information (see instructions) 10b Telephone number of officer or other employee shown on10a years years N/A 3,251,197 3.6984 % -0- (e)Yield 89,698,009 92,949,206 N/A N/A 15 11 92,949,206 12 13 14 18 17 16 Form 8038-G (Rev.9-2011) ~:.:::{::~;.:,.:::,~)rf. t';--,'. !'::. ~-_.~~--- 907.450.8079 (c)Stated redemption (d)Weighted price at maturity average maturity(b)Issue price 10/01/2044 ,92,949,206 $86,085,000 18.471 ears Description of Obligations.Complete for the entire issue for which this form is being filed. Uses of Proceeds of Bond Issue (including underwriters'discount) (a)Final maturity date 22Proceedsusedforaccruedinterest 23Issuepriceofentireissue(enteramountfromline21,column(b» 24Proceedsusedforbondissuancecosts(includingunderwriters'discount).24 458,278 25Proceedsusedfor credit enhancement.25 -0- 26Proceedsallocatedtoreasonablyrequiredreserveor replacement fund26 2,792,919 27Proceedsusedto currently refundpriorissues 27 -0- 28Proceedsusedtoadvancerefundpriorissues 28 -0- 29Total(addlines24through28). 30Nonrefunding proceeds oftheissue(subtractline 29 fromline23andenteramounthere) Description of Refunded Bonds.Complete this part only for refunding bonds. Entertheremainingweightedaveragematurityofthebondstobe currently refunded.~ Entertheremainingweightedaveragematurityofthebondstobeadvancerefunded ~ Enterthelastdateonwhichtherefundedbondswillbecalled(MM/DDIYYYY)~ 34Enterthedaters)therefunded bonds wereissued ~(MMlDDIYYYY) Myron J.Dosch,Controller •.I)Type of Issue (enter the issue price).Seethe instructions andattachschedule. 11 Education. 12Healthandhospital 13 Transportation 14Public safety. 15Environment(includingsewagebonds) 16Housing 17 Utilities 18Other.Describe ~.,-,----c:-,...,.-,---,-------,--------,----,------=------------------=----=... 19IfobligationsareTANsorRANs,checkonlybox19a IfobligationsareBANs,checkonlybox 19b 20Ifobligationsareintheformofaleaseorinstallmentsale,checkbox For Paperwork Reduction Act Notice,see separate instructions.Cal.No.63773S Form 8038-G (Rev.9-2011)Page 2 Miscellaneous 35Entertheamountofthestatevolumecapallocatedtotheissueundersection141(b)(5)35 NJA 36aEntertheamountofgross proceeds investedortobeinvestedinaguaranteedinvestment contract iiiDi (GIG)(see instructions)36a -0- bEnterthefinal maturity dateoftheGIC ~_ CEnterthenameoftheGIC provider ~ 37Pooledfinancings:Enterthe amount oftheproceedsofthisissuethataretobeusedtomakeloans toothergovernmentalunits. 388Ifthisissueisaloanmadefromthe proceeds ofanother tax-exempt issue,checkbox ~ bEnterthedateofthemasterpool obligation ~,:S:..:e:.o::p.::te",m:..:b:..:e",r...:l.::6,-"2::.:0:..:1.::5 ---:-=-,..,..,.---::-::-_ C EntertheEINoftheissuerofthemasterpool obligation ~92·6001185 dEnterthenameoftheissuerofthe master pool obligation ~AlaskaMunicipalBondBank 39Iftheissuerhasdesignatedtheissue under section 265(b)(3)(B)(i)(III)(smallissuerexception),checkbox ~0 40Iftheissuerhaselectedtopayapenaltyinlieuofarbitragerebate,check box.~0 41aIftheissuerhas identified ahedge,check here ~0 andenterthe following information: bNameofhedge provider ~ cTypeofhedge ~_ dTermofhedge ~_---:-__---:---:----,----:_---,-_:-:-_ 42Iftheissuerhas superintegrated thehedge,checkbox ~0 43Iftheissuerhas established written procedures toensurethatall nonqualified bonds ofthisissueareremediated according tothe requirements undertheCodeandRegulations(see instructions),checkbox.~[{] 44Iftheissuerhas established written procedures to monitor the requirements ofsection148,checkbox.~[{] 45aIfsomeportionofthe proceeds wasusedtoreimburse expenditures,checkhere ~0 andentertheamount of reimbursement ..~ bEnterthedatetheofficialintentwas adopted ~ Signature and Consent Paid Preparer Use Only Underpenaltiesofperjury,IdeclarethatIhaveexaminedthisreturnand accompanying schedulesand statements,andtothebestofmy knowledge andbelief,theyaretrue,correct,and complete.Ifurtherdeclarethat J consent totheIRS's disclosure ofthe issuer's return infonnation,asnecessaryto processthisreturn,tothepersonthatIhave authorized above. ~~J.~September16,2015 ~Myron J.Dosch,Controller ,Signatureofissuer'sauthorizedrepresentative Date ,Typeorprintnameandtitle printfT~e preparer'sname Ipreparer's signature{J t A A I Date I Check 0 if IPTIN Eric W:-livohlforth ~C;.W o/y\'u.!-J'I---September 16,2015 self-employed I P01787035 Firm'sname ..Wohlforth,Brecht &Cartledge.APC I Firm'sEIN ..92-0046684 Firm's address"900W.5thAvenue,Suite 600,Anchorage.AK 99501 I Phoneno.907-276-6401 Form 8038-G (Rev.9-2011) CERTIFICATE OF CLERK I.CherylBerntsen,CityClerkoftheCityofKingCove,Alaska(the"City"), HEREBYCERTIFYthatthe document attachedheretoisanaccurateandcomplete copyofResolution14-04oftheCityadoptedbytheCityCouncilatameetingduly calledandheld September 16,2013,andthatResolution14-04hasnotbeenmodified, amended,repealed,orrescinded,butisinfullforceandeffectonthedatehereof. INWITNESSWHEREOF,Ihaveexecutedthiscertificatethis16th dayof September,2015. CherylBerntsen CityClerk,CityofKingCove,Alaska CITYOFKINGCOVE RESOLUTION14-04 ARESOLUTIONOFTHE COUNCIL OFTHECITYOFKINGCOVE,AUTHORIZINGTHE ISSUANCEOFELECTRIC UTILITY REVENUEBONDSOFTHECITYINONEORMORE SERIESTOFINANCEANDREFINANCEELECTRICUTILITY IMPROVEMENTS;CREATING ALIENONNETREVENUEOFTHEELECTRICUTILITYFORTHEPAYMENTOFTHE BONDS;AND ESTABLISHING COVENANTS OFTHECITY RELATED TOTHEBONDS. WHEREAS,theCityofKingCove,Alaska(the"City")isafirst-classcityandunder Section5.05.115ofitsCodeofOrdinancesandtheprovisionsoftheAlaskaMunicipalCode (AS29)hasthepowertoissuerevenuebondsforcapital improvements withoutseekingvoter approval;and WHEREAS,theCityownsandoperatesanelectricutility(asfurtherdefinedin Section1,the"ElectricUtility")asarevenue-producingpublicenterprise;and WHEREAS,itisnecessaryandinthebestinterestoftheCityanditsresidentsthatthe Citynowprovidefortheissuanceofoneormoreseriesof electric utilityrevenuebondsto financeandrefinanceimprovementstotheElectricUtility,and for anyotherpurposeofthe ElectricUtilitynoworhereafterpermittedbylaw; NOW,THEREFORE,BEITRESOLVEDBYTHE COUNCIL OFTHECITYOFKING COVE,ALASKA: Section 1.Definitions.The follOWing termsshallhavethe follOWing meaningsinthis MasterResolution: "Aggregate AnnualDebtService"means,foranyFiscalYear,thetotalamountofDebt ServiceonallBondsthenOutstanding. "AnnualDebtService"means,withrespecttoanyBonds for anyFiscalYear,thetotal amountofDebtServiceonsuchBonds. "AverageAnnualDebtService"means,withrespecttoanyBondsatanytime,thetotal amountofDebtServiceonsuchBondsscheduledtobepaid thereafter,dividedbythenumber ofFiscalYearsinwhichsuchDebtServiceisscheduledtobepaid. "BasePeriod"meansanyconsecutive12-monthperiodselectedbytheCityoutofthe 3D-monthperiodprecedingthedateofissuanceofaseriesofBonds. "BondRegister"meanstheregistrationbooksmaintainedbytheRegistrarthatinclude thenamesandaddressesoftheownersornomineesoftheownersoftheBonds. "Bonds"meansthebonds,notesorotherevidencesof indebtedness issuedfromtimeto timeinseriesinaccordancewiththeprovisionsofthisMasterResolution. "City"meanstheCityofKingCove,Alaska,afirst-classcityorganizedandeXisting undertheConstitutionandlawsoftheStateofAlaska. 5131689'12.1 "CityRepresentative"meanseachoftheCity Administrator andthe Administrative ManageroftheCity,orsuchotherpersonwhomaybedesignatedassuchfromtimetotimeby resolutionoftheCouncil. "Consultant"meansanindependentprofessionalengineerorengineeringfirm experiencedinelectricutilitymattersappointedbytheCitytoperformthedutiesof Consultant underthisMasterResolution.Forthepurposesofdeliveringanycertificaterequiredby Section5andmakingthecalculationsrequiredbySection5,theterm"Consultant"alsoshall includeany independent publicaccountingfirmappointedbytheCitytomakesuchcalculation ortoprovidesuchcertificate. "CostsofConstruction"meansallcostspaidorincurredbytheCityinconnectionwith theacquisitionandconstructionofcapitaladditions,improvementsandbettermentstoand extensionsoftheFacilities,andtheplacingofthesameinoperation,includingwithoutlimitation payingalloraportionoftheinterestontheseriesofBondsoranyportionthereofissuedto financethecostsofsuchimprovementsduringtheperiodofconstructionofsuchimprovements andforaperiodoftimethereafter;payingamountsrequiredtomeetanyreserverequirement forthefundoraccountestablishedormaintainedforsuchseriesofBonds;payingor reimbursingtheCityoranyfundthereoforanyotherpersonfor expenses incidentandproperly allocabletotheacquisitionandconstructionofsuchimprovementsandtheplacingofthesame inoperation;andallotheritemsofexpenseincidentandproperlyallocabletotheacquisition andconstructionofsuchadditionsandimprovements,thefinancingofthesameandtheplacing ofthesameinoperation. "Council"meansthegeneral legislative authorityoftheCity,asthesamemaybe constitutedfromtimetotime. "CoverageRequirement"means,for anyFiscalYearorBasePeriod,thatNetRevenue isequaltoor greater than125percentofAggregateAnnualDebtService. "DebtService"means,withrespecttoanyBondsforanyFiscalYear,anamountequal tothesumof(1)theprincipalamountofsuchBondsdueorsubjecttomandatoryredemption duringsuchperiodandforwhichnosinkingfundinstallmentshavebeenestablished,(2)the amountofanypaymentrequiredtobemadeduringsuchperiodintoanysinkingfund establishedforthepaymentofsuchBonds,and(3)allinterestpayableduringsuchperiodon suchBondsandwithrespecttoBondswithmandatorysinkingfundrequirements,calculatedon theassumptionthatmandatorysinkingfundinstallments will beappliedtotheredemptionor retirementofsuchBondsonthedatespecifiedintheSeriesResolutionauthorizingsuchBonds. "ElectricUtility"meanstheelectricutilityoftheCityasthesamemaybeaddedto, improvedandextended. "Electric UtilityRevenueFund"meanstheelectricutilityfundoftheCity. "Facilities"meansallequipmentandallproperty,realandpersonal,oranyinterest therein,whether improvedorunimproved,noworhereafterowned,operated,used,leasedor managedbytheElectricUtilityandwhichcontributeinsomemeasuretoGrossRevenue. "FiscalYear"meansthefiscalyearoftheCity,whichcurrentlyisthe12-monthperiod commencingonJuly1andendingthefollowingJune30. 2 "GrossRevenue"meansallincome,receiptsandrevenuederivedbyorfortheaccount oftheElectricUtilityfromtimetotimefromanysourcefromtheownership,leasingoroperation oftheFacilities,andallearningsonanyfundoraccountthatispledgedtosecuretheBonds. However,thefollowingshallbeexcludedfromGrossRevenue:(1)theproceedsofany borrowingbytheCityandtheearningsthereon(otherthanearningsonproceedsdepositedin reservefunds);(2)proceedsofinsuranceorcondemnationproceeds other thanbusiness interruptioninsurance;and(3)incomefrominvestmentsirrevocablypledgedtothepaymentof BondsissuedortobedefeasedunderanyrefundingbondplanoftheElectricUtility. "MasterResolution"meansthisResolutionNo.14-04. "MaximumAnnualDebtService"means,withrespecttoanyBondsasofanydate,the highestAnnualDebtServiceonsuchBondsineachFiscal Year thereafter inwhichsuchBonds arescheduledtoremainOutstanding. "NetRevenue"means,foranyFiscalYearorBasePeriod,GrossRevenuelessanypart thereofthatmustbeusedtopayOperatingExpenses. "OperatingExpenses"meansthecurrentexpensesincurredforoperation,maintenance orrepairoftheFacilitiesofanon-capitalnature,andshallinclude without limitationpayments requiredbyany power purchaseagreements,sourceofsupplyexpenses,fuelexpenses, production,transmission and distribution expenses,customer accounts expenses, administrativeandgeneralexpenses,insurancepremiums,leaserentals,legalandengineering expenses,paymentstopension,retirement,grouplifeinsurance,healthandhospitalization fundsorother employee benefitfundsthatareproperly chargeable tocurrentoperations, intereston customer deposits,payrolltaxexpenses,andanyother expenses requiredtobe paidunderthe provisions ofthisMasterResolutionorbylaworpermittedbystandardpractices forpublicelectricutilitysystemssimilartothepropertiesandbusinessoftheElectricUtilityand applicableinthe circumstances.OperatingExpensesshallnotincludepaymentsoftaxesor assessments(or payments inlieuoftaxesor assessments)totheCity,payments withrespect tojudgments,any allowances fordepreciationoramortization,oranyprincipal,redemptionprice orpurchasepriceof,orintereston,any obligations oftheCityincurredin connection withthe FacilitiesandpayablefromGrossRevenue;provided,thatOperating Expenses shallinclude debtserviceon obligations enteredintoforthepurchaseofuptoone year's advancesupplyof bulkfuelorother supplies otherwiseincludedwithinthisdefinitionof Operating Expenses. "Outstanding"means,asofanydate,anyBondstheretoforeissued except suchBonds deemedtobeno longer OutstandingasprovidedintheSeries Resolution authorizingthe issuancethereof. "PriorBonds"means the electric utilityrevenuebondsoftheCityissuedin1995,stated tomaturein2020,bearinginterestat5.50 percent perannumand outstanding asofJune30, 2013,intheaggregateprincipalamountof$835,753. "RegisteredOwner"meansthepersonnamedastheregistered owner ofaBondinthe BondRegister. "Registrar"means the[City's Administrator],oranyotherperson that theCouncilmay appointfromtimetotimebyresolutionorbyaSeriesResolution,toactasregistrarforoneor moreseriesofBonds. 51316694.2 3 "SeriesResolution"meansaresolutionauthorizingtheissuanceofaseriesofBonds,as suchresolutionmay thereafter beamendedorsupplemented.EachSeriesResolutionshallbe supplementaltothisMasterResolution. "2013Bonds"meanstheCityofKingCove,Alaska,ElectricUtilityRevenueBonds,2013 authorizedbyResolutionNo.14-04. Section 2.PriorityofUseofGrossRevenue.TheCityshall deposit allGross RevenueintheElectricUtilityRevenueFundascollected.TheElectricUtilityRevenueFund shallbeheldseparateandapartfromallotherfundsandaccountsoftheCity,andtheGross Revenuedepositedthereinshallbeusedonlyforthefollowingpurposesandinthefollowing orderofpriority: First,topayOperatingExpensesnotpaidfromothersources; Second,tomakeallpayments,includingsinkingfundpayments,requiredtobemade intothedebtserviceaccountofanyBondredemptionfundandtopaytheprincipalofand interestandpremium,ifany,onanyBonds; Third,tomakeallpaymentsrequiredtobemadeintoanyreserveaccountestablishedto securethepaymentofanyBonds; Fourth,tomakeallpaymentsrequiredtobemadeintoanyother electric utilityrevenue bondredemptionfundanddebtserviceaccountorreserveaccountcreatedthereintopayand securethepaymentofanyelectricutilityrevenuebondsorotherelectricutilityrevenue obligationsoftheCitysecuredbyalienonNetRevenueandthemoneyintheElectricUtility RevenueFundjuniorandinferiortothelienthatsecurespaymentoftheBonds;and Fifth,toretirebyredemptionorpurchaseintheopenmarketanyoutstandingelectric utilityrevenuebondsorotherelectricutilityrevenueobligationsoftheCityasauthorizedinthe variousresolutionsoftheCityauthorizingtheirissuance,ortomake necessary additions, betterments,improvements andrepairstoorextensionsandreplacementsoftheFacilities,or anyotherlawfulCitypurposes,excepttotheextentofanydeficienciesin payments forFirst, Second,ThirdorFourthpurposes. Section 3.AuthorizationofBonds.TheCityherebyisauthorizedtoissueelectric utilityrevenuebondsoftheCity,tobeknownasthe"CityofKingCove,Alaska,ElectricUtility RevenueBonds,"fromtimetotimeinseries,andwithoutlimitationastoaggregateprincipal amount.EachseriesofBondsmaybeissuedinsuchamountanduponsuchtermsand conditionsastheCouncilmayfromtimetotimedeemtobenecessaryoradvisable,forany purposesoftheElectricUtilitynoworhereafterpermittedbylaw,butonlyuponcompliancewith theapplicableconditionsfortheirissuanceinSection5. AllBondsshallbesecuredbyaparitylienonNetRevenueuponthe fulfillment ofthe conditionsfortheirissuanceunderthisMasterResolution.Fromandafterthetimeofissuance anddeliveryoftheBondsofeachseries,andsolong thereafter asanyofthesameremain Outstanding,theCityherebyirrevocablyobligatesandbindsitselftosetasideand payout of NetRevenueintothespecialfundscreatedforthe payment oftheBondsofsuchseries,onor beforetheduedate,theamountnecessarytopayprincipalorinterestcomingdueontheBonds ofsuchseries.Suchamountssopledgedtobepaidintosuchspecialfundsareherebydeclared tobealienonGrossRevenuesuperiortoall other liensandchargesofanykindornature 51316894 2 4 ( whatsoeverexceptforOperatingExpensesandexceptforparityliensthatmaybe made to securepaymentofanyseriesofBondsissuedin accordance withtheprovisionsofthis Master Resolution. TheBondsshallnotinanymannerortoanyextentconstitutegeneral obligations ofthe CityortheStateofAlaskaorofanypoliticalsubdivisionoftheStateofAlaska.Neither the faith andcreditnorthetaxingpoweroftheCityispledgedforthepaymentoftheBonds. Section 4.SeriesResolution.EachseriesofBondsshallbeauthorizedbyaSeries Resolution,whichshall,amongotherprovisions,specifyorprovidefor: (a)theauthorizedprincipalamount,designationandseriesofsuchBonds; (b)thegeneralpurposeorpurposesforwhichsuchseriesofBondsisbeingissued, andthedeposit,disbursement andapplicationofthe proceeds ofthesaleoftheBonds of such series; (c)thedateordates,andthematuritydateordates,oftheBondsofsuchseries, andtheprincipalamountmaturingoneachmaturitydate; (d)theinterestrateorratesontheBondsofsuchseries,theinterest payment date ordatesthereforandthetaxstatusthereof; (e)thecircumstances,ifany,underwhichtheBondsofsuchserieswillbe deemed tobeno longer Outstanding; (f)the denominations of,andthe manner ofdating,.numbering,and,if necessary, authenticating,theBondsofsuchseries; (g)thepayingagentorpayingagents,ifany,fortheBondsofsuchseriesandthe dutiesandobligationsthereof; (h)theplaceorplacesofpaymentoftheprincipal,redemptionprice,ifany,or purchaseprice,ifany,ofandintereston,theBondsofsuchseries; (i)theRegistrarfortheBondsofsuchseriesandthedutiesandobligationsthereof; U)theformorformsoftheBondsofsuchseriesandtheprovisions for the registration,transferand exchange oftheBondsofsuchseries; (k)thetermsandconditions,ifany,forthe redemption or prepayment oftheBonds ofsuchseriespriortomaturity,includingtheredemptionor prepayment dateordatesandprice orpricesandotherapplicable redemption orprepaymentterms; (I)themannerofsaleoftheBondsofsuchseries; (m)ifso determined bytheCity,the authorization ofandanytermsandconditions withrespecttocredit support for theBondsofsuchseriesandthepledgeorprovisionofmoney, assetsorsecurityotherthanNetRevenuetoorforthe payment oftheBondsofsuchseriesor anyportionthereof; 51316694,2 5 (n)aspecialfundor account toprovideforthe payment oftheBondsofsuchseries and,ifsodeterminedbytheCity,anyotherspecificfundsoraccounts,including without limitationreservefundsoraccounts,fortheBondsofsuchseriesandtheapplicationof money orsecuritiestherein;and (0)anyotherprovisionswhichtheCitydeems necessary ordesirablein connection withtheBondsofsuchseries. ConcurrentlywiththeadoptionofthisMasterResolution,theCitywilladopt Resolution 14-05authorizingtheissuanceofnottoexceed$3,100,000in aggregate principal amount of 2013Bonds. Section 5.LimitationsonIssuanceofBonds.TheCityshallnotissueanyBonds unlessprovisionhasbeenmadefortheretirementor defeasance of alloftheoutstandingPrior Bonds.Exceptforthe2013Bonds,theCityshallnotissueanyseriesofBondsorincurany additionalindebtednesswithalienonNetRevenueona parity withthelienthat secures paymentoftheBondsthen Outstanding unlesstheCity satisfies theapplicableconditionsfor theissuanceofsuchseriesinthisSection. (a)ProjectCompletion.TheCitymayissueBondsiftheCityshallnothavebeenin defaultofitscovenantunderSection6(a)fortheprecedingFiscalYear,andtheBondsare beingissuedtopayCostsof Construction ofFacilitiesforwhichBondshavebeenissued previouslyandtheprincipalamountofsuchBondsbeingissuedforcompletionpurposesdoes notexceedanamountequalto15percentofthe aggregate principalamountofBonds theretoforeissuedtofinancesuchFacilitiesandreasonably allocable totheFacilitiestobe completedasshowninawritten certificate oftheCity Representative,andthereisdelivereda Consultant's certificatestatingthatthenatureandpurposeofsuchFacilitieshasnotmaterially changed. (b)Purposesofthe Electric Utility.TheCitymayissueBondsiftheCityshallnot havebeenindefaultofitscovenantunderSection6(a)forthe preceding FiscalYear,andthe Bondsarebeingissuedtofinance necessary additions,betterments,improvementsandrepairs toor extensions and replacements oftheFacilities,upon delivery ofacertificatepreparedas describedinparagraph(1)or(2)ofthissubsection. (1)CertificateoftheCityWithouta Consultant.TheCitymaydelivera certificate withouta Consultant if,basedonNetRevenuefortheBasePeriod(confirmed byan independent audit),theCoverage Requirement willbesatisfiedineachFiscal Year thatBondsare scheduled tobeOutstanding,commencing withthefirstfullFiscal Year followingthedateonwhichanyportionof interest ontheseriesofBondsthen beingissuedwillbepaidfromasourceotherthanthe proceeds ofsuchseriesofBonds. (2)Certificate ofConsultant.UnlesstheCitymay deliver acertificatewithout a Consultant asprovidedinparagraph(1)ofthis subsection,theCityshall deliver a certificate ofa Consultant demonstrating thatthe Coverage Requirement willbesatisfied ineachFiscalYearthatBondsarescheduledtobe Outstanding,commencingwiththe first fullFiscalYearfollowingthedateonwhichany portion ofinterestontheseriesof Bondsthenbeingissuedwillbepaidfromasource other thantheproceedsofsuch seriesofBonds.Inmakingthe computations forthe purpose ofcertifyingcompliance withtheCoverage Requirement ofthisSection,the Consultant shalldetermineNet Revenuebyaddingthe following: 513166942 6 (i)ThehistoricnetrevenueoftheElectricUtilityfortheBasePeriod. (ii)ThenetrevenuederivedfromcustomersoftheElectricUtilitythat havebecomecustomersduringtheBasePeriodor thereafter andpriortothedateof suchcertificate,adjustedtoreflectafullyear'sNetRevenuefromeachsuchcustomerto theextentsuchnetrevenuewasnotincludedundersubparagraph (i)ofthis paragraph(2). (iii)Theestimatedannualnetrevenuetobederivedfromany customerunderanyexecutedcontractforelectricservice,whichnetrevenuewasnot includedinanyoftheothersourcesofnetrevenuedescribedinthisparagraph(2). (iv)Theestimatedannualnetrevenuetobederivedfromthe operationofanyadditionsorimprovementstoorextensionsoftheFacilitiesunder constructionbutnotcompletedatthetimeofsuchcertificateandnotbeingpaidforout oftheproceedsofsaleofsuchBondsbeingissued,andwhichnetrevenueisnot otherwiseincludedinanyofthesourcesofnetrevenue described inthisparagraph(2). (v)Theestimatedannualnetrevenuetobederivedfromthe operationofanyadditionsand improvements toorextensionsoftheFacilitiesbeingpaid foroutoftheproceedsofsaleofsuchBondsbeingissued. IftheElectricUtilitywillnotderiveanyrevenueasaresultoftheconstructionof additions,improvementsorextensionsbeingortobemadetotheFacilitieswithinthe provisionsofsubparagraphs(iv)or(v)ofthisparagraph(2),theestimatedannual OperatingExpensesofsuchadditions,improvementsand extensions shallbededucted fromestimatedannualnetrevenue. Theterms"historicnetrevenue"or"netrevenue"asusedinthisparagraph(2) shallmeantheGrossRevenueoranypartorparts thereof lessthenormalexpensesof maintenanceandoperationoftheFacilitiesoranypartorpartsthereof,butbefore depreciation.Such"historicnetrevenue"or"netrevenue"shallbeadjustedtoreflectthe electricratesandchargeseffectiveonthedateofsuchcertificateiftherehasbeenany changeinsuchratesandchargesduringoraftertheBasePeriod. (c)RefundingforDebtServiceSavings.TheCitymayissueBondsforthepurpose ofrefundingOutstandingBondswhen,ineachFiscalYear thereafter thattheBondsare scheduledtoremainOutstanding,the Aggregate AnnualDebtServiceaftertheissuanceofthe refundingBondswillnotbegreaterthantheAggregateAnnualDebtServiceifsuchrefunding didnotoccur. Section 6.SpecificCovenants.TheCityhereby covenants withtheRegistered OwnersforaslongasanyBondsremainOutstanding: (a)RateCovenant.TheCitywillestablish,maintainandcollectrentals,tariffs,rates, feesandchargesintheoperationofthebusinessoftheElectricUtilitythatwillproduceNet Revenue sufficient tosatisfytheCoverageRequirementineachFiscalYear. IftheNetRevenueinanyFiscalYearisnot sufficient tosatisfytheCoverage Requirement,thentheCitywillretaina Consultant tomake recommendations astooperations andtherevisionofschedulesofrentals,tariffs,rates,feesandcharges,andonthebasisof 51316694.2 7 suchrecommendationsandotheravailableinformationtheCitywill establish suchrentals, tariffs,rates,feesandchargesforElectricUtilityservicesandoperationsasare necessary to produceNetRevenuesufficienttosatisfytheCoverageRequirementintheFiscalYearduring whichsuch adjustments aremade.IftheCityhastakenthestepssetforthinthisparagraphand theNetRevenueintheFiscalYearinwhich adjustments aremade nevertheless isnot sufficient tosatisfytheCoverage ReqUirement,suchfailuretocomplywiththe covenant setforthinthis subsectionshallnot constitute adefaultunderthisMasterResolution. (b)Maintenance andRepairs.TheCitywillmaintain,preserve andkeepthe Facilitiesingoodrepair,workingorderandcondition;willfromtimetotimemakeorcausetobe madeallnecessaryandproperrepairs,renewalsandreplacementstheretosothatthe business carriedonin connection therewithmaybeproperlyand advantageously conducted;andwillat alltimesoperatetheElectricUtilityinan efficient mannerandata reasonable cost. (c)Insurance.TheCitywillcarryfireandothercasualty insurance ontheFacilities tothefullinsurablevaluethereof,andwillalsocarryadequatepublicliabilityinsuranceandsuch otherformsof insurance asundergoodbusinesspracticesare ordinarily carriedonsuchplant andequipment.SuchinsurancealsomaybemaintainedbytheCity through aprogramofself- insurance. (d)Extensions orBetterments.TheCitywillnotexpendanyofthemoneyinthe ElectricUtilityRevenueFundforanyextensionsorbettermentswhicharenot economically soundandwhichwillnotcontributetothe operation oftheElectricUtilityinan efficient and economicalmanner,unlesssuchextensionsarerequiredbylaworanyregUlatorybodyhavinq jurisdiction. (e)Accounting.TheCitywillkeepandmaintainproper books andaccountswith respecttothe operation oftheElectricUtilityinsuch manner as prescribed byanyauthorities having jurisdiction overtheElectricUtilityandwillcauseitsbooksof account tobeaudited annuallyby competent certifiedpublicaccountants,copiesofwhichauditsshall,uponrequest, befurnishedtoRegisteredOwners.SuchauditsshallshowwhetherornottheCityhasinall respectperformedandcompliedwiththe covenants setforthinthis Master Resolution. (f)BondingofEmployees.All employees andagentsoftheCitycollectingor handlingmoneyoftheCityinconnectionwiththe management and operation oftheElectric Utilityshallbebondedinanamount commensurate withthefundstheyhandleandinan amountsufficientto protect theCityfromloss. (g)DisposalofElectricUtility.TheCitywillnotsellor otherwise disposeof substantiallyalloftheFacilitiesorotherpropertiesofthe Electric Utility,unless contemporaneously withsuchsaleordisposalthereshallbepaidintoaspecialfundasum sufficient(togetherwithinvestmentincome thereon)todefeaseallBondsthenOutstandingto thedateordatesonwhichtheyfirstmayberedeemed. TheCitymaysellordisposeofanyportionoftheFacilitiesor other propertiesofthe ElectricUtilitytorelatedorunrelatedentities;provided,thatifsuch properties constitutefive percentor greater ofthe"bookvalue"ofthe Electric Utility'spropertiesor generate fivepercent or greater oftheNetRevenueoftheElectricUtilityatthetimeofsuchsaleordisposition,the ElectricUtilityhasonhandareportfroma Consultant verifyingthatthe Coverage Requirement willbesatisfiedineachofthenextthreefullFiscalYears. 51316894 2 8 TheCityalsomaysell,disposeoforconveyanyassetsthatareno longer deemedtobe usefultotheoperationsoftheElectricUtility. Section 7.AmendatoryandSupplementalResolutions. (a)TheCouncilfromtimetotimeandatanytimemayadoptaresolutionor resolutionssupplementalhereto,whichresolutionorresolutions thereafter shallbecomeapart ofthisMasterResolution,for anyone ormoreofthefollowingpurposes: (1)ToprovidefortheissuanceofaseriesofBonds pursuant toSection4, andto prescribe thetermsandconditionspursuanttowhichsuchBondsmaybeissued, paidorredeemed. (2)Toaddcovenantsand agreements oftheCityforthe purpose offurther securingthepaymentoftheBonds,providedthatsuchadditionalcovenantsand agreementsarenotcontrarytoor inconsistent withthecovenantsand agreements ofthe CitycontainedinthisMasterResolution. (3)Toprescribefurther limitations andrestrictionsupontheissuanceof BondsandtheincurringofindebtednessbytheCitypayablefromNetRevenuewhich arenotcontrarytoorinconsistentwiththelimitationsandrestrictions thereon theretofore ineffect. (4)Tosurrenderanyright,powerorprivilegereservedtoorconferredupon theCitybythetermsofthisMasterResolution. (5)Tomakesuchprovisionsforthepurposeofcuringany ambiguities orof curing,correctingorsupplementingany defective provisioncontainedinthisMaster Resolutionorinregardtomattersor questions arisingunderthis Master Resolutionas theCouncilmaydeemnecessaryor desirable andnot inconsistent withthisMaster Resolutionandwhichshallnotadverselyaffecttheinterestsofthe Registered Owners. Anysuch supplemental resolutionmaybeadoptedwithouttheconsentofany RegisteredOwner,notwithstanding anyoftheprovisionsofsubsection(b)ofthisSection. (b)WiththeconsentoftheRegisteredOwnersofnotless than 60percentin aggregateprincipal amount oftheBondsthen Outstanding,theCouncilmay adopt aresolution orresolutions supplemental heretoforthepurposeofaddinganyprovisionstoorchangingin anymanneror eliminating anyoftheprovisionsofthisMaster Resolution orofany supplementalresolution;provided,thatnosuch supplemental resolutionshall: (1)extendthefixedmaturityofanyoftheBonds,orreducetherateof interestthereon,orreducetheamountorchangethedateofanysinkingfund installment,orextendthetimeofpaymentsofinterestfrom their duedate,orreducethe amountoftheprincipalthereof,orreduceanypremiumpayableontheredemption thereof,without theconsentoftheRegistered Owner ofeachBondsoaffected;or (2)reducetheaforesaid percentage of Registered Ownersrequiredto approveanysuchsupplementalresolution,without theconsentoftheRegistered OwnersofalloftheBondsthenOutstanding. 513168942 9 ItshallnotbenecessaryfortheconsentoftheRegisteredOwnersunderthis subsection toapprovetheparticularformofanyproposedsupplementalresolution,butitshallbe sufficient ifsuchconsentapprovesthesubstancethereof. (c)UpontheadoptionofanysupplementalresolutionunderthisSection,thisMaster Resolutionshallbedeemedtobemodifiedandamendedinaccordancetherewith,andthe respectiverights,dutiesandobligationsunderthis Master ResolutionoftheCityandall RegisteredOwnersshall thereafter besubjectinallrespectstosuch modification and amendment,andallthetermsandconditionsofthe supplemental resolutionshallbe deemed to bepartofthetermsandconditionsofthisMasterResolutionforanyandallpurposes. (d)Bondsofanyseriesdeliveredaftertheeffectivedateofany amendment adopted under thisSectiontothis Master ResolutionortheSeriesResolutionwithrespecttothatseries maybearanotationastoanymatterprovidedforinsuchsupplementalresolution,andifsuch supplementalresolutionshallsoprovide,newBondsmodifiedsoastoconform,intheopinion oftheCity,tothetermsofanysuchsupplemental resolution maybepreparedbytheCityand deliveredwithoutcosttotheRegisteredOwners,upon surrender forcancellationofsuchBonds inequalaggregateprincipalamounts. Section 8.NoticetoRegisteredOwners.ExceptasthisMasterResolution specificallyprovidesotherwise,anynoticeunderthis Master ResolutiontoRegistered Owners maybegivenbyfirst-classmail,postageprepaid,tosuchRegisteredOwnersattheir respective addressesappearingupontheBondRegister. Section 9.Resolutions aContractwith Registered Owners.In consideration ofthe purchaseandacceptanceoftheBondsbythosewhoshallownthesamefromtimetotime,the provisionsofthisMaster Resolution andofanySeries Resolution shall constitute a contract with eachRegisteredOwner,andtheobligationsoftheCity under thisMasterResolutionandunder anySeriesResolutionshallbeenforceablebyanycourtof competent jurisdiction;andthe covenantsandagreementshereinsetforthtobe performed onbehalfoftheCityshallbe for the equalbenefit,protectionandsecurityofeachRegisteredOwner. Section 10.Severability.If anyone ormoreofthecovenantsoragreementssetforth inthisMasterResolutiontobeperformedonthepartoftheCityshallbedeclaredbyanycourt ofcompetent jurisdiction tobecontrarytolaw,thensuchcovenantorcovenantsoragreement oragreementsshallbenullandvoidandshallbe deemed separablefromtheremaining covenantsand agreements inthisMasterResolutionandshallinnowayaffectthevalidityof theotherprovisionsoftheBondsorofthisMaster Resolution. Section 11.EffectiveDate.ThisMaster Resolution shalltakeeffectuponpassage andadoption. PASSEDAND ADOPTED byadulyconstituted quorum oftheCounciloftheCityofKing Covethis __dayof September,2013. 51316894 2 10 SEP-17-2013 12:15 CITYOF KING COlJE 9074972594 CITY OF KING COVE Hen~W~ P.04 { ATIEST: '&~~t,~ Ayes...J-Abstained --.lL- Nays __L Absent .....L 5t~'6_.2 11 TOTPlL P.04 CERTIFICATE OF CLERK I.CherylBerntsen,CityClerkoftheCityofKingCove,Alaska(the"City"), HEREBY CERTIFY thatthe document attachedheretoisanaccurateandcomplete copyofResolution14-05oftheCityadoptedbytheCityCouncilatameetingduly calledandheldSeptember16,2013,andthatResolution14-05hasnotbeenmodified, amended,repealed,orrescinded,butisinfullforceandeffectonthedatehereof. IN WITNESS WHEREOF,Ihaveexecutedthis certificate this16th dayof September,2015. CityClerk,CityofKingCove,Alaska CITYOFKINGCOVE RESOLUTION14-05 ARESOLUTIONOFTHECOUNCILOFTHECITYOFKINGCOVE,AUTHORIZING THE ISSUANCEAND SALE OFELECTRIC UTILITY REVENUEBONDSOFTHECITYINONE ORMORESERIESINTHE AGGREGATE PRINCIPAL AMOUNTOFNOTTOEXCEED $3,100,000,TOFINANCEELECTRIC UTILITY IMPROVEMENTS,INCLUDING THE WATERFALL CREEK HYDROELECTRIC PROJECT,ANDTO REFINANCE EXISTING INDEBTEDNESSOFTHEELECTRIC UTILITY;ESTABLISHING THETERMSOFTHE BONDS;AND AUTHORIZING THESALEOFTHEBONDS. WHEREAS,theCityofKingCove,Alaska(the"City")isa first-class cityandunder Section5.05.115ofitsCodeofOrdinancesandtheprovisionsofthe Alaska MunicipalCode (AS29)hasthepowertoissuerevenuebondsforcapital improvements without seekingvoter approval;and WHEREAS,theCityhasauthorizedtheissuanceofelectricutilityrevenuebondsinone ormoreseries pursuant toResolutionNo.14-04,adoptedon September __'2013(the "MasterResolution");and WHEREAS,itisnecessaryandinthebestinterestoftheCityanditsresidentsthatthe Cityissueandselloneormoreseriesofelectricutilityrevenuebondsto finance improvements totheElectricUtility,includingtheWaterfall Creek hydroelectric project(the"Project"),andto reimbursetheCityforanyexpendituresonsuchimprovements;and WHEREAS,itisnecessaryandinthebestinterestoftheCityanditsresidentsthatthe CityrefundthePriorBondstoeffectasaVingsindebtservice;and WHEREAS,theCouncilfindsthatitisnecessaryand appropriate todelegatetoeach CityRepresentativeauthoritytodeterminethe maturity amounts,interestratesandotherdetails ofthebonds,andto determine othermattersthatarenotprovidedforinthisresolution;and WHEREAS,theCityintendstosellitsbondstotheAlaska Municipal BondBank(the "BondBank"),whichwillpurchasethebondswiththeproceedsofanissueofitsgeneral obligationbonds;and WHEREAS,therehasbeenpresentedtotheCitytheformofaloan agreement between theBondBankandtheCity,whichprovidesfortheBondBankto purchase thebondsonthe termsand conditions setforththereinandinthisresolution,anditisinthebestinterestofthe CitythattheCitysellthebondstotheBondBank under suchtermsand conditions; NOW,THEREFORE,BEITRESOLVEDBYTHE COUNCIL OFTHECITYOFKING COVE,ALASKA: Section 1.Definitions.TermsusedinthisSeriesResolution that aredefinedinthe MasterResolutionshallhavethemeaningssetforthintheMaster Resolution.Inaddition,the followingtermsshallhavethefollowingmeaningsinthisSeriesResolution: 51317-401,2 1 "BondBankBonds"meansgeneralobligationbondsissuedbytheBondBankafterthe dateofthisSeriesResolution,allorapartoftheproceedsofwhichareusedto purchase the 2013Bonds. "Code"meanstheInternalRevenueCodeof1986,asamendedfromtimetotime, togetherwithallregulationsapplicablethereto. "Continuing Disclosure Certificate"meansacertificaterelatingtothe2013Bonds executedanddeliveredbytheCitywithrespecttocompliancewithparagraph(b)(5)of Rule15c2-12ofthe Securities andExchangeCommission,assuchcertificatemaybeamended orsupplementedfromtimetotimeinaccordancewithitsterms. "Government Obligations"meansdirectobligationsof,orobligationsthetimely payment ofprincipalofandinterestonwhichare unconditionally guaranteedby,theUnitedStatesof America. "LoanAgreement"meanstheLoan Agreement betweentheCityandtheBondBank concerningthe2013Bonds. "Tax-Exempt2013Bonds"means2013Bondstheinterestonwhichis excludable from grossincomeunderSection103oftheCode. "2013BondFund"meanstheElectricUtilityRevenueBondFund,2013,established by Section11. "2013Bonds"meanstheBondsauthorizedbythisSeriesResolution. "2013DebtServiceAccount"meanstheaccountofthatnamecreatedinthe2013Bond FundbySection11(a). "2013Reserve Account"meansthe account ofthatnamecreatedinthe2013Bond FundbySection11(b). "2013Reserve Requirement"means,onanydate,anamountequaltotheleastof (1)MaximumAnnualDebt Service onthe2013BondsthenOutstanding;(2)125percentof AverageAnnualDebt Service onthe2013BondsthenOutstanding;(3)10 percent oftheinitial principalamountofthe2013Bonds;and(4)any lesser amount thatmaybe permitted fromtime totimeundertheCodetomaintainexclusionof interest onany Tax-Exempt 2013Bondfrom grossincomeforfederal income taxpurposes. Section 2.Authorization of2013BondsandPurposeofIssuance.Forthepurpose ofprovidingpartofthe funds requiredtorefundthePriorBonds,topaytheCostsof ConstructionoftheProject,toreimbursetheCityforanyexpendituresonsuchCostsof Construction,tomakeanyrequireddepositintothe2013ReserveAccount,andtopayallcosts incidentaltheretoandto the issuanceofthe2013Bonds,theCityhereby authorizes and determinestoissueandsellthe2013Bondsinoneormoreseriesunderthe Master Resolution intheaggregateprincipal amount ofnottoexceed $3,100,000. Section 3.Obligation of2013Bonds.The2013Bondsshallbean obligation onlyof the2013BondFundandshallbepayableandsecuredasprovidedhereinandintheMaster Resolution.The2013Bondsshallnotinany manner ortoanyextent constitute general 51317401,2 2 obligationsoftheCityortheStateofAlaskaorofanypoliticalsubdivisionoftheStateofAlaska. NeitherthefaithandcreditnorthetaxingpoweroftheCityispledgedforthe payment ofthe 2013Bonds. Section 4.Descriptionof2013Bonds.Each2013Bondmayhaveendorsed thereon suchlegendsortextasmaybenecessaryorappropriatetoconformtotherulesand regulations ofanygovernmentalauthorityoranyusageor requirement oflawwithrespectthereto.Each 2013Bondshallbeissuedintheprincipal amount specifiedintheLoanAgreement,the aggregate ofwhichshallnotexceed$3,100,000.Each2013Bondshallmatureonthedate specifiedintheLoanAgreement,whichshallnotbelaterthan30yearsafterthedateofinitial delivery.Each2013Bondshallbedatedthedateofitsinitialdelivery,shallbeinthe denomination of$5,000oranyintegralmultiple thereof andshallbenumberedinsuch manner andwithanyadditional designation asthe Registrar deems necessary for purposes of identification.SubjecttoSection2andthisSection,theinitialdateofdelivery,theprincipal amount,theannualprincipalpaymentdatesandamountsandthesemiannual interest payment dates,theinterestratestobebornebyandthetaxstatusofinterestoneach2013Bondshall bedeterminedbytheCity Representative andsetforthintheLoanAgreement,andsuch determination shallbe conclusively evidencedbythe execution oftheLoan Agreement under Section15bytheCity Representative.Interestoneach2013Bondshallbecomputedonthe basisofa360-dayyear composed oftwelve30-daymonths. Section 5.Place andMediumofPayment.Bothprincipalofandinterestoneach 2013BondshallbepayableinlawfulmoneyoftheUnitedStatesofAmericawhich,onthe respectivedatesofpaymentthereof,shallbelegal tender forthepaymentofpublicandprivate debts.ForsolongastheBondBankistheRegistered Owner ofthe2013Bonds,payments of principal thereof andinterestthereonshallbemadeasprovidedintheLoan Agreement.Inthe event that theBondBankisno longer theRegistered Owner ofthe2013Bonds,payments of principal thereof andinterest thereon willbemadebycheckordraftmailedby first-class mailto theRegisteredOwnerattheaddressforsuch Registered Owner appearingontheBond Register onthe15thdayofthemonthprecedingthe payment date,providedthatthefinal installment ofprincipalofandinterestoneach2013Bondwillbepayableattheofficeofthe Registrar uponsurrenderofthe2013BondtotheRegistrar.Ifanyprincipal installment ofa 2013Bondisnotpaidwhendue,theCityshallpay interest onsuchprincipal installment atthe samerateprovidedthereinfromandafteritsduedateuntilsuchprincipal installment ispaidin fullorprovisionforpayment thereof hasbeenmade. Section 6.OptionalPrepayment.Theprincipal installments ofthe2013Bonds,if any,subject tooptional prepayment bytheCity,thedateordatesonwhichsuch2013Bonds are subject tooptionalprepayment,thetermsuponwhichsuch2013Bondsmaybeprepaidand the prepayment priceorpricesforsuch2013Bonds,shallbedeterminedbytheCity Representative andsetforthintheLoanAgreement,andtheirdeterminationshallbe conclusively evidencedbytheexecutionoftheLoan Agreement underSection15bytheCity Representative.Iffewerthanalloftheprincipal installments ofthe2013Bondsaretobe prepaid,theprincipal installments tobeprepaidshallbe determined bytheCity.Noticeofany such prepayment shallbesentbytheCitynotlessthan50dayspriortothedatefixedfor prepayment byfirstclassmailtotheregisteredownerofthe2013Bondatsuchregistered owner'saddressasitthen appears ontheBondRegister.Noticeofprepaymenthavingbeen dulygivenandmoneyfor prepayment beingheldbytheCity,interest ontheprincipal installments tobeprepaidshallceasetoaccrueonthedatefixedforprepayment. 51317401.2 3 Section 7.Formof2013Bond.Each2013Bondshallbeinsubstantiallythe followingform,withsuchvariations,omissionsandinsertionsasmayberequiredor permitted bythisSeriesResolutionortheMasterResolution: UNITEDSTATESOFAMERICA STATEOFALASKA CITYOFKINGCOVE No.14-05 REGISTEREDOWNER: PRINCIPALAMOUNT: ELECTRICUTILITYREVENUEBOND $---- TheCityofKingCove,amunicipalcorporationoftheStateofAlaska(the"City"), acknowledgesitselfindebtedandforvaluereceivedpromisestopay(butonlyoutofthe sourcesmentionedherein)totheRegisteredOwnersetforthabove,oritsregisteredassigns, theprincipalamountsetforthaboveinthefollowing installments on 1ofeach of thefollowingyears,andtopayinterestoneachsuchprincipal installment fromthedate hereof untilpaidorprovisionforpayment thereof hasbeenmade,payableon 1,20_and semiannually thereafter on and 1ofeachyear,atthefollowingrates perannum: Year Principal Installment Interest Rate Year Principal Installment Interest Rate ForsolongastheAlaskaMunicipalBondBank(the"BondBank")istheRegistered Owner,paymentsofprincipalhereofandinteresthereonshallbemadeasprovidedintheloan agreementbetweentheBondBankandtheCityrelatingtothisbond(the"LoanAgreement").In theeventthattheBondBankisnolongertheRegisteredOwner,paymentsofprincipal hereof andinteresthereonwillbemadebycheckordraftmailedby first classmailtotheRegistered OwnerattheaddressforsuchRegisteredOwnerappearingontheBondRegisteronthe15th dayofthemonthprecedingthe payment date,providedthatthefinalinstallmentofprincipalof andinterestonthisbondwillbepayableattheofficeoftheCity Administrator (the"Registrar") upon surrender ofthisbondtotheRegistrar.Interestonthisbondshallbecomputedonthe basisofa360-dayyearcomposedoftwelve30-daymonths. ThisbondisaspecialobligationoftheCityandisoneofthedulyauthorizedelectric utilityrevenuebondsoftheCity designated "CityofKingCove,Alaska,ElectricUtilityRevenue Bonds"(the"Bonds"),issuedandtobeissuedinvariousseries under ResolutionNo.14-04(the "MasterResolution"),adoptedon September __,2013,andResolutionNo.14-05(the "Series Resolution,'and together withtheMasterResolution,asitmaybeamendedand supplementedfromtimetotime,the"Resolution,"),adoptedon September __,2013.As providedintheMasterResolution,theBondsmaybeissuedfromtimetotimepursuantto SeriesResolutionsinoneormoreseries,invariousprincipal,maymatureatdifferenttimes, maybearinterestatdifferentratesand,subjecttothe provisions thereof,mayotherwisevary. TheaggregateprincipalamountofBondswhichmaybeissued under theMasterResolutionis 51317401.2 4 notlimited,andallBondsissuedandtobeissuedundertheMaster Resolution areandwillbe equallyandratablysecuredbythepledgesandcovenantsmadetherein,except as otherwise expresslyprovidedorpermittedinthe Master Resolution. ThisbondisoneofaseriesofBonds(asdefinedintheSeriesResolution,the"2013 Bonds")issuedintheaggregateprincipalamountof $under theResolution for the purposeofprovidingpartofthefundsrequiredtorefundingoutstandingindebtednessofthe ElectricUtility,topaytheCostsofConstructionofimprovementstothe Electric Utility,including theWaterfallCreekhydroelectricproject,toreimbursetheCityforany expenditures onsuch CostsofConstruction,tomakeanyrequireddepositintothe2013 Reserve Account,andtopay allcostsincidentaltheretoandtotheissuanceofthe2013Bonds. ReferenceismadetotheResolutionforadescriptionoftherightsofthe Registered OwnerandoftherightsandobligationsoftheCitythereunder,toall of theprovisionsofwhich ResolutiontheRegisteredOwner,by acceptance hereof,assentsandagrees. Thisbondissubjectto prepayment attheoptionoftheCityinaccordancewiththe applicableprovisionsoftheResolutionandtheapplicableprovisionsoftheLoanAgreement. Thisbondshallbeanobligationonlyofthe2013BondFundandshallbepayableand securedasprovidedintheResolution.Thisbondshallnotinany manner ortoany extent constituteageneralobligationoftheCityortheStateofAlaskaorofanypoliticalsubdivisionof theStateofAlaska.NeitherthefaithandcreditnorthetaxingpoweroftheCityispledged for thepaymentofthisbond. TheCityhasirrevocably obligated andbounditselftosetasideand payout ofNet Revenueintothe2013BondFund,onorbeforetheduedate,the amount necessarytopay principalor interest comingdueonthisbondandthe2013Bonds.The Cityhasdeclaredsuch amountssopledgedtobepaidintothe2013BondFundtobealienonGrossRevenue superiortoallotherliensandchargesofanykindornature whatsoever exceptforOperating Expensesandexceptforparityliensthatmaybemadetosecure payment ofanyseriesof BondsissuedinaccordancewiththeprovisionsoftheMasterResolution. Thisbondis transferable asprovidedintheResolution,(i)onlyupontheBondRegister, and (ii)upon surrender ofthisbond together withawritten instrument of transfer dUly executed bythe Registered Ownerorthedulyauthorizedattorneyofthe Registered Owner,and thereuponanewfullyregistered2013Bondinthesame aggregate unpaidprincipal amount shallbeissuedtothetransfereein exchange thereforasprovidedintheResolutionuponthe paymentofcharges,ifany,asthereinprescribed.TheCitymaytreatandconsiderthepersonin whosenamethisbondisregisteredastheabsoluteowner hereof forthepurposeofreceiving paymentof,oronaccountof,theprincipalorprepaymentprice,ifany,hereof andinterestdue hereonandforallotherpurposes whatsoever. ITIS HEREBY CERTIFIEDand declared thatthisbondisissued pursuant toandinstrict compliancewiththeConstitutionandlawsoftheStateofAlaskaandtheordinancesand resolutionsoftheCityofKingCove,and that allacts,conditionsand things requiredtohappen, tobedone,andtobeperformed precedent toandontheissuanceofthisbondhavehappened, beendoneandbeenperformed. IN WITNESS WHEREOF,THECITYOFKINGCOVE,ALASKA,hascausedthisbond tobesignedinitsnameandonits behalf bythemanualor facsimile signature ofitsMayorand 51317401,2 5 / \ itscorporateseal(orafacsimilethereof)tobeimpressedorotherwise reproduced hereonand attestedbythemanualorfacsimilesignatureofitsClerk,allasofthe __dayof -----,,-_. CITYOFKINGCOVE HenryMack-Mayor ATIEST: Savannah Yatchmeneff -CityClerk [SEAL] Section 8.Execution.Each2013BondshallbeexecutedinthenameoftheCityby themanualorfacsimilesignatureoftheMayor,anditscorporateseal(orafacsimilethereof) shallbeimpressedorotherwisereproducedthereonandattestedbythemanualorfacsimile signatureoftheClerk.Theexecutionofa2013BondonbehalfoftheCitybyanypersonwhoat thetimeoftheexecutionisdulyauthorizedtoholdtheproperofficeshallbevalidandsufficient forallpurposes,althoughanysuchpersonshallhaveceasedtoholdofficeatthetimeof deliveryofthe2013Bondorshallnothaveheldofficeonthedateofthe2013Bond. Section 9.Registration. (a)The2013Bondsshallbeissuedonlyinregisteredformastobothprincipaland interest.TheCitydesignatestheCity Administrator asRegistrarforthe2013Bonds.The Registrarshallkeep,orcausetobekept,theBondRegisterattheofficeoftheCity. (b)TheCity,initsdiscretion,maydeemandtreattheRegisteredOwnerofeach 2013Bondastheabsoluteownerthereofforallpurposes,andneithertheCitynortheRegistrar shallbeaffectedbyanynoticetothecontrary.Eachpaymentmadeas described inSection5 shallbevalidandshallsatisfyanddischargetheliabilityoftheCityonthe2013Bondtothe extentoftheamountoramountssopaid. (c)The2013BondsmaybetransferredonlyupontheBondRegister.Upon surrenderfortransferorexchangeofa2013BondattheofficeoftheRegistrar,withawritten instrumentof transfer orauthorizationfor exchange informandwith guaranty ofsignature satisfactorytotheRegistrar,dulyexecutedbytheRegisteredOwneroritsdulyauthorized attorney,theCityshallexecuteandtheRegistrarshalldelivera2013Bondofthesameseries, maturityandinterestrate,inequalaggregateprincipalamount,subjecttosuchreasonable regulationsasthe Registrar mayprescribeanduponpayment sufficient toreimburseitforany tax,feeorothergovernmentalchargerequiredtobepaidinconnectionwithsuchtransferor exchange.The2013Bondsurrenderedfor transfer orexchangeshallbecanceledbythe Registrar. 51317401.2 6 ( (d)TheCitycovenantsthattheCitywillmaintainasystemforrecordingthe ownershipofthe2013BondsthatcomplieswiththeprovisionsofSection149oftheCode. Section 10.2013BondsDestroyed,StolenorLost.UponfilingwiththeRegistrarof evidencesatisfactorytotheCitythata2013Bondhasbeendestroyed,stolenorlostandofthe ownershipthereof,anduponfurnishingtheCitywithindemnitysatisfactorytoit,theCityshall executeanddeliveranew2013Bondidenticalinallrespectstothe2013Bonddestroyed, stolenorlost.Thepersonrequestingtheexecutionanddeliveryofthenew2013Bondunder thisSectionshallcomplywithsuchotherreasonableregulationsastheCitymayprescribeand paysuchexpensesastheCitymayincurin connection therewith. Section 11.2013BondFund.AspecialfundoftheCity designated the"Electric UtilityRevenueBondFund,2013"isherebycreatedforthepurposeofpayingandsecuringthe paymentofthe2013Bonds.The2013BondFundshallbeheld separate andapartfromall otherfundsandaccountsoftheCityandshallbeatrustfundfortheRegisteredOwners,from timetotime,ofthe2013Bonds. (a)2013DebtServiceAccount.The2013DebtService Account isherebycreated inthe2013BondFundforthepurposeofpayingtheprincipalofand interest onthe2013 Bonds.TheCityhereby irrevocably obligatesandbindsitself,foraslongasthe2013Bonds remainOutstanding,tosetasideandpayintothe2013DebtService Account fromNet RevenueormoneyintheElectricUtilityRevenueFund,onorpriortotherespectivedateson whichthesamebecomedue,theamountsrequiredtopaywhenduetheprincipalofand interestonthe Outstanding 2013Bonds. (b)2013ReserveAccount.The2013Reserve Account is hereby createdinthe 2013BondFundforthe purpose ofsecuringthe payment oftheprincipalofandinterestonthe 2013Bonds.The2013 Reserve AccountshallbeheldbythetrusteefortheBondBankBonds andappliedin accordance withthissubsection.Onthedateofissuanceofthe2013Bonds,the Cityshalldepositmoneyinthe2013Reserve Account equaltothe2013ReserveReqUirement. Ifadeficiencyoccursinthe2013DebtServiceAccount,thetrusteefortheBondBankBonds shallWithdrawfromthe2013Reserve Account theamount sufficient tomakeupthedeficiency andtransfersuchamounttotheCityfordepositinthe2013DebtServiceAccount.TheCity shallmakeupany deficiency inthe2013Reserve Account resultingfromsuchawithdrawal withinoneyearoutofNetRevenueoroutofanyothermoneylegally available forsuch purpose,afterprovidingforthepaymentsrequiredtobemadeintothe2013DebtService Accountwithinsuchyear. Themoneyinthe2013Reserve Account shallneverbeinvestedatayieldinexcessof theyieldontheBondBankBonds. Anyamountinthe2013Reserve Account inexcessofthe2013ReserveRequirement forthe2013Bondsmaybe transferred tothe2013DebtService Account andusedtopaywhen duetheprincipalofand interest onthe2013Bonds.Whenever thereisa sufficient amountin the2013BondFund,including the2013Reserve Account andthe2013DebtServiceAccount, topaytheprincipalofand interest onall Outstanding 2013Bonds,the amount inthe2013 Reserve Account maybeusedtopaysuchprincipalandinterest,andno further depositsneed bemadeintothe2013BondFund. (c)PledgeandLien.Theamountssopledgedtobepaidintothe2013BondFund areherebydeclaredtobealienonGrossRevenue superior toallotherliensandchargesof 51317401.2 7 anykindornature whatsoever exceptforOperatingExpensesandexceptforparityliensthat maybemadetosecurepaymentofanyseriesofBondsissuedinaccordancewiththe provisionsoftheMasterResolution. Section 12.DispositionoftheSaleProceedsofthe2013Bonds. (a)Accruedinterestonthe2013Bonds,ifany,shallbedepositedinthe2013Debt ServiceAccountandusedtopayinterestonthe2013Bonds. (b)Saleproceedsofthe2013Bondssufficienttoredeemandretireanyoutstanding PriorBondsshallbepaidtotheregisteredownersofthePriorBonds. (c)Saleproceedsofthe2013Bondsinan amount sufficienttomakethebalancein the2013ReserveAccountequaltothe2013ReserveRequirementshallbedepositedinthe 2013ReserveAccount. (d)Theremainingsaleproceedsofthe2013BondsshallbeusedtopayCostsof ConstructionoftheProject,toreimbursetheCityforanyexpendituresonsuchCostsof Constructionandtopayallcostsincidentaltheretoandtotheissuanceofthe2013Bonds. Section 13.TaxCovenants.TheCitycovenantstocomplywithanyandallapplicable requirementssetforthintheCodeineffectfromtimetotimetotheextentthatsuch compliance shallbenecessaryfortheexclusionoftheinterestonthe Tax-Exempt 2013Bondsfromgross incomeforfederalincometaxpurposes.TheCity covenants thatitwillmakenouseofthe proceedsofthe2013Bondsthatwillcauseany Tax-Exempt 2013Bondtobean"arbitrage bond"subjecttofederalincometaxationbyreasonofSection148oftheCode. Section 14.Defeasance.Paymentofalloranyprincipalinstallmentsofthe2013 Bondsmaybeprovidedforbytheirrevocable deposit intrustofcash,noncallable GovernmentalObligationsoranycombinationthereof.Thecashandthematuringprincipaland interestincomeonsuch Government Obligations,ifany,mustbesufficientandavailablewithout reinvestmenttopaywhenduesuchprincipal,whetheratmaturityoruponfixedprepayment dates,togetherwithinterestthereon.Thecashand Government Obligationsshallbeheld irrevocablyintrustfortheRegisteredOwnerofthe2013Bondssolelyforthepurposeofpaying suchprincipalandinterestasthesameshallmatureorbecomepayableuponprepayment,and, ifapplicable,uponthegivingofnoticeofprepaymentandnotificationtotheRegisteredOwner thatthedepositrequiredbythisSectionhasbeenmadeandthatsuchprincipalisdeemedtobe paidinaccordancewiththisSeriesResolution.Suchprincipalshallnolongerbedeemed Outstandinghereunder.TheobligationoftheCityin respect ofsuchprincipaland interest shall nevertheless continuebuttheRegisteredOwnershall thereafter beentitledto payment only fromthecashand Government Obligationsdepositedintrusttoprovideforthe payment ofsuch principalandinterest. Section 15.Saleof2013Bonds.The2013Bondsshallbesoldby negotiated saleto theBondBankasprovidedintheLoanAgreement.The preliminary officialstatementrelatingto theBondBankBondsinsubstantiallytheformfiledwiththisSeriesResolution,afinalofficial statement relatingtotheBondBankBondsinsubstantiallytheformofsuchpreliminaryofficial statement andthedistributionofeachinconnectionwiththesaleoftheBondBankBondsare approved.EachCity Representative isauthorizedto provide suchinformationforinclusionin suchpreliminaryofficial statement andfinalofficial statement assuchCityRepresentativemay deemnecessaryordesirableinconnectionwiththesaleoftheBondBankBonds.TheLoan 51317401.2 8 Agreement in substantially theformfiledwiththisSeries Resolution is approved.Each City Representative is authorized to execute and deliver theLoan Agreement insuchform,together with suchchangesnot inconsistent herewithasmay be approved bytheCity Representative, andsuchapprovalshallbe conclusively evidencedbythe execution oftheLoan Agreement by the City Representative. ( Section 16.Authority of Officers.EachCity Representative is authorized and directed todo and perform all things and determine allmattersriot determined bythe Master Resolution orthisSeriesResolution,totheendthattheCitymaycarry out its obligations under the 2013 Bonds,the Master Resolution andthisSeriesResolution.No recourse shallbehad for the payment oftheprincipal of orthe interest onthe 2013 Bondsor for anyclaimbased thereon or onthe Master Resolution or this Series Resolution against any member ofthe Councilor officer oftheCityoranyperson executing the 2013 Bonds. Section 17.Continuing Disclosure Certificate.The Continuing Disclosure Certificate inSUbstantiallytheformfiledwiththisSeriesResolutionis approved.EachCity Representative is authorized to execute and deliver theContinuing Disclosure Certificate in suchform,together withsuchchangesnot inconsistent herewithasmaybe approved bytheCity Representative, andsuchapprovalshallbe conclusively evidencedbythe execution ofthe continuing Disclosure Certificate bytheCity Representative. Section 18.Severability.If anyone ormoreofthe covenants or agreements set forth inthis Series Resolution tobe performed onthepartofthe Clty .shallbedeclaredby any court of competent jurisdiction tobe contrary tolaw,thensuch covenant or covenants or agreement or agreements shallbenullandvoidandshallbe deemed separable fromthe remaining covenants and agreements inthe Master Resolutionandthis Series Resolution andshallinno way affect thevalidityofthe other provisions of the 2013 Bonds or of the Master Resolution or this Series Resolution. Section 19.Effective Date.ThisSeries Resolution shalltake effect upon passage and adoption. PASSED AND ADOPTED byadulyconstituted quorum of theCounciloftheCity of King Cove this 16 th dayof Bepternber,2013. CITYOF KING COVE i~-Mm""'aY'-o-'-0'--,-------- ATIEST: ~~-me~ oAyes_6_Abstained ---'''-- Nays ~Absent 51a17401.2 9 TAX EXEMPTION AND NONARBITRAGE CERTIFICATE CONCERNING $980,000 ELECTRIC UTILITY REVENUE BOND,2015 OF CITYOFKINGCOVE,ALASKA I,GaryHennigh,onbehalfoftheCityofKingCove,Alaska(the"City"),certifyas follows: 1.General. 1.1ResponsibleOfficer.IamtheCity Administrator oftheCityand,assuch, amanofficeroftheCityresponsibleforissuingtheCity's$980,000parvalueElectric UtilityRevenueBond,2015(the"2015Bond"),dated,deliveredandpaidforonthe samedateasthedateofthiscertificate(the"issuedate"). 1.2PurposeofCertificate.Thiscertificateisexecutedtoestablishthefacts, estimatesandcircumstancesinexistenceontheissuedateandthe bonafide reasonableexpectationsoftheCityontheissuedateastofutureeventsinconnection withthe2015BondforthepurposesoftheapplicableprovisionsoftheInternal RevenueCodeof1986,asamended(the"Code"),andapplicableTreasuryRegulations underSections 103,141 and148-150oftheCode. 1.3ReasonableBasisforExpectations.Tothebestofmyknowledge, informationandbelief,thiscertificateaccuratelysummarizesthefacts,estimatesand circumstancesinexistenceontheissuedate,andtheexpectationsoftheCityonthe issuedateaboutfutureeventsinconnectionwiththe2015Bondarereasonable. 1.4DefinedTerms.Capitalizedwordsusedbutnototherwisedefinedinthis certificatehavethemeaningsetforthinResolutionNo.14-04andResolutionNo.14-05 oftheCity(collectively,the"BondResolution"). 2.PurposeofIssuingthe2015Bond. 2.1GovernmentalPurpose.TheCityisalocal government unitoftheStateof Alaska,andthe2015BondisbeingissuedbytheCitytotheAlaskaMunicipalBond Bank(the"BondBank")toevidencetheobligationoftheCitytorepayaloanmadeby theBondBanktotheCityfromtheportionoftheproceedsoftheBondBank'sGeneral ObligationBonds,2015SeriesThree,allocabletotheCity(the"BondBankBonds"). TheBondBankisloaningtheproceedsoftheBondBankBondstotheCitypursuantto aloanagreement(the"LoanAgreement")forthepurposeofprovidingthefunds necessaryto (i)constructimprovementstotheCity'sElectricUtility,includingthe WaterfallCreekhydroelectricproject(the"Improvements"),(ii)tofundacontributionto the2014Reserve Account and(iii)topaythecostsofissuanceandsaleofthe2015 Bond,allasprovidedbytheBondResolution.PursuanttoTreasuryRegulations Section1.150-1(d)(2)(ii)(B),theCityistreatedastheobligorontheBondBankBonds. -1- 51464347.2 2.2No Impermissible PrivateBusinessUse.Nomorethan10%($109,782)of theproceedsofthe2015Bond(orofacorrespondingportionoftheImprovements)will beusedforanyprivatebusinessuse.Nomorethan5%($54,891)oftheproceedsof the2015Bond(orofacorrespondingportionofthe Improvements)willbeusedeither foranyprivatebusinessusethatisunrelatedtothe governmental purposeofthe2015 Bondorforanyprivatebusinessusethatisrelatedtoa governmental purposeofthe 2015Bondbutexceedstheamountofproceedsofthe2015Bondthatareexpectedto beusedforthatgovernmentalpurpose.Nomorethan5%oftheproceedsofthe2015 Bondwillbeuseddirectlyorindirectlytomakeorfinanceloanstoanypersonotherthan a governmental unit,exceptaloan,ifany,whichenablesthe borrower tofinancea governmental taxor assessment ofgeneralapplicationforaspecificessential governmental function,orthatconstitutesanonpurpose investment withinthemeaning ofSection148oftheCode. 3.Sourceand Disbursement ofProceeds. 3.1 PurchaserandPurchasePriceofthe2015Bond.TheCityhasentered intotheLoan Agreement withtheBondBanktosecure payment ofthesumof$980,000 (the"2015LoanAmount").PursuanttotheLoanAgreement,theBondBankwillissue theBondBankBondsatapriceequaltothe2015Loan Amount plusnetoriginalissue premiumontheBondBankBondsof$117,819.85,lessan underwriters'discount onthe BondBankBondsof$3,495.33. 3.2UseofProceedsFromtheIssuanceandSaleofthe2015Bond. ProceedsreceivedbytheBondBankfromtheissuanceandsaleoftheBondBank Bonds(andtreatedasreceivedbytheCity pursuant totheLoan Agreement as proceedsofthe2015Bondusedtocarryoutthe Improvements)willbeusedand appliedasfollows: (a)GeneralFund.$1,000,000willbedepositedintotheCity'sGeneral FundandusedtopaythecostsoftheImprovements. (b)2014ReserveAccount.AsdescribedinSection5.3,$79,298.38of theproceedsofthe2015Bondwillbedepositedintothe2014ReserveAccount. (c)2014DebtServiceAccount.$26.14,representingthecontingency amount(anamountlessthan1%ofthesaleproceedsofthe2015Bond),willbe depositedintothe2014DebtService Account andusedtopay interest onthe2015 Bondonthefirstinterestpaymentdate. (d)CostsofIssuance.$15,000willbeusedontheissuedatetopay thecostsofissuanceofthe2015Bond. 3.3CostoftheImprovements.Thecostofthe Improvements isestimatedto be$6,600,000,whichcostwillbepaidfromtheproceedsoftheissuanceandsaleof the2015Bond,theCity'sElectricUtilityRevenueBond,2014issuedintheprincipal amountof$1,235,000(the"2014Bond"),grantsfromtheStateofAlaska,andother moneyoftheCitylegallyavailabletobeusedtherefor.Thenet amount receivedbythe -2- 51464347.2 Cityasaresultofthesaleofthe2015BondandtheBondBankBonds,afterpayment ofallexpensesofissuing,sellinganddeliveringthe2015BondandtheBondBank Bonds,isnotexpectedtoexceedtheamountnecessarytopaythecostsofthe Improvements. 4.ConstructionSchedulefortheImprovements. 4.1 Commencement andProsecutionofConstructionoftheImprovements. ConstructionoftheImprovementsbeganinJuly2012,andtheCityhasenteredintoa contractorotherwiseincurredasubstantialbindingobligationtowardcommencementof theImprovementsinvolvinganamountequaltoatleast5%ofthenetsaleproceedsof the2015Bond,orwillhaveenteredintosuchacontractorothersubstantialbinding obligationwithinsixmonthsaftertheissuedateofthe2015Bond.Workonthe Improvementsandexpenditureofthesaleproceedsofthe2015Bondareexpectedto proceedwithduediligencetocompletion. 4.2CompletionoftheImprovements.Itisexpectedthatatleast85%ofthe netsaleproceedsofthe2015BondwillbespentfortheImprovementsby September 16,2018,thedatethatisthreeyearsaftertheissuedateofthe2015Bond. Theexpectedscheduleforexpenditureofthe2015Bondproceedsisattachedas Exhibit A. 4.3NoSaleofImprovementsExpected.TheImprovementsarenotexpected tobesoldorotherwisedisposedofinwholeorinpartpriortomaturityofthe2015Bond otherthantodisposeofanyportionoftheImprovementsthatbecomesinadequate, obsolete,wornout,unfitornolongernecessaryorusefultotheoperationofthe Improvements. 5.Paymentof2015Bond. 5.1 DebtServiceStructure.The2015BondisarevenuebondoftheCityand maturesonOctober1,2040.Principalofthe2015Bondispayableannuallyon October1ofeachyearfrom2020to2040,inclusive.Interestonthe2015Bondis payablesemiannuallyoneachApril1andOctober1,commencingonApril1,2016. BondprincipalinstallmentpaymentsdueonorafterOctober1,2025,aresubjectto prepaymentinwholeorinpartonorafterApril1,2025,atapriceof100%ofthe principalamounttobeprepaidplusaccruedinteresttothedateofprepayment. 5.2SourceofPayment.The2015Bondispayablefromrevenuesdeposited inthe2014DebtServiceAccount.Thefundsdepositedinthe2014DebtService Accountthatareallocabletothe2015Bondwillbeusedwithin13monthsoftheir depositinthataccountforpaymentofprincipaloforinterestonthe2015Bond.The depositsintothe2014DebtServiceAccountthatareallocabletothe2015Bondwillbe usedprimarilytoachieveapropermatchingofrevenueoftheCityanddebtserviceon the2015Bondwithineachbondyear.Itisexpectedthatthemoneyinthe2014Debt ServiceAccountallocabletothe2015Bondwillbedepletedatleastonceayear(on eachOctober1),exceptforareasonablecarryoveramountnotexpectedtoexceedthe -3- 51464347.2 greater ofone year's earnings onthe amount inthat account allocable tothe2015Bond or1/12oftheannualdebtserviceonthe2015Bond. 5.32014Reserve Account.TheBondResolutionrequirestheCitytocreatea reserveforthe2014Bondandthe2015Bondinan amount equalto $165,632.17, whichisan amount equalto125 percent ofAverage Annual Debt Service onthe2014 Bondandthe2015Bondandistheleastof(i)Maximum Annual DebtServiceonthe 2014Bondandthe2015Bond;(ii)125 percent of Average Annual DebtServiceonthe 2014Bondandthe2015Bond;and(iii)10percentoftheinitial principal amount ofthe 2014Bondandthe2015Bond.TheCitywillfundthe increase inthe2014Reserve Requirement allocable tothe2015Bondof $79,298.38 fromsale proceeds ofthe2015 Bond.The amount ofsale proceeds sousedto finance theCity's contribution tothe 2014Reserve Account doesnotexceed $109,781.99,whichisan amount equalto10% ofthe proceeds ofthe2015Bond,andforthispurpose,"proceeds"ofthe2015Bond meanstheissuepriceofthe2015Bond. 5.42005GeneralResolutionReserveFund.TheBondBankhas established the2005General Resolution ReserveFund(the"BondBankReserveFund")asa commonreservefund securing allbonds,includingtheBondBankBonds,issued under theGeneral Resolution (together,the"BondBankGOBonds"),astheGeneral Resolution isdefinedintheFederalTax Certificate executedbytheBondBankonthe datehereof.TheBondBankReserveFundisfundedatan amount equaltotheleastof (i)maximum annual debt serviceontheBondBankGOBonds,(ii)125%ofaverage annualdebtserviceontheBondBankGOBonds,(iii)10%oftheinitial principal amount ofeachseriesofBondBankGOBonds,or(iv)suchlower amount asmayberequired bylaw.No proceeds ofthe2015BondwillbeusedtofundtheBondBankReserve Fund. 6.Restrictions onInvesting Proceeds ofthe2015Bondin Higher Yielding Investments. 6.1 Calculation ofYieldon2015Bond.For purposes ofthisCertificate,the yieldonthe2015BondisdeemedtobeequaltotheyieldontheBondBankBonds. TheyieldontheBondBankBondshasbeencalculatedas that yield,whichwhenused incomputingthe present worthofall payments of principal ofand interest ontheBond BankBonds,produces an amount equaltotheissuepriceoftheBondBankBonds.The "issueprice"oftheBondBankBondsistheinitialofferingprice(includingaccrued interest andoriginalissue discount orpremium,ifany)atwhicha substantial amount (at least10%)ofeach maturity oftheBondBankBondshavebeensoldtothepublic(not includingbondhouses,brokersorother intermediaries).TheyieldontheBondBank Bondshasbeen calculated tobe3.6984%.Such determination astoyieldhasbeen madeby Western Financial Group,LLC,attachedheretoas Exhibit B,basedon representations madebyRBCCapitalMarkets,LLC,managing underwriter oftheBond BankBonds,attachedheretoasExhibitC.In determining thisyield,no adjustments weremadefor underwriter's discount orothercostsof issuance oftheBondBank Bonds.However,pursuant tothespecialyield calculation ruleprovidedby Treasury Regulations Section 1.148-4(b)(3)(ii)(B),forthe purposes of determining theyieldonthe -4- 51464347.2 BondBankBonds,theBondBankBondsmaturingin2025through2032,inclusive, 2036and2039weretreatedasredeemedatparonApril1,2025,becausesuch redemptionswouldproducethelowestyieldontheBondBankBonds. 6.2RestrictionsonInvestmentofProceedsinHigherYieldingInvestments. (a)GeneralFund.Theproceedsofthe2015Bonddepositedinthe GeneralFundtopaythecostsoftheImprovementsmaybeinvestedinhigheryielding investmentsforatemporaryperiodnotexceedingthreeyearsfromtheissuedateofthe 2015Bond.AsshownonExhibitA,theCityexpectstospendtheproceedsofthe2015 BonddepositedintheGeneralFundwithinsixmonthsanddoesnotexpecttorealize anyinvestmentearningsonsuchproceeds. (b)2014ReserveAccount.TheCityhas contractually agreedwiththe BondBankthatamountsdepositedinthe2014Reserve Account willbeinvestedin obligationstheyieldonwhichisnotinexcessoftheyieldontheBondBankBonds. (c)2014DebtServiceAccount.Proceedsofthe2015Bond representingthecontingencyamountsdepositedinthe2014DebtServiceAccountand otheramountstreatedasreplacementproceedsofthe2015Bondbecausetheyare heldinthe2014DebtServiceAccountandareallocatedtothe2015Bondmaybe investedinhigheryieldinginvestmentsforatemporaryperiodnotexceeding13months fromthedateoftheirdepositinthe2014DebtServiceAccount. (d)InvestmentEarnings.Investmentproceedsofthe2015Bondfor whichnoothertemporaryperiodisavailablemaybeinvestedinhigheryielding investmentsforatemporaryperiodofoneyearfromthedateofreceiptofthose investmentearnings. (e)RestrictedYieldInvestments.Proceeds(andamountstreatedas replacementproceeds)ofthe2015Bondthatmaynotbeinvestedinhigheryielding investmentswillbeinvestedonlyin(i)obligationspurchasedatfairmarketvaluein bonafide,arm's-lengthtransactionsinanestablishedmarketforthoseobligationsand havingyieldsnotmateriallyhigherthantheyieldonthe2015Bondwhencalculated usingthesamefrequencyintervalofcompoundinginterestasusedforthe2015Bond, (ii)obligationstheinterestonwhichisexcludedfromgrossincomeunderSection103of theCodethatarenotprivateactivitybondsunderSection141oftheCode(or obligationstreatedas tax-exempt obligationsunderSection103oftheCode,e.g., obligationsissuedbycertainqualifiedregulatedinvestmentcompaniesthatinvest,to theextentpracticable,alloftheirassetsintaxexempt governmental bondsandmeet certainotherconditions),andDemandDepositSecuritiesissuedbytheUnitedStates TreasurypursuanttotheStateandLocalGovernmentSeriesprogram,or(iii)other UnitedStatesTreasury Obligations-State andLocal Government Serieshavingyields notmateriallyhigherthantheyieldonthe2015Bond. -5- 51464347.2 7.CompliancewithArbitrageRebateRequirementorConditionsforException FromArbitrageRebateRequirement. TheBondBankBondsaresubjecttotherebaterequirementimposedby Section148(f)oftheCode.BecauseproceedsoftheBondBankBondsusedpursuant totheLoan Agreement toacquirethe2015BondfromtheCityarenottreatedasspent untilthoseproceedsareusedtocarryouttheImprovements,thoseproceedscontinue tobetreatedasproceedsoftheBondBankBondsuntilspentforthatpurpose,andthe CityonbehalfoftheBondBank,inthemannerandtotheextentrequiredbythat section,willcalculateandrebatetotheUnitedStatesany investment earningsongross proceedsoftheBondBankBondsandthe2015Bond,plusanyincomeattributableto suchexcessearnings.Investmentearningsonamountsheldinthe2014DebtService Accountwillnotbetakenintoaccountforthispurposeatanytime,eveniftheamount earnedis$100,000ormoreinabondyear,becausethe2015Bondbearsinterestat fixedrates(i.e.,ratesthatdonotvaryduringthetermofthe2015Bond)andhasan averagematurityofatleastfiveyears.If theCityforanyreasonfailstocomplywiththe rebaterequirementtotheextentapplicabletotheBondBankBondsandthe 2015Bond,theCity,totheextentpermittedandrequiredbySection148(f)(7)ofthe Code,willpayanypenaltythatmaybenecessarytopreservethetaxexemptionfor interestonthe2015Bond. 8.2015BondMeetsOtherArbitrageRequirements. 8.1NoOtherGovernmentalObligationsPartofThisIssue.Thereareno otherobligationsoftheCitythatarebeingsoldat substantially thesametime(lessthan 15daysapart)asthe2015Bondpursuanttothesameplanoffinancingandthatare reasonablyexpectedtobepaidfromsubstantiallythesamesourceoffunds. 8.2NoReplacementofFundsInvestedinHigherYieldingInvestments.No portionoftheproceedsofthe2015Bondwillbeuseddirectlyorindirectlytoreplace fundsoftheCityinvestedinhigheryieldinginvestments. 8.3NoAbusiveArbitrageDevice.Theprimary,bonafide governmental purposeofissuingthe2015BondistofinancethecostsoftheImprovements.Noaction isbeingtakenorwillbetakeninconnectionwiththeissuanceofthe2015Bondthathas theeffectof (i)enablingtheCitytoexploitthedifferencebetweentax-exemptand taxableinterestratestoobtainamaterialfinancialadvantagebyinvestinganyportionof thegrossproceedsofthe2015Bondoveranyperiodoftime,and(ii)overburdeningthe tax-exemptbondmarketasaresultofissuingthe2015Bondinagreaterprincipal amount,issuingthe2015Bondearlier,orallowingthe2015Bondtoremainoutstanding longerthanisotherwisereasonablynecessarytofinancetheImprovements. 8.4NoIntenttoEarnImpermissibleArbitrageProfit.TheCitywillnottakeany intentionalactiontoearnanyimpermissiblearbitrageprofitfromthe investment ofgross proceedsofthe2015Bond. -6- 51464347,2 9.2015BondMeetsOtherRequirementsforTaxExemption. 9.1 2015BondinRegisteredForm.The2015Bondisissuedonlyin registeredform. 9.2NoFederalGuaranty.ExceptasotherwisepermittedbytheCode, paymentoftheprincipaloforinterestonthe2015Bondisnotguaranteedinwholeorin partbytheUnitedStatesoranyagencyorinstrumentalitythereof. 9.3InformationReturntoBeFiled.TheCitywillcauseaForm8038-G InformationReturnrespectingthe2015BondtobetimelyfiledwiththeInternal RevenueService. 9.42015BondNotaHedgeBond.TheCityreasonablyexpectsthat(i)at least85%ofthespendableproceedsofthe2015Bondwillbeusedtocarryoutthe governmentalpurposesofthe2015Bondwithinthe three-year periodbeginningonthe issuedate,and (ii)notmorethan50%oftheproceedsofthe2015Bondwillbe investedinnonpurposeinvestmentshavingasubstantiallyguaranteedyieldfor4years ormore. [Signaturepagefollows] -7- 5146-1347.2 9.5 Post-Issuance Compliance Procedures.TheCityhas previously established writtenprocedures,attachedasExhibitD,to(i)ensure that any portion of theBondthat becomes nonqualified isremediatedin accordance withthe requirements under Treasury Regulations Section 1.141-12 and(ii)monitor the requirements of Sections 141and148oftheCodeaftertheissuedate. 10.2015BondTaxExemptandNotan Arbitrage Bond. TheCityexpectsthatbondcounseltotheCitywillrelyuponthe foregoing facts, estimates and circumstances in existence ontheissuedateandthe reasonable expectations oftheCityastofutureeventsrespectingthe2015Bondtoenable them to conclude thatitisnotexpectedthat proceeds ofthe2015Bondwillbeusedinany manner thatwouldcausethe2015Bondtobean arbitrage bondandtoprovide their opinionthatthe2015Bondis governmental obligation the interest onwhichis excluded fromgrossincomeforfederal income tax purposes underSection103oftheCode. DATED September 16,2015. By:=--"-"--""---1--'---------',PT---- Exhibit A-DrawDown Schedule Exhibit B-Certificate ofWesternFinancialGroup,LLC Exhibit C-Certificate ofRBCCapitalMarket,LLC Exhibit 0-Post-Issuance Compliance Procedures for Tax-Exempt Bonds 51..j64347 I EXHIBIT A DRAWDOWN CERTIFICATE CITYOFKING COVE Waterfall Creek Hydro Project Revenues and Expenditures August -December 2015 Expenditures Revenues AEBAEA AMBB Total August $400,000 $400,000 $400,000 September 800,000 100,000 350,000 350,000 800,000 October 1,000,000 500,000 500,000 1,000,000 November 700,000 550,000 150,000 700,000 December 250,000 250,000 250,000 Total $3,150,000 $500,000 $1,650,000 $1,000,000$3,150,000 Expenditures Combination of construction costs for Sunland Development Company, turbine/generator costs for Canyon Industries,construction management costs for HDR Alaska,and land/royalty costs for KingCove Corporation. Revenues Aleutians East Borough (AEB)-FY15 grant to the City of $500,000. Alaska Energy Authority (AEA)-FY14 grant to the City of $2,600,000. Alaska Municipal Bond Bank (AMBB)-September 2015 issuance of debt/loan of $1,000,000. CERTIFICATE OFTHE FINANCIAL ADVISOR I,LAWRENCEW.PIERCE,asfinancialadvisorfortheAlaskaMunicipalBond Bank(the"Bank")herebycertifywithrespecttotheBank'sGeneralObligationBonds, 2015SeriesThree(the"Bonds"),asfollows: 1.Ihavenoreasontobelievethatthefinancialinformationfoundin AppendixDofthePreliminaryOfficialStatementdatedAugust19,2015,andthefinal OfficialStatementdated August 26,2015,relatingtotheBondscontainsanuntrue statement ofmaterialfactoromitstostateamaterialfact necessary tomakethe statementstherein,inlightofthecircumstanceunderwhichtheyweremade,not misleadinginanymaterialrespects. 2.PaymentoftheBondsissecuredbyareservefund;basedonmy calculations(andaffirmedbytheTrustee)Ihavedeterminedthereservefund requirement tobe$58,705,591.41asofthedatehereof.Theamountofthereserve fundrequirementisareasonableamounttofacilitatemarketingoftheBondsatthe mostfavorableinterestratesavailable. 3.IhavecomputedtheyieldontheBondstobenotlessthan3.6984% basedonthe representations madetotheBankbyRBCCapitalMarkets,LLC,on behalf ofitselfandas representative oftheunderwritersnamedinthebondpurchase contractdated August 26,2015,astotheofferingpricesatwhichatleast10%ofeach maturityoftheBondsweresold,orreasonablyexpectedtobesold.Forpurposesof thiscertificate,theterm"yield"meansthatyieldwhichiscomputedasdescribedin Section1.148-4ofthe Treasury Regulations. 4.IhavecomputedtheweightedaveragematurityoftheBondstobe 17.7084years.TheweightedaveragematurityoftheBondsisthesumoftheproducts oftheissuepriceandtheparamountofeachgroupofidenticalbondsandthenumber ofyearstomaturity (determined separatelyforeachgroupofidenticalbondsandtaking intoaccount mandatory redemption,ifany)dividedbytheaggregatesaleproceedsof theBonds. DATEDthis16thdayof September 2015. WESTERNFINANCIALGROUP,LLC ~-LAWREN~:-=E=------ UNDERWRITER REPRESENTATIONS AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree ThiscertificateisbeingdeliveredbyRBCCapitalMarkets,LLC,onbehalfofitself andasrepresentativeoftheunderwritersnamedinthebondpurchasecontractdated August 26,2015(the"Underwriter")inconnectionwiththeissuancebytheAlaska MunicipalBondBank(the"BondBank")oftheBondBank'sGeneralObligationBonds, 2015SeriesThree(the"Bonds"). Eachcapitalizedtermusedherein,butnotdefinedherein,shallhavethe meaningspecifiedforsuchtermintheFederalTaxCertificate,datedthedatehereof, andrelatingtotheBonds. 1.Theundersignedisauthorizedtoexecutethiscertificateonbehalfofthe Underwriter,whichcertificationsarenotnecessarilybasedonpersonalknowledge,but mayinsteadbebasedoneitherdueinquirydeemedadequatebytheundersignedor institutional knowledge(orboth)regardingthematterssetforthherein. 2.TheUnderwriterhasmadeabonafidepublicofferingoftheBondsatthe prices(orthepricescorrespondingtotheyields)setforthontheinsidecoverofthe OfficialStatement.OnthesaledateoftheBonds(August26,2015),atleast10%of eachmaturityoftheBonds,exceptassetforthinthefollowingparagraph,weresoldto thepublicatinitialofferingpricesnotgreaterthantherespectivepricescorresponding totheyieldsshownontheinsidecoveroftheOfficialStatement. In thecaseoftheBondsmaturingonOctober1,intheyears2016,2019,2024, 2025and2026,theUnderwriterherebyrepresentsthattheactualsalespriceofsuch BondsisconsistentwiththeUnderwriter'sreasonableexpectationsthatatleast10%of theBondsofthatmaturitywouldbesoldattherespectiveinitialofferingpriceasshown ontheinsidecoveroftheOfficialStatement.- Theterm"public,"asusedherein,doesnotincludebondhouses,brokers, dealers,andsimilarpersonsororganizationsactinginthecapacityofunderwritersor wholesalers.- 3.TheamountoftheReserveFundRequirement(asdefinedinthe2005 GeneralBondResolution,asamended)isareasonableamounttofacilitatemarketing oftheBondsatthemostfavorableinterestratesavailable. 4.ThestatementscontainedintheOfficialStatementundertheheading "Underwriting"aretrueandcorrectinallmaterialrespects. 5.Theserepresentationsareprovidedto (i)Wohlforth,Brecht&Cartledge ("Wohlforth")andtheAlaskaMunicipalBondBanktoprovidethemwithinformation concerningtheBonds;(ii)Wohlforthtoprovidethemwithinformationconcerningthe municipalbondoftheUniversityof Alaska;(iii)K&LGatesLLPtoprovidethemwith information concerningthemunicipalbondoftheHainesBorough;and(iv)Foster PepperPLLCandLevesqueLawGroupLLCtoprovidethemwithinformation concerningthemunicipalbondsoftheCityofKingCoveandtheKodiakIsland Borough,forpurposesofformulatingtheiropinionswithrespecttosuchmunicipal bonds;andarenottobeusedorrelieduponbyanyotherperson.TheUnderwriter expresses noviewregardingthelegalsufficiencyorthecorrectnessofanylegal interpretation madebybondcounsel,nothinghereinrepresentsourinterpretationofany laws,andinparticular,regulationsundertheCode,andtheUnderwriter expresses no viewregardingthelegalsufficiencyofanyrepresentationsmadeherein. DATEDthis16thdayof September 2015. RBCCAPITALMARKETS,LLC By 1=.-0,.~ AuthorizedSItory AMBB/General ObligationBonds,2015SeriesThree Underwriter Representations 1:\Docs\37421742\Underwriter Representations.Docx Page2 POST-ISSUANCE COMPLIANCE POLICIES AND PROCEDURES FOR TAX-ADVANTAGED BONDS 1.Purpose.Thepurpose of these post-issuance compliancepoliciesandprocedures ("Compliance Policy")for tax-exempt bonds,build America bonds,recoveryzoneeconomic developmentbondsandotherbondsissuedbytheCity of KingCove,Alaska (the"City")for whichafederaltaxadvantageisprovidedbytheInternalRevenueCode of 1986,asamended (the "Code"),istoensurethattheCitywillbe in compliancewith requirements of theCodethat mustbesatisfiedwithrespecttosuchbondsorother obligations (sometimescollectivelyreferred tohereinas "bonds"or "tax-advantaged bonds")afterthebondsareissued.Byadoptingthis CompliancePolicy,theCityalsointendstoavail itself of certain provisions of theInternal RevenueManual of theInternalRevenueService("IRS")relatingtoitsVoluntaryClosing Agreement Program whichprovidemorefavorable settlement termstoabondissuerthathas adopted post-issuance compliance procedures,in theeventthatitweretobecomenecessaryfor theCitytoenterintoaclosingagreementwiththeIRStoresolveanynoncompliancewith applicablerequirements of theCode. 2.Responsibility forMonitoring Post-Issuance TaxCompliance.TheCityCouncil of theCityhastheoverall,finalresponsibilityformonitoringwhethertheCityis in compliance with post-issuance federaltaxrequirementsforthe City's tax-advantaged bonds.However,the CityCouncilassignstotheFinanceDirector of theCitythe primary operatingresponsibilityto monitortheCity'S compliance withpost-issuancefederaltaxrequirementsforthe City's bonds. Inadditiontoanycompliancechecksthatmaybeundertaken in connection with(andpriorto) any prospective change in use of propertyorfacilitiesfinancedwith tax-advantaged bondsas describedinitem4below,theFinanceDirectorwillcheckonthe City's compliancewith applicablerequirements of theCodeatleastannually. 3ArbitrageYield Restriction andRebateRequirements.Thisportion of the CompliancePolicyappliesto tax-exempt bonds,buildAmericabondsandrecoveryzone economic development bonds.TheFinanceDirectorshallmaintainorcausetobemaintained recordsof: (a)purchasesandsales of investmentsmadewithbondproceeds(includingamounts treatedas"gross proceeds"of bondsundersection148 of theCode)andreceipts of earningson thoseinvestments; (b)expendituresmadewithbondproceeds(includinginvestmentearningsonbond proceeds)inatimelyanddiligentmannerforthegovernmentalpurposes of thebonds,suchas forthecosts of purchasing,constructing and/or renovating property andfacilities; (c)information showing,whereapplicablefora particular calendaryear,thattheCity waseligibletobetreatedasa"smallissuer"inrespect of bondsissuedinthatcalendaryear becausetheCitydidnotreasonablyexpecttoissuemorethan$5,000,000 of tax-advantaged bondsinthatcalendaryear; (d)calculations thatwillbe sufficient to demonstrate totheInternalRevenueService ("IRS")uponanaudit of abondissuethat,where applicable,theCityhascompliedwithan availablespending exception tothearbitragerebate requirement in respect of thatbondissue; (e)calculations thatwillbe sufficient to demonstrate totheIRSuponanaudit of abond issueforwhichno exception tothearbitragerebate requirement was applicable,thattherebate amount,if any,thatwaspayabletothe United States of America in respect of investmentsmade withgrossproceeds of thatbondissuewascalculatedandtimelypaid with Form8038-Ttimely filedwiththeIRS;and (f)information andrecordsshowingthat investments heldin yield-restricted advance refundingor defeasance escrowsforbonds,and investments madewithunspentbondproceeds afterthe expiration of theapplicable temporary period,werenot invested in higher-yielding investments. 4.Restrictions onPrivate Business UseandPrivateLoans.Thisportion of the Compliance Policyappliesto tax-exempt bonds,build America bondsandrecoveryzone economic development bonds.TheFinance Director shalladopt procedures thatarecalculated toeducateandinformtheprincipal operating officials of those departments,includingutility departments,if any,of theCity(the "users")forwhichland,buildings,facilitiesandequipment ("property")arefinancedwithproceeds of tax -advantaged bondsabouttherestrictionsonprivate businessusethatapplytothatpropertyafterthebondshavebeenissued,and of the restriction on theuse of proceeds of tax-advantaged bondstomakeorfinanceanyloantoanypersonother thanastateorlocal government unit. In particular,followingtheissuance of bondsforthefinancing of property,theFinance Director shallprovidetotheusers of the property acopy of this Compliance Policyandother appropriate writtenguidanceadvisingthat: (a)"private businessuse"meansusebyany person otherthanastateorlocal government unit,includingbusiness corporations,partnerships,limited liabilitycompanies, associations,nonprofit corporations,naturalpersonsengagedintradeorbusinessactivity,and theUnitedStates ofAmerica andany federal agency,asaresult of ownership of thepropertyor use of the property underalease,management orservicecontract(exceptforcertain "qualified" management orservicecontracts),outputcontractforthe purchase of electricityorwater, privately sponsored research contract (except forcertain "qualified"research contracts),"naming rights"contract,"public-private partnership"arrangement,oranysimilarusearrangementthat provides speciallegal entitlements fortheuse of the bond-financed property; (b)undersection 141 of theCode,nomorethan10%of theproceeds of anytax- advantaged bondissue (including the property financedwiththebonds)maybeusedforprivate business use,of whichnomorethan5%of theproceeds of the tax-advantaged bondissue (including the property financedwiththebonds)maybeusedforany "unrelated"private business use-that is,generally,a private businessusethatisnotfunctionallyrelatedtothe governmental purposes of thebonds;andnomorethan thelesser of $5,000,000or5%of the 2 'i117R421 I proceeds of a tax-advantaged bondissuemaybeusedtomakeorfinancealoantoanyperson otherthanastateorlocal government unit; (c)beforeenteringintoanyspecialuse arrangement witha nongovernmental personthat involvestheuse of bond-financed property,theusermustconsultwiththeFinanceDirector, providetheFinance Director witha description of the proposed nongovernmental use arrangement,anddeterminewhetherthatuse arrangement,if putintoeffect,willbeconsistent withthe restrictions onprivate business use of the bond-financed property; (d)in connection withthe evaluation of any proposed nongovernmental use arrangement,theFinance Director shouldconsultwithnationally recognized bondcounseltothe Cityasmaybe necessary toobtainfederaltaxadviceonwhetherthatuse arrangement,if putinto effect,willbe consistent withtherestrictionsonprivatebusinessuse of the bond-financed property,and,if not,whetherany "remedial action"permitted under section 141 of theCode maybetakenbytheCityasameans of enablingthatuse arrangement tobeputintoeffect withoutadverselyaffectingthe tax-advantaged status of thebondsthatfinancedtheproperty; and (e)theFinance Director andtheuser of thepropertyshall maintain records of such nongovernmental uses,if any,of bond-financed property,includingcopies of thepertinent leases,contractsorother documentation,andtherelated determination thatthose nongovernmental usesarenot inconsistent withthe tax-advantaged status of thebondsthat financedtheproperty. 5.Special Compliance PoliciesandProceduresfor Build America Bondsand RecoveryZoneEconomic Development Bonds.Thisportion of the Compliance Policyapplies tobuild America bondsandrecoveryzone economic development bonds. (a)TheCity,in consultation withitsbondcounsel,financial advisor andunderwriter, willstructuretheinitialsaleandissuance of anyissue of build America bondsandrecoveryzone economic development bondsinamannersuchthatthefollowing requirements willbemet: (i)Nomorethan2%of thesaleproceeds of theissuewillbeusedtopaycosts of issuance of theissue. (ii)The amount of saleproceeds of theissueusedtofundadebtservicereserve, if any,fortheissuewillnotexceedtheamount of a "reasonable required reservefund" permitted bysection148 of theCodeandalsowillnotexceed10%of saleproceeds of theissue. (iii)Theamount of original issue premium onany maturity of theissuewillnot exceeda deminimis amountequalto0.25%of the principal amount of thatmaturity multiplied bythe number of complete yearstotheearlier of thematuritydateorfirst optional redemption dateforthatmaturity.The City's bond purchase contract(orofficial notice of saleforanissuethatissoldcompetitively)willspecifythattheissueprice of any maturity shallnotincludeanyoriginalissue premium inexcessthe permitted de 3 5137S-1n I minimis amount.The underwriter (orwinning bidder ina competitive sale)willbe requiredtocertifytotheCityontheissuedate of thebondsthefirstpriceatwhicha substantialamount(atleastI0%)of eachmaturity of thebondswere reasonably expected onthesaledatetobesoldtothegeneralpublic,notincludingbondhouses,brokers,or similarpersonsactinginthecapacity of underwriters or wholesalers.If asubstantial amount(atleast10%)of any maturity of thebondswasnotactuallysoldtothegeneral publicatthe reoffering pricethatwasreasonably expected forthat maturity onthesale date,the underwriter (orwinning bidder ina competitive sale)willberequiredtoexplain thefactsand circumstances thatledtothe nonconformity. (iv)AnInternalRevenueServiceForm8038-Bwillbe prepared (andsignedas paidpreparer)bybondcounsel,signedbyan authorized representative of theCity,and timelyfiledon behalf of theCitybybondcounselwiththeInternal Revenue Service.As requiredbythe Instructions forForm8038-B,acompletedebtserviceschedule, includingthedateandamount of eachinterest payment andtheexpected,associated federalcreditpayment,willbeattachedtotheForm8038-Bthatisfiledforeachfixed rateissue. (b)Aftertheissuedate of thebonds,theCitywillprepareandsign,andtheCity(orthe City's designated paying agentforthebonds)willtimelyfileInternal Revenue ServiceForm 8038-CPinordertoreceivethefederalcredit payment withrespecttoeach interest paymentas shownonForm8038-B.Form8038-CPwillbefilednoearlierthan(but promptly following) the90 th daypriortoeachinterest payment dateandnolaterthanthe45 th daypriortoeach interest payment dateforthebonds.TheCitywillprovideonForm8038-CPtheinformation requiredforthefederalcreditpaymentstobemadebydirectdeposittoanaccountforthebenefit of theCity. (c)Bothpriortoandaftertheissuedate of thebonds,theFinance Director willconsult with,adviseandinformthe principal operating officials of those departments,includingutility departments,if any,of theCitythatare expected toreceiveandspend available projectproceeds of theissue of the requirements setforthbelow.Thismaybe accomplished by providing acopy of this Compliance Policytothoseofficials. (i)The "available project proceeds"of thebondsmeans100%of theexcess of thesale proceeds of theissueovertheamount(notexceeding2%)of saleproceedsused topaycosts of issuance of theissueandsaleproceeds deposited ina reasonably required reserve,if any,forthebonds,plus investment earningsonthatexcess. (ii)100%of available project proceedsmustbespent,inthecase of build Americabonds,forcapital expenditures withinthemeaning of generalfederalincometax principles,and,inthecase of recovery zoneeconomic development bonds,forqualified economic development purposes-that is,for(i)capital expenditures withrespectto propertylocatedinadesignatedrecoveryzone,and/or(ii)expenditures forpublic infrastructure and construction of publicfacilities reasonably expected topromote development orother economic activityina designated recoveryzone. 4 51378423 I (iii)A reasonable allocationmethodmustbeusedtoallocateavailableproject proceeds of theissuetoexpenditures,andthese allocations needtobemadeinwriting andretainedwiththebooksandrecords of theCity.Afinal allocation maybemadeno laterthanthefirsttooccur of (A)eighteenmonths following thecompletion of construction or acquisition of theprojects financed withavailable project proceeds of the issueor(B)thefirst computation datefortherebateamount,if any,withrespecttothe issue(notlaterthanthefifthanniversary of theissuedate of theissue).If fundsfrom differentsourcesareallocatedtocapital expenditures forthesameproject,theCity generallyexpectstousean allocation methodthatallocates available project proceedsto expenditures before allocating otherfundsto expenditures forthesameproject,andto useafirst-in,first-outmethodtoaccountfor expenditures from separate issues of tax- advantagedbonds.In anyevent,availableproject proceeds of thebondsshallbe allocatedonlytocapitalexpenditures. 6.Recordstobe Maintained for Tax-Advantaged Bonds.It isthepolicy of theCity that,unlessotherwise permitted byfutureIRS regulations orotherguidance,writtenrecords (whichmaybein electronic form)willbe maintained with respect to each bondissueforaslong asthosebondsremain outstanding,plusthreeyears.Forthis purpose,thebondsinclude refundingbondsthatrefundtheoriginalbondsandthereby refinance the property thatwas financedbytheoriginalbonds. Therecordstobe maintained aretoinclude: (a)theofficial Transcript of Proceedings fortheoriginal issuance of thebonds; (b)recordsshowinghowthebondproceedswereinvested,as described in3(a)above; (c)recordsshowinghowthebond proceeds werespent,as described in3(b)and5(c) above,including purchase contracts,construction contracts,progress payment requests,invoices, cancelledchecks,payment of bondissuancecosts,andrecords of "allocations"of bondproceeds tomake reimbursement for project expenditures madebeforethebondswereactuallyissued; (d)information,recordsand calculations showingthat,with respect toeachbondissue, theCitywaseligibleforthe "small issuer"exception orone of the spending exceptionstothe arbitragerebate requirement or,if not,thattherebateamount,if any,thatwaspayabletothe UnitedStates of America inrespect of investments madewithgross proceeds of thatbondissue was calculated andtimelypaidwithForm8038-TtimelyfiledwiththeIRS,asdescribedin3(c), (d)and(e)above;and (e)recordsshowingthatspecialuse arrangements,if any,affectingbond-financed propertymadebytheCitywith nongovernmental persons,if any,are consistent withapplicable restrictions onprivate business use of property financedwith proceeds of tax-advantaged bonds andrestrictionsontheuse of proceeds of tax-advantaged bondstomakeorfinanceloanstoany personotherthanastateorlocal government unit,asdescribedin4above. 5 51378423 I Thebasic purpose of theforegoingrecord retention policy forthe City's tax-advantaged bondsistoenabletheCitytoreadilydemonstratetotheIRS upon anaudit of any tax-advantaged bondissuethattheCityhasfully complied withallfederaltax requirements thatmustbe satisfiedaftertheissuedate of thebondssothatthosebondscontinuetobeeligibleforthe applicabletaxadvantageundertheCode. 7.Identification and Remediation of Potential Violations of FederalTax Requirements for Tax-Advantaged Bonds.If atanytimeduringthelife of anissue of tax- advantaged bonds,theCitydiscoversthata violation of federaltax requirements applicableto thatissuemayhaveoccurred,theFinance Director will consult with bond counseltodetermine whetheranysuch violation actuallyhasoccurredand,if so,take prompt actiontoaccomplishan availableremedialactionunderapplicableInternalRevenueService regulations ortoenterintoa closingagreementwiththeInternalRevenueServiceunderthe Voluntary ClosingAgreement ProgramdescribedunderNotice2008-31orotherfuture published guidance. 8.Education PolicyWithRespecttoFederalTax Requirements forTax-Advantaged Bonds.It isthepolicy of theCitythattheFinance Director andhisorherstaff,aswellasthe principaloperatingofficials of thosedepartments of theCityforwhich property isfinancedwith proceeds of tax-advantaged bondsshouldbe provided with education and training onfederaltax requirements applicable to tax-advantaged bonds.TheCity recognizes thatsucheducationand trainingisvitalasa means of helpingtoensurethattheCityremainsin compliance withthose federaltax requirements inrespect of itsbonds.TheCity therefore willenableandencourage thosepersonneltoattendand participate in educational and training programs offeredby,among others,the Washington Municipal Treasurers Association andthe Washington FinanceOfficers Association withregardtothefederaltax requirements applicable to tax-advantaged bonds. 6 51378423.1 PAYMENT,DELIVERY AND APPLICATION OF PROCEEDS CERTIFICATE CITYOFKING COVE,ALASKA $980,000 ELECTRIC UTILITY REVENUE BOND,2015 I,GaryHennigh,herebycertifyasfollows: 1.Iamthedulyappointed,qualifiedandactingCity Administrator oftheCityofKing Cove,Alaska(the"City"),andassuchamauthorizedtoexecutethiscertificate. 2.Onthedatehereof,IdeliveredtotheAlaskaMunicipalBondBank,Juneau, Alaska(the"BondBank")the$980,000ElectricUtilityRevenueBond,2015oftheCity(the "2015Bond"). 3.Atorbeforethetimeofdeliveryofthe2015Bond,theCityreceivedfromthe BondBankthefollowingamountsasfullpaymentforthe2015Bond: Principalof2015Bond Originalissuepremium Total Sources ofFunds DepositwithLoanTrustee: 2015ReserveAccount DepositwithCity: ProjectFund DebtServiceAccount DepositwithLevesqueLawGroupLLCfor paymentofcostsofissuance Underwriters'discount TotalUsesofFunds $980,000.00 117,819.85 $1,097,819.85 $79,298.38 1,000,000.00 26.14 15,000.00 3,495.33 $1,097,819.85 Dated:September 16,2015. I,DevenMitchell,ExecutiveDirectoroftheAlaskaMunicipalBondBank,Juneau, Alaska,herebyacknowledgereceiptfromtheCityofKingCove,Alaska(the"City")ofthe followingbondoftheCity: $980,000ElectricUtilityRevenueBond,2015 Dated:September16,2015. SIGNATURE CERTIFICATE CITY OFKING COVE,ALASKA $980,000 ELECTRIC UTILITY REVENUE BOND,2015 STATE OF ALASKA ss: THIRD JUDICIAL DISTRICT I,CHERYL BERNTSEN,hereby certifyasfollows: 1.Iamtheduly appointed,qualified andactingCityClerkoftheCity of King Cove,Alaska (the"City"),andassucham authorized to execute this certificate. 2.TheCityofKingCove,Alaska $980,000 Electric Utility Revenue Bond, 2015 (the"2015Bond"),was duly signed on behalf of theCitybyHenryMack,Mayor of theCity,and duly attested byCheryl Berntsen,City Clerk of theCity. 4.The signatures ofthe Mayor andtheCity Clerk onthe2015Bondarethe trueand genuine signatures ofsuch respective officers. 5.Such officers arethe duly elected or appointed,qualified andacting officers oftheCity,holdingsuch respective offices and authorized to execute the2015 Bond. 6.Thesealthatis impressed uponthis Certificate isthe duly adopted and only official seal of theCityandhasbeen impressed onthe2015Bond. Dated:September 16,2015. Cheryl Berntsen,City Clerk [SEAL] The foregoing instrument was acknowledged before methis l"~day of September,2015,by Cheryl Berntsen,theCity Clerk of theCity of KingCove,Alaska. ~'itB{JJ.L~Notary Public rAska My commission expires (,)...-/?-;;'01&., NO LITIGATION CERTIFICATE CITYOFKINGCOVE,ALASKA $980,000 ELECTRIC UTILITY REVENUE BOND,2015 I,Michael E.Kreger,certify that: 1Iaman attorney inthelawfirm Perkins Coie Alaska LLP ("Perkins Coie"). In that capacity,Iamthe duly appointed andactingCity Attorney oftheCityofKing Cove,Alaska (the"City"). 2.Iam authorized to execute and deliver this certificate and further certify on behalf oftheCityas follows: 3.Onor about September 16,2013,theCity adopted Resolution 2014-04 ("Master Resolution")and Resolution 2014-05 ("Series Resolution"). 4.This certificate is delivered in connection withthe issuance oftheCityof its $980,000 Electric Utility Revenue Bond,2015(the "2015 Bond").This certification assumes the2015Bondis issued under the authorizations inthe Master Resolution and the Series Resolution. 5.No litigation ofany nature isnow pending or,tomy knowledge, threatened,affecting the corporate existence or boundaries oftheCityorthetileofthe present offices to their respective office;andno authority or proceeding forthe issuance ofthe2015Bondhasbeen repealed,revokedor rescinded. 6.No litigation ofany nature isnow pending or,tomy knowledge,threatened seeking to restrain or enjoin the issuance,sale or delivery ofthe2015Bond,ortheright oftheCityto charge or collect rates pledged ortobe pledged topaythe principal ofand interest onthe2015Bond,orthe pledge thereof,orinany way contesting or affecting the validity or enforceability ofthe2015Bondortheloan agreement between theCity andthe Alaska Municipal Bond Bank relating tothe2015Bondor contesting the power oftheCityorits authority with respect tothe 2015 Bond. 7.No litigation ofany nature isnow pending or,tomy knowledge,threatened against theCity involving anyofthe property or assets ofor under the control ofthe City,which,individually orinthe aggregate,involves the possibility ofany judgment or uninsured liability which may result inany material change inthe revenues,properties, or assets,orinthe condition,financial or otherwise,ofthecity. Dated:September 16,2015 By: M/(A~1L t.1~rQ: Michael E.Kreger,Perkins COleLLP City Attorney,CityofKing Cove CERTIFICATE OF COMPLIANCE WITHRULE 15c2-12 CITYOFKINGCOVE,ALASKA $980,000 ELECTRIC UTILITY REVENUE BOND,2015 I,GaryHennigh,herebycertifyasfollows: 1.Iamthedulyappointed,qualifiedandactingCity Administrator oftheCity ofKingCove,Alaska(the"City"),andassuchamauthorizedtoexecutethiscertificate. 2.AsdisclosedintheOfficialStatementdatedAugust18,2015forthe AlaskaMunicipalBondBankGeneralObligationandRefundingBonds,2015Series Three,theCityisincompliancewithitscontinuingdisclosureundertakingobligations underRule15c2-12adoptedbytheSecuritiesandExchangeCommissionunderthe SecuritiesExchangeActof1934,asamendedfromtimetotime. Dated:September16,2015. ,CityAdmi.trator No.R-1 UNITEDSTATESOF AMERICA STATEOFALASKA CITYOFKINGCOVE SPECIMEN $980,000 ELECTRIC UTILITY REVENUEBOND,2015 REGISTERED OWNER:ALASKA MUNICIPAL BONDBANK PRINCIPALAMOUNT:NINEHUNDREDEIGHTY THOUSAND DOLLARS TheCityofKingCove,amunicipalcorporationoftheStateofAlaska(the"City"), acknowledgesitselfindebtedandforvaluereceivedpromisestopay(butonlyoutofthe sourcesmentionedherein)totheRegisteredOwnersetforthabove,oritsregistered assigns,theprincipalamountsetforthaboveinthefollowinginstallmentson October 1 ofeachofthefollowingyears,andtopayinterestoneachsuchprincipal installment fromthedatehereofuntilpaidorprovisionforpayment thereof hasbeenmade,payable onApril1,2016and semiannually thereafter onApril1andOctober1ofeach year,at thefollowingratesperannum: Principal Interest PrincipalInterest YearInstallment Rate Year Installment Rate 2020 $25,0005.00%2031 $45,0005.25% 202130,0005.00 2032 50,0005.25 2022 30,000 5.00 2033 50,0005.25 202330,000 5.00 2034 55,000 5.25 202435,000 5.00 203555,0005.25 202535,000 5.00 203660,0005.25 2026 35,0005.00 203765,0005.00 2027 40,0005.00 203865,0005.00 2028 40,0005.00 203970,0005.00 2029 45,0005.00 204075,0004.00 2030 45,0004.00 ForsolongastheAlaskaMunicipalBondBank(the"BondBank")isthe RegisteredOwner,paymentsofprincipal hereof andinteresthereonshallbemadeas providedintheloan agreement betweentheBondBankandtheCityrelatingtothis bond(the"LoanAgreement").IntheeventthattheBondBankisnolongerthe RegisteredOwner,payments ofprincipal hereof andinteresthereonwillbemadeby checkor draft mailedbyfirstclassmailtotheRegistered Owner atthe address forsuch RegisteredOwnerappearingontheBondRegisteronthe15thdayofthemonth precedingthe payment date,providedthatthefinal installment ofprincipalofand interest onthisbondwillbepayableattheofficeoftheCity Administrator (the "Registrar")upon surrender ofthisbondtotheRegistrar.Interest onthisbondshallbe computedonthebasisofa 360-day yearcomposedoftwelve 30-day months. Thisbondisaspecial obligation oftheCityandisoneoftheduly authorized electricutilityrevenuebondsoftheCity designated "CityofKingCove,Alaska,Electric UtilityRevenueBond"(the"Bonds"),issuedandtobeissuedinvariousseries under Resolution14-04(the "Master Resolution"),adoptedon September 16,2013,and Resolution14-05(the"Series Resolution,"and together withthe Master Resolution,asit maybeamendedand supplemented fromtimetotime,the "Resolution"),adoptedon September 16,2013.Asprovidedinthe Master Resolution,theBondsmaybeissued fromtimetotime pursuant toSeries Resolutions inoneormoreseries,invarious principalamounts,maymatureat different times,maybear interest at different rates and,subject totheprovisionsthereof,mayotherwisevary.The aggregate principal amount ofBondswhichmaybeissuedundertheMaster Resolution isnotlimited,and allBondsissuedandtobeissued under the Master Resolutionareandwillbe equally andratablysecuredbythepledgesand covenants madetherein,except as otherwise expressly providedor permitted intheMasterResolution. Thisbond,definedintheSeries Resolution asthe"2013Bond,"isissued under theResolutionforthe purpose ofprovidingpartofthefundsrequiredtopaytheCostsof Construction of improvements tothe Electric Utility,includingthe Waterfall Creek hydroelectric project,to reimburse theCityforany expenditures onsuchCostsof Construction,tomakeanyrequired deposit intothe2014Reserve Account,andtopay allcosts incidental theretoandtothe issuance ofthe2015Bond. Referenceismadetothe Resolution fora description oftherightsofthe Registered Owner andoftherightsand obligations oftheCity thereunder,toallofthe provisions ofwhichResolutiontheRegisteredOwner,by acceptance hereof,assents andagrees.. Thisbondis subject to prepayment attheoptionoftheCityin accordance with the applicable provisions ofthe Resolution andthe applicable provisions oftheLoan Agreement. Thisbondshallbean obligation onlyofthe2014BondFundandshallbe payableandsecuredasprovidedintheResolution.Thisbondshallnotinany manner ortoany extent constitute a general obligation oftheCityortheStateof Alaska orof anypolitical subdivision oftheStateofAlaska.Neither the faithandcreditnorthetaxing power oftheCityispledgedforthe payment ofthisbond. TheCityhas irrevocably obligated andbounditselftosetasideand payout of NetRevenueintothe2014BondFund,onorbeforetheduedate,the amount 2 51464035.2 necessary topay principal or interest comingdueonthisbond.TheCityhas declared such amounts so pledged tobepaidintothe2014BondFundtobealienon Gross Revenue superior toall other liensand charges ofanykindornature whatsoever except for Operating Expenses and except for parity liens that maybemadeto secure payment ofanyseriesofBondsissuedin accordance withthe provisions ofthe Master Resolution. This bondis transferable as provided inthe Resolution,(i)only upontheBond Register,and(ii)upon surrender ofthisbond together witha written instrument of transfer duly executed bythe Registered Owner orthe duly authorized attorney of the Registered Owner,and thereupon anewfully registered bondinthe same aggregate unpaid principal amount shallbeissuedtothe transferee in exchange therefor as provided inthe Resolution uponthe payment ofcharges,ifany,as therein prescribed. TheCitymay treat and consider thepersonin whose name thisbondis registered as the absolute owner hereof forthe purpose of receiving payment of,oron account of,the principal or prepayment price,ifany,hereof and interest duehereonandforall other purposes whatsoever. ITIS HEREBY CERTIFIED and declared thatthisbondisissued pursuant toand in strict compliance withthe Constitution andlaws of theState of Alaska andthe ordinances and resolutions oftheCity of KingCove,and that allacts,conditions and things requiredto happen,tobedone,andtobe performed precedent toandonthe issuance ofthisbondhave happened,been done andbeen performed. IN WITNESS WHEREOF,THE CITY OFKINGCOVE,ALASKA,hascausedthis bondtobesignedinitsnameandonits behalf bythe manual or facsimile signature of its Mayor andits corporate seal(ora facsimilethereof)tobe impressed or otherwise reproduced hereon and attested bythe manual or facsimile signature of itsClerk,allas ofthe16thdayof September,2015. CITY OFKING COVE J~':?=I rAJ M'ayor J ATTEST: City Clerk [SEAL] 3 51464035.2 [t]F a STER PEP PER r-u.c September 16,2015 City of KingCove,Alaska Alaska Municipal BondBank Re:City of King Cove,Alaska $980,000 Electric Utility Revenue Bond,2015 Wehaveservedas co-bond counsel totheCity of King Cove,Alaska (the "City"),in connection withthe issuance of the above-referenced bond(the"2015 Bond"),andin that capacity have examined suchlawandsuch certified proceedings and other documents aswehave deemed necessary to render this opinion.Asto matters of fact material tothis opinion,wehavereliedupon representations contained in the certified proceedings and other certifications of public officials furnished tous,without undertaking to verifythe same by independent investigation. The2015BondisissuedbytheCity pursuant to Resolution 14-04and Resolution 14-05 (together,the "Resolution"),under andin accordance withthe Constitution andlaws of theState of Alaska andthe ordinances of theCity. Wehavenotbeen engaged to review andthus express no opinion concerning the completeness or accuracy of any official statement,offering circular or other sales or disclosure material relating tothe issuance of the2015Bondor otherwise usedin connection withthe2015 Bond orthe Alaska Municipal BondBank General Obligation and Refunding Bonds,2015 Series Three (the "Bond Bank Bonds"),a portion of the proceeds of whichare being usedto acquire the2015 Bond,or otherwise usedin connection withthe2015BondortheBond Bank Bonds. UndertheInternal Revenue Code of 1986,as amended (the "Code"),theCityis required to comply with certain requirements afterthedate of issuance of the2015Bondin order to maintain the exclusion of theinterestonthe2015Bondfromgrossincomeforfederalincometax purposes,including, without limitation,requirements concerning the qualified use of 2015Bond proceeds andthe facilities financed or refinanced with2015Bond proceeds,limitations on investing gross proceeds of the2015 Bondin higher yielding investments in certain circumstances andthe arbitrage rebate requirement tothe extent applicable tothe2015Bond.TheCityhas covenanted inthe Resolution to comply with those requirements,butiftheCityfailsto comply with those requirements,interest onthe2015Bondcould become taxable retroactive tothedate of issuance of the2015Bond.Wehavenot undertaken anddonot undertake to monitor the City's compliance withsuch requirements. Baseduponthe foregoing,as of thedate of initial delivery of the2015Bondtothe purchaser thereof andfull payment therefor,itisour opinion that under existing law: I.TheCityisaduly organized andlegally existing municipal corporation under thelaws of theState of Alaska. TEL 206.447.4400 FAX 206.447.9700 1111 THIRD AVENUE,SUITE 3400 SEATTLE,WASHINGTON 98101-3299 www.FOSTER.COM 51464040,1 SEATTLE WASHINGTON SPOKANE WASHINGTON City of King Cove,Alaska Alaska Municipal Bond Bank September 16,2015 Page2 2.TheLoan Agreement between the City andthe Alaska Municipal Bond Bank dated as of September I,2015,relating tothe2015 Bond,hasbeen duly authorized,executed and delivered bythe Cityandisa valid and binding obligation of theCity,enforceable against theCityin accordance with its terms,except onlytothe extent that enforcement of payment maybe limited by bankruptcy,insolvency or other laws affecting creditors'rightsandbythe application of equitable principles andthe exercise of judicial discretion in appropriate cases. 3.The 2015Bondhasbeenduly authorized andissuedbytheCityandis issued infull compliance withthe provisions of the Constitution andlaws of the State of Alaska and ordinances of the City relating thereto. 4.The2015Bondisavalid,binding special obligation of the City,payable solely out of the Electric Utility Revenue Bond Fund,2014 of theCity(the "2014 Bond Fund"),andis enforceable against theCityin accordance with its terms,except onlytothe extent that enforcement of payment maybe limitedby bankruptcy,insolvency or other laws affecting creditors'rights andbythe application of equitable principles andthe exercise of judicial discretion in appropriate cases. 5.The Resolution creates avalid,duly perfected first priority lienonthe 2014 Bond Fundand ontheNet Revenue pledged tobepaidintothe 2014 Bond Fund superior toall other liensand charges of anykindor nature whatsoever except for parity liens that may be made to secure payment of any series of Bonds issuedin accordance with the provisions of Resolution 14-04. 6.Assuming compliance bytheCity after thedate of issuance of the2015 Bond with applicable requirements of the Code,the interest onthe2015 Bond is excluded from gross income for federal income tax purposes andisnotanitem of tax preference for purposes of the alternative minimum tax applicable to individuals;however,while interest onthe 2015 Bond also isnotanitem of tax preference for purposes of the alternative minimum tax applicable to corporations,interest onthe2015 Bond received by corporations istobe taken into account inthe computation of adjusted current earnings for purposes of the alternative minimum tax applicable to corporations,interest onthe2015 Bond received by certain S corporations maybe subject totax,and interest onthe20IS Bond received by foreign corporations with United States branches maybe subject toa foreign branch profits tax. 7.Interest onthe2015Bondisfreefrom taxation bythe State of Alaska except for transfer, estate and inheritance taxes,and except tothe extent interest onthe 2015 Bond received by corporations and taken into account inthe computation of adjusted current earnings for purposes of the alternative minimum tax applicable to corporations may affect the corresponding provisions of the State of Alaska corporate income tax. We express no opinion regarding any other federal or state tax consequences of receipt of interest onthe2015Bond. This opinion is given as of thedate hereof,andwe assume no obligation to revise or supplement this opinion to reflect anyfactsor circumstances that may hereafter come to our attention,orany changes inlawthatmay hereafter occur. 51464040.1 City of King Cove,Alaska Alaska Municipal Bond Bank September 16,2015 Page3 We bring to your attention thefactthatthe foregoing opinions are expressions of our professional judgment onthe matters expressly addressed anddonot constitute guarantees of result.No attorney- client relationship has existed or exists between ourfirmandthe Alaska Municipal Bond Bank in connection withthe2015 Bond orby virtue of thisletter. Respectfully submitted, FOSTER PEPPER PLLC .'iI ~6~O-lO.1 LEVESQUE LAW GROUP,LLC 3380CStreet,Suite202 Anchorage,Alaska99503 September 16,2015 CityofKingCove,Alaska AlaskaMunicipalBondBank Re:CityofKingCove,Alaska $980,000ElectricUtilityRevenueBond,2015 Phone:(907)261-8935 Fax:(206)309-0667 Email:joe@levesquelawgroup.com Wehaveservedasco-bondcounseltotheCityofKingCove,Alaska(the"City"), inconnectionwiththeissuanceofthe above-referenced bond(the"2015Bond"),andin thatcapacityhaveexaminedsuchlawandsuchcertified proceedings andother documents aswehavedeemed necessary torenderthisopinion.Astomattersoffact materialtothisopinion,wehavereliedupon representations containedinthecertified proceedingsandother certifications ofpublicofficialsfurnishedtous,without undertakingtoverifythesameby independent investigation. The2015BondisissuedbytheCitypursuanttoResolution14-04and Resolution14-05(together,the"Resolution"),underandin accordance withthe ConstitutionandlawsoftheStateofAlaskaandtheordinancesoftheCity. Wehavenotbeenengagedtoreviewandthusexpressnoopinionconcerning thecompletenessoraccuracyofanyofficialstatement,offeringcircularorothersalesor disclosure materialrelatingtotheissuanceofthe2015Bondorotherwiseusedin connectionwiththe2015BondortheAlaskaMunicipalBondBankGeneralObligation andRefundingBonds,2015SeriesThree(the"BondBankBonds"),aportionofthe proceedsofwhicharebeingusedtoacquirethe2015Bond,orotherwiseusedin connectionwiththe2015BondortheBondBankBonds. UndertheInternalRevenueCodeof1986,asamended(the"Code"),theCityis requiredtocomplywithcertainrequirementsafterthedateofissuanceofthe2015 Bondinordertomaintaintheexclusionofthe interest onthe2015Bondfromgross incomeforfederalincometaxpurposes,including,withoutlimitation,requirements concerningthequalifieduseof2015Bondproceedsandthefacilitiesfinancedor refinancedwith2015Bondproceeds,limitationsoninvestinggrossproceedsofthe 2015Bondinhigheryielding investments incertaincircumstancesandthearbitrage rebate requirement totheextentapplicabletothe2015Bond.TheCityhascovenanted intheResolutiontocomplywiththoserequirements,butiftheCityfailstocomplywith thoserequirements,interestonthe2015Bondcouldbecometaxableretroactivetothe 51464040_1 LEVESQUELAWGROUP,LLC CityofKingCove,Alaska AlaskaMunicipalBondBank September 16,2015 Page2 dateofissuanceofthe2015Bond.Wehavenotundertakenanddonotundertaketo monitortheCity'scompliancewithsuchrequirements. Basedupontheforegoing,asofthedateofinitialdeliveryofthe2015Bondto the purchaser thereof andfull payment therefor,itisouropinionthatunderexistinglaw: 1.TheCityisadulyorganizedandlegallyexistinqmunicipalcorporation underthelawsoftheStateofAlaska. 2.TheLoan Agreement betweentheCityandtheAlaskaMunicipalBond Bankdatedasof September 1,2015,relatingtothe2015Bond,hasbeenduly authorized,executedanddeliveredbytheCityandisavalidandbindingobligationof theCity,enforceable againsttheCityinaccordancewithitsterms,exceptonlytothe extentthat enforcement of payment maybelimitedbybankruptcy,insolvencyorother lawsaffectingcreditors'rightsandbytheapplicationofequitableprinciplesandthe exerciseofjudicialdiscretionin appropriate cases. 3.The2015BondhasbeendulyauthorizedandissuedbytheCityandis issuedinfullcompliancewiththeprovisionsoftheConstitutionandlawsoftheStateof AlaskaandordinancesoftheCityrelatingthereto. 4.The2015Bondisavalid,bindingspecialobligationoftheCity,payable solelyoutoftheElectricUtilityRevenueBondFund,2014oftheCity(the"2014Bond Fund"),andis enforceable againsttheCityinaccordancewithitsterms,exceptonlyto theextentthat enforcement of payment maybelimitedbybankruptcy,insolvencyor otherlawsaffectingcreditors'rightsandbytheapplicationofequitableprinciplesand theexerciseofjudicialdiscretionin appropriate cases. 5.TheResolutioncreatesavalid,dulyperfectedfirstprioritylienonthe2014 BondFundandontheNetRevenuepledgedtobepaidintothe2014BondFund superior toallotherliensandchargesofanykindornature whatsoever exceptforparity liensthatmaybemadetosecure payment ofanyseriesofBondsissuedin accordance withtheprovisionsofResolution14-04. 6.AssumingcompliancebytheCityafterthedateofissuanceofthe2015 Bondwithapplicable requirements oftheCode,theinterestonthe2015Bondis excludedfromgrossincomeforfederalincometaxpurposesandisnotanitemoftax preferenceforpurposesofthe alternative minimumtax applicable toindividuals; however,while interest onthe2015Bondalsoisnotanitemoftax preference for purposesofthealternativeminimumtaxapplicabletocorporations,interestonthe2015 51464040.1 LEVESQUELAWGROUP,LLC CityofKingCove,Alaska AlaskaMunicipalBondBank September 16,2015 Page3 Bondreceivedbycorporationsistobetakenintoaccountinthecomputationof adjustedcurrentearningsforpurposesofthealternativeminimumtaxapplicableto corporations,interestonthe2015BondreceivedbycertainS corporations maybe subjecttotax,andinterestonthe2015Bondreceivedbyforeign corporations with UnitedStatesbranchesmaybesubjecttoaforeignbranchprofitstax. 7.Interestonthe2015BondisfreefromtaxationbytheStateofAlaska exceptfortransfer,estateandinheritancetaxes,andexcepttotheextentinterestonthe 2015Bondreceivedby corporations andtakenintoaccountinthecomputationof adjustedcurrentearningsforpurposesofthealternativeminimumtax applicable to corporations mayaffectthecorrespondingprovisionsoftheStateofAlaskacorporate incometax. Weexpressnoopinionregardinganyotherfederalorstatetax consequences of receiptofinterestonthe2015Bond. Thisopinionisgivenasofthedatehereof,andweassumenoobligationto reviseor supplement thisopiniontoreflectanyfactsor circumstances thatmay hereaftercometoourattention,oranychangesinlawthatmay hereafter occur. Webringtoyourattentionthefactthattheforegoingopinionsare expressions of ourprofessional judgment onthemattersexpresslyaddressedanddonotconstitute guarantees ofresult.No attorney-client relationshiphasexistedorexistsbetweenour firmandtheAlaskaMunicipalBondBankinconnectionwiththe2015Bondorbyvirtue ofthisletter. Respectfully submitted, LEVESQUELAWGROUP,LLC ~~f\.:LulUjIM. JosephN.Levesque 51464040.1 CityofKingCove,Alaska OMS No.1545-0720 Form8038-G (Rev.September 2011) Department ofthe Treasury InternalRevenue Service Information Return for Tax-Exempt Governmental Obligations ~Under Internal RevenueCode section 149(e) ~See separate instructions. Caution:If theissue price is under $100,000,useFormB03B-GC. If Amended Return,checkhere ~0 2 Issuer's employer identification number (EIN) 92-6001247 3a Name of person (other than issuer)with whom theIRSmay communicate about this return (see instructions)3bTelephonenumberofotherpersonshownon3a 4 Number and street (orP.O.boxif mail isnot delivered to street address) P.O.Box37 IRoom/suite 5 Report number (ForIRS UseOnly) 13 ~~Jf 6City,town,or post office,state,and ZIP code KingCove,Alaska 99612 7Dateofissue 09116/2015 8Nameofissue Electric Utility Revenue Bond,2015 9 CUSIP number N/A 10a Name and title of officer or other employee ofthe issuer whom theIRS may call for more information (see instructions) GaryHennigh,City Administrator 10b Telephone number of officer or other employee shown on 1-Oa 907-497-2340 III Type of Issue (enter the issue price).Seethe instructions andattachschedule. Form 8038-G (Rev.9-2011) years years 3.6984 % 97,793 o N/A 1,097,820 N/A 1,097,820 1,000,027 (e)Yield N/A N/A 11 12 14 17 15 16 13 18 (e)Stated redemption (d)Weighted price at maturity average maturity(b)Issue price 10/01/2040 1,097,820 980,000 16.647 ears Description of Obligations.Complete for the entire issue for which this form is being filed. Uses of Proceeds of Bond Issue (including underwriters'discount) (a)Final maturity date Education. Healthandhospital Transportation Publicsafety. Environment(includingsewagebonds) Housing Utilities Other.Describe ~-:-:-_--=-:-:-:_--,-----:-_--,--.,---_--,----,---,;=; If obligations areTANsorRANs,checkonlybox19a If obligations areBANs,checkonlybox19b If obligations areintheformofaleaseor installment sale,checkbox20 11 12 13 14 15 16 17 18 19 22Proceedsusedforaccruedinterest 23Issuepriceofentireissue(enteramountfromline21,column(b)) 24Proceedsusedforbondissuancecosts(includingunderwriters'discount).24 18,495 25Proceedsusedforcreditenhancement.25 0 26Proceedsallocatedtoreasonablyrequiredreserveorreplacementfund26 79,298 27Proceedsusedtocurrentlyrefund prior issues 27 0 28Proceedsusedtoadvancerefundpriorissues 28 0 29Total(addlines24through28). 30 Nonrefunding proceeds oftheissue (subtract line29fromline23andenteramounthere) Description of Refunded Bonds.Complete this part only for refunding bonds. 31Entertheremainingweightedaverage maturity ofthe bonds tobecurrentlyrefunded.~ 32Entertheremainingweightedaverage maturity ofthe bonds tobeadvancerefunded ~ 33Enterthelastdateonwhichtherefunded bonds willbecalled(MM/DDIYYYY)~ 34Enterthedate(s)therefundedbondswereissued ~(MMlDDIYYYY) For Paperwork Reduction Act Notice,see separate instructions.Cat.No.63773S oo o oo Page 2 N/A N/A ~ areremediated ~ ~ 35 36a ----'-'-'-=-=--f--- 35Enterthe amount ofthestatevolumecapallocatedtotheissue under section141(b)(5) 36aEnterthe amount ofgross proceeds investedortobeinvestedinaguaranteed investment contract ~~4: (GIG)(see instructions) bEnterthefinal maturity dateoftheGIC ~_ cEnterthenameoftheGIC provider ~ 37Pooled financings:Enterthe amount ofthe proceeds ofthisissuethataretobeusedtomakeloans toother governmental units.37 N/A 38a Ifthisissueisaloanmadefromtheproceedsofanother tax-exempt issue,checkbox ~0 andenterthefollowinginformation: bEnterthedateofthemasterpool obligation ~-"0"'9/"'1-"6/"'2-"-0=..:15'----_ cEntertheEINoftheissuerofthemasterpooi obligation ~..:;9.=2-....:6"'0-"0.:..11=..:8"'5'--_ dEnterthenameoftheissuerofthe master pool obligation ~Alaska Municipal BondBank 39Iftheissuerhas designated theissue under section 265(b)(3)(B)(i)(lIl)(smallissuerexception),checkbox 40Iftheissuerhaselectedtopayapenaltyinlieuofarbitragerebate,check box. 41aIftheissuerhas identified ahedge,check here ~0 andenterthe following information: bNameofhedge provider ~ cTypeofhedge ~_ dTermofhedge ~_ 42Iftheissuerhas superintegrated thehedge,checkbox 43Iftheissuerhas established written procedures toensurethatall nonqualified bondsofthisissue according tothe requirements under theCodeandRegUlations(see instructions),checkbox. 44Iftheissuerhas established written procedures to monitor the requirements ofsection148,check box. 45aIfsome portion ofthe proceeds wasusedtoreimburse expenditures,check here ~0 andenterthe amount of reimbursement ..~ bEnterthedatetheofficialintentwas adopted ~ Form B03B-G(Rev.9-2011) Miscellaneous Signature and Consent Paid Preparer Use Only CERTIFICATEOFRESOLUTION I,JulieE.Cozzi,BoroughClerk of theHainesBorough,Alaska(the"Borough"),DO HEREBYCERTIFY: I.ThattheattachedResolutionNo.15-08-639(the "Resolution")isatrueand completecopy of aresolution of theBoroughAssembly(the"Assembly")adoptedataregular meeting of theAssemblyheldonAugust 25,2015,anddulyrecordedinmyoffice; 2.Thatthemeetingwasdulyconvenedandheldinallrespectsinaccordancewith law;andthattotheextentrequiredbylaw,dueandpropernotice of suchmeetingwasgiven; thataquorumwaspresentthroughoutthemeetingandalegallysufficientnumber of members of theAssemblyvotedinthepropermannerforthepassage of theResolution;thatall of the requirementsandproceedingsincidenttotheproperpassage of theResolutionhavebeenduly fulfilled,carriedoutandotherwiseobserved,andthatIamauthorizedtoexecutethiscertificate. Datedas ofthis 16thday of September,2015. HAINES BOROUGH,ALASKA au 01''~.(l"(f"h/J'A-J--------:.__ --=z:!'fulie E.~oroughClerk A RESOLUTION of the Assembly of Haines Borough,Alaska, authorizing the issuance of a general obligation bond of the Borough ina principal amount not toexceed$1,375,000to finance a portion of the cost of capital improvements to Haines High School,as authorized by Ordinance No.14-07-388 and ratified by the Borough's voters at an election heldon October 7,2014;authorizing tax leviesto pay the principal thereof and interest thereon;and authorizing the sale of the bond to the Alaska Municipal Bond Bank on the terms and conditions provided inthis resolution. HAINES BOROUGH,ALASKA RESOLUTION No.15-08-639 Adopted I WHEREAS,atanelectionheldinHainesBorough,Alaska (the "Borough"),on October 7,2014,the number andproportion of qualifiedelectors of theBoroughasrequiredby lawfortheadoption thereof votedinfavor of twopropositions authorizing theissuance of general obligation bonds of theBoroughinaprincipalamountnottoexceed$2,123,394to financeaportion of thecost of capitalimprovementstoHainesHighSchool(the "Project"),as authorizedbyOrdinanceNo.14-07-388 of theBoroughpassedonAugust26,2014(the "Election Ordinance");and WHEREAS,theAssemblywishesto authorize theissuance of nottoexceed$1,375,000 o principal amount of thegeneral obligation bondsauthorizedbythe Election Ordinanceand approvedbythe Borough's voters;and WHEREAS,itisinthebestinterest of theBoroughtosellthebondstothe Alaska MunicipalBondBank(the 0 "Bond Bank")onthetermsand conditions setforthhereinandina loan agreement authorizedbythisresolutiontobeenteredintobytheBoroughManager; NOW,THEREFORE,BEITRESOLVEDbytheAssembly of HainesBorough,Alaska, asfollows: SectionI.Definitions.Asusedinthisresolution,thefollowingwordshavethe followingmeanings,unlessadifferentmeaningclearlyappearsfromthecontext: "Assembly"meanstheAssembly of HainesBorough,thegenerallegislative authority of theBorough,asthesameshallbedulyconstitutedfromtimetotime,orany successor body. "Bond"meanstheHainesBorough,Alaska,General Obligation Bond,2015,ina principal amount nottoexceed $1,375,000,authorizedtobeissuedandsoldtotheBondBank pursuant tothisresolution. "Bond Bank"meanstheAlaskaMunicipalBondBank,apubliccorporationand instrumentality ofthe State of Alaska,createdpursuanttotheprovisions of Chapter85,Title44, AlaskaStatutes,asamended. L "Bond Bank Bonds"meansbondstobeissuedbytheBond Bank to provide fundstobe loanedtothe Borough pursuant totheLoan Agreement. "Bond Fund"meansthe "Haines Borough General Obligation Bond Redemption Fund, 2015,"authorized tobe created bySection5 of this resolution. "Bond Premium"means proceeds of theBond representing an allocation of the original issue premium,ifany,ontheBond Bank's Bonds. "Bond Register"meansthe registration booksfortheBond maintained bythe Registrar, forthe purpose of complying withthe requirements of Section149 of theCodeandlisting,inter alia,thenamesand addresses of the Registered Owner.of theBond. "Borough"means Haines Borough,a home rule municipal corporation duly organized and existing underthe Constitution andlaws of theState of Alaska anditsCharter. "Chief Fiscal Officer"meansthe Borough's Chief Fiscal Officer (alsoknownasthe Finance Director)orthe successor totheduties of that office. "Code"meansthefederalInternal Revenue Code of .1986,as amended,together with corresponding and applicable final,temporary or proposed regulations and revenue rulings issuedor amended with respect thereto bytheUnitedStates Treasury Department ortheInternal Revenue Service,tothe extent applicable totheBond. "Election Ordinance"means Ordinance No.14-07-388 of the Borough,adopted bythe Assembly on August 26,2014,and ratified bythe Borough's votersinan election heldinthe Borough on October 7,2014. ."Government Obligations"meansanybondsor other obligations that,asto principal and interest,'constitute direct obligations of,orare unconditionally guaranteed by,theUnited States of America. "Loan Agreement"meanstheLoan Agreement byand between the Borough andthe Bond Bank authorized tobeenteredinto pursuant toSection12 ofthis resolution. "Project Fund"meansthe "Haines HighSchool Project Fund,2015,"created pursuant to SectionII of this resolution. "Registrar"meansthe Chief FiscalOfficer,forthe purposes of registering and authenticating theBond,maintaining theBond Register,and paying principal of andintereston theBond. "Registered Owner"means the person inwhosenamethe Bond is registered ontheBond Register. "Rule"meansthe SEC's Rule15c2-I2 under the Securities Exchange Act of 1934. "SEC"meanstheSecuritiesandExchangeCommission. "TaxCertificate"meansthecertificatewithrespecttofederaltaxmattersrelatingtothe Bondauthorizedtobeexecutedbythe Chief FiscalOfficerpursuanttotheprovisions of Section7 of thisresolution. Words of themasculinegenderwillbedeemedandconstruedtoincludecorrelative words of thefeminineandneutergenders.Wordsimpartingthesingularnumberincludethe pluralnumbersandviceversaunlessthecontextotherwiseindicates.Referencetosectionsand othersubdivisions of thisresolutionaretothesectionsandothersubdivisions of thisresolution asoriginallyadoptedunlessexpresslystatedtothecontrary.Theheadingsortitles of the sectionshereof,andthetable of contentsappendedhereto,areforconvenience of referenceonly anddonotdefineorlimittheprovisionshereof. Section2.Authorization of theBond.TheBoroughshallnowissueandsellnotto exceed$1,375,000principalamount of thegeneralobligationbondsauthorizedbytheElection Ordinanceandapprovedbythe Borough's votersatanelectionheldonOctober7,2014,to financeaportion of thecost of capitalimprovementstotheHainesHighSchoolasdescribedin theElectionOrdinanceandtopaycosts of issuance of thebonds,allasauthorizedbythe Election Ordinance.ThebondsshallbeissuedandsoldtotheBondBankasasinglebondina principalamountnottoexceed$1,375,000,designatedasthe"HainesBorough;Alaska,General ObligationBond,2015"(the"Bond").TheBondshallbefullyregisteredas to bothprincipal andinterest,shallbenumberedseparatelyinsuchmanneras the Registrardetermines,shallbe datedas of thedatetobeestablishedinaccordancewithSection12hereof,andshallmatureon thedateordates,bearinterestattherateorrates,andbepayableonthedatesandintheprincipal amountstobeestablishedinaccordancewithSection12hereof.Interest on theBondshallbe computedonthebasis of a360-dayyearconsisting of twelve30-daymonths. Section3.Registration.PaymentandTransfer.The Chief FiscalOfficerwillactas authenticatingagent,transfer agent,payingagentandregistrarfortheBond(collectively,the "Registrar").Bothprincipal of andinterestontheBondarepayableinlawfulmoney of the UnitedStates of America.InterestontheBondwillbepaidbycheckordraft of the Registrar mailed(onthedatesuchinterestisdue)totheRegisteredOwnerornomineeattheaddresses appearingontheBondRegisteronthefifteenthday of themonthprecedingeachinterest paymentdate.Principal of theBondispayableuponpresentationandsurrender of theBondto theRegistrarbytheRegisteredOwnerornomineeattheoffice of theRegistrarinHaines, Alaska.Notwithstanding theforegoing,iftheBondissoldtotheBondBankpursuanttothe provisions of Section12 of thisresolution,andforsolongastheBondBankistheowner of the Bond,payments of principal of andinterestontheBondwillbemadetotheBondBankin accordancewiththeLoanAgreement. TheBondmaybetransferredonlyontheBondRegistermaintainedbytheRegistrarfor thatpurposeuponthesurrender thereof bytheRegisteredOwnerornomineeorhisorherduly authorizedagentandonlyifendorsedinthemannerprovidedthereon,andthereuponanewfully registeredBond of likeprincipalamount,maturityandinterestratewillbeissuedtothe transfereeinexchangetherefor.Uponsurrender thereof totheRegistrar,theBondis rL __ [ interchangeable forabondor bonds (in denominations of $5,000 oranyintegral multiple thereof)of anequal aggregate principal amount and of the same interest ratesand principal payment amounts asthe Bond.Such transfer or exchange willbe without cost tothe Registered Owner or transferee. The Borough may deemthe person in whose name the Bond is registered tobethe absolute owner thereof forthe purpose of receiving payment of the principal of and interest on the Bond andforanyandall other purposes whatsoever. Section 4.Preoavment.Provisions forthe optional prepayment of some orall principal installments of theBondmaybe established pursuant to Section 12andwillbesetforth inthe Loan Agreement.Portions of the principal amount of the Bond,in increments of $5,000 or any integral multiple of $5,000,may be prepaid. So long asthe Bond Bank isthe owner of the Bond,notice of prepayment willbe given according tothe terms of theLoan Agreement.If.the Bond Bank isnotthe owner of the Bond, .notice of prepayment.thereof willbegivennotless than 20nor more than60days prior to the. datefixedfor prepayment byfirst class'mail,postage prepaid,tothe Registered Owner of the Bond atthe 'address appearing onthe Bond Register.The requirements of this section willbe deemed'complied withwhen notice is mailed as herein provided,regardless of whether.itis actually received by the owner ofthe Bond.-Each official notice of prepayment willbe dated and . state:(i)the prepayment date,(ii)the prepayment priceor prepayment premium,if any,payable- upon prepayment;(iii)ifless thanall of an installment of principal istobe prepaid,the principal amount to be prepaid (which must bean integral multiple of $5,000);(iv)that the interest onthe Bond,oronthe principal amount thereof tobe prepaid,designated for prepayment in the.notice,-' .will cease to accrue from and after the prepayment date;and(v)that on that date there will become due.andpayable onthe Bond the principal amount thereof tobe prepaid andthe interest accrued onthat principal amount tothe prepayment date. Section 5..BondFund;Pledge.ofTaxes.A special fund of the Borough known asthe "Haines Borough General Obligation Bond Redemption Fund,2015"(the "Bond Fund"),is hereby authorized tobe created inthe office of the Chief Fiscal Officer.The Bond Fund may .only be drawn uponforthe purpose of paying principal of and interest onthe Bond. The Bond isageneral obligation of the Borough.As authorized bythe Election Ordinance,the Borough hereby irrevocably covenants that,unless the principal of and interest on the Bond arepaidfrom other sources,itwiII make annual levies of property taxes without limitation astorateor amount,andin amounts sufficient,together with other legally available funds,to pay such principal and interest asthe same become due.Thefullfaith,credit and resources of the Borough are hereby irrevocably pledged forthe annual levyand collection of such property taxesandforthe prompt payment of such principal and interest. Section 6.Defeasance.If money and/or Government Obligations,maturing atsuch time or times and bearing interest tobe earned thereon in amounts sufficient to redeem and retire theBondora portion thereof in accordance withits terms,aresetasideina special account to effect such prepayment and retirement,and such money andthe principal of and interest on such obligations areirrevocablysetasideandpledgedforsuchpurpose,thennofurther payments needbemadeintotheBondFundforthe payment of theprincipal of andinterestontheBondor portion thereof soprovidedfor,andtheBondorportion thereof willceasetobeentitledtoany lien,benefitorsecurity of thisresolutionexcepttherighttoreceivethemoneysosetasideand pledged,andtheBondorportion thereof willbedeemednottobe outstanding hereunder. Section7.TaxCovenants. (a)General.TheBoroughcovenantsnottotakeanyaction,or knowingly to omittotakeanyactionwithinitscontrol,thatiftakenoromittedwouldcausetheinterestonthe Bondtobeincludableingrossincome,asdefinedinsection61 of theCode,forfederalincome tax purposes. (b)Tax Certificate.Upontheissuance of theBond,the Chief Fiscal Officer is authorized toexecuteafederaltaxcertificate(the"Tax Certificate"),whichwillcertifyto variousfactsand representations concerning theBond,basedonthefactsandestimatesknown or reasonably expectedonthedate of theirissuance,and make certain cov.enantswith respect to theBondasmaybenecessaryordesirabletoobtainormaintainthebenefitsconferredunderthe Code relating to tax-exempt bonds. .The Borough covenantsthatitwillcomplywiththeTaxCertificateunless:'itreceives advicefromnationallyrecognizedbond counselor theInternalRevenueService that certain provisionshavebeenamended or nolongerapplytotheBond. Secli.on ~.'Lostor Destroyed Bond.If aBoridislost,.stolenordestroyed,the Registrar may authenticate anddeliveranewBond of like.amount,date,and tenor tothe Registered Owneruponsuch .owner's payingtheexpenses'and charges of the Borough in .connection withpreparation.and authentication of the replacement Bondanduponhisorher .filingwiththe Registrar evidence satisfactory tothe Registrar thattheBondwasactuallylost, stolenordestroyedand of hisorher ownership,andupon furnishingthe Borough withindemnity satisfactory totheRegistrar. Section9. NO.R-I Form of theBond.TheBondwillbein substantially thefollowingform: $--- UNITEDSTATESOFAMERICA STATEOFALASKA HAINESBOROUGH GENERAL OBLIGA nON BOND,2015 INTEREST RATE: SEEBELOW REGISTERED OWNER: PRINCIPAL AMOUNT: FINAL MATURITY DATE: ALASKA MUNICIPAL BONDBANK ______DOLLARS .HainesBorough,Alaska(the "Borough"),ahomerulemunicipal corporation organized andexistingunderand,byvirtue of thelawsand Constitution of theState of Alaskaandits Charter,herebyacknowledges itself tooweandforvaluereceivedpromisestopaytothe RegisteredOwneridentifiedabove,orregisteredassigns,theprincipalamountspecifiedabove, in installments payableas set forthbelow,togetherwithinterestonsuchinstallmentsfromthe date hereof or the mostrecentdatetowhichinteresthas :been paidordulyprovidedfor,atthe interest rates set forth below,on,20 ,.and on eachIandI thereafter untilpayment ofthe principal sum has beenmade or dulyprovidedfor.' Principal Installment PaymentYear __~:=.!l.-_ Principal Installment Amount"., Interest Rate Bothprincipal of andinterestonthisbondarepayableinlawfulmoney of theUnited States of America.Installments of principal of andinterestonthisbondarepayablebycheckor draft of the Chief Fiscal Officer of the Borough (the "Registrar")mailedonthedatesuchinterest isduetotheRegisteredOwnerattheaddress appearing ontheBondRegisteras of thefifteenth day of themonth preceding theinterestpaymentdate.Thefinal installment of principal of and interestonthisbondwillbepaidtotheRegisteredOwnerupon presentation and surrender of this bondattheoffice of theRegistrar.Notwithstanding theforegoing,solongastheBondBankis theRegisteredOwner of thisbond,payments of principal of andinterestonthisbondwillbe madetotheBondBankin accordance withtheLoanAgreement. This bond isa general obligation bond of the Borough,as authorized by Ordinance No.14-07-388 of the Borough,which was approved bythe voters of the Borough,and issued pursuant to Resolution No.15-08-639,adopted bythe Borough Assembly on August 25,2015 (the "Bond Resolution"),to finance capital improvements tothe Haines High School. Capitalized terms usedinthis bond andnot otherwise defined herein have the meanings given those terms inthe Bond Resolution. Principal installments of this bondare subject to prepayment as provided inthe Loan Agreement. The Borough hereby irrevocably covenants that,unless the principal of and interest on this bond arepaidfrom other sources,itwill make annual levies of property taxes without limitation astorateor amount,andin amounts sufficient,together with other legally available funds,to pay such principal and interest asthe same becomes due.The fullfaith,credit and resources of the Borough are hereby irrevocably pledgedfor the annual levyand collection of such property taxes andforthe prompt payment of such principal and interest.. The pledge of tax levies for payment of principal of and interest on this'bondmaybe discharged prior to maturity of the bond by making provision forthe payment thereof onthe termsand conditions set forth inthe Bond Resolution...' This-bond will notbe valid or become obligatory for anypurposeor be entitled to any: ..security or benefit under the Bond Resolution untilthe Certificate of Authentication hereon has been manually signed bythe Registrar.''....,.. It is hereby certified and declared that thisbondis issued .pursuant to.andin strict compliance.with the Constitution and laws of the State of Alaska andthe.charter,ordinances,and :resolutions of the Borough,that allacts,conditions and things required to be.done precedent to'. andin the issuance of this bond have happened,been done and performed;and that thisbond . doesnot exceed any Constitutional or statutory limitations. IN WITNESS WHEREOF,Haines Borough,Alaska,has caused thisbondtobe signed on behalf of the Borough withthe manual or facsimile signature of the Mayor,attested bythe manual or facsimile .signature of the Borough Clerk,andtheseal of the Borough tobe imprinted or impressed hereon,as of this _day of ,2015. HAINES BOROUGH,ALASKA /s/ Mayor By -'-""-_ [SEAL] r ---- --- I ATTEST: /s/ BoroughClerk CERTIFICATE OF AUTHENTICATION Date of Authentication: ThisistheHaines Borough,Alaska,General Obligation Bond,2015,dated _____,2015,asdescribedintheBond Resolution: Chief FiscalOfficer,Haines Borough, Alaska,as Registrar ASSIGNMENT FOR VALUE RECEI"\iED,the undersigned herebysells,assignsandtransfersunto.-.- -~------_._----_.-- PLEASE INSERT SOCIAL SECURITY OR TAXPAYER IDENTIFICATION NUMBER OF TRANSFEREE ;".~'...' [---~ (Pleaseprintor typewrite nameandaddress,including zipcode of Transferee) thewithinbondandallrights thereunder and does hereby irrevocably constitute andappoint _-_: ___~of ,orits successor,as agent to transfer saidbondonthebookskeptbythe Registrar for registration thereof,withfull power of substitution inthepremises. DATED:_ l r i SIGNATURE GUARANTEED: NOTE:The signature of this Assignment must correspond withthename of the Registered Owner asit appears uponthe face of the within bondinevery particular, without alteration or enlargement orany change whatever. Section 10.Execution of the Bond.TheBondwi II besignedon behalf of the Borough bythemanualor facsimile signature of the Mayor,attested bythe manual or facsimile signature of the Borough Clerk,andtheseal of the Borough willbe impressed or imprinted thereon. Only.a Bondthatbears thereon a Certificate of Authentication intheformsetforthin Section 9·hereof,manually executed bythe Registrar,willbevalidor obligatory forany purpose or entitled tothe benefits of this resolution.The executed Certificate of Authentication willbe conclusive evidence that theBondso authenticated hasbeen duly.executed,authenticated, registered,and-delivered hereunder andis entitled tothebenefits of this resolution. '.'.If'any officer who has signedor attested theBond ceasesto .R~an.officei;ofthe Borough authorized tosignbondsbeforetheBond bearing his or her.signature is authenticated or .delivered:.by',the Registrar orissuedbythe Borough,that Bond nevertheless may'be .authenticated.Tssued and delivered and,when authenticated,Issued and delivered,willbe as. binding.on the Borough asthough that person had continued tobean officer of the Borough' authorized to sign bonds..The Bond alsomaybe signed on behalf of the Borough byany person , who,on the actual date of signing of the Bond,isan officer of the Borough authorized tosign' ,bonds,although heorshe did notholdthe required office onthedate of issuance ofthe Bond. SeCtion II:Application of Bond Proceeds.A special fund,of the.Borough known as the "Haines High School Project Fund,2015"(the "Project Fund")is hereby authorized tobe. ,created in the office of the Chief Fiscal Officer.At the time of delivery-of the Bond,the proceeds of the sale of theBondwillbe deposited as follows: (a)The accrued interest,if any,tothedate of delivery willbe deposited inthe BondFundandusedtopaya portion of interest onthe Bond onthefirst interest payment date; and (b)The remaining Bond proceeds willbe deposited inthe Project Fund and usedto pay costs of the Project and costs of issuance of theBond,as authorized bythe Election Ordinance;provided,however,that any Bond Premium exceeding the costs of issuing theBond mustbe deposited intheBondFund. r I I Money remaining inthe Project Fund after allsuchcostshavebeenpaidor reimbursed willbe deposited inthe Bond Fund.Money inthe Project Fundmaybeinvestedas permitted by law.All interest earned and profits derived fromsuch investments willbe retained inand become a part ofthe Project Fund. Section 12.Sale of the Bond.The Chief Fiscal Officer and Borough Manager are authorized to complete thesale of the Bond tothe Bond Bank on terms and conditions consistent withthis resolution andaloan agreement in substantially theform set forth on Exhibit A attached tothis resolution (the "Loan Agreement").Following thesale of theBond Bank Bonds, such terms and conditions,including thefinal principal amount,date,principal installment payment schedule,interest ratesand prepayment provisions forthe Bond,allas provided forin this resolution,willbesetforthintheLoan Agreement,subject tothe Borough Manager's' approval,which approval willbe conclusively evidenced byhis signing and delivering theLoan Agreement tothe Bond Bank. Section 13.Ongoing Disclosure.The Borough acknowledges that,under Rule 15c2-12 of the Securities and Exchange Commission (the "Rule"),the Borough may now 'orinthe future be'an "obligated person"with respect-to the Bond Bank Bonds.In accordance ..with-the Rule andasthe Bond Bank may require,the:Borough willundertake to provide certain .annual financial information and operating data as set forthintheLoan Agreement. -SectiorLL4..·.·.O.Ell~ral Ajjth(lILzatiOll~prior Acts.The Mayor,Borough Manager,Chief Fiscal Officer and Borough Clerk andany other appropriate officers of the Borough are each :hereby authorized and directed totake such stepsxto do such.other actsand things,andto ;.execute such .letters,certificates,agreements,papers;financing statements,assignments or. 'Instruments asin their judgment may be necessary,appropriate or desirable to carry outthe terms .and.provisions.of,and complete the transactions contemplated by.ithisresolution-Allacts taken pursuant 1:0 the authority of this resolution but prior to its.effective date are hereby ratified and confirmed. Section 15.Severability.If any covenant or agreement provided inthis resolution to .be performed onthe part of the Borough is deciaredby any court of competent jurisdiction tobe contrary toJaw,then that covenant or agreements will.benullandvoidand deemed separable fromthe remaining covenants and agreements of this'resolution and shall innoway affect the validity ofthe other provisions of this resolution or of the Bond. [ Section16.EffectiveDate.Thisresolutionwillbeinfull force and effect immediately uponitsadoptionbytheAssembly. APPROVED AND ADOPTED bythe Assembly of Haines Borough,Alaska,ata regular meeting thereof,heldonAugust25,2015. HAINES BOROUGH,ALASKA ATTEST: FEDERAL TAX CERTIFICATE I,the undersigned officer of the Haines Borough,Alaska (the "Borough"),makethis certification forthe benefit of all persons interested inthe exclusion fromgrossincomefor federalincometax purposes of the interest tobepaidonthe Borough's General Obligation Bond, 2015(the "Bond"),which isbeing issued inthe principal amount of $1,155,000 and delivered simultaneously with thedelivery of this certificate.Inpart pursuant to Section 1.148-2(b)(2)of the Regulations (defined below),Ido hereby certifyasfollowsingoodfaithonthedate of issue of theBond: 1.Responsible Officer.Iamthedulychosen,qualified andacting officer of the Borough fortheofficeshown below mysignature;assuch,Iamfamiliarwiththefacts herein certified andIamduly authorized to execute and deliver this certificate on behalf of the Borough.Iamthe officer of the Borough charged,alongwithother officers of the Borough, with responsibility forissuingtheBond. 2.Codeand Regulations.For purposes of this certificate,the "Code"meansthe Internal Revenue Code of 1986,as amended,andthe "Regulations"meansthe Treasury Regulations promulgated undertheCode. 3.Definitions.The capitalized termsusedinthis certificate (unless otherwise defined)thatare defined in Resolution No.15-08-639,passedon August 25,2015,authorizing theissuance of theBond(the "Bond Resolution")shallforall purposes hereof havethe meanings thereinspecified.AlltermsdefinedintheCodeor Regulations shallforall purposes of this certificate havethesame meanings asgiventothosetermsintheCodeand Regulations unless the context clearlyrequiresotherwise. 4.Reasonable Expectations.Thefactsand estimates that aresetforthinthis certificate areaccurate.The expectations that aresetforthinthis certificate are reasonable in light of suchfactsandestimates.Therearenootherfactsor estimates that would materially changesuch expectations.The undersigned hastothe extent necessary reviewed the certifications setforth herein with other representatives of the Borough astosuch accuracy and reasonableness.The undersigned isaware of nofact,estimateor circumstance that would create anydoubt regarding the accuracy or reasonableness of allorany portion of such document. 5.Description of Governmental Purpose.The Borough isissuingtheBond pursuant tothe Bond Resolution forthe purposes of funding(a)the Project (hereinafter defined)as describedmorefullyintheBond Resolution and(b)thecosts of issuance of theBond.The primary purpose of each transaction undertaken in connection withtheissuance of the Bond isa bonafide governmental purpose.The Project isdescribedasfollows:capital improvements to HainesHighSchoolas described inthe Election Ordinance (the "Project"). 6.AmountandExpenditure of SaleProceeds of theBond. (a)Amount of SaleProceeds.TheBoroughsoldtheBondtotheAlaska MunicipalBondBank(the"BondBank"),for$1,308,807.20.Thatamountrepresentsthe statedredemptionpriceatmaturity of theBond of $1,155,000.00,plusoriginalissuepremium of $153,807.20.TheBondBankpurchasedtheBondfromproceeds of itsGeneralObligation Bonds,2015SeriesThree(the"Bond Bank's Bonds"). (b)Expenditure of SaleProceeds.Thesaleproceeds of theBondwillbe expendedasfollows: (i)Theamount of $3,778.30willbeallocatedonthedate of issuance of theBondtothepayment of underwriter's discountorcompensation. (ii)Theamount of $5,000.00willbedisbursedtopayissuancecosts of theBond. (iii)Theamount of$I,295,000.00 willbedepositedintheProjectFund andisexpectedtobedisbursedto payor reimbursecosts of theProject.Theaggregate amount of thecosts of theProjectisanticipatedtobenotlessthanthatamount.Any costs of theProjectnotfinancedout of originalorinvestmentproceeds of theBondwill befinancedoutofthe Borough's availablefunds. (iv)Theamount of $5,028.90representsaroundingamountandwillbe depositedintheBondFundandusedtopaydebtserviceontheBondonthefirstinterest paymentdate. (c)Reimbursement.Otherthantotheextent of preliminaryexpenditures (i.e.,architectural,engineering,surveying,soiltesting,Bondissuance,andsimilarcoststhatare incurredpriortocommencement of acquisition,construction,orrehabilitation of theProject, otherthanlandacquisition,sitepreparation,andsimilarcostsincidentto commencement of construction),noportion of theamountdescribedinparagraph6(b)abovewillbedisbursedto reimbursetheBoroughforanyexpendituresmadebytheBoroughpriortothedatethatis60 daysbeforetheearlier of theissuedateorthedatetheBoroughadoptedaresolution(the "Declaration"),describingtheProject,statingthemaximumprincipalamount of obligations expectedtobeissuedfortheProject,andstatingthe Borough's reasonableexpectationonthat datethatitwouldreimburseexpendituresforcosts of theProjectwithproceeds of an obligation.TheDeclaration,isnotanofficialintenttoreimbursethatwasdeclaredasamatter of course,orinanamountsubstantiallyinexcess of theamountexpectedtobenecessaryfor theProject.TheBoroughhasnotengagedinapattern of failuretoreimburseoriginal expenditurescoveredbyofficialintents.Suchreimbursedportionwillbetreatedasspentfor purposes of paragraphs11and15below. (d)NoWorkingCapital.Exceptforanamountthatdoesnotexceed 5percent of thesaleproceeds of theBond(andthatisdirectlyrelatedtocapitalexpenditures financedbytheBond),theBoroughwillonlyexpendproceeds of theBondfor(i)coststhat wouldbechargeabletothecapitalaccounts of theProject if the Borough's incomeweresubject tofederalincometaxation,(ii)interestontheBondinanamountthatdoesnotexceedthat -2- amount of interest onthe Bond thatis attributable tothe period that commences onthedate hereof andendsonthelater of (A)thedatethatisthreeyearsfromtheissuedate of theBondor (B)thedatethatisone year afterthedateon which the Project is placed inserviceand(iii) costs of issuance of theBond. (e)NoSale of Conduit Loan.No portion of thesale proceeds of theBond has been orwillbeusedtoacquire,finance,or refinance any conduit loan. (f)No Overissuance.The proceeds of theBondwillnotexceedbymore thana minor portion (as defined in paragraph 13 below)the amount necessary to accomplish the governmental purposes of theBondand,infact,arenot expected to exceed byany amount the amount of proceeds allocated to expenditures forthe governmental purposes of theBond. (g)Allocations and Accounting.The proceeds of theBondwillbe allocated to expenditures not later than18 months afterthelater of thedatethe expenditure is made orthe datethe Project is placed inservice,butinno event laterthanthedatethatis60daysafterthe fifth anniversary of thedate hereof orthe retirement of thelastBond,if earlier.The allocation of proceeds willbe made by consistently employing the direct-tracing method of accounting. No proceeds of the Bond willbe allocated toany expenditure to which proceeds of any other obligations have heretofore been allocated. 7.Pre-Issuance Accrued Interest.TheBondisdatedas of the initial date of delivery tothe Bond Bank,andthe Borough will receive no pre-issuance accrued interest ontheBond. 8.Expenditure of Investment Proceeds.Thebest estimate of the Borough isthat investment proceeds resulting fromthe investment of any proceeds of the Bond pending expenditure of such proceeds forcosts of the Project willbe retained inthe Project Fund and disbursed to payor reimburse Project costsin addition tothose described in paragraph 6above. 9.No Replacement Proceeds.Other than amounts described inthis certificate,there areno amounts thathavea sufficiently direct nexus totheBondortothe governmental purposes of theBondto conclude that the amounts wouldhavebeenusedforthat governmental purpose if the proceeds of theBondwerenotusedforthat purpose.Specifically, (a)No Sinking Funds.Other thantothe extent described inthis certificate, thereisnodebt service fund,redemption fund,reserve fund,replacement fund,or similar fund reasonably expected tobeused directly or indirectly topay principal or interest ontheBond. (b)No Pledged Funds.Other than amounts described inthis certificate, thereisno amount thatisdirectlyor indirectly pledged topay principal or interest ontheBond, ortoa guarantor of part orall of theBond,such that such pledge provides reasonable assurance thatsuch amount willbe available topay principal or interest onthe Bond if the Borough encounters financial difficulty.For purposes of this certification,an amount is treated asso pledged if itis held underan agreement to maintain the amount ata particular levelforthe direct or indirect benefit of the holders orthe guarantor of theBond. (c)NoOther Replacement Proceeds.There areno other replacement proceeds allocable totheBond because the Borough reasonably expects thatthe term of the -3- Bondwillnotbelongerthanisreasonablynecessaryforthegovernmentalpurposes of the Bond.Furthermore,if theterm of theBondislongerthanisreasonablynecessaryforthe governmentalpurposes of theBond,theBoroughdoesnotreasonablyexpecttohaveavailable amountsduringtheportion of suchperiodthatislongerthanisreasonablynecessary.The BoroughreasonablyexpectsthattheBondwouldbeissuedtoachievethegovernmental purpose of theBondindependent of anyarbitragebenefit.TheBondwouldhavebeenissuedif theinterestontheBondwereincludedingrossincome(assumingthatthehypotheticaltaxable interestratewouldbethesameastheactualtax-exemptinterestrate). (d)WeightedAverageEconomicLife.Theweightedaveragematurity of theBondwillnotbegreaterthan120percent of theweightedaverageestimatedeconomiclife of theportion of theProjectfinancedbytheBond,determinedinaccordancewithsection 147(b)of theCode.Suchweightedaverageestimatedeconomiclifeisdeterminedin accordancewiththefollowingassumptions:(a)Theweightedaveragewasdeterminedby takingintoaccounttherespectivecost of each of theassetsfinancedbytheBond;(b)the reasonablyexpectedeconomiclife of anassetwasdeterminedas of thelater of thedate hereof orthedateonwhichsuchassetisexpectedtobeplacedinservice(i.e.,availableforuseforthe intendedpurposes of suchasset);(c)theeconomiclivesusedinmakingthisdeterminationare notgreaterthantheusefullivesusedfordepreciationundersection167 of theCodepriortothe enactment of thecurrentsystem of depreciationineffectundersection168 of theCode(i.e.,the "mid-pointlives")undertheassetdepreciationrange("ADR")system of section167(m)of the Code,assetforthinRevenueProcedure83-35,1983-1 C.B.745,whereapplicable,andthe "guidelinelives"underRevenueProcedure62-21,1962-2C.B.418,inthecase of structures; and(d)landoranyinterestthereinhasnotbeentakenintoaccountindeterminingtheaverage reasonablyexpectedeconomiclife of suchProject,unless25percentormore of thenet proceeds of theBondistobeusedtofinanceland. 10.YieldontheBond.TheBondwaspurchasedbytheBondBankfromproceeds of theBond Bank's Bonds.TheyieldontheBond Bank's Bondsis3.698396%,basedon schedulesprovidedtotheBondBankbytheunderwriterfortheBond Bank's Bonds,assetforth inExhibit A.PursuanttoTreas.Reg.§1.148-4(a),theyieldontheBondisequaltotheyieldon theBond Bank's Bonds. 11.Project.TheBoroughhasincurredorwillincurwithinsixmonths of thedate hereof abindingobligationtoathirdpartywhichisnotsubjecttoanycontingencieswithinthe controloftheBoroughorarelatedpartypursuanttowhichtheBoroughisobligatedtoexpendat leastfivepercent of thesaleproceeds of theBondontheProject.TheBoroughreasonably expectsthatworkonoracquisition of theProjectwillproceedwithduediligencetocompletion andthattheproceeds of theBondwillbeexpendedontheProjectwithreasonabledispatch.The Boroughreasonablyexpectsthat85percent of thesaleproceeds of theBondwillhavebeen expendedontheProjectpriortothedatethatisthreeyearsaftertheissuedate.Anysale proceedsnotexpendedpriortothedatethatisthreeyearsaftertheissuedate,willbeinvestedat ayieldnot"materiallyhigher"thantheyieldontheBond,exceptassetforthinparagraph13 below.TheBoroughreasonablyexpectsthatanyamountderivedfromtheinvestment of money receivedfromthesale of theBondandfromtheinvestment of suchinvestmentincomewillnot becommingledwithsubstantialotherreceiptsorrevenues of theBoroughandwillbeexpended priortothedatethatisthreeyearsaftertheissuedate,oroneyearafterreceipt of such -4- investment income,whichever islater.Anysuch investment proceeds not expended priorto suchdatewillbe invested atayieldnot "materially higher"than theyieldontheBond,except as setforthin paragraph 13below.For purposes of this certificate,"materially higher"hasthe meaning setforthin section 1.148-2(d)(2)of the Regulations. 12.BondFund.Pursuant tothe Bond Resolution,the Borough has created or continued,asthecasemaybe,adebtservicefund(the "Bond Fund")andthe proceeds fromall taxeslevied,assessed and collected forandon account of theBondaretobe deposited insuch BondFund.The Borough expectsthattaxeslevied,assessed and collected forandonaccount of the Bond willbe sufficient eachyeartopaysuchdebtservice.The Bond Fundwillbeused primarily to achieve a proper matching of revenues and principal and interest payments onthe Bond within eachbondyear.Amounts deposited inthe Bond Fundwillbe depleted atleastonce eachbondyear,except fora reasonable carryover amount notin excess of the greater of the earningsontheBondFundforthe immediately preceding bondyearor one-twelfth of the principal and interest payments ontheBondforthe immediately preceding bondyear.Amounts heldinthe Bond Fundmaybe invested atan unrestricted yield because suchamountswillbe expended within 13 months of thedatesuch amounts arereceived. 13.Minor Portion.Allgross proceeds willbe invested in accordance with paragraphs 11and12above.Tothe extent suchamounts remain onhandfollowingtheperiods setforthin paragraphs 11and12aboveorexceedthelimitssetforthin paragraph 12above,the Borough will invest suchamountsata restricted yieldassetforthinsuch paragraphs;provided, however,thata portion of suchamounts,nottoexceedinthe aggregate thelesser of $100,000or five percent of thesaleproceeds of theBond(the "Minor Portion"),maybe invested atayield which ishigher than theyieldontheBond. 14.Issue.Therearenoother obligations that(a)havebeenorwillbesoldwithin15 days of theBond,(b)aresold pursuant tothesameplan of financing with theBond,and(c)will bepaidout of substantially thesamesource of fundsastheBond. 15.Compliance WithRebate Requirements.The Borough has covenanted inthe Bond Resolution thatitwilltakeall necessary stepstocomplywiththe requirement that rebatable arbitrage earnings onthe investment of thegross proceeds of theBond,if any,within the meaning of section 148(f)of theCodebe rebated tothefederal government.Specifically,the Borough will(a)maintain records regarding the investment of thegross proceeds of theBondas maybe required to calculate such rebatable arbitrage earnings separately fromrecords of amountson deposit inthefundsandaccounts of the Borough whichare allocable tootherbond issues of the Borough or money thatdoesnot represent gross proceeds of anybonds of the Borough,(b)calculate atsuchintervalsasmaybe required by applicable Regulations,the amount of rebatable arbitrage earnings,if any,earned fromthe investment of thegross proceeds of theBondand(c)pay,notlessoftenthan60daysaftereveryfifth anniversary date of the delivery of theBondandwithin60days following thefinal maturity of theBond,oronsuch otherdates required or permitted by applicable Regulations,allamounts required toberebatedto thefederalgovernment.Further,the Borough willnot indirectly payany amount otherwise payable tothefederal government pursuant totheforegoing requirements toany person other than thefederal government by entering intoany investment arrangement with respect tothe gross proceeds of the Bond thatmightresultina reduction inthe amount required tobepaidto -5- the federal government because such arrangement results ina smaller profit oralargerloss than would have resulted ifthe arrangement had been at arm's-length andhadtheyieldonthe issue not been relevant to either party. 16.Not an Abusive Transaction. (a)General.No action taken in connection withthe issuance of the Bond will enable the Borough to(i)exploit,other than during an allowable temporary period,the difference between tax-exempt and taxable interest ratesto obtain a material financial advantage (including asa result of an investment of any portion of thegross proceeds of the Bond over any period of time,notwithstanding that,inthe aggregate,thegross proceeds of the Bond are not invested in higher yielding investments over the term of the Bond),and(ii)issue more bonds,issue bonds earlier,or allow bonds to remain outstanding longer than is otherwise reasonably necessary to accomplish the governmental purposes of theBond.Tothe best of our knowledge,noactionshave been taken in connection with the issuance of theBond other than actions that would have been taken to accomplish the governmental purposes of the Bond if the interest onthe Bond were not excludable fromgross income forfederal income tax purposes (assuming the hypothetical taxable interest rate would bethe same asthe actual tax-exempt interest rateontheBond). (b)No Sinking Fund.No portion of the Bond hasa term that has been lengthened primarily forthe purpose of creating a sinking fundor similar fund with respect to theBond. 17.No Arbitrage.Onthe basis of the foregoing facts,estimates and circumstances,it is expected that thegross proceeds of the Bond willnotbe used ina manner that would causethe Bond tobean "arbitrage bond"within the meaning of section 148 of theCodeandthe Regulations.Tothe best of the knowledge and belief of the undersigned,there areno other facts, estimates or circumstances that would materially change such expectations. 18.No Private Use,Payments or Loan Financing. (a)General.The Borough reasonably expects,as of thedatehereof,that no action or event during the entire stated term of the Bond will cause either the "private business use test,"the "private security or payment test"orthe "private loan financing test,"as such termsare defined inthe Regulations,tobemet.Specifically, (i)Not more than 10 percent of the proceeds of the Bond willbe used ina trade or business of a nongovernmental person.For purposes of determining use,the Borough will apply rulessetforthin applicable Regulations and Revenue Procedures promulgated bythe Internal Revenue Service,including,among others,the following rules:(A)any activity carried onbya person other than a natural person orastateor local governmental unit willbe treated asa trade or business of a nongovernmental person;(B)theuse of allorany portion of the Project is treated asthedirectuse of proceeds;(C)a nongovernmental person willbe treated asa private business user of proceeds of the Bond asa result of ownership,actual or beneficial use pursuant toa lease, ora management or incentive payment contract,or certain other arrangements such asa -6- take-or-payorotheroutput-typecontract;and(D)anongovernmentalpersonwillbe treatedasaprivatebusinessuser of theproceeds of theBond if thepersonhasspecial legalentitlementstousedirectlyorindirectlytheProject. (ii)TheBoroughhasnottakenandwillnottakeanydeliberateaction thatwouldcauseor permit theuse of anyportion of theProjecttochangesuchthatsuch portionwillbedeemedtobeusedinthetradeorbusinessofanongovernmentalperson forsolongasany of theBondremainsoutstanding(oruntilanopinion of nationally recognizedbondcounselisreceivedtotheeffectthatsuchchangeinusewillnot adverselyaffecttheexcludabilityfromgrossincomeforfederalincometaxpurposes of interestpayableontheBond).Forthispurpose,anyactionwithinthecontrol of the Boroughistreatedasadeliberateaction.Adeliberateactionoccursonthedatethe Boroughentersintoabindingcontractwithanongovernmentalpersonforuse of the Projectthatisnotsubjecttoanymaterialcontingencies. (iii)Allpayments of thedebtserviceontheBondwillbepaidfromand securedbyagenerallyapplicabletax.Forthispurpose,agenerallyapplicabletaxisatax (A)thatisanenforcedcontributionexactedpursuanttolegislativeauthorityinthe exercise of thetaxingpowerthatisimposedandcollectedforthepurpose of raising revenuetobeusedforgovernmentalpurposesand(B)thathasauniformtaxratethatis appliedtoallpersons of thesameclassificationintheappropriate jurisdiction usinga generallyapplicablemanner of determinationandcollection.Noportion of thepayment of thedebtserviceontheBondwillbedirectlyorindirectlyderivedfrompayments (whetherornottotheBoroughoranyrelatedparty)inrespect of property,orborrowed money,usedortobeusedforaprivatebusinessuse.Furthermore,noportion of the payment of thedebtserviceontheBondwillbedirectlyorindirectlysecuredbyany interestinpropertyusedortobeusedforaprivatebusinessuseorpaymentsinrespect of propertyusedortobeusedforaprivatebusinessuse. (iv)Noportion of theproceeds of theBondwillbedirectlyor indirectlyusedtomakeorfinancealoantoanypersonotherthanastateorlocal governmental unit. (b)Dispositions of PersonalPropertyintheOrdinaryCourse.TheBorough doesnotreasonablyexpectthatitwillsellorotherwisedispose of personalproperty components of theProjectfinancedwiththeBondotherthanintheordinarycourse of an establishedgovernmentalprogramthatsatisfiesthefollowingrequirements: (i)Theweightedaveragematurity of theportion of theBond financingpersonalpropertyisnotgreaterthan120percent of thereasonablyexpected actualuse of suchpersonalpropertyforgovernmentalpurposes; (ii)Thereasonablyexpectedfairmarketvalue of suchpersonal propertyonthedate of dispositionwillbenotgreaterthan25percent of itscost; (iii)Suchpersonalpropertywillnolongerbesuitableforits governmentalpurposesonthedate of disposition;and -7- (iv)TheBoroughisrequiredtodepositamountsreceivedfromsuch dispositioninacommingledfundwithsubstantialothergovernmentalrevenuesandthe Boroughreasonablyexpectstospendsuchamountsongovernmentalprogramswithin6 monthsfromthedate of commingling. Furthermore,theBoroughwillnotsellorotherwisedispose of alloranyportion of the Projectincircumstancesinwhichtheforegoingrequirementsarenotsatisfiedunlessithas receivedanopinion of nationallyrecognizedbondcounseltotheeffectthatsuchdispositionwill notadverselyaffectthetreatment of interestontheBondasexcludablefromgrossincomefor federalincometaxpurposes. (c)OtherAgreements.TheBoroughwillnotenterintoanyagreementwith anynongovernmentalpersonregardingtheuse of alloranyportion of theProjectduringthe statedterm of theBondunlesssuchagreementwillnotadverselyaffectthetreatment of interest ontheBondasexcludablefromgrossincomeforfederalincometaxpurposes. 19.WeightedAverageMaturity.Theweightedaveragematurity of theBondisthe sum of theproductsoftheissueprice of eachmaturity of theBondandthenumber of yearsto maturity,dividedbytheaggregatesaleproceeds of theBond. 20.FederalGuaranteeProhibition.TheBondisnot "federally guaranteed"andthe BoroughwillnotcauseorallowtheBondtobecome"federallyguaranteed."Unlessotherwise exceptedundersection149(b)of theCode,theBondwillbeconsideredfederallyguaranteedif: (a)Thepayment of principalorinterestwithrespecttotheBondisguaranteed (inwholeorinpart)bytheUnitedStates(oranyagencyorinstrumentalitythereof); (b)5percentormore of theproceeds of theBondaretobe: (i)usedinmakingloansthepayment of principalorinterestwith respecttowhicharetobeguaranteed(inwholeorinpart)bytheUnitedStates(orany agencyorinstrumentalitythereof),or (ii)invested(directlyorindirectly)infederallyinsureddepositsor accounts;or (c)Thepayment of principalorinterestontheBondisotherwiseindirectly guaranteed(inwholeorinpart)bytheUnitedStates(oranagencyor instrumentality thereof). I Thefederalguaranteeprohibitionshallnotapplyto(i)proceeds of theissueinvestedfor aninitialtemporaryperioduntilsuchproceedsareneededforthepurposeforwhichsuchissue wasissued,(ii)investments of abonafidedebtservicefund,(iii)investments of areasonably requiredreservefund,(iv)investmentsinbondsissuedbytheUnitedStatesTreasury,or (v)otherinvestmentspermittedunderRegulations. -8- 21.BondisnotaHedgeBond.TheBondisnotahedgebond,becausenotmorethan 50percent of theproceeds of theBondwillbeinvestedin nonpurpose investments(asdefinedin section l48(f)(6)(A)of theCode)havingasubstantiallyguaranteedyieldforfouryearsormore withinthemeaning of section l49(g)(3)(A)(ii)of theCode.Further,theBoroughreasonably expectsthatatleast85percent of thespendableproceeds of theBondwillbeusedtocarryout thegovernmentalpurposes of theBondwithinthethree-yearperiodbeginningonthedatethe Bondisissued. HAINES BOROUGH,ALASKA BY~ Title:Chief FisOfficer Date:September 16,2015 K\2018996\00007l20391_D01\203910248Q -9- EXHIBIT A [Attach here copies of the appropriate schedules prepared for the Bond Bank by RBC Capital Markets.] A-I Aug 28,2015 8:50am Prepared byRBCCapitalMarkets FORM8038STATISTICS HainesBoroughLoan AlaskaMunicipalBondBank General Obligation andRefundingBonds,2015SeriesThree PricingResults8-26-15 Page3 DatedDate DeliveryDate 09/16/2015 09/16/2015 Redemption Bond Component Date PrincipalCoupon Price IssuePriceatMaturity SerialBonds: 10/01/2016 35,000.00 2.000%101.451 35,507.8535,000.00 10/01/2017 40,000.00 2.000%102.158 40,863.20 40,000.00 10/01/2018 40,000.00 4.000%108.275 43,310.00 40,000.00 10/01/2019 40,000.005.000%113.843 45,537.2040,000.00 10/01/2020 40,000.005.000%115.460 46,184.00 40,000.00 10/01/2021 45,000.005.000%116.31152,339.95 45,000.00 10/01/2022 45,000.00 5.000%117.104 52,696.80 45,000.00 10/01/2023 50,000.005.000%117.94958,974.50 50,000.00 10/01/2024 50,000.005.000%118.42959,214.5050,000.00 10/01/2025 55,000.005.000%118.124 64,968.20 55,000.00 10/01/2026 55,000.00 5.000%116.487 64,067.8555,000.00 10/01/2027 60,000.005.000%115.49969,299.4060,000.00 10/01/2028 65,000.005.000%114.52174,438.6565,000.00 10/011202965,000.005.000%113.904 74,037.60 65,000.00 10/0112030 70,000.004.000%101.266 70,886.20 70,000.00 10/01/2031 70,000.00 5.250%115.318 80,722.60 70,000.00 10/01/2032 75,000.00 5.250%114.877 86,157.7575,000,00 TermBond2036: 10/01/2033 80,000.00 5.250%113.56990,855.2080,000.00 10/01/2034 85,000.00 5.250%113.56996,533.6585,000.00 10/01/2035 90,000.005.250%113.569 102,212.1090,000.00 1,155,000.00 1,308,807.20 1,155,000.00 Stated Weighted Maturity Interest Issue Redemption Average Date Rate PriceatMaturityMaturity Yield FinalMaturity10/0112035 5.250%102,212.1090,000.00 EntireIssue 1,308,807.20 1,155,000.00 12.1683 3.6984% Proceeds usedforaccrued interest 0.00 Proceedsusedforbondissuancecosts(including underwriters'discount)8,778.30 Proceeds usedforcredit enhancement 0.00 Proceeds allocatedtoreasonably required reserveor replacement fund 0.00 CERTIFICATE OFPAYMENTANDDELIVERY I,JILASTUART,thedulyappointed Chief FiscalOfficer of theHainesBorough,Alaska (the "Borough"),DOHEREBYCERTIFYthatIhavedeliveredtotheAlaskaMunicipalBond Bankoritsdulyappointedagent,the Borough's GeneralObligationBond,2015,intheprincipal amount of $1,155,000(the "Bond").Ifurthercertifythatatthetime of suchdeliveryIreceived paymentfortheBondasfollows: Principal of Bond Plus:NetPremium Less:Underwriter's Discount Total TotalAmountDuethis16thday of September, 2015 $1,155,000.00 153,807.20 (3,778.30) $1,305,028.90 $1,305,028.90 aart Chi fiscal Officer HamesBorough I,DevenJ.Mitchell,ExecutiveDirector of theAlaskaMunicipalBondBank,hereby acknowledgepaymenttotheHainesBorough,Alaska(the "Borough")fortheBond,as describedabove,and rereipt of theBondfromtheBorough fui,16"day OfSeptem~~ Execuictor AlaskaMunicipalBondBank P:\20391_D0n20391_2W5 09/04/15 SIGNATURE IDENTIFICATION CERTIFICATE We,thedulychosen,qualified andacting Mayor andBorough Clerk of theHaines Borough,Alaska (the "Borough"),DO HEREBY CERTIFY thatthe signatures appearing onthe following-described General Obligation Bond,2015,of the Borough,inthe principal amount of $1,155,000 (the "Bond")are accurate facsimiles of oursignatures. TheBondisdated September 16,2015,isinfullyregisteredform,andispayable,both principalandinterest,inlawfulmoney of theUnitedStates of America tothe registered owner thereof,intheoriginal principal installment amountsandattherates of interestsetforthbelow: Principal Installment Payment Dates 10/0112016 10/0112017 10/0112018 10/0112019 10/0112020 10/0112021 10/0112022 10/0112023 10/0112024 10/0112025 10/0112026 10/0112027 10/0112028 10/0112029 10/0112030 10/0112031 10/0112032 10/0112033 10/0112034 10/0112035 Principal Installment Amounts $35,000 40,000 40,000 40,000 40,000 45,000 45,000 50,000 50,000 55,000 55,000 60,000 65,000 65,000 70,000 70,000 75,000 80,000 85,000 90,000 Interest Rates 2.00% 2.00 4.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 4.00 5.25 5.25 5.25 5.25 5.25 Datedas of September 16,2015. Signatures Mayor Borough Clerk *********** STATE OF ALASKA ) )ss. FIRST JUDICIAL DISTRICT ) Onthis q~'"day of September,2015,beforeme,the undersigned,a Notary Public in andfortheState of Alaska,duly commissioned andsworn,personally appeared JANICE HILL and JULIE E.COZZI,tome known tobetheMayorand Borough Clerk of theHaines Borough. I hereby identify their signatures onthis certificate andonthe above-described bonds as being in all respects trueand genuine. WITNESS myhandand official sealhereto affixed thedayandyearinthis certificate above written. ICIlsrA ICIElSMEIEt Notoly 'ubllc.State of Alaska CommissIon II 1-407236 My CommlUlen expires Julv 26.201" [SEAL] -2-P;\20391_D0T\20391_2W5 09/04/15 NOLITIGATION CERTIFICATE I,BROOKSCHANDLER,thedulyappointed,qualifiedandactingBoroughAttorney of theHainesBorough,Alaska(the"Borough"),inconnectionwithexecutionanddelivery of the LoanAgreementdatedas of September I,20IS,betweentheAlaskaMunicipalBondBank(the "BondBank")andtheBorough(the"LoanAgreement"),pursuanttowhichtheBoroughhas issuedanddeliveredtotheBondBanktheBorough'sGeneralObligationBond,20IS,inthe principalamount of$l,155,000 (the"Bond"),DOHEREBYCERTIFYasfollows: Thatas of thedatehereof,tomyknowledge,thereisnoaction,proceedingor investigation,atlaworinequity,beforeorbyanycourt,publicboardorbody,pendingor,tothe best of myknowledgethreatened,noristhereanybasisforanysuchaction,proceedingor investigationwithrespecttotheBorough: (i)thatcontests(A)thecorporateexistenceorboundaries of theBorough,(B)the titles of thepresentofficers of theBoroughtotheiroffices,(C)theauthority of theBoroughto enterintotheLoanAgreementorissuetheBond,(D)theproceedings,including Ordinance No.14-07-388,whichauthorizedanelectiontoapproveissuanceoftheBond,orResolution No.15-08-639,whichauthorizedtheBoroughtoenterintotheLoanAgreementandissuethe BondtotheBondBank,norhaveanysuchproceedingsbeenrepealed,revokedorrescinded; (ii)thatcontests,affectsorseekstorestrainorenjointheexecutionanddelivery of theLoanAgreement,theissuanceoftheBondorthelevyorcollection of thetaxespledgedorto bepledgedtopayprincipal of andinterestontheBond; (iii)thatcontestsoraffectsthevalidity of theLoanAgreementortheBondorthetax- exemptstatus of interestontheBond; (iv)thatcallsintoquestiontheability ofthe Boroughtoperformitsobligationsunder theLoanAgreementortheBond;or (v)theoutcome of whichwouldmateriallyadverselyaffectthefinancialconditionor assets ofthe Borough. DATEDas of this16thday of September,2015. HAINES BOROUGI:!,," ...-,f)\.. r,i II I 1 -,/ i":0",1/.d/-"'. By L-'\..)..:-/'U-' Brooks Chandler,BoroughAttorney CERTIFICATE REGARDING RULE15c2-12 I,JilaStuart,Chief Fiscal Officer of theHainesBorough(the "Borough"),DOHEREBY CERTIFYthattheBoroughhasnot,as of thedate of thiscertificate,enteredintoany undertakings underRule15c2-12 adopted bytheSecuritiesandExchange Commission underthe SecuritiesExchangeAct of 1934,as amended fromtimetotime. Datedas of September 16,2015. HAINES BOROUGH,ALASKA UNnED STATES oFAMEmCA NO.1 SPECIMEN $1,155,000 STATE OF ALASKA HAINES BOROUGH GENERAL OBLIGATION BOND,2015 FINAL MATURITY DATE:OCTOBER 1,2035 INTEREST RATE:SEE BELOW REGISTERED OWNER: PRINCIPAL AMOUNT: ALASKA MUNICIPAL BONDBANK ONE MILLION ONEHUNDRED FIFTY-FIVE THOUSAND AND NOIIOO DOLLARS HainesBorough,Alaska (the "Borough"),ahomerulemunicipalcorporationorganizedandexistingunderandbyvirtue of the lawsand Constitution of theStateofAlaskaanditsCharter,herebyacknowledgesitselftooweandforvaluereceivedpromisestopay to the Registered Owneridentifiedabove,orregisteredassigns,theprincipalamountspecifiedabove,ininstallmentspayableassetforth below,together withinterestonsuchinstallmentsfromthedate hereof orthemostrecentdatetowhichinteresthasbeenpaidorduly providedfor,attheinterestratessetforthbelow,onAprilI,2016,andoneachAprilIand October I thereafter untilpaymentofthe principalsumhasbeenmadeordulyprovidedfor. Principal Installment Amounts Interest Rates 2.00% 2.00 4.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 4.00 5.25 5.25 5.25 5.25 5.25 35,000 40,000 40,000 40,000 40,000 45,000 45,000 50,000 50,000 55,000 55,000 60,000 65,000 65,000 70,000 70,000 75,000 80,000 85,000 90,000 $10/0112016 10/0112017 10/0112018 10/0112019 10/0112020 1010112021 10/0112022 10/0112023 10/01/2024 10/0112025 10/01/2026 10/0112027 10/0112028 10/01/2029 10/0112030 10101/2031 10/0112032 10/01/2033 10/0112034 1010112035 Principal Installment Payment Dates BothprincipalofandinterestonthisbondarepayableinlawfulmoneyoftheUnitedStates of America.Installments of principal of andinterestonthisbondarepayablebycheckordraft ofthe Chief Fiscal Officer of theBorough(the "Registrar")mailedon thedatesuchinterestisduetotheRegisteredOwnerattheaddressappearingontheBondRegisterasofthefifteenthday of themonth preceding theinterestpaymentdate.Thefinal installment of principal of andinterestonthisbondwillbepaidtotheRegistered Owner upon presentation andsurrender of thisbondattheoffice of theRegistrar.Notwithstanding theforegoing,solongastheBondBankis the Registered Owner ofthisbond,paymentsofprincipalofandinterestonthisbondwillbemade to theBondBankinaccordancewith theLoan Agreement . Thisbondisageneralobligationbond of theBorough,asauthorizedbyOrdinanceNo.14-07-388 of theBorough,whichwas approvedbythevotersoftheBorough,andissuedpursuanttoResolutionNo.15-08-639,adoptedbytheBoroughAssemblyon PageI of3 August25,2015(the"BondResolution"),tofinancecapitalimprovementstotheHainesHighSchool.Capitalizedtermsusedinthis bondandnototherwisedefinedhereinhavethemeaningsgiventhosetermsintheBondResolution. PrincipalinstallmentsofthisbondaresubjecttoprepaymentasprovidedintheLoanAgreement. TheBoroughherebyirrevocablycovenantsthat,unlesstheprincipal of andinterestonthisbondarepaidfromothersources,it willmakeannuallevies of propertytaxeswithoutlimitationastorateoramount,andinamountssufficient,togetherwithotherlegally availablefunds,topaysuchprincipalandinterestasthesamebecomesdue.Thefullfaith,creditandresources of theBoroughare herebyirrevocablypledgedfortheannuallevyandcollectionofsuchpropertytaxesandforthepromptpayment of suchprincipaland interest. Thepledgeoftaxleviesforpayment of principalofandinterestonthisbondmaybedischargedpriortomaturity of thebond bymakingprovisionforthepayment thereof onthetermsandconditionssetforthintheBondResolution. ThisbondwillnotbevalidorbecomeobligatoryforanypurposeorbeentitledtoanysecurityorbenefitundertheBond ResolutionuntiltheCertificate of AuthenticationhereonhasbeenmanuallysignedbytheRegistrar. It isherebycertifiedanddeclaredthatthisbondisissuedpursuanttoandinstrictcompliancewiththeConstitutionandlaws oftheStateofAlaskaandthecharter,ordinances,andresolutions of theBorough,thatallacts,conditionsandthingsrequiredtobedone precedenttoandintheissuanceofthisbondhavehappened,beendoneandperformed,andthatthisbonddoesnotexceedany Constitutionalorstatutorylimitations. INWITNESSWHEREOF,HainesBorough,Alaska,hascausedthisbondtobesignedon behalf of theBoroughwiththe manualorfacsimilesignatureoftheMayor,attestedbythemanualorfacsimilesignatureoftheBoroughClerk,andthesealofthe Boroughtobeimprintedorimpressedhereon,asofthis16thday of September,2015. ::~BOROUG::::~~ ATTEST: CERTIFICATEOF AUTHENTICATION Date of Authentication:September 16,2015 ThisistheHainesBorough,Alaska,GeneralObligationBond,2015,datedSeptember16,2015,asdescribedintheBond Resolution. By ----;:::;q~~~()ffi.:;:;:------- ASSIGNMENT FORVALUERECEIVED,theundersignedherebysells,assignsandtransfersunto _ PLEASEINSERTSOCIAL SECURlTY ORTAXPAYERIDENTIFICATIONNUMBEROFTRANSFEREE (please print ortypewritenameandaddress,includingzipcodeofTransferee)thewithinbondanddoesherebyirrevocablyconstitute andappoint of ,oritssuccessor,asRegistrartotransfersaidbondonthebookskeptforregistration thereof withfullpowerofsubstitutioninthepremises. DATED:__,--~ NOTE:ThesignatureonthisAssignmentmustcorrespond withthename of theregisteredownerasitappearsuponthe face of thewithinbondineveryparticular,withoutalteration orenlargementoranychangewhatever. SIGNATUREGUARANTEED: Page3 00 K&L GATES LLP 925 FOURTH AVENUE SUITE 2900, SEATTLE,WA 98104-1158 T +1 2066237580 F +1 2066237022 klgales.com September16,2015 HainesBorough Haines,Alaska AlaskaMunicipalBondBank Juneau,Alaska Re:HainesBorough,AlaskaGeneralObligationBond,2015-$1,155,000 LadiesandGentlemen: WehaveactedasbondcounseltotheHainesBorough,Alaska(the"Borough"),andhave examinedacertifiedtranscript of theproceedingstaken in thematter of theissuancebythe Borough of itsGeneralObligationBond,2015,datedSeptember16,2015,in theprincipal amount of$1,155,000 (the"Bond").TheBondisissuedpursuanttoOrdinanceNo.14-07-388 of theBorough(the "Election Ordinance"),passedbytheBoroughAssemblyonAugust 26,2014, andapprovedbyamajority of the Borough's votersatanelectionheld in theBoroughon October 7,2014,andResolutionNo.15-08-639 of theBoroughAssemblyadoptedonAugust25, 2015(the"Bond Resolution,"andtogetherwiththeElectionOrdinance,the"BondLegislation"), tofinancethecost of capitalimprovementstothe Borough's schoolfacilities.Pursuanttothe BondResolution,theBoroughhasenteredintoaloanagreementwiththeAlaskaMunicipal BondBank(the"BondBank"),datedas of September1,2015,forthesale of theBondtothe BondBank(the"LoanAgreement").Capitalizedtermsnototherwisedefined in thisopinion havethemeaningsgiventhoseterms in theBondLegislation. TheBondissubjecttoprepaymentasstated in theLoanAgreement. Astoquestions of factmaterialtoouropinion,wehavereliedonrepresentations of the Boroughcontained in theBondLegislationandLoanAgreementand in thecertifiedproceedings andothercertifications of publicofficialsandothersfurnishedtouswithoutundertakingto verifythesamebyindependentinvestigation. Basedontheforegoing,weare of theopinionthat,underexistinglaw: 1.TheBondhasbeenlegallyissuedandconstitutesavalidandbindinggeneral obligationoftheBorough,excepttotheextentthattheenforcement of therightsandremedies of theowners of theBondmaybelimitedbylawsrelatingtobankruptcy,reorganization, insolvency,moratoriumorothersimilarlaws of generalapplicationaffectingtherights of creditors,bytheapplication of equitableprinciples,andbytheexercise of judicialdiscretion. klgates.com HainesBorough,Alaska Alaska Municipal Bond Bank September 16,2015 Page2 2.BytheBond Legislation,the Borough has covenanted that,unlessthe principal of and interest ontheBondarepaidfromothersources,itwillmakeannuallevies of property taxes without limitation astorateoramount,andinamountssufficient,together withotherlegally available revenues,topaysuch principal andinterestasthesameshall become due.Thefull faith,creditand resources of the Borough areirrevocablypledgedforthe annual levyand collection of such property taxesandforthe prompt payment of such principal andinterest. 3. Alaska. The Borough isduly organized andlegally existing underthelaws of theState of 4.TheBondhasbeenduly authorized and executed bythe Borough andisissuedin full compliance withthe provisions of the Constitution andlaws of theState of Alaska andthe Bond Legislation andother requiremens of the Borough relatingthereto. 5.TheLoan Agreement hasbeendulyauthorized,executed,delivered by,and (assuming due authorization,execution anddeliverybytheBondBank)constitutes avalidand binding agreement of the Borough,enforceable inaccordancewithitsterms,except tothe extent thatthe enforcement of therightsand remedies of theBondBankundertheLoan Agreement may besubjecttothelaws of bankruptcy,insolvency,moratorium,reorganization orother similar laws of general application affecting therights of creditors,the application of equitable principles,andthe exercise of judicial discretion. 6.InterestontheBondis excludable fromgrossincomeforfederalincometax purposes andisnotanitem of tax preference forpurposes of thefederal alternative minimum tax imposed on individuals and corporations;however,interestontheBondistakenintoaccountin determining adjusted current earningsforthe purpose of computing the alternative minimum tax imposed on certain corporations.The opinion setforthinthe preceding sentence is subject tothe condition thatthe Borough complywithall requirements of theInternal Revenue Code of 1986, asamended(the "Code"),thatmustbe satisfied subsequent tothe issuance of theBondinorder thatthe interest thereon be,and continue tobe,excludable fromgrossincomeforfederalincome taxpurposes.The Borough has covenanted tocomplywithall applicable requirements.Failure tocomplywithcertain of such covenants maycause interest ontheBondtobe included ingross incomeforfederalincometax purposes retroactively tothedate of issuance of theBond. 7.Interest ontheBondisnotincludedin taxable incomefor purposes of the Alaska incometax imposed on corporations.InterestontheBondmaybe indirectly subjecttothe Alaska alternative minimum tax imposed on corporations totheextentthat interest ontheBond issubjecttothefederal alternative minimum tax. The Borough hasnot designated theBondasa "tax-exempt obligation"withinthe meaning of Section 265(b)(3)of theCode. HainesBorough,Alaska Alaska MunicipalBondBank September 16,2015 Page3 Weexpressnoopinionregardinganyotherfederal,stateorlocaltaxconsequencesarising withrespecttoownership of theBond. Wehavenotbeenengagednorhaveweundertakentoreviewtheaccuracy,completeness orsufficiency of theofficialstatementorotherofferingmaterialrelatedtotheBond Bank's GeneralObligationBonds,2015SeriesThree(excepttotheextent,if any,stated in theofficial statement),andweexpressnoopinionrelatingthereto. Thisopinionisgivenas of thedate hereof andweassumenoobligationtoupdate,revise or supplement thisopiniontoreflectanyfactsor circumstances thatmayhereaftercometoour attentionoranychanges in lawthatmayhereafteroccur. Verytrulyyours, K&L GATES LLP P:120391_D0T\20391_2W5 1Issuer'sname Reporting Authority 2 Issuer's employer identification number (EIN) OMS No.1545-0720 If Amended Return,checkhere ~0 Information Return for Tax-Exempt Governmental Obligations ~Under Internal Revenue Codesection 149(e) ~Seeseparateinstructions. Caution:If theissueprice is under $1 DO,ODD,useForm8038-GC. Fonn8038-G (Rev.September 2011) DepartmentoftheTreasury InternalRevenueService Haines Borough,Alaska 47·0888706 3a Nameofperson(otherthanissuer)withwhomtheIRSmaycommunicateaboutthisreturn(seeinstructions)3b Telephone number of otherpersonshownon3a 4 Number and street (orP.O.box ij mailisnot delivered to street address) P.O.Box1209 6City,town,orpost office,state,andZIPcode Haines,Alaska 99827 Room/suite 5Report number (ForIRSUseOnly) 7Dateofissue 0911612015 8Nameofissue General ObligationBond,2015 9CUSIP number None 108Nameandtitleof officer or other employee ofthe issuer whomtheIRSmaycallformore infonnation (see instructions) 10b Telephone number of officer or other employee shownon10a 3.6984 % o 8,778 N1A 1,308,807 1,300,029 1,308,807 (e)Yield N1A years N1A years Fonn 8038-G (Rev.9-2011) 907·766·2331 ears 8,778 o o o o Cat.No.637735 (c)Staled redemption (d)Weighted priceat maturity average maturity(b)Issueprice 1010112035 1,308,807 1,155,000 12.1683 Description of Obligations.Complete for the entire issue for which this form is bein Uses of Proceeds of Bond Issue (including underwriters'discount) Description of Refunded Bonds.Complete this part onl for refunding bonds. (a)Final maturity date Proceedsusedforaccruedinterest............ Issuepriceofentireissue(enteramountfromline21,column(b» Proceedsusedforbondissuancecosts (inclUding underwriters'discount).f-=2"'4-1-__--'-'-'--+__-l: Proceedsusedforcreditenhancement...........f-=2:=5+-----1---{iJ'?1 Proceedsallocated to reasonablyrequiredreserveorreplacementfund f-=2:::6+-=t__ Proceedsusedtocurrentlyrefundpriorissues r:::2::-7+-----=t--f.' Proceedsusedtoadvancerefundpriorissues '-=28=....JL---'-'--_i'.'".''' Total(addlines24through 28).......... Nonrefunding proceeds oftheissue(subtractline29fromline23andenteramounthere) Entertheremainingweightedaveragematurityofthebondstobecurrently refunded. Entertheremainingweightedaveragematurityofthebondstobeadvancerefunded, Enterthelastdateonwhichtherefundedbondswillbecalled(MM/DDIYYYY} 34Enterthedate(s)therefundedbondswereissued ~(MMlDDIYYYY) 22 23 24 25 26 27 28 29 30 11 Education,., 12Healthandhospital 13Transportation. 14Public safety... 15Environment(includingsewagebonds) 16Housing.... 17 Utilities .... 18Other.Describe ~.,--,---::-:-.,--,------,--,------,---,--------------------,-----,,=; 19IfobligationsareTANsorRANs,checkonlybox19a..... IfobligationsareBANs,checkonlybox19b ..... 20Ifobligationsareintheformofaleaseorinstallmentsale,checkbox JilaStuart,ChiefFiscalOfficer Type of Issue (enter the issue price).Seethe instructions andattachschedule. For Paperwork Reduction Act Notice,see separate instructions. oo o oo Page 2 o o ~ are remediated ~ ~ Enter the amount of the state volume cap allocated to the issue under section 141(b)(5) Enter the amount of gross proceeds invested ortobe invested ina guaranteed investment contract (GIG)(see instructions) b Enter thefinal maturity dateoftheGIG ~_ c Enter thenameof the GIG provider ~"7:C,-----..,,--"7:C,.-;--,---,,...-,---;---;-- 37 Pooled financings:Enter the amount ofthe proceeds of thisissuethataretobeusedtomakeloans to other govemmental units.37 0 38aIfthisissueisaloan made fromthe proceeds of another tax-exempt issue,check box ~0 andenterthefollowinginformation: b Enter the dateofthe master pool obligation ~_S_e....p_te_rn_b_e,...r_1_6.:....2_0_1_5 _ c Enter theEINofthe issuer ofthe master pool obligation ~92-6001185 dEnterthenameof the issuerofthe master pool obligation ~AlaskaMunicipalBondBank 39Ifthe issuer has designated theissue under section 265(b)(3)(B)(i)(III)(small issuer exception),check box 40Ifthe issuer has elected topaya penalty inlieu of arbitrage rebate,check box. 41aIf the issuerhas identified ahedge,check here ~0 andenter the following information: bNameof hedge provider ~ c Type ofhedge ~_ d Term ofhedge ~_-,-__,--,---,-,--__,---,-_ 42Ifthe issuer has superintegrated thehedge,check box. 43Iftheissuerhas established written procedures toensure that all nonqualified bonds ofthis issue according tothe requirements under theGodeand Regulations (see instructions),check box .. 44Ifthe issuer has established written procedures to monitor the requirements of section 148,check box . 45aIf some portion ofthe proceeds wasusedto reimburse expenditures,check here ~0 andenterthe amount of reimbursement ..~ b Enter thedatethe official intent was adopted ~ FOnTl8038-8 (Rev.9-2011) Miscellaneous Signature and Consent Paid Preparer Use Only Under penalties ofperjury,I declare that Ihave examined this returnand accompanying schedules and statements,andtothe best ofmy knowledge andbelief,they aretrue,correct,and complete.I further declare thatI consent to the IRS's disclosure of the issuer's return information,as necessary to processthisr•thepersonthatIhave authorized above. ~Signat PrinVTypepreprername RobertStarin Flrm's name ~K&LGatesLLP Firm's address ~925FourthAvenue.Suite #2900.Seattle,WA 98104-1158 CERTIFICATE OF CLERK I.NovaM.Javier,MMC,ClerkofKodiakIsland Borough (the"Borough"), HEREBY CERTIFY thatthe document attachedheretoisan accurate andcomplete copyof Resolution FY2016-05 oftheBoroughadoptedbythe Borough Assembly ata meetingdulycalledandheld August 20,2015,andthat Resolution FY2016-05 hasnot beenmodified,amended,repealed,orrescinded,butisinfullforceandeffectonthe datehereof. IN WITNESS WHEREOF,Ihaveexecutedthis certificate this16th dayof September,2015. NovaM.Javier,MMC BoroughClerk KodiakIsland Borough 51466878.\ Introduced by; Requested by: Drafted by: Introducedon: Adopted on: BoroughManager FinanceDirector BondCounsel 0612012015 0612012015 1 2 KODIAKISLANDBOROUGH 3 RESOLUTIONNO.F)"2016-05 4 5 ARESOLUTIONOFTHEKODIAKISLANDBOROUGH 6 ASSEMBLYAUTHORIZINGTHEBOROUGHTOISSUE 7 GENERALOBLIGATIONSCHOOLBONDSINTHEPRINCIPAL 8 AMOUNTNOTTOEXCEED$8,000,000TOPROVIDEFUNDS 9 FORSCHOOLANDRELATEDCAPITALIMPROVEMENTSIN 10 THEBOROUGHANDTO PAY COSTSOFISSUINGTHEBONDS, 11 FIXINGCERTAINDETAILSOFSUCHBONDS,AUTHORIZING 12 THEIRSALE,ANDPROVIDINGFORRELATEDMATTERS 13 14 WHEREAS,pursuanttoOrdinanceNo.FY2010-03oftheKodiakIsland Borough, 15Alaska(the "Borough"),adoptedAugust6,2009,aquestionwhethertheBoroughshould 16 issuenottoexceed$76,310,000ingeneralobligationbondsforthepurposeof paying 17thecostofplanning,designing,and constructing schoolandrelatedcapital 18improvementsintheBorough,includingwithoutlimitation,the reconstruction and 19 renovationoftheKodiakHighSchool,referredtotheregularBoroughelectionheldon 20 October 6,2009,asPropositionNO.1 ("Proposition 1"),waspassedandapproved;and 21 -...,22WHEREAS,pursuanttoResolutionNo.FY2011-18,theBoroughissuedits General 23ObligationSchoolBond,2011SeriesA,intheprincipalamountof $8,000,000,asa 24 generalobligationbondreferredtoin'Propositlon1;and 25 26WHEREAS,pursuanttoResolutionNo.FY2013-26,theBoroughissueditsGeneral 27 ObligationSchool Bond,Series2013,intheprincipalamountof$21,595,000,asa 28generalobligationbondreferredtoin Proposition 1;and 29 30WHEREAS,pursuanttoResolutionNo.FY2014-24,theBoroughissueditsGeneral 31 ObligationSchoolBond,2014SeriesA,intheprincipalamountof$22,660,000,asa 32generalobligationbondreferredtoinProposition1,and 33 34WHEREAS,$18,310,000principalamountofgeneralobligationbondsremainsunissued 35 under Proposition 1:and 36 37WHEREAS,theBoroughreceived$7,000,000grantfundingthatmayultimatelyreduce 38 theamountofbondproceedsneededfortheproject;and 39 40 WHEREAS,theAssemblyfindsthatitisinthebestinterestoftheBorough 10 plan, 41 design,andconstructtheschoolcapitalimprovementsdescribedinProposition1asthe 42 reconstruction andrenovationoftheKodiakHighSchool(the·Project"),andtoissuenot 43toexceed$8,000,000principalamountofgeneralobligationbondsreferredtoin 44 Proposition 1,topaypartofthecostsoftheProjectandcostsofissuingthebonds;and 45 46WHEREAS,Section29.47.410oftheAlaskaStatutesprovidesthattheAssemblyby 47resolutionmayprovidefortheformandmannerofsafeofbondsandnotes;and 48 Kodiak Island Borough,Alaska Resolution No.FY2016·05 Page 1of12 NOW,THEREFORE,BEITRESOLVEDBYTHE ASSEMBLY OFTHEKODIAK ISLANDBOROUGHTHAT: WHEREAS,theAssemblyfindsthatitisnecessaryandappropriatetodelegatetoeach oftheBoroughManagerandBoroughFinanceDirectorauthoritytodeterminethe maturityamounts,interestrates,andotherdetailsofthebonds,andtodetermineother mattersthatarenotprovidedfor in thisresoiution,includingwithoutlimitation,whetherto selltheBondstotheAlaskaMunicipalBondBank(the"BondBank")oranother FinancialInstitutionortooffertheBondsatpublicsale; 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 Section 1:Definitions.Inadditiontotermswhicharedefinedintherecitalsabove, thefollowingtermsshallhavethefollowingmeaningsinthisResolution: (a)"Assembly"meanstheAssemblyoftheKodiakIslandBorough,as thegenerallegislativeauthorityoftheKodiakIslandBorough,asthe sameshallbedulyandregularly constituted fromtimetotime. (b)"Bond"or"Bonds"meansanyofthe"GeneralObligationSchool Bonds"oftheKodiakIslandBorough,theissuanceandsaleofwhichare authorizedherein. (c)"BondBank"meanstheAlaskaMunicipalBondBank,apublic corporationoftheStateofAlaska. (d)"BondBankBonds"meanstheseriesofgeneralobligationbonds issuedbytheBondBank,allorpartoftheproceedsofwhichareusedto purchasetheBonds. (e)"BondRegister"meanstheregistrationbooksmaintained by the Registrar,whichincludethenamesandaddressesoftheRegistered OwnersoftheBondsortheirnominees. (f)"Borough"meanstheKodiakIslandBorough,amunicipal corporationoftheStateofAlaska,organizedasasecondclassborough underTitle29oftheAlaskaStatutes. (9)"BoroughManager"meanstheManagerorAdministrativeOfficial oftheBorough. (h)"Code"meanstheInternalRevenueCodeof1986,asamended fromtimetotime,togetherwithallregulationsapplicablethereto. (I)"Cost"or·Costs"meansthecostofplanning,designing,acquiring propertyfor,acquiring,constructing,installingandequippingtheProject, includinginterestontheBondsduringtheperiodofplanning,designing, acquiringpropertyfor,acquiring,constructing,installing,andequipping theProject,thecostwhetherincurredbytheBoroughorbyanotherof fieldsurveysandadvanceplanningundertakeninconnectionwiththe ProjectproperlyallocabletotheProject,thecostofacquisitionofany landorinterestthereinrequiredasthesiteorsitesoftheProjectorfor useinconnectiontherewith,thecostofanyindemnityandsuretybonds andpremiumsoninsuranceincurredinconnectionwiththeProjectprior Kodiak Island Borough,Alaska ResolutionNo.FY2016.QS Page 2of12 102 103 104 105 106 107 108 109 110 111 112 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 134 135 136 137 138 139 140 Section 2: 141 142 143 144 145 146 147 148 149 150 151 152 153 toorduringconstructionthereof,allrelateddirectadministrativeand inspectionexpenseswhetherincurred by theBoroughorbyanotherin connectionwiththeProjectpriortoorduringconstructionthereofand allocableportionsofdirectcostsoftheBorough,legalfees,costsof issuanceoftheBondsbytheBorough,includingfinancingchargesand feesandexpensesofbond counsel,financialadvisorsandconsultantsin connectiontherewith,thecostofanybondinsurancepremiumandbond ratings,thecostof audits,thecostofallmachinery,apparatus,and equipment,costof engineering,architecturalservices,designs,plans, specificationsandsurveys,estimatesofcost,thereimbursementofall moneysadvancedfromwhateversourceforthepaymentofanyitemor itemsofcostoftheProject,andailotherexpensesnecessaryor incidentaltotheacquisitionanddevelopmentoftheProject,the financing thereofandtheputtingofthesameinuseandoperation. 0)"Financial Institution"meansanybankorotherfinancialinstitution insuredbytheFederalDepositInsuranceCorporationortheFederal SavingsandLoanInsurance Corporation. (k)"Government Obligations"meansobligationsthatareeither (i)directobligationsoftheUnitedStatesofAmericaor(il)obligations of anagencyorinstrumentalityoftheUnitedStates of Americathetimely paymentoftheprincipalofandinterestonwhichare unconditionally guaranteedbytheUnitedStatesofAmerica. (I)"LoanAgreement"meanstheLoanAgreementbetweenthe BoroughandtheBondBankorotherFinancialInstitutionconcerningthe Bonds. (m)"RegisteredOwner"meansthepersonnamedasthe registered ownerofaBondintheBond Register. (n)"Registrar"meanstheBoroughFinanceDirector,orany successorthatthe Borough mayappointbyresolution. (0)"Resolution"meansthisResolutionNo.FY2016-_ofthe Borough. AuthorizationofBondsandPurposeofIssuance.Forthepurposeof providingfundsfor financing theCostsoftheProject,theBoroughshall issueandsellgeneralobligationbondsdesignated"KodiakIsland Borough,Alaska,General Obligation SchoolBonds"(the"Bonds")inthe aggregateprincipalamountofnottoexceed $8,000,000.The proceeds oftheBondsshallbeusedtopayCostsoftheProject.TheProject servesapublicpurposeoftheBorough. TheManagerand/ortheFinanceDirectorarehereby authorized to determinewhethertheBondsshallbesoldtotheBondBankora FinancialInstitutionorsoldatpublicsale,andwhethertoissuetheBonds inoneormoreissues,butinnoeventshalltheaggregateprincipal amountoftheBondsexceed $8,000,000. Kodiak Island Borough,Alaska Resolution No.FY2016·05 Page 3of12 154 Section 3: 155 156 157 158 159 160 161 162 163 Section 4: 164 165 166 167 168 169 170 171 172 173 174 175 176 177 178 179 180 181 182 183 184 185 186 Section 5: 187 188 189 190 191 192 193 Section 6: 194 195 196 197 198 199 200 201 202 203 204 205 206 ObligationofBonds.TheBondsshall be directandgeneralobligationsof theBorough,andthefullfaithandcreditoftheBorougharehereby pledgedtothepaymentoftheprincipalofandinterestontheBonds.The Boroughherebyirrevocablypledgesandcovenantsthatitwilllevyand collecttaxesuponalltaxablepropertywithintheBoroughwithout limitationastorateoramount,inamountssufficienttogetherwithother fundslegallyavailabletherefor,topaytheprincipalofandinterestonthe Bondsasthesamebecomedueandpayable. Designation,Maturities,InterestRates,andOtherDetailsofBonds.The Bondsshallbedesignated"KodiakIslandBorough,Alaska,General ObligationSchoolBonds."TheBondsshallbeinthedenominationof $5,000 oranyintegralmultiplethereof,shallbenumberedseparatelyin themannerandwithsuchadditionaldesignationastheRegistrardeems necessaryforpurposesof identification,andmayhaveendorsedthereon suchlegendsortextasmaybenecessaryorappropriatetoconformto therulesandregulationsofanygovernmentalauthorityoranyusageor requirementoflawwithrespectthereto. TheBondsshallmatureinoneormoreyearscommencingnoearlierthan 2015 andendingnolaterthan 2035.TheBondsshallbearinterestfrom theirdate,payable commencing onadateonorafter April 1,2016,and semi-annuallythereafter.Interestwillbecomputedonthebasisofa 360- dayyearconsistingoftwelve 3O-day months. SubjecttoSection 2 andtheremainderofthisSection,thedateddate, theprincipalandinterestpaymentdates,therecorddatesforinterest payments,theaggregateprincipalamount,theprincipalamountofeach maturity,andthe ·interest ratesontheBondsshallbedeterminedatthe timeofexecutionoftheLoanAgreementatorbeforepublicsaleofthe BondsunderSection 17. Optional Redemption.TheBonds,ifany,subjecttooptional redemption bytheBorough,thetimeortimeswhensuchBondsaresubjectto optional redemption,thetermsuponwhichsuchBondsmaybe redeemed,andthe redemption priceorredemptionpricesforsuch Bonds,shallbedeterminedatthetimeofsaleoftheBondsbythe BoroughManagerorFinanceDirector. SelectionofBondsfor Redemption:NoticeofRedemption. (a)SelectionofBondsfor Redemption.WhenandiftheBondBank oraFinancialInstitutionistheRegisteredOwner of theBonds,the selectionofBondstoberedeemedshallbemadeasprovidedintheLoan Agreement.Whenand if theBondBankor a FinancialInstitutionisnot theRegisteredOwneroftheBonds,theselectionofBondstobe redeemedshallbemadeasprovidedinthissubsection(a).Ifthe Boroughredeemsat anyone timefewerthanalloftheBondshavingthe samematuritydate,theparticularBondsorportionsofBondsofsuch maturitytobe redeemed shallbeselectedbylot(orinsuchothermanner determinedbytheRegistrar)inincrementsof $5,000.Inthecaseofa Bondofadenominationgreaterthan $5,000,theBoroughshalltreatsuch Bondas representing suchnumberofseparateBondseachofthe KodiakIslandBorough,Alaska ResolutionNo.FY2016-o5 Page4 of 12 207 208 209 210 211 212 213 214 215 216 217 218 219 220 221 222 223 224 225 226 227 228 229 230 231 232 233 234 235 236 237 238 239 240 241 242 243 244 245 246 247 248 249 250 251 252 denominationof$5,000asisobtainedbydividingtheactualprincipal amountofsuchBondby$5,000.Intheeventthatonlyaportionofthe principalamountofaBondisredeemed,upon surrender ofsuchBondat theofficeoftheRegistrarthereshallbeissuedtotheRegisteredOwner, withoutchargetherefor,forthethenunredeemedbalanceoftheprincipal amountthereof,attheoptionoftheRegisteredOwner,aBondorBonds oflikematurityandinterestrateinanyofthedenominationsauthorized herein. (b)NoticeofRedemption.WhenandiftheBondBankoraFinancial InstitutionistheRegisteredOwneroftheBonds,noticeofanyintended redemptionofBondsshallbegivenasprovidedintheLoanAgreement. WhenandiftheBondBankoraFinancialInstitutionisnottheRegistered OwneroftheBonds,noliceofanyintendedredemptionofBondsshallbe givenasprovidedinthissubsection(b).Noticeofredemptionshall be mailednotlessthan20ormorethan45dayspriortothedatefixedfor redemptionbyfirstclassmailtoRegisteredOwnersoftheBondstobe redeemedattheiraddressesastheyappearontheBondRegisteronthe daythenoticeIsprepared.Noticeofredemptionshallbedeemedto havebeengivenwhenthenoticeismailedashereinprovided,whetheror notitisactuallyreceivedbytheRegisteredOwners.Allnoticesof redemptionshallbedatedandshallstate:(1)theredemptiondate;(2)the redemptionprice;(3)iffewerthanalloutstandingBondsaretobe redeemed,theidentification(and,inthecaseofpartialredemption,the respectiveprincipalamounts)oftheBondstoberedeemed;(4)thaton theredemptiondatetheredemptionpricewillbecomedueandpayable uponeachsuchBondorportionthereofcalledforredemption,andthat interestthereonshallceasetoaccruefromandaftersaiddate;and (5) theplacewheresuchBondsaretobesurrenderedforpaymentofthe redemptionprice,whichplaceofpaymentshallbetheofficeofthe Registrar. Officialnoticeofredemptionhavingbeengivenasstatedabove,Bondsor portionsofBondstoberedeemedshall,ontheredemptiondate,become dueandpayableattheredemptionpricethereinspecified,andfromand aftersuchdate,suchBondsorportionsofBondsshallceasetobear interest.UponsurrenderofsuchBondsforredemptioninaccordance withsaidnotice,suchBondsshallbepaidattheredemptionprice. Installments of interestdueonorpriortotheredemptiondateshallbe payableashereinprovidedforpaymentofinterest.AllBondswhichhave beenredeemedshallbecanceledanddestroyedbytheRegistrarand shallnotbereissued. Eachcheckorothertransferoffundsissuedtopaytheredemptionprice ofBondsshallbeartheCUSIPnumber,ifany.identifying,bymaturitythe Bondsbeing redeem~d withtheproceedsofsuchcheckorothertransfer. KodiakIslandBorough,Alaska Resolution No.FY2016-05 Page5 of12 FormofBond.EachBondshallbeinsubstantiallythefollowingform, withsuchvariations,omissions,andinsertionsasmay be requiredor permittedbythisResolution: ThisBondisoneoftheGeneralObligationSchoolBondsofthe KodiakIslandBorough,Alaska,ofliketenorandeffectexceptasto interestrate,serialnumber,rightofredemptionorprepaymentand maturity,andconstitutingBondsauthorizedforthepurposeofpayingthe costofschoolandrelatedcapitalimprovementsintheBorough,andis issuedunderResolutionNo.FY2016-_oftheBoroughentitled: TheKodiakIslandBorough(the"Borough"),amunicipal corporationoftheStateofAlaska,herebyacknowledgesitselftooweand forvaluereceivedpromisestopaytotheRegisteredOwneridentified above,oritsregisteredassigns,theprincipalamountidentifiedabovein thefollowinginstallmentsoneachofthefollowingyears,andtopay interestonsuchinstallmentsfromthedatehereof,payableon __1, 201_,andsemiannuallythereafteron __1,and __1,ofeachyear, attheratesperannumasfollows: $--- Interest Rate Principal Amount MatUrity Date UNITEDSTATESOFAMERICA KODIAKISLANDBOROUGH,ALASKA GENERALOBLIGATIONSCHOOLBOND NO._ REGISTEREDOWNER: PRINCIPALAMOUNT: WhenandifthisBondisownedbytheAlaskaMunicipalBond BankoraFinancialInstitution,paymentofprincipalandinterestshallbe madeasprovidedintheLoanAgreementbetweentheBondBankor FinancialInstitutionandtheBorough(the"LoanAgreement').Whenand ifthisBondisnotownedbytheBondBankoraFinancialInstitution, installmentsofprincipalofandinterestonthisBondshallbepaidby checkordraftmailedbyfirstclassmailto the RegisteredOwnerasofthe closeofbusinessonthe15thdayofthemonthbeforeeachinstallment paymentdate;provided,thatthefinalinstallmentofprincipalofand interestonthisBondshallbe'payableuponpresentationandsurrenderof thisBondbytheRegisteredOwnerattheofficeoftheRegistrar.Interest willbecomputedonthebasisofa36D-dayyearconsistingoftwelve 30- day months.BothprincipalofandinterestonthisBondarepayablein lawfulmoneyoftheUnitedStatesofAmericawhich,ontherespective datesofpaymentthereof,shallbelegaltenderforthepaymentofpublic andprivatedebts. 253 Section 7: 254 255 256 257 258 259 260 261 262 263 264 265 266 267 268 269 270 271 272 273 274 275 276 277 278 279 280 281 282 283 284 285 286 287 288 289 290 291 292 293 294 295 296 297 298 299 300 301 302 303 304 305 KodiakIsland Borough,Alaska Resolution No.FY2016·05 Page6 of 12 306 307 308 309 310 311 312 313 314 315 316 317 318 319 320 321 322 323 324 325 326 327 328 329 330 331 332 333 334 335 336 337 338 339 340 341 342 343 344 345 346 347 348 349 350 351 352 353 354 355 356 357 358 ARESOLUTIONOFTHE KODIAK ISLAND BOROUGH ASSEMBLY AUTHORIZINGTHEBOROUGHTO ISSUE GENERAL OBLIGATIONSCHOOLBONDSIN THEPRINCIPALAMOUNTOFNOTTOEXCEED $8,OOO,000TO PROVIDEFUNDSFOR SCHOOL AND RELATED CAPITAL IMPROVEMENTSINTHE BOROUGHANDTOPAYCOSTSOFISSUINGTHE BONDS,FIXINGCERTAINDETAILSOFSUCH BONDS,AUTHORIZINGTHEIR SALE,AND PROVIDINGFORRELATEDMATTERS (the"Resolution"). TheBonds[InstallmentsofprincipalofthisBond)maturingonand after __1,20_,shallbesubjecttoprepaymentonandafter __1, 20_,attheoptionoftheBorough[(subjecttoanyapplicableprovisions oftheLoanAgreement)),insuchprincipalamountsandfromsuch maturitiesastheBoroughmaydetermine,andbylotwithinamaturity,at aredemptionpriceequaltotheprincipalamounttobeprepaid,plus accruedinteresttothedateofprepayment. ThisBondistransferableasprovidedintheResolution,(i)only upontheBondRegisteroftheBorough,and(ii)uponsurrenderofthis Bondtogetherwithawritteninstrumentoftransferdulyexecutedbythe RegisteredOwnerorthedulyauthorizedattorneyoftheRegistered Owner,andthereuponanewfullyregisteredBondorBondsinthesame aggregateprincipalamountandmaturityshallbeissuedtothetransferee inexchangethereforasprovidedintheResolutionanduponthepayment ofcharges,ifany,asthereinprescribed.TheBorough may treatand considerthepersoninwhosenamethisBondisregisteredasthe absoluteownerhereofforthepurposeofreceivingpaymentof,oron accountof,theprincipalorredemptionprice,ifany,hereofandinterest duehereonandforallotherpurposeswhatsoever. ThisBondisageneralobligationoftheKodiakIslandBorough, andthefullfaithandcreditoftheBorougharepledgedforthepaymentof theprincipalofandlnterestonthisBondasthesameshallbecomedue., ITISHEREBYCERTIFIEDANDRECITEDthatallconditions, actsorthingsrequiredbytheconstitutionorstatutesoftheStateof Alaskatoexist,tohavehappenedortohavebeenperformedprecedent toorintheissuanceofthisBondexist,havehappenedandhavebeen performed,andthattheseriesofBondsofwhichthisisone,togetherwith allotherindebtednessoftheBorough,iswithineverydebtandotherlimit prescribedbysuchconstitutionorstatutes. INWITNESSWHEREOF,THEKODIAKISLANDBOROUGH. ALASKA,hascausedthisBondtobesignedinitsnameandonitsbehalf bythemanualorfacsimilesignatureofitsMayoranditscorporateseal (orafacsimilethereof)tobeimpressedorotherwisereproducedhereon andattestedbythemanualorfacsimilesignatureofitsClerk,allasofthe __dayof __,2P1~i Kodiak Island Borough,Alaska Resolution No.FY2016-05 Page7of12 359 360 361 362 363 364 365 366 367 368 369 370 Section 8: 371 372 373 374 375 376 377 378 379 380 Section 9: 381 382 383 384 385 386 387 388 389 390 391 392 393 394Section10: 395 396 397 398 399 400 401 402 403 404 405 406 407 408 409 Section 11: 410 411 KODIAK ISLAND BOROUGH !speclmen! Borough Mayor ATIEST: !specimenl Borough Clerk Execution.The Bonds shallbe executed in the name ofthe Borough by the manual or facsimile signature of the Mayor,andits corporate seal (or a facsimile thereof)shall be impressed or otherwise reproduced thereon and attested bythe manual or facsimile signature of the Borough Clerk. The execution of aBondon behalf of the Borough by persons whoatthe time ofthe execution areduly authorized toholdthe proper offices shall be valid and sufficient forall purposes,although anysuch person shall have ceased tohold office at the timeof delivery ofthe Bond orshallnot have held office on the dateoftheBond. Payment of Principal and Interest.The Bonds shallbe payable in lawful money ofthe United States of America which at the time of payment is legal tender for the payment of public and private debts.When andifthe Bond Bank ora Financial Institution is the Registered Owner of the Bonds,payment of principal ofand interest onthe Bonds shallbe made as provided intheLoan Agreement.When andif the BondBankora Financial Institution isnot the Registered Owner of theBonds, installments of principal of and interest onthe Bonds shallbepaidby check mailed byfirstclassmailtothe Registered Owner asoftherecord date forthe installment payment atthe address appearing ontheBond Register;provided,thatthefinal installment of principal and interest ona Bondshallbe payable upon presentation and surrender oftheBondby the Registered Owner atthe office ofthe Registrar. Registration.The Bonds shallbe issued only in registered formasto both principal and interest.The Borough designates theBorough Finance Director as Registrar for theBonds.The Registrar shallkeep,or cause tobekept,theBond Register at the principal office ofthe Borough. The Borough covenants that,untilall Bonds have been surrendered and canceled,itwill maintain a system for recording the ownership ofeach Bond that complies withthe provisions of Section 149of the Code.The Borough andthe Registrar may treat the person in whose name anyBond shallbe registered asthe absolute owner ofsuch Bond forall purposes, whether ornotthe Bond shallbe overdue,andall payments of principal of and interest onaBond made tothe Registered Owner thereof or upon its order shallbevalidand effectual to satisfy and discharge the liability upon suchBondtothe extent ofthesumor sums sopaid,and neither the Borough nor the Registrar shallbe affected byany notice to the contrary. Transfer and Exchange.Bonds shall be transferred only upon theBond Register.Upon surrender for transfer or exchange of anyBondatthe office ofthe Registrar,together with a written instrument of transfer or Kodiak Island Borough,Alaska Resolution No.FY2016-05 Page8 of12 ,.""-" .-, 412 413 414 415 416 417 418 419 420 421 422 423 Section12: 424 425 426 427 428 429 430 431 432 433 434 435Section13: 436 437 438 439 440 441 442 443 444 445 446 447Section14: 448 449 450 451 452 453 454 455 456 457 458Section15: 459 460 461 462 463 464 authorizationforexchangeinformandwithguarantyofsignature satisfactorytothe Registrar,dulyexecutedbytheRegisteredOwneror thedulyauthorizedattorneyoftheRegisteredOwner,theBoroughshall executeanddeliveranequalaggregateprincipalamountofBondsofthe samematurityofanyauthorizeddenominations,sUbjecttosuch reasonableregulationsastheBoroughmayprescribeanduponpayment sufficienttoreimburseitforanytax,feeorothergovernmentalcharge requiredtobepaidinconnectionwithsuchtransferorexchange.All Bondssurrenderedfortransferorexchangeshallbecanceledbythe Registrar. BondsMutilated.Destroyed.Stolen.orLost.Uponsurrendertothe RegistrarofamutilatedBond,theBoroughshallexecuteanddelivera newBondoflikematurityandprincipalamount.Uponfilingwiththe RegistrarofevidencesatisfactorytotheBoroughthataBondhasbeen destroyed,stolen,orlostandoftheownershipthereof,andupon furnishingtheBoroughwithindemnitysatisfactorytoIt,theBoroughshall executeanddeliveranewBondoflikematurityandprincipalamount. ThepersonrequestingtheexecutionanddeliveryofanewBondunder thissectionshallcomplywithsuchotherreasonableregulationsasthe BoroughmayprescribeandshallpaysuchexpensesastheBoroughmay incurinconnectiontherewith. DispositionoftheSaleProceedsoftheBonds.Thesaleproceedsofthe BondsrepresentingaccruedinterestontheBondsshallbeappliedtopay aportionoftheinterestdueontheBondsonthefirstinterestpayment datefortheBonds.ThesaleproceedsoftheBondsrepresentingoriginal issuepremiumontheBondsshallbeappliedtopayaportionofthe interestdueontheBondsonthefirstinterestpaymentdateforthe Bonds,orCostsoftheProject,andshallbedepositedinsuchmanneras theBoroughManagerortheBoroughFinanceDirectormaydetermine. TheremainingsaleproceedsoftheBondsshallbeappliedtopayCosts oftheProject,andshallbedepositedintheappropriatefundsoraccounts oftheBoroughforsuchpurposes. TaxCovenants.TheBoroughcovenantstocomplywithanyandall applicablerequirementssetforthintheCodeineffectfromtimetotimeto theextentthatsuchcompliance .shall be necessaryfortheexclusionof theinterestontheBondsfromgrossIncomeforfederalincometax purposes.TheBoroughcovenantsthatitwillmakenouseofthe proceedsoftheBondswhIchwillcausetheBondstobe"arbitragebonds" SUbject tofederalincometaxationbyreasonofSection148oftheCode. TheBoroughcovenantsthatitwillnottakeorpermitanyactionthat wouldcausetheBondstobe"privateactivity bonds'asdefinedinSection 141oftheCode. AmendatoryandSupplementalResolutions. (a)TheAssemblyfromtimetotimeandatanytimemayadopta resolutionorresolutionssupplementalhereto,whichresolutionor resolutionsthereaftershallbecomeapartofthisResolution,for anyone ormoreofthefollowingpurposes: / Kodiak Island Borough,Alaska Resolution No.FY2016-05 Page9 of12 465 466 467 468 469 470 471 472 473 474 475 476 477 478 479 480 481 482 483 484 485 486 487 488 489 490 491 492 493 494 495 496 497 498 499 500 501 502 503 504 505 506 507 508 509 510 511 512 513 514 515 516 517 (1)ToaddtothecovenantsandagreementsoftheBoroughin this Resolution,othercovenantsandagreementsthereaftertobe observedortosurrenderanyrightorpowerhereinreservedtoor conferred uponthe Borough. (2)Tomakesuchprovisionsforthepurposeofcuringany ambiguities orof curing,correctingorsupplementinganydefective provisioncontainedinthis Resolution orinregardtomattersor questionsarising under thisResolutionastheAssemblymay deemnecessaryordesirableandnotinconsistentwiththis Resolution andwhichshallnotadverselyaffecttheinterestsofthe Registered OwnersoftheBonds. Anysuchsupplementalresolutionmaybeadoptedwithouttheconsentof the Registered OwnersofanyoftheBondsatanytime outstanding, notwithstanding anyoftheprovisionsofsubsection(b)ofthissection. (b)WiththeconsentoftheRegisteredOwnersofnotlessthan 60 percentinaggregateprincipalamountof the Bondsatthetime outstanding,theAssemblymayadoptaresolutionor resolutions supplemental heretoforthepurposeofaddinganyprovisionstoor changinginanymanneroreliminatinganyoftheprovisionsofthis Resolutionorofany supplemental resolution;provided,however,thatno suchsupplementalresolutionshall: (1)ExtendthefixedmaturityofanyoftheBonds,orreduce therateofinterestthereon,orextendthetimeofpaymentsof interestfromtheirduedate,orreducetheamountoftheprincipal thereof,orreduceanypremiumpayableonthe redemption thereof,withouttheconsentoftheRegisteredOwnerofeach Bondsoaffected;or . (2)ReducetheaforesaidpercentageofRegisteredOwnersof Bonds required toapproveanysuchsupplemental resolution withouttheconsentoftheRegisteredOwnersofalloftheBonds then outstanding. Itshallnot be necessaryfortheconsentoftheRegisteredOwnersofthe Bondsunderthissubsectiontoapprovetheparticularformofany proposedsupplemental resolution,butitshallbesufficientifsuchconsent approvesthesubstancethereof. (c)Upontheadoptionofanysupplementalresolutionunderthis section,thisResolutionshallbedeemedto be modifiedandamendedin accordance therewith,andtherespectiverights,duties,andobligations underthis Resolution oftheBoroughandallRegisteredOwnersof outstandingBondsshallthereafterbesubjectinallrespectstosuch modificationand amendment.andallthetermsandconditionsofthe supplemental resolution shallbedeemedtobepartofthetermsand conditionsofthis Resolution foranyandallpurposes. (d)Bondsexecutedanddeliveredaftertheadoptionofany supplemental resolution underthissectionmaybearanotationastoany Kodiak Island Borough,Alaska Resolution No.FY2016-05 Page 10of12 ,.....~', 518 519 520 521 522 523 524 525 526 Sectlon16: 527 528 529 530 531 532 533 534 535 536 Section17: 537 538 539 540 541 542 543 544 545 546 547 548 549 550 551 552 553 554 555 556 557 558Secllon18: 559 560 561 562 563 564Seclion19: 565 566 567 568 569 matterprovidedfor.insuchsupplementalresolution,and if such supplementalresolutionshallsoprovide,newBondsmodifiedsoasto conform,intheopinionoftheBorough,toanymodificationofthis Resolutioncontainedinanysuchsupplementalresolutionmay be preparedby.theBoroughanddeliveredwithoutcosttotheRegistered OwnersoftheBondsthenoutstanding,uponsurrenderforcancellationof suchBondsinequalaggregateprincipalamounts. Defeasance.Intheeventmoneyand/ornon-callableGovernment Obligationsmaturingatsuchtimesandbearinginteresttobeearned thereoninamountssufficienttoredeemandretireanyoralloftheBonds inaccordancewiththeirtermsaresetasideinaspecialtrustaccountto effectsuchredemptionorretirementandsuchmoneysandtheprincipal ofandinterestonsuch Govemment Obligationsareirrevocablysetaside andpledgedforsuchpurpose,thennofurtherpaymentsneedbemadeto payor securethepaymentoftheprincipalofandinterestonsuchBonds andsuchBondsshallbedeemednottobeoutstanding. SaleofBonds.TheBondsshallbesoldatnegotiatedsaletotheBond BankoraFinancialInstitutionasprovidedIntheformofLoanAgreement oratpuollcsaleastheBoroughManagerandFinanceDirectordetermine isinthebestinterestoftheBorough.Subjecttothelimitationsprovided inSections2and4,eachoftheBoroughManagerandtheBorough FinanceDirectorisherebyauthorizedtodeterminetheaggregate principalamount,maturityamounts,interestrates,yields,dateddate, principaland.interestpaymentdates,redemptionterms,ifany,forthe Bonds,andotherdetailsoftheBonds;providedthatthetrueinterestcost oftheBonds,expressedasanannualrate,doesnotexceed6.0percent. Indeterminingthematurityamounts,interestrates,yields,and redemptionterms,ifany,fortheBonds,theBorough Manager orBorough FinanceDirectorshalltakeintoaccountthosefactorswhich,inthe judgment ofeach,willresultinthelowesttrueinterestcostontheBonds totheirmaturity,inclUdingwithoutlimitationcurrentfinancialmarket conditionsandcurrentinterestratesforobligationscomparableintenor andqualitytotheBonds.Basedupontheforegoingdeterminations,the BoroughManagerandtheBoroughFinanceDirectoreachisauthorized toexecutetheLoanAgreement,in SUbstantially theformpresentedatthis meeting,ortoselltheBondsatpublicsaleastheydeemappropriateand costeffectiveto,andinthebestinterestof,theBorough. AuthorityofOfficers.TheMayor,theBoroughManager,theBorough FinanceDirector,andtheBoroughClerkeachisauthorizedanddirected todoandperformallthingsanddetermineallmattersnotdeterminedby thisResolution,totheendthattheBoroughmaycarryoutitsobligations undertheBondsandthisResolution. ProhibitedSaleofBonds.Noperson,firm,orcorporation,oranyagentor employeethereof,actingasfinancialconsultanttotheBoroughunderan agreementforpaymentinconnectionwiththesaleoftheBondsiseligible topurchasethe Bonds asamemberoftheoriginalunderwritingsyndicate eitheratpublicorprivatesale. KodiakIslandBorough,Alaska Resolution No.FY2016·05 Page11of12 570 Section 20:OngoingDisclosure.TheBorough acknowledges that under Rule15c2- 571 12oftheSecuritiesand Exchange Commission (the"Rule")theBorough ' 572 maynoworinthefuturebean"obligatedperson."In accordance withthe 573 Rule,andastheBond BanWor a Financial Institution mayrequire,the 574 Boroughshallundertaketoprovidecertainannual financial information 575 andoperatingdataasshallbesetforthintheLoan Agreement. 576 577 Section 21:Miscellaneous. 578 579 (a)All payments madebytheBoroughof,oron account of,the 580 principaloforinterestontheBondsshallbemadeonthe several Bonds 581 ratablyandin proportion tothe amount duethereon,respectively,for 582 principal orinterestasthecasemaybe. 583 584 (b)Norecourseshallbehad for the payment ofthe principal of orthe 585 interest ontheBondsorforanyclaimbasedthereonoronthis Resolution 586 against any member ofthe Assembly or officer ofthe Borough orany 587 personexecutingtheBonds.TheBondsare not andshallnotbeinany 588 wayadebtorliabilityoftheStateofAlaskaorofany political subdivision 589 thereof,except theBorough,anddonotandshallnot create orconstitute 590 an Indebtedness orobligation,either legal,moral,or otherwise,ofsuch 591 stateorofany political subdivision thereof,except theBorough. 592 593 Sectlon22:Severability.If anyone ormoreofthe provisions ofthis Resolution shall 594 bedeclaredbyanycourtof competent jurisdiction tobe contrary tolaw, 595 thensuchprovisionshallbenullandvoidandshallbe deemed separable 596 fromtheremaining provisions ofthis Resolution andshallinnowayaffect 597 thevalidityoftheotherprovisionsofthis Resolution oroftheBonds. 598 599 Section23:Effective Date.ThisResolutionshallbecome effective upon passage and 600 approval. 601 602 ADOPTED BYTHE ASSEMBLY OFTHE KODIAK ISLAND BOROUGH 603 THIS TWENTIETH DAY OF AUGUST,2015 604 605 KODIAK ISLAND BOROUGH 606 ::ffLd --" 610 JerrolFriend,Borough Mayor 611 612 ATIEST:' 613 614 615 616 617 Kodiak Island Borough,Alaska Resolution No.FY2016-05 Page12 of12 CERTIFICATE OF CLERK I.NovaM.Javier,MMC,ClerkofKodiakIslandBorough(the"Borough"), HEREBYCERTIFYthatthe document attachedheretoisanaccurateandcomplete copyofResolutionFY2016-06oftheBoroughadoptedbytheBorough Assembly ata meetingdulycalledandheld August 20,2015,andthatResolutionFY2016-06hasnot beenmodified,amended,repealed,orrescinded,butisinfullforceandeffectonthe datehereof. INWITNESSWHEREOF,haveexecutedthiscertificatethis is"dayof September,2015. Jlrv1:/vl~ NovaM.Javier,MMC BoroughClerk KodiakIslandBorough 51466925,1 NOW.THEREFORE,BEITRESOLVEDBYTHE ASSEMBLY OFTHEKODIAKISLAND BOROUGHTHAT: WHEREAS.thebondswillnotbesoldifthetrueinterestcostisoverfourpercent(4%);and WHEREAS,Section29.47.410oftheAlaskaStatutesprovidesthattheAssembly by resolution mayprovidefortheformandmannerofsafeofbondsandnotes;and WHEREAS,theAssemblyfindsthatitisnecessaryandappropriatetodelegatetoeachofthe BoroughManagerandBoroughFinanceDirectorauthoritytodetenninethematurityamounts, interestrates,andotherdetailsofthebonds,andtodetermineothermattersthatarenotprovided forinthisresolution,includingwithoutlimitation,whethertoselltheBondstotheAlaskaMunicipal BondBank(the"BondBank")oranother Financiallnslitutlon ortooffertheBondsatpublicsale; WHEREAS,pursuanttoOrdinanceNo.FY2015-02oftheKodiakIslandBorough,Alaska(the "Borough"),adoptedAugust 7,2014,aquestionwhethertheBoroughshouldIssuenottoexceed $10,230,000ingeneralobligationbondsforthepurposeofpayingthecostoftherenewaland replacementschedulerelatedtoBorough-ownedschoolfacilities,projectswhichare70% reimbursable by theStateofAlaska,referredtotheregularBoroughelectionheldonDetober7, 2014,asPropositionNO.1("Proposition1"),waspassedandapproved;and Borough Manager Finance Director Bond Counsel 06/2012015 0812012015 Introduced by: Requested by: Drafted by: Introduced on: Adoptedon: KODIAKISLANDBOROUGH RESOLUTIONNO.FY2016-06 Definitions.Inadditiontotermswhicharedefinedintherecitalsabove.the followingtennsshallhavethefollowingmeaningsinthisResolution: (a)"Assembly'meanstheAssemblyoftheKodiakIslandBorough,asthe generallegislativeauthorityoftheKodiakIslandBorough,asthesameshallbe dulyandregularlyconstitutedfromtimetotime. WHEREAS,theAssemblyfindsthatitisinthebestinterestoftheBoroughto carry outthe Projects,definedbelow,andtoissuenottoexceed$10,230,000principalamountofgeneral obligationbondsreferredtoinProposition1,topaypartofthecostsoftheProjectsandcostsof issuingthebonds;and WHEREAS.theBoroughwillnotissuethebondsuntiltheBorough'sschooldistrictreceives noticefromtheStateofAlaskaDepartmentofEducation &EarlyDevelopment,DivisionofSchool Finance,thatthebondsareapprovedfor70%reimbursement;and ARESOLUTIONOFTHE KODIAK ISLANDBOROUGHASSEMBLY AUTHORIZINGTHEBOROUGHTOISSUEGENERALOBLIGATION SCHOOLBONDSINTHEPRINCIPALAMOUNTNOTTOEXCEED $10.230.000 TOFINANCETHERENEWALANDREPLACEMENT SCHEDULERELATEDTOBOROUGH·OWNEDSCHOOLFACILITIES. PROJECTSWHICHARE 70%REIMBURSABLEBYTHESTATEOF ALASKA.ANDTOPAYCOSTSOFISSUINGTHEBONDS.FIXING CERTAINDETAILSOFSUCHBONDS,AUTHORIZINGTHEIRSALE. ANDPROVIDINGFORRELATED MAnERS Section 1: 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 KodiakIsland Borough.Alaska Resolution No.FY2016-06 Page 1of 11 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 (b)"Bond"or"Bonds"meansanyofthe"GeneralObligationSchoolBonds" oftheKodiakIslandBorough,theIssuanceandsaleofwhichareauthorized herein. (c)"BondBank"meanstheAlaskaMunicipalBondBank,apublic corporationoftheStateofAlaska. (d)"BondBankBonds"meanstheseriesofgeneralobligationbondsissued bytheBondBank,allor part oftheproceedsofwhichareusedtopurchasethe Bonds. (e)"BondRegister"meanstheregistrationbooksmaintainedbythe Registrar,whichIncludethenamesandaddressesoftheRegisteredOwnersof theBondsortheirnominees. (f)"Borough"meanstheKodiakIslandBorough,amunicipalcorporationof theStateofAlaska,organizedasasecondclassboroughunderTiUe29ofthe AlaskaStatutes. (g)"BoroughManager"meanstheManageror Administrative Officialofthe Borough. (h)"Code"meanstheInternalRevenueCodeof 1986,asamendedfrom timetotime,togetherwithallregulationsapplicablethereto. (i)"Cost"or"Costs"meansthecostofplanning,designing,acqumnq propertyfor,acquiring,constructing,installingandequippingtheProjects, includinginterestontheBondsduringtheperiodofplanning,designing, acquiringpropertyfor,acqulrlnq,constructing,installing,andequippingthe Projects,thecost Whether IncurredbytheBoroughorby another offield surveys andadvanceplanningundertakenInconnectionwiththeProjectsproperly allocabletotheProjects,thecostofacquisitionofanylandorinteresttherein requiredasthesiteorsitesoftheProjectsorforuseinconnectiontherewith,the costofanyindemnityandsuretybondsandpremiumsoninsuranceincurredin connectionwiththeProjectspriortoorduringconstructionthereof,allrelated directadministrativeandinspectionexpenseswhetherincurredbytheBorough orbyanotherinconnectionwiththeProjectspriortoorduringconstruction thereofandallocableportionsofdirectcostsoftheBorough,legalfees,costsof issuanceoftheBondsbytheBorough,includingfinancingchargesandfeesand expensesofbondcounsel,financialadvisorsandconsultantsinconnection therewith,thecostofanybondinsurancepremiumandbondratings,thecostof audits,thecostofallmachinery,apparatus,and equipment,costofengineering, architecturalservices,designs,plans,specificationsandsurveys,estimatesof cost,thereimbursementofallmoneysadvancedfrom whatever sourceforthe paymentofanyitemoritemsofcostoftheProjects.andallotherexpenses necessaryorincidentaltotheacquisitionand development oftheProjects,the financingthereofandtheputtingofthesameinuseandoperation. U>"FinancialInstitution"meansanybankorotherfinancialinstitution insuredbytheFederalDepositInsuranceCorporationortheFederalSavings andLoanInsuranceCorporation. (k)"GovernmentObligations"means obllgalions thatareeither (i)direct obligationsoftheUnitedStatesofAmericaor (Ii)obligationsofanagencyor instrumentalityoftheUnitedSlatesofAmericathetimelypaymentofthe Kodiak Island Borough,Alaska ResolutionNo.FY2016-06 Page2of 11 107 108 109 110 111 112 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 134 135 136 137 138 139 140 141 Section 2: 142 143 144 145 146 147 148 149 150 151 152 153 154 155 156 principalofandinterestonwhichareunconditionallyguaranteedbytheUnited StatesofAmerica. (I)"LoanAgreement"meanstheLoanAgreementbetweentheBorough andtheBondBankorotherFinancialInstitutionconcerningtheBonds. (rn)'Projects"means,collectively,thecostofschoolfacilitiesrenewaland replacementprojectsthataddresswornoutbuildingcomponentssuchasroofs, floors,undergroundstoragetanks,etc.thathavereachedtheendoftheiruseful life,includingwithoutlimitationthefollowingprojectsandotherrelated projects: KodiakMiddleSchoolundergroundstoragetankreplacement,newelevator controls,newHVAC(heating)controls,rearparkinglotpaving,firealarm replacementandbusramproofreplacement;EastElementarySchoolflooring replacement,cafeteriaroofreplacement,partialinteriorrenovationand replacementofplumbingfixtures;PetersonElementarySchoolflooring replacement,newHVAC(heating)controls,parkinglotpavingandreplacement ofboilers;PortLionsSchoolundergroundstoragetankreplacementand playgroundequipmentreplacement;MainElementarySchoolunderground storagetankreplacementandgymfloorreplacement;OuzinkieSchoololdwing flooringreplacement,newwingflooringreplacementandplaygroundequipment replacement;AkhiokSchoolflooringreplacementandplaygroundequipment replacement;KarlukSchoolflooringreplacementandplaygroundequipment replacement;ChiniakSchoolplaygroundequipmentreplacement;andOld HarborSchoolplaygroundequipmentreplacementandundergroundstorage tankreplacement. (n)"Registered Owner"meansthepersonnamedastheregisteredownerof aBondinthe Borid Register. (0)"Registrar"meanstheBorough·FinanceDirector,oranysuccessorthat theBoroughmayappointbyresolution. i (p)"Resolution"meansthisResolutionNo.FY2016-_oftheBorough. AuthorizationofBondsandPurposeofIssuance.Forthepurposeofproviding fundsfor financing theCostsoftheProjects,theBoroughshallissueandsell generalobligationbondsdesignated"KodiakIslandBorough,Alaska,General ObligationSchoolBonds·(the"Bonds")intheaggregateprincipalamountofnot toexceed$10,230,000.TheproceedsoftheBondsshallbeusedtopayCosts oftheProjects.TheProjectsserveapublicpurposeoftheBorough. TheManager andfor theFinanceDirectorareherebyauthorizedtodetermine whethertheBondsshallbesoldtotheBondBankoraFinancialInstitutionor soldat public sale,andwhethertoissuetheBondsinoneormoreissues,butin noeventshalltheaggregateprincipalamount ofthe Bondsexceed$10,230,000. TheBoroughwillnotissuethebondsuntiltheBorough'sschooldistrictreceives notice fromtheState of AlaskaDepartmentofEducation &EarlyDevelopment, DivisionofSchoolFinance,thatthebondsareapprovedfor70%reimbursement. KodiakIsland Borough,Alaska Resolution No.FY201~ Page 3of 11 157 Section 3: 158 159 160 161 162 163 164 165 Section 4: 166 167 168 169 170 171 172 173 174 175 176 177 178 179 180 181 182 183 184 185 186 Section 5: 187 188 189 190 191 192 Section 6: 193 194 195 196 197 198 199 200 201 202 203 204 205 206 207 208 209 210 211 212 Obligation ofBonds.TheBondsshallbe direct andgeneral obligations ofthe Borough,andthefullfaithandcreditoftheBoroughareherebypledgedtothe payment oftheprincipalofand interest ontheBonds.TheBoroughhereby irrevocablypledgesand covenants thatitwilllevyand collect taxesuponall taxablepropertywithintheBorough without limitationastorateoramount,in amountssufficient together withotherfundslegallyavailabletherefor,topaythe principalofand interest ontheBondsasthesamebecomedueandpayable. Designation,Maturities.Interest Rates.andOtherDetailsofBonds.TheBonds shallbe designated "Kodiak IslandBorough,Alaska,GeneralObligationSchool Bonds."TheBondsshallbeinthe denomination of $5,000oranyIntegral mUltiplethereof,shallbenumbered separately Inthe manner andwithsuch additional designation asthe Registrar deems necessary forpurposesof identification,andmayhaveendorsedthereonsuchlegendsortextasmaybe necessaryorappropriatetoconformtotherulesand regulations ofany govemmental authorityoranyusageorrequirementoflawwithrespectthereto. TheBondsshallmatureinoneormoreyears commencing noearlierthan2015 andendingnolaterthan 20U.TheBondsshallbear interest fromtheirdate, payable commencing onadateonorafter L-1,20-1,and semi-annually thereafter.Interestwillbecomputedonthebasisofa 360-day yearconsistingof twelve30-daymonths. SubjecttoSection2andthe remainder ofthisSection,thedateddate,the principaland Interest payment dates.therecorddatesfor interest payments,the aggregateprincIpalamount,theprincipal amount ofeachmaturity,andthe interest ratesontheBondsshallbe determined atthetime of executionofthe Loan Agreement atorbeforepublicsaleoftheBondsunderSection 17. OptionalRedemption.TheBonds,ifany,subjecttooptionalredemptionbythe Borough,thetimeortimeswhensuchBondsareSUbjectto optional redemption, thetermsuponwhichsuchBonds may beredeemed,andtheredemptionprice orredemptionpricesforsuchBonds,shallbe determined atthetimeofsaleof theBondsbytheBorough Manager orFinanceDirector. SelectionofBondsforRedemption;Noticeof Redemption. (a)SelectionofBondsforRedemption.WhenandiftheBondBankora Financial Institution istheRegistered Owner oftheBonds,theselectionofBonds toberedeemedshallbemadeasprovidedintheLoanAgreement.Whenandif theBondBankoraFinancialInstitutionisnottheRegistered Owner ofthe Bonds,theselection of Bondstoberedeemedshallbemadeasprovidedinthis subsection(a).IftheBoroughredeemsat anyone timefewerthanallofthe Bondshavingthesamematuritydate,the particular BondsorportionsofBonds of suchmaturitytoberedeemedshallbeselected by 101 (orinsuchothermanner determined bythe Registrar)inincrements of $5,000.Inthecase of a Bondofa denomination greater than$5,000,theBoroughshall treat suchBondas representingsuch number of separate Bondseachofthe denomination of$5.000 asisobtainedbydividingtheactual principal amountofsuchBondby$5,000.In the event thatonlyaportionoftheprincipal amount ofaBondIsredeemed,upon surrender ofsuchBondattheofficeofthe Registrar thereshallbeissuedtothe RegisteredOwner,without chargetherefor,forthethen unredeemed balanceof theprincipalamountthereof,attheoption of the Registered Owner,aBondor Bonds of likematurityandInterestratein any of the denominations authorized herein. KodiakIslandBorough,Alaska ResoluUonNo.FY2016-06 Page4 of11 FormofBond.EachBondshallbein SUbstantially thefollowingform,withsuch variations,omissions,andinsertionsasmayberequiredorpermiUedbythis Resolution: TheKodiakIslandBorough(the"Borough"),amunicipalcorporationof theStateofAlaska,herebyacknowledgesitselftooweandforvaluereceived promisestopaytotheRegisteredOwneridentifiedabove,oritsregistered assigns,theprincipalamountidentifiedaboveinthe follOWing installmentson eachofthefollowingyears,andtopayinterestonsuchinstallmentsfromthe (b)NoticeofRedemption.WhenandiftheBondBankoraFinancial InstitutionistheRegisteredOwneroftheBonds,noticeofanyintended redemptionofBondsshallbegivenasprovidedIntheLoanAgreement.When andiftheBondBankoraFinancialInstitutionisnottheRegisteredOwnerofthe Bonds,noticeofanyintendedredemptionofBondsshallbegivenasprovidedIn thissubsection(b).Noticeofredemptionshallbemailednotlessthan20 or morethan45dayspriortothedatefixedforredemptionbyfirstclassmallto RegisteredOwnersoftheBondstoberedeemedattheiraddressesasthey appearontheBondRegisteronthedaythenoticeisprepared.Noticeof redemptionshallbedeemedtohavebeengivenwhenthenoticeismailedas hereinprovided,whetherornotitisactuallyreceivedbytheRegisteredOwners. Allnoticesofredemptionshallbedatedandshallstate:(1)theredemptiondate; (2)theredemptionprice;(3)iffewerthanalloutstandingBondsareto be redeemed,theidentification(and,inthecaseofpartialredemption,the respectiveprincipalamounts)oftheBondstoberedeemed;(4)thatonthe redemptiondatetheredemptionpricewillbecomedueandpayableuponeach suchBondorportionthereofcalledforredemption,andthatinterestthereonshall ceasetoaccruefromandaftersaiddate;and (5)theplacewheresuchBonds aretobesurrenderedforpaymentoftheredemptionprice.whichplaceof paymentshallbetheofficeoftheRegistrar. Officialnoticeofredemptionhavingbeengivenasstatedabove,Bondsor portionsofBondstoberedeemedshall,ontheredemptiondate,becomedue andpayableattheredemptionpricethereinspecified,andfromandaftersuch date,suchBondsorportionsofBondsshallceasetobearinterest.Upon surrender ofsuchBondsforredemptioninaccordancewithsaidnotice,such Bondsshallbepaidattheredemptionprice.Installmentsofinterestdueonor priortotheredemptiondateshallbepayableashereinprovidedforpaymentof Interest.AllBondswhichhavebeenredeemedshallbecanceledanddestroyed bytheRegistrarandshallnotbereissued. Eachcheckorothertransferoffundsissuedtopaytheredemptionpriceof BondsshallbeartheCUSI?number,ifany,identifying,bymaturitytheBonds beingredeemedwiththeproceedsofsuchcheckorothertransfer. 213 214 215 216 217 218 219 220 221 222 223 224 225 226 227 228 229 230 231 232 233 234 235 236 237 238 239 240 241 242 243 244 245 246 247 248 Section 7: 249 250 251 252 253 254 255 256 257 258 259 260 261 262 263 264 265 266 267 268 UNITEDSTATESOFAMERICA KODIAK ISlAND BOROUGH,AlASKA NO._ GENERALOBLIGATIONSCHOOLBOND REGISTEREDOWNER: PRINCIPALAMOUNT: $,--- KodiakIsland Borough,Alaska Resolution No.FY2016-06 Page 5of11 datehereof,payableon __1,201_.and semiannually thereafter on __1, and __1,ofeachyear,attheratesperannumasfollows: ThisBondisoneoftheGeneralObligationSchoolBondsoftheKodiak IslandBorough.Alaska,ofliketenorand effect exceptastointerestrate,serial number,rightofredemptionor prepayment andmaturity,andconstitutingBonds authorizedforthepurpose of payingthecostofschoolandrelatedcapital improvementsIntheBorough,andisIssuedunderResolutionNo.FY2016-_of theBoroughentitled: ThisBondIstransferableasprovidedintheResolution,(i)onlyuponthe BondRegister of theBorough,and(ii)upon surrender ofthisBond together with awrittenInstrumentoftransferdulyexecutedbytheRegisteredOwnerorthe dulyauthorizedattorneyoftheRegisteredOwner,andthereuponanewfully registeredBondorBondsInthesameaggregateprincipal amount andmaturity shallbeissuedtothetransfereein exchange therefor asprovidedinthe i'---' Interest Rate Principal Amount Maturity Date A RESOLUTION OFTHE KODIAK ISLAND BOROUGH ASSEMBLY AUTHORIZING THE BOROUGH TOISSUE GENERAL OBLIGATION SCHOOLBONDSINTHE PRINCIPAL AMOUNT NOTTOEXCEED $10,230,000TOFINANCETHE RENEWAL AND REPLACEMENT SCHEDULE RELATED TO BOROUGH-OWNED SCHOOL FACILITIES, PROJECTSWHICHARE70%REIMBURSABLE BYTHE STATE OF ALASKA,ANDTOPAYCOSTSOF ISSUING THEBONDS,FIXING CERTAIN DETAILS OFSUCHBONDS,AUTHORIZING THEIR SALE, ANDPROVIDINGFOR RELATED MATTERS WhenandifthisBondisownedbytheAlaska Municipal BondBankora FinancialInstitution,paymentofprincipaland interest shallbemadeasprovided intheLoanAgreement between theBondBankorFinancialInstitutionandthe Borough(the"Loan Agreemenf).WhenandifthisBondisnotownedbythe BondBankoraFinancialInstitution,installments of principalofandintereston thisBondshallbepaidbycheckordraftmailedbyfirstclassmailtothe RegisteredOwnerasofthecloseofbusinessonthe15thdayofthemonth beforeeachinstallmentpaymentdate;provided.thatthefinalinstallmentof principalofandinterestonthiSBondshallbepayableuponpresentationand surrenderofthisBondbytheRegistered Owner attheofficeoftheRegistrar. Interestwillbecomputedonthebasisofa360-day year consistingoftwelve30- daymonths.Bothprincipal of andinterestonthisBondarepayableinlawful moneyoftheUnitedStatesofAmericaWhich,ontherespectivedatesof payment thereof,shallbelegaltenderforthe payment ofpublicandprivate debts. (the"Resolution"). TheBonds[InstallmentsofprincipalofthisBond]maturingonandafter __1,20_,shallbesubjecttoprepaymentonandafter __1,20_,atthe optionoftheBorough[(subjecttoanyapplicableprovisionsoftheLoan Agreement)],insuchprincipalamountsandfromsuch maturities astheBorough maydetermine,andbylotwithinamaturity,ataredemptionpriceequaltothe principalamounttobeprepaid.plusaccrued interest tothedate of prepaymenl 269 270 271 272 273 274 275 276 277 278 279 280 281 282 283 284 285 286 287 288 289 290 291 292 293 294 295 296 297 298 299 300 301 302 303 304 305 306 307 308 309 310 311 312 313 314 315 316 317 318 319 320 321 322 323 324 KodiakIslandBorough,Alaska Resolution No.FY2016-06 Page 6 0111 325 326 327 328 329 330 331 332 333 334 335 336 337 338 339 340 341 342 343 344 345 346 347 348 349 350 351 352 353 354 355 356 357 358 Section 8: 359 360 361 362 363 364 365 366 367 Section 9: 368 369 370 371 372 373 374 375 376 377 378 379 Resolutionanduponthepaymentofcharges,ifany,asthereinprescribed.The BoroughmaytreatandconsiderthepersoninwhosenamethisBondis registeredastheabsoluteownerhereofforthepurposeofreceivingpaymentof, oronaccountof,theprincipalorredemptionprice.ifany,hereofandinterestdue hereonandforallotherpurposeswhatsoever. ThisBondisageneralobligationoftheKodiakIslandBorough,andthe fullfaithamicreditoftheBorougharepledgedforthepaymentoftheprincipalof andinterestonthisBondasthesameshallbecomedue. ITISHEREBYCERTIFIEDANDRECITEDthatallconditions,actsor thingsrequiredbytheconslilutionorstatutesoftheStateofAlaskatoexist,to havehappenedortohavebeenperformedprecedenttoorintheissuanceofthis Bondexist.havehappenedandhavebeenperformed,andthattheseriesof Bondsofwhichthisisone,togetherwithallotherindebtednessoftheBorough, iswithineverydebtandotherlimitprescribedbysuchconstilutionorstatutes. INWITNESSWHEREOF,THEKODIAKISLANDBOROUGH,ALASKA, hascausedthisBondtobesignedinitsnameandonitsbehalfbythemanualor facsimilesignatureofitsMayoranditscorporateseal(orafacsimilethereof)to beimpressedorotherwisereproducedhereonandattestedbythemanualor facsimilesignatureofitsClerk,allasofthe __dayof __'2015. KODIAKISLANDBOROUGH !specimen! BoroughMayor ATTEST: !specimenl BoroughClerk Execution.TheBondsshallbeexecutedinthenameoftheBoroughbythe manualorfacsimilesignatureoftheMayor,anditscorporateseal(orafacsimile thereof)shallbeimpressedorotherwisereproducedthereonandattestedbythe manualorfacsimilesignatureoftheBoroughClerk.TheexecutionofaBondon behalfoftheBoroughbypersonswhoatthetimeoftheexecutionareduly authorizedtoholdtheproperofficesshall be validandsufficientforallpurposes, althoughanysuchpersonshallhaveceasedtoholdofficeatthetimeofdelivery oftheBondorshallnothaveheldofficeonthedateoftheBond. PaymentofPrincipaland Interest TheBondsshall be payableinlawfulmoney oftheUnitedSlatesofAmericawhichatthetimeofpaymentislegaltenderfor thepaymentofpublicandprivatedebts.WhenandiftheBondBankora FinancialInstitutionistheRegisteredOwneroftheBonds,paymentofprincipal ofandInterestontheBondsshallbemadeasprovidedintheLoanAgreement. WhenandiftheBondBankoraFinancialInstitutionisnottheRegisteredOwner oftheBonds,installmentsofprincipalofandinterestontheBondsshallbepaid bycheckmailedbyfirstclassmailtotheRegisteredOwnerasoftherecorddate fortheinstallmentpaymentattheaddressappearingontheBondRegister; provided,thatthefinalInstallmentofprincipalandinterestonaBondshallbe payableuponpresentationandsurrenderoftheBondbytheRegisteredOwner attheofficeoftheRegistrar. Kodiak Island Borough.Alaska Resolullon No.FY2016-06 Page7 of 11 380 Section 10: 381 382 383 384 385 386 387 388 389 390 391 392 393 394 Section 11: 395 396 397 398 399 400 401 402 403 404 405 406 Section 12: 407 408 409 410 411 412 413 414 415 416 417 Section 13: 418 419 420 421 422 423 424 425 426 427 Registration.TheBondsshallbeissuedonlyinregisteredformasto both principalandinterest.TheBoroughdesignatestheBoroughFinanceDirectoras RegistrarfortheBonds.TheRegistrarshallkeep,orcausetobekept,theBond RegisterattheprincipalofficeoftheBorough.TheBoroughcovenantsthat,until allBondshavebeensurrenderedandcanceled,itwillmaintainasystemfor recordingtheownershipofeachBondthatcomplieswiththeprovisionsof Section 149 oftheCode.The Borough andtheRegistrarmaytreatthepersonin whosenameanyBondshallberegisteredastheabsoluteownerofsuchBond forallpurposes,whetherornottheBondshallbeoverdue,andallpaymentsof principalofandinterestonaBondmadetotheRegisteredOwnerthereofor uponitsordershallbevalidandeffectualtosatisfyanddischargetheliability uponsuchBondtotheextentofthesumorsumssopaid,andneitherthe BoroughnortheRegistrarshallbeaffectedbyanynoticetothecontrary. TransferandExchange.BondsshallbetransferredonlyupontheBond Register.UponsurrenderfortransferorexchangeofanyBondattheofficeof theRegistrar,togetherwithawritteninstrumentoftransferorauthorizationfor exchangeinformandwithguarantyofsignaturesatisfactorytotheRegistrar, dulyexecutedbytheRegisteredOwnerorthedulyauthorizedattorneyofthe RegisteredOwner,theBoroughshallexecuteanddeliveranequalaggregate principalamountofBondsofthesamematurityofanyauthorizeddenominations, subjecttosuchreasonableregulationsastheBoroughmayprescribeandupon paymentsufficienttoreimburseitforanylax,feeorothergovernmentalcharge requiredtobepaidinconnectionwithsuchtransferorexchange.AllBonds surrenderedfortransferorexchangeshallbecanceledbytheRegistrar. BondsMutilated.DestroyedStolen,orLosl.UponsurrendertotheRegistrarof amutilatedBond,theBoroughshallexecuteanddeliveranewBondoflike maturityandprincipalamount.UponfilingwiththeRegistrarofevidence satisfactorytotheBoroughthataBondhasbeendestroyed,stolen,orlostandof theownershipthereof,anduponfurnishingtheBoroughwithindemnity satisfactorytoit,theBoroughshallexecuteanddeliveranewBondoflike maturityandprincipal amount.Thepersonrequestingtheexecutionanddelivery ofanewBondunderthissectionshallcomplywithsuchotherreasonable regulationsastheBoroughmayprescribeandshallpaysuchexpensesaslhe Borough may incurin connection therewith. DispositionoftheSaleProceedsoftheBonds.ThesaleproceedsoftheBonds representingaccruedinterestontheBondsshallbeappliedtopay a portionof theinterestdueontheBondsonthefirstinterestpaymentdatefortheBonds. ThesaleproceedsoftheBondsrepresentingoriginalissuepremiumonthe Bondsshall be appliedtopayaportionoftheinterestdueontheBondsonthe firstinterestpaymentdatefortheBonds,orCostsoftheProjects,andshall be depositedinsuchmannerastheBoroughManagerortheBoroughFinance Directormaydetermine.The remaining saleproceedsoftheBondsshall be appliedtopayCostsofthe Projects,andshallbedepositedintheappropriate fundsoraccountsoftheBoroughforsuchpurposes. ,--I Kodiak Island Borough,Alaska Resoluuon No.FY2016-06 Page 8of 11 428 Section 14: 429 430 431 432 433 434 435 436 437 438 Section 15: 439 440 441 442 443 444 445 446 447 448 449 450 451 452 453 454 455 456 457 458 459 460 461 462 463 464 465 466 467 468 469 470 471 472 473 474 475 476 477 478 479 480 481 482 TaxCovenants.TheBoroughcovenantstocomplywith any andalleppllcable requirementssetforthintheCodeineffectfromtimetotimetotheextentthat suchcomplianceshallbenecessaryfortheexclusionoftheinterestonthe Bondsfromgrossincomeforfederalincometaxpurposes.TheBorough covenantsthatitwillmakenouseoftheproceedsoftheBondswhichwillcause theBondstobe"arbitragebonds"subjecttofederalincometaxation by reasonof Section 148 oftheCode.TheBoroughcovenantsthatitwillnottakeorpermit anyactionthatwouldcausetheBondstobe"privataactivitybonds"asdefinedin Section 141 oftheCode. AmendatoryandSupplementalResolutions. (a)TheAssemblyfromtimetotimeandatanytimemayadoptaresolution orresolutionssupplementalhereto,whichresolutionorresolutionsthereafter shallbecomeapartofthisResolution,for anyone ormoreofthefollowing purposes: (1)ToaddtothecovenantsandagreementsoftheBoroughinthis Resolution,othercovenantsandagreements thereafter tobeobserved ortosurrenderanyrightorpowerhereinreservedtoorconferredupon theBorough. (2)Tomakesuch provrsrcns forthepurposeofcuringany ambiguitiesor ..ofcuring,correctingorsupplementinganydefective provisioncontainedinthisResolutionor 1n regardtomattersorquestions arisingunderthisResolutionastheAssembly may deemnecessaryor desirableandnotinconsistentwiththisResolutionandwhichshallnot adverselyaffecttheinterestsoftheRegisteredOwnersoftheBonds. Anysuchsupplementalresolullonmaybeadopted without theconsentofthe RegisteredOwnersofanyoftheBondsatanylimeoutstanding,notwithstanding anyofthe provlslons ofsubsection(b)ofthissection. (b)WiththeconsentoftheRegisteredOwnersofnotlessthan 60 percentin aggregateprincipalamountoftheBondsatthe lime outstanding,theAssembly mayadoptaresolutionorresolutionssupplementalheretoforthepurposeof addinganyprovisionstoorchanginginany manner oreliminatinganyofthe provisionsofthisResolutionorofanysupplementalresolution;provided, however,thatnosuchsupplementalresolutionshall: (1)ExtendthefixedmaturityofanyoftheBonds,orreducetherate ofinterestthereon,orextendthetimeofpaymentsofinterestfromtheir duedate,orreducetheamountoftheprincipalthereof,orreduceany premiumpayableontheredemptionthereof,withouttheconsentofthe RegisteredOwnerofeachBondsoaffected;or (2)Reduce.theaforesaidpercentageofRegisteredOwnersof Bondsrequiredtoapproveanysuchsupplementalresolutionwithoutthe consentoftheRegisteredOwnersofalloftheBondsthenoutstanding. ItshallnotbenecessaryfortheconsentoftheRegisteredOwnersoftheBonds underthissubsectiontoapprovetheparticularformofanyproposed supplementalresolution,butitshallbesufficientifsuchconsentapprovesthe substancethereof. Kodiak Island Borough,Alaska Resolution No.FY2016-06 Page9of 11 483 484 485 486 487 488 489 490 491 492 493 494 495 496 497 498 499 500 Section 16: 501 502 503 504 505 506 507 508 509 510 Section 17: 511 512 513 514 515 516 517 518 519 520 521 522 523 524 525 526 527 528 529 530 Section 18: 531 532 533 534 535 536 Section 19: 537 538 (c)Upontheadoptionof any supplementalresolutionunderthissection,this Resolutionshallbedeemedtobemodifiedandamendedinaccordance therewith,andtherespectiverights,duties,and obligations underthisResolution of theBoroughandallRegisteredOwnersof outstanding Bondsshallthereafter be SUbject inallrespectstosuchmodificationandamendment,andalltheterms andconditionsofthesupplementalresolutionshallbedeemedtobepartofthe termsandconditionsofthisResolutionforanyandallpurposes. (d)Bondsexecutedanddeliveredafterthe adoption of any supplamental resolutionunderthissectionmaybearanotationastoany matter providedforin suchsupplementalresolution,andifsuch supplemental resolutionshall 50 provide,newBondsmodified 50 astoconform,intheopinionoftheBorough,to anymodificationofthisResolutioncontainedin any suchsupplementalresolution may bepreparedbytheBoroughand delivered without costtotheRegistered OwnersofthaBondsthenoutstanding,upon surrender forcancellation of such Bondsinequalaggregateprincipalamounts. Defeasance.Intheevent money and/or non-callable Government Obligations maturingatsuchtimesandbearinginteresttobeearnedthereoninamounts sufficienttoredeemandretireanyoralloftheBondsinaccordancewiththeir termsaresetasideinaspecialtrust account toeffectsuchredemptionor retirementandsuchmoneysandtheprincipalofandinterestonsuch Government Obligations are irrevocably setasideandpledgedforsuchpurpose. thenno further paymentsneedbemadeto payor secure thepaymentofthe principalofandinterestonsuchBondsandsuchBondsshallbedeemednotto beoutstanding. Sale of Bonds.TheBondsshallbesoldat negotiated saletotheBondBankora FinancialInstitutionasprovidedintheform of Loan Agreement oratpublicsale astheBoroughManagerandFinanceDirector determine isinthebestinterestof theBorough.SubjecttothelimitationsprovidedinSections 2 and 4,eachofthe BoroughManagerandtheBoroughFinance Director is hereby authorizedto determinetheaggregateprincipalamount,maturityamounts,interestrates, yields,dateddate,principalandinterestpaymentdates,redemptionterms,if any,fortheBonds,andotherdetailsoftheBonds;providedthatthetrueinterest costoftheBonds,expressedasanannualrate,doesnotexceed 6.0 percent.In determiningthematurityamounts,Interestrates,yields,andredemptionterms,if any,fortheBonds,theBoroughManagerorBoroughFinanceDirectorshalltake into account thosefactorswhich,inthejUdgmentofeach,willresultinthelowest trueinterestcostontheBondstotheirmaturity,Includingwithoutlimitation currentfinancial market conditionsand current interest ratesforobligations comparableintenorandqualitytotheBonds.Basedupontheforegoing determinations,theBorough Manager andtheBoroughFinanceDirectoreachis authorizedtoexecutetheLoanAgreement,in substantially theformpresentedat thismeeting,ortoselltheBondsat pubuc saleastheydeemappropriateand costeffectiveto,andinthebestinterestof,theBorough. AuthorityofOfficers.TheMayor,theBorough Manager,theBoroughFinance Director,andtheBoroughClerkeachisauthorizedanddirectedtodoand performallthingsanddetermineallmattersnot determined bythisResolution,to theendthattheBoroughmaycarryoutitsobligations under theBondsandthis Resolution. ProhibitedSaleofBonds.Noperson,firm,or corporation,oranyagentor employeethereof,actingasfinancial consultant totheBoroughunderan agreement forpaymentinconnectionwiththesaleoftheBondsiseligibleto KodiakIslandBorough,Alaska Resolution No.FY201f3.06 Page10 of 11 539 540 541 542 543 544 545 546 547 548 549 550 551 552 553 554 555 556 557 558 559 560 561 562 563 564 565 566 567 568 569 570 571 572 573 574 575 576 577 578 579 580 581 582 583 584 585 586 587 588 589 purchasetheBondsasamemberoftheoriginalunderwritingsyndicateeitherat publicorprivatesale. Secllon 20:OngoingDisclosure.TheBoroughacknowledgesthatunderRule15c2-12ofthe SecuritiesandExchangeCommission(the "Rule')theBorough may noworin thefuturebean ·obligated person."InaccordancewiththeRule,andasthe BondBankoraFinancialInstitutionmayrequire,theBoroughshallundertaketo providecertainannualfinancialinformationandoperatingdataasshallbeset forthintheLoan Agreement Section 21:Miscellaneous. (a)AllpaymentsmadebytheBoroughof,oronaccountof,theprincipalof orinterestontheBondsshallbemadeontheseveralBondsratablyandin proportiontotheamountduethereon,respectively,forprincipalorInterestasthe case may be. (b)Norecourseshallbehadforthepaymentoftheprincipaloforthe interestontheBondsorforanyclaimbasedthereonoronthisResolution againstanymemberoftheAssemblyorofficeroftheBoroughoranyperson executingtheBonds.TheBondsarenotandshallnotbeinanywayadebtor liabilityoftheStateofAlaskaorofanypoliticalsubdivisionthereof,exceptthe Borough,anddonotandshallnotcreateorconstituteanindebtednessor obligation,eitherlegal,moral,orotherwise,ofsuchslateorofanypolitical subdivisionthereof,excepttheBorough. Section 22:Severability.If anyone ormoreoftheprovisions of thisResolutionshallbe declaredbyanycourtofcompetentjurisdictiontobecontrarytolaw,thensuch provisionshallbenullandvoidandshallbedeemedseparablefromthe remainingprovisionsofthisResolutionandshallinnowayaffectthevalidityof theotherprovisionsofthisResolutionoroftheBonds. Section 23:EffectiveDate.ThisResolutionshallbecomeeffectiveuponpassageand approval. ADOPTEDBYTHE ASSEMBLY OFTHE KODIAK ISLAND BOROUGH THISTWENTIETHDAYOFAUGUST,2015 KODIAK ISLAND BOROUGH 0/1. KodiakIsland Borough.Alaska Resolution No.FY2016-06 Page 11 of11 TAX EXEMPTION AND NONARBITRAGE CERTIFICATE CONCERNING KODIAK ISLAND BOROUGH,ALASKA $6,210,000 GENERAL OBLIGATION SCHOOL BOND,2015A AND $1,780,000 GENERAL OBLIGATION SCHOOL BOND,2015B I,KarletonShort,onbehalfofKodiakIslandBorough,Alaska(the"Borough"), certifyasfollows: 1.General. 1.1ResponsibleOfficer.IamtheFinanceDirectoroftheBoroughand,as such,amanofficeroftheBoroughresponsibleforissuingtheBorough's$6,210,000par valueGeneralObligationSchoolBond,2015A(the"2015ABond")and$1,780,000par valueGeneralObligationSchoolBond,2015B(the"2015BBond"andtogetherwiththe 2015ABond,the"2015Bonds"),dated,deliveredandpaidforonthesamedateasthe dateofthiscertificate(the"issuedate").PursuanttotheprovisionsofTreasury RegulationsSection1.150-1(c)(4)(iii),theBoroughelectstotreatthe2015ABondand the2015BBondaspartofthesameissuebecauseallofthe2015Bondsaresecured byapledgeofthefullfaithandcreditoftheBorough,andallofthe2015Bondswere soldandarebeingissuedonthesamedateandpursuanttoasingleofferingdocument, namelythePreliminaryOfficialStatementfortheBondBankBonds(definedherein) dated August 18,2015,andtheOfficialStatementfortheBondBankBondsdated August26,2015. 1.2PurposeofCertificate.Thiscertificateisexecutedtoestablishthefacts, estimatesandcircumstancesinexistenceontheissuedateandthe bonafide reasonableexpectationsoftheBoroughontheissuedateastofutureeventsin connectionwiththe2015Bondsforthepurposesoftheapplicableprovisionsofthe InternalRevenueCodeof1986,asamended(the"Code"),andapplicableTreasury RegulationsunderSections103,141 and148-150oftheCode. 1.3ReasonableBasisforExpectations.Tothebestofmyknowledge, informationandbelief,thiscertificateaccurately summarizes thefacts,estimatesand circumstances inexistenceontheissuedate,andthe expectations oftheBoroughon theissuedateaboutfutureeventsinconnectionwiththe2015Bondsarereasonable. 1.4DefinedTerms.Capitalizedwordsusedbutnot otherwise definedinthis certificatehavethemeaningsetforthinResolutionNo.FY2016-05oftheBorough authorizingthe2015ABondandResolutionNo.FY2016-06authorizingthe2015BBond (together,the"BondResolutions"). -1- 51466369,2 2.PurposeofIssuingthe2015Bonds. 2.1 Governmental Purpose.TheBoroughisalocal government unitofthe StateofAlaska.The2015BondsarebeingissuedbytheBoroughtotheAlaska MunicipalBondBank(the"BondBank")toevidencetheobligationoftheBoroughto repaytwoloansmadebytheBondBanktotheBoroughfromtheportionofthe proceedsoftheBondBank'sGeneralObligationBonds,2015SeriesThree,allocableto theBorough(the"BondBankBonds").TheBondBankisloaningtheproceedsofthe BondBankBondstotheBoroughpursuanttoaloan agreement (the"Loan Agreement").PursuanttoTreasuryRegulationsSection1.150-1(d)(2)(ii)(B),the BoroughistreatedastheobligorontheBondBankBonds. (a)2015ABond.The2015ABondisbeingissuedforthepurposeof providingthefundsnecessarytofinancepartofthecostsofplanning,designing,and constructingschoolandrelatedcapitalimprovementsintheBorough,includingwithout limitation,thereconstructionandrenovationofKodiakHighSchool,referredtothe regularBoroughelectionheldonOctober6,2009,asPropositionNo.1(the"2015A Improvements")andtopaycostsofissuance,asprovidedbytheBondResolutions. (b)2015BBond.The2015BBondisbeingissuedforthepurposeof providingthefunds necessary tofinancetherenewaland replacement schedulerelated toBorough-ownedschoolfacilitiesincludinq without limitation,thoseprojectslistedin ResolutionNo.FY2016-06,referredtotheregularBoroughelectionheldonOctober7, 2014,asProposition1(the"2015BImprovements,"and together withthe2015A Improvements,the"Improvements"). 2.2No Impermissible PrivateBusinessUse.Nomorethan10%($906,282)of theproceedsofthe2015Bonds(orofacorrespondingportionofthe Improvements)will beusedforanyprivatebusinessuse.Nomorethan5%($453,141)oftheproceedsof the2015Bonds(orofacorrespondingportionofthe Improvements)willbeusedeither foranyprivatebusinessusethatisunrelatedtothe governmental purposeofthe2015 Bondsorforanyprivatebusinessusethatisrelatedtoa governmental purposeofthe 2015Bondsbutexceedsthe amount ofproceedsofthe2015Bondsthatareexpected tobeusedforthatgovernmentalpurpose.Nomorethan5%oftheproceedsofthe 2015Bondswillbeuseddirectlyorindirectlytomakeorfinanceloanstoanyperson otherthana governmental unit,exceptaloan,ifany,whichenablestheborrowerto financea governmental taxor assessment ofgeneralapplicationforaspecificessential governmental function,orthatconstitutesanonpurpose investment withinthemeaning ofSection148oftheCode. 3.Sourceand Disbursement ofProceeds. 3.1 Purchaser andPurchasePriceofthe2015Bonds.TheBoroughhas enteredintotheLoan Agreement withtheBondBanktosecure payment ofthesumof $9,037,609.41(the"LoanAmount").PursuanttotheLoan Agreement theBondBank willissuetheBondBankBondsatapriceequaltotheLoanAmount,plusanoriginal -2- 51466369.2 issuepremiumontheBondBankBondsof $1,072,818.00,lessanunderwriter's discount ontheBondBankBondsof$25,208.59. 3.2FundsIntoWhichProceedsFromtheIssuanceandSaleofthe2015 BondsandtheBondBankBondsWillBeDeposited.The proceeds receivedbythe Boroughfromtheissuanceandsaleofthe2015Bondswillbeusedandappliedas follows:(a)$36,000.00willbeusedtopaycostsofissuanceofthe2015Bonds; (b)$1,609.41representingthecontingency account (an amount lessthan1%ofthe saleproceedsofthe2015Bonds)willbedepositedinan amount usedprimarilyto achieveapropermatchingofrevenuesoftheBoroughwithprincipalandinterest paymentsonthe2015Bonds(the"BondFund")andusedtopay interest onthe2015 BondsonApril1,2016;and(c)$9,000,000willbedepositedinafundestablishedby theBoroughtopaycostsoftheImprovements(the"ProjectFund")andusedtocarry outtheImprovements. 3.3Costofthe2015AImprovements.Thecostofthe 2015A Improvements is estimatedtobe$76,310,000,whichcostwillbepaidfromthe proceeds oftheissuance andsaleofthe2015ABond,reasonablyexpected investment earningstherefrominthe amountof$7,763,proceedsoftheBorough'sGeneralObligationSchoolBond,2011 SeriesAintheprincipalamountof$8,000,000,GeneralObligationSchoolBond,Series 2013intheprincipalamountof21,595,000,GeneralObligationSchoolBond,2014in theprincipalamountof$22,660,000,grantfundinginthe amount of$7,000,000,and othermoneyoftheBoroughlegallyavailabletobeusedtherefor.Thenetamount receivedbytheBoroughasaresultofthesaleofthe2015ABond,afterpaymentofall expensesofissuing,sellinganddeliveringthe2015ABondandtheBondBankBonds, isnotexpectedtoexceedtheamountnecessarytopaythecostsofthe2015A Improvements. 3.4Costofthe2015BImprovements.Thecostofthe2015BImprovementsis estimatedtobe$10,230,000,whichcostwillbepaidfromtheproceedsoftheissuance andsaleofthe2015BBond,reasonablyexpected investment earnings therefrominthe amountof$4,450,andothermoneyoftheBoroughlegally available tobeusedtherefor. Thenet amount receivedbytheBoroughasaresultofthesaleofthe2015BBond, afterpaymentofallexpensesofissuing,sellinganddeliveringthe2015BBondandthe BondBankBonds,isnotexpectedtoexceedthe amount necessary topaythecostsof the2015BImprovements. 4.ConstructionSchedulefortheImprovements. 4.1 Commencement andProsecutionofConstructionoftheImprovements. Constructionofthe Improvements hasalreadycommenced,andtheBoroughhas enteredintoacontractorotherwiseincurredasubstantialbindingobligationtoward commencement ofthe Improvements involvinganamountequaltoatleast5%ofthe saleproceedsofthe2015Bonds,orwillhaveenteredintosuchacontractorother substantialbindingobligationwithinsixmonthsaftertheissuedateofthe2015Bonds. Workonthe Improvements and expenditure ofthesaleproceedsofthe2015Bondsare expectedtoproceedwithduediligencetocompletion. -3- 51466369.2 4.2CompletionoftheImprovements.Itisexpectedthatatleast85%ofthe saleproceedsofthe2015Bondswillbespentforthe Improvements by September 16, 2018,thedatethatisthreeyearsaftertheissuedateofthe2015Bonds.Theexpected scheduleforexpenditureof2015BondsproceedsisattachedasExhibit A. 4.3NoSaleofImprovementsExpected.The Improvements arenotexpected tobesoldorotherwisedisposedofinwholeorinpartpriortomaturityofthe2015 Bondsotherthantodisposeofanyportionofthe Improvements thatbecomes inadequate,obsolete,wornout,unfitornolongernecessaryorusefultotheoperation oftheImprovements. 5.Paymentof2015Bonds. 5.1DebtServiceStructure-2015ABond.The 2015A Bondisageneral obligationbondoftheBorough.The2015ABondmaturesonOctober1,2036. Principalofthe2015ABondispayableannuallyin installments on October 1ofeach yearfrom2016to2036,inclusive.Interestonthe2015ABondispayablesemiannually oneachApril1andOctober1,commencingonApril1,2016.Theprincipalinstallments onthe2015BondsdueonorbeforeOctober1,2024,arenotsubjecttoprepayment. Theprincipalinstallmentsonthe2015ABonddueonorafter October 1,2025,are subjecttoprepaymentinwholeorinpartattheoptionoftheBoroughonanydateonor afterApril1,2025,atapriceof100%oftheamount thereof tobeprepaidplusaccrued interesttothedateofprepayment. 5.2DebtServiceStructure-2015BBond.The2015BBondisageneral obligationbondoftheBorough.The2015BBondmaturesonOctober1,2025. Principalofthe2015BBondispayableannuallyin installments on October 1ofeach yearfrom2016to2025,inclusive.Interestonthe2015BBondispayable semiannually oneachApril1and October 1,commencingonApril 1,2016.Theprincipalinstallments onthe2015BondsdueonorbeforeOctober1,2024,arenotsubjecttoprepayment. Theprincipal installment onthe2015BBonddueon October 1,2025,issubjectto prepaymentinwholeorinpartattheoptionoftheBoroughonanydateonorafter April1,2025,atapriceof100%oftheamount thereof tobeprepaidplusaccrued interesttothedateofprepayment. 5.3SourceofPayment.The2015Bondsarepayablefromtheproceedsof taxesleviedagainstallofthetaxablepropertylocatedwithintheBoroughandother fundsavailabletherefor.Thosefundsthatareexpectedtobeusedtopayprincipalofor interestonthe2015BondswillbedepositedintheBondFundandusedwithin13 monthsoftheirdepositinthatfundforpaymentofprincipaloforinterestonthe2015 Bonds.TheBondFundwillbeusedprimarilytoachieveapropermatchingoftax revenuesoftheBoroughanddebtserviceonthe2015Bondswithineachbondyear.It isexpectedthattheBondFundwillbedepletedatleastonceayear(oneach October1),exceptforareasonablecarryover amount notexpectedtoexceedthe greaterofoneyear'searningsonthatfundor1/12oftheannualdebtserviceonthe 2015Bonds. -4- 51466369.2 5.4 Absence ofOtherSinkingFunds.ExceptfortheBondFund,theBorough hasnotcreatedorestablishedanddoesnotexpecttocreateorestablishanyreserve fund,sinkingfundorother similar fundthatisreasonablyexpectedtobeuseddirectlyor indirectlytopaydebtserviceonthe2015Bondsoranypledgedfundwithrespectto whichthereisreasonable assurance thatmoneywillbeavailableinthatfundtopay debtserviceonthe2015BondseveniftheBoroughwereto encounter financial difficulties. 6.RestrictionsonInvestingProceedsofthe2015BondsinHigherYielding Investments. 6.1CalculationofYieldon2015Bonds.Forpurposesofthiscertificate,the yieldonthe2015BondsisdeemedtobeequaltotheyieldontheBondBankBonds. TheyieldontheBondBankBondshasbeencalculatedastheyieldthatwhenusedin computingthepresentworthofallpaymentsofprincipalofand interest ontheBond BankBonds,producesan amount equaltotheissuepriceoftheBondBankBonds. The"issueprice"oftheBondBankBondsistheinitialofferingpriceoftheBondBank Bonds(includingoriginalissuediscountorpremium,ifany)atwhichasubstantial amount(atleast10%)ofeachmaturityoftheBondBankBondshasbeensoldtothe public(notincludingbondhouses,brokersorother intermediaries).Theyieldonthe BondBankBondshasbeencalculatedtobe3.698396%.Such determination asto yieldhasbeenmadebyWesternFinancialGroup,LLC,attachedheretoasExhibitB, basedon representations madebyRBCCapitalMarkets,LLC,underwriter oftheBond BankBonds,attachedheretoasExhibitC.Indeterminingthisyield,noadjustments weremadefor underwriter's discount orothercostsofissuanceofthe2015Bonds. However,pursuanttothespecialyieldcalculationruleprovidedbyTreasury RegulationsSection1.148-4(b)(3)(ii)(B),forthepurposesofdeterminingtheyieldonthe BondBankBonds,theBondBankBondsduein2025through2036,inclusive,were treatedasredeemedonApril1,2025,becausesuchredemptionswouldproducethe lowestyieldontheBondBankBonds. 6.2Restrictionson Investment ofProceedsinHigherYieldingInvestments. (c)ConstructionFund.TheproceedsoftheBondBankBondsloaned totheBoroughpursuanttotheLoanAgreementandthe2015Bondsandusedtocarry outthe Improvements willbedepositedintheaccountoftheBoroughallocatedto payingcostsofthe Improvements (the"ConstructionFund")andmaybeinvestedin higheryielding investments fora temporary periodnotexceedingthreeyearsfromthe issuedateofthe2015Bonds. (d)ProceedsUsedforCostsofIssuance.Proceedsofthe2015Bonds tobeusedtopaycostsofissuanceoftheBondBankBondsareexpectedtobespent forthatpurposeontheissuedateandnotinvested. (e)BondFund.Proceedsofthe2015Bondsrepresentingthe contingencyamountsdepositedintheBondFundandotheramountstreatedas replacementproceedsofthe2015BondsbecausetheyareheldintheBondFundmay -5- 51466369.2 beinvestedinhigheryieldinginvestmentsfora temporary periodnotexceeding13 monthsfromthedateoftheirdepositintheBondFund. (f)InvestmentEarnings.Investmentproceedsofthe2015Bondsfor whichnoother temporary periodisavailablemaybeinvestedinhigheryielding investmentsfora temporary periodofoneyearfromthedateofreceiptofthose investmentearnings. (g)RestrictedYieldInvestments.Proceeds(andamountstreatedas replacementproceeds)ofthe2015Bondsthatmaynotbeinvestedinhigheryielding investmentswillbeinvestedonlyin(i)obligationspurchasedatfairmarketvaluein bonafide,arm's-length transactionsinanestablishedmarketforthoseobligationsand havingyieldsnotmateriallyhigherthantheyieldonthe2015Bondswhencalculated usingthesame frequency intervalofcompounding interest asusedforthe2015Bonds, (ii)obligationstheinterestonwhichisexcludedfromgrossincomeunderSection103of theCodethatarenotprivateactivitybondsunderSection141oftheCode(or obligationstreatedastax-exemptobligationsunderSection103oftheCode,e.g., obligationsissuedbycertainqualifiedregulatedinvestment companies thatinvest,to theextentpracticable,alloftheirassetsin tax-exempt governmental bondsandmeet certainotherconditions),andDemandDepositSecuritiesissuedbytheUnitedStates TreasurypursuanttotheStateandLocal Government Seriesprogram,or(iii)other UnitedStatesTreasury Obligations-State andLocal Government Serieshavingyields notmateriallyhigherthantheyieldonthe2015Bonds. 7.Compliance WithArbitrageRebateRequirement. TheBondBankBondsaresubjecttotherebate requirement imposedbySection 148(f)oftheCode.BecauseproceedsoftheBondBankBondsusedpursuanttothe Loan Agreement toacquirethe2015BondsfromtheBorougharenottreatedasspent untilthoseproceedsareusedtocarryouttheImprovements,thoseproceedscontinue tobetreatedasproceedsoftheBondBankBondsuntilspentforthatpurpose,andthe Borough,onbehalfoftheBondBank,inthemannerandtotheextentrequiredbythat Section,willcalculateandrebatetotheUnitedStatesany investment earningsongross proceedsoftheBondBankBondsandthe2015Bonds,plusanyincomeattributableto suchexcessearnings.InvestmentearningsonamountsheldintheBondFundwillnot betakenintoaccountforthispurposeatanytime,evenifthe amount earnedis $100,000ormoreina2015Bondsyear,becausethe2015Bondsbearinterestatfixed rates(i.e.,ratesthatdonotvaryduringthetermofthe2015Bonds)andhavean averagematurityofatleast5years.IftheBoroughforanyreasonfailstocomplywith therebaterequirementtotheextentapplicabletotheBondBankBondsandthe2015 Bonds,theBorough,totheextentpermittedandrequiredbySection148(f)(7)ofthe Code,willpayanypenaltythatmaybenecessarytopreservethetaxexemptionfor interestonthe2015Bonds. -6- 51466369.2 8.2015BondsMeetsOtherArbitrageRequirements. 8.1 NoOtherGovernmentalObligationsPartofThisIssue.Thereareno otherobligationsoftheBoroughthatarebeingsoldat substantially thesametime(less than15daysapart)asthe2015Bondspursuanttothesameplanoffinancingandthat arereasonablyexpectedtobepaidfrom substantially thesamesourceoffunds. 8.2No Replacement ofFundsInvestedinHigherYieldingInvestments.No portionoftheproceedsofthe2015Bondswillbeused directly orindirectlytoreplace fundsoftheBoroughinvestedinhigheryieldinginvestments. 8.3NoAbusiveArbitrageDevice.Theprimary,bonafide governmental purposesofissuingthe2015BondsaretofinancethecostsoftheImprovements.No actionisbeingtakenorwillbetakeninconnectionwiththeissuanceofthe2015Bonds thathastheeffectof(i)enablingtheBoroughtoexploitthe difference between tax-exempt andtaxableinterestratestoobtainamaterialfinancialadvantageby investinganyportionofthegrossproceedsofthe2015Bondsoveranyperiodoftime, and(ii)overburdeningthe tax-exempt bondmarketasaresultofissuingthe2015 Bondsinahigheramount,issuingthe2015Bondsearlier,orallowingthe2015Bonds toremainoutstandinglongerthanisotherwisereasonably necessary tofinancethe Improvements. 8.4NoIntentToEarnImpermissibleArbitrageProfit.TheBoroughwillnot takeanyintentionalactiontoearnany impermissible arbitrageprofitfromthe investmentofgrossproceedsofthe2015Bonds. 9.2015BondsMeetsOtherRequirementsforTaxExemption. 9.1 2015BondsInRegisteredForm.The2015Bondsareissuedonlyin registeredform. 9.2NoFederalGuaranty.ExceptasotherwisepermittedbytheCode, paymentoftheprincipaloforinterestonthe2015Bondsisnot guaranteed inwholeor inpartbytheUnitedStatesoranyagencyor instrumentality thereof. 9.3InformationReturnToBeFiled.TheBoroughwillcauseaForm8038-G InformationReturnrespectingthe2015BondstobetimelyfiledwiththeInternal RevenueService. 9.42015BondsNotHedgeBonds.TheBoroughreasonablyexpectsthat(i) atleast85%ofthespendableproceedsofthe2015Bondswillbeusedtocarryoutthe governmentalpurposesofthe2015Bondswithinthe three-year periodbeginningonthe issuedate,and(ii)notmorethan50%oftheproceedsofthe2015Bondswillbe investedinnonpurposeinvestmentshavinga substantially guaranteed yieldfor4years ormore. -7- 51466369.2 9.5 Post-Issuance Compliance Procedures.TheBoroughhaspreviously establishedwritten procedures,attachedasExhibitD,to(i)ensure thatanyportionof the2015Bondsthat becomes nonqualified isremediatedin accordance withthe requirements under Treasury Regulations Section1.141-12and(ii)monitor the requirements ofSections141and148oftheCodeaftertheissuedate. 10.2015BondsTax Exempt andNot Arbitrage Bonds. TheBoroughexpectsthatbondcounseltotheBoroughwillrelyuponthe foregoingfacts,estimates and circumstances in existence ontheissuedateandthe reasonable expectations oftheBoroughastofutureeventsrespectingthe2015Bonds toenablethemtoconcludethatitisnotexpectedthat proceeds ofthe2015Bondswill beusedinany manner thatwouldcausethe2015Bondstobe arbitrage bondsandto providetheiropinionthatthe2015Bondsare governmental obligations theintereston whichisexcludedfromgrossincomeforfederalincometax purposes under Section 103oftheCode. DATED September 16,2015. KODIAKISLANDBOROUGH,ALASKA By 1{~Ji,J:_ KarletonShort,Finance Director ExhibitA-DrawDownSchedule ExhibitB-Certificate ofWesternFinancialGroup,LLC ExhibitC-Certificate ofRBCCapitalMarkets,LLC ExhibitD-Post-Issuance Compliance Procedures for Tax-Exempt Bonds -8- 51466369.2 KHS Monthly Construction Cost $6,500,000.00 $6,000,000.00 $5,500,000.00 $5,000,000.00 $4,500,000.00 $4,000,000.00 $3,500,000.00 $3,000,000.00 $2,500,000.00 $2,000,000.00 $1,500,000.00 $1,000,000.00 $500,000.00 $- ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~>~~~~~~~~~~~~~~~~~pp~~>~>~~~~~~,;:.e ~....<;e e e e ,','0'~,'b""',;:.e ~....<;e e e e ,','0'~,'b""',;:.e ~....<;e e e e ,'~~$~#~~#~~~~~~$~~~~~~~~~~~$~#~~#~~&~&~~~~~~~&~~~~~&~&~e.,e~~o 'Ve '<e.,e~~o 'Ve '<e.,e~~o 'Ve 9/15/2015 $3,500,000 KIB Renewal and Replacement Projects Anticipated CashFlow $3,150,612 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $- 'is ....~~'is t;'~~'is t;'~~'is ""~'V '"""....,r$"'"""....,r$"'"""~'~~'~~~,,~~~~~~-. ~~~~~~~~~~~~~'V 9/15/2015 CERTIFICATE OFTHE FINANCIAL ADVISOR I,LAWRENCEW.PIERCE,asfinancialadvisorfortheAlaskaMunicipalBond Bank(the"Bank")herebycertifywithrespecttotheBank'sGeneralObligationBonds, 2015SeriesThree(the"Bonds"),asfollows: 1.Ihavenoreasontobelievethatthefinancialinformationfoundin AppendixDofthePreliminaryOfficialStatementdatedAugust19,2015,andthefinal OfficialStatementdated August 26,2015,relatingtotheBondscontainsanuntrue statementofmaterialfactoromitstostateamaterialfactnecessarytomakethe statementstherein,inlight of thecircumstanceunderwhichtheyweremade,not misleadinginanymaterialrespects. 2.PaymentoftheBondsissecuredbyareservefund;basedonmy calculations(andaffirmedbytheTrustee)Ihavedeterminedthereservefund requirementtobe$58,705,591.41asofthedatehereof.Theamountofthereserve fundrequirementisareasonableamounttofacilitatemarketingoftheBondsatthe mostfavorableinterestratesavailable. 3.IhavecomputedtheyieldontheBondstobenotlessthan3.6984% basedontherepresentationsmadetotheBankbyRBCCapitalMarkets,'LLC,on behalfofitselfandasrepresentativeoftheunderwritersnamedinthebondpurchase contractdatedAugust 26,2015,astotheofferingpricesatwhichatleast10%ofeach maturityoftheBondsweresold,orreasonablyexpectedtobesold.Forpurposesof thiscertificate,theterm"yield"meansthatyieldwhichiscomputedasdescribedin Section1.148-4ofthe Treasury Regulations. 4.IhavecomputedtheweightedaveragematurityoftheBondstobe 17.7084years.TheweightedaveragematurityoftheBondsisthesumoftheproducts oftheissuepriceandtheparamountofeachgroupofidenticalbondsandthenumber ofyearstomaturity(determinedseparatelyforeachgroupofidenticalbondsandtaking intoaccountmandatoryredemption,ifany)dividedbytheaggregatesaleproceedsof theBonds. DATEDthis16thdayofSeptember2015. WESTERNFINANCIALGROUP,LLC ~-LAWREN~=-=E::----- UNDERWRITER REPRESENTATIONS AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree ThiscertificateisbeingdeliveredbyRBCCapitalMarkets,LLC,onbehalfofitself andasrepresentativeoftheunderwritersnamedinthebondpurchasecontractdated August 26,2015(the"Underwriter")inconnectionwiththeissuancebytheAlaska MunicipalBondBank(the"BondBank")oftheBondBank'sGeneralObligationBonds, 2015SeriesThree(the"Bonds"). Eachcapitalizedtermusedherein,butnotdefinedherein,shallhavethe meaningspecifiedforsuchtermintheFederalTaxCertificate,datedthedatehereof, andrelatingtotheBonds. 1.Theundersignedisauthorizedtoexecutethiscertificateonbehalfofthe Underwriter,whichcertificationsarenotnecessarilybasedonpersonalknowledge,but mayinsteadbebasedoneitherdueinquirydeemedadequatebytheundersignedor institutional knowledge(orboth)regardingthematterssetforthherein. 2.TheUnderwriterhasmadeabonafidepublicofferingoftheBondsatthe prices(orthepricescorrespondingtotheyields)setforthontheinsidecoverofthe OfficialStatement.OnthesaledateoftheBonds(August26,2015),atleast10%of eachmaturityoftheBonds,exceptassetforthinthefollowingparagraph,weresoldto thepublicatinitialofferingpricesnotgreaterthantherespectivepricescorresponding totheyieldsshownontheinsidecoveroftheOfficialStatement. InthecaseoftheBondsmaturingonOctober1,intheyears2016,2019,2024, 2025and2026,theUnderwriterherebyrepresentsthattheactualsalespriceofsuch BondsisconsistentwiththeUnderwriter'sreasonableexpectationsthatatleast10%of theBondsofthatmaturitywouldbesoldattherespectiveinitialofferingpriceasshown ontheinsidecoveroftheOfficialStatement. Theterm"public,"asusedherein,doesnotincludebondhouses,brokers, dealers,andsimilarpersonsororganizationsactinginthecapacityofunderwritersor wholesalers. 3.TheamountoftheReserveFundRequirement(asdefinedinthe2005 GeneralBondResolution,asamended)isareasonableamounttofacilitatemarketing oftheBondsatthemostfavorableinterestratesavailable. 4.ThestatementscontainedintheOfficialStatementundertheheading "Underwriting"aretrueandcorrectinallmaterialrespects. 5.Theserepresentationsareprovidedto(i)Wohlforth,Brecht&Cartledge ("Wohlforth")andtheAlaskaMunicipalBondBanktoprovidethemwithinformation concerningtheBonds;(ii)Wohlforthtoprovidethemwithinformationconcerningthe municipalbondoftheUniversityofAlaska;(iii)K&LGatesLLPtoprovidethemwith informationconcerningthemunicipalbondoftheHainesBorough;and(iv)Foster PepperPLLCandLevesqueLawGroupLLCtoprovidethemwithinformation concerningthemunicipalbondsoftheCityofKingCoveandtheKodiakIsland Borough,forpurposesofformulatingtheiropinionswithrespecttosuchmunicipal bonds;andarenottobeusedorrelieduponbyanyotherperson.TheUnderwriter expressesnoviewregardingthelegalsufficiencyorthecorrectnessofanylegal interpretation madebybondcounsel,nothinghereinrepresentsourinterpretationofany laws,andinparticular,regulationsundertheCode,andtheUnderwriterexpressesno viewregardingthelegalsufficiencyofanyrepresentationsmadeherein. DATEDthis16thdayof September 2015. RBCCAPITALMARKETS,LLC BybC\~ AuthorizedSItory AMBB/General ObligationBonds,2015SeriesThree Underwriter Representations 1:\Docs\37 421742\Underwriter Representations.Docx Page2 POST-ISSUANCE COMPLIANCE PROCEDURES FOR TAX-EXEMPT BONDS KodiakIslandBorough,Alaska(the "Borough")issues governmental tax-exempt bondssubject toongoingcomplianceobligationsthatmustbemetto preserve the tax-exempt status of the bonds.Inadditiontoloss of tax-exemption,adverse consequences canresultfromfailureto complywithInternalRevenueService(IRS)restrictions relatingtoarbitrage,timinganduse of bondproceeds,andotheraspects of abondissue.However,issuersthat discover noncompliance asaresult of theadoptionandadherencetoawritten post-issuance compliance policyare eligiblefor significantly morefavorable treatment whenremediatingthe noncompliance through the IRS's VoluntaryClosingAgreementProgram.Accordingly,the Borough hasadoptedthese procedurestoassistinidentifyingandcorrecting noncompliance inatimelymanner. Responsibility for Maintaining Compliance TheAssembly of Boroughhastheoverall,final responsibility for monitoring whetherthe Boroughisincompliancewith post-issuance federaltax requirements forits tax-exempt bonds. However,theAssemblyhasdelegatedtotheFinance Director the primary operating responsibility for implementing and monitoring compliancewiththispolicydocument.The Finance Director shouldconsultwithbondcounselwhentherearequestionsorconcernsabout theapplication of applicablefederallawtoa tax-exempt bondfinancingora post-issuance tax complianceissue. Expenditures of Tax-Exempt Bond Proceeds Foreachprojectfinancedinwholeorpartwith tax-exempt bondproceeds,theFinanceDirector willmonitortheexpenditure of both tax-exempt bondproceedsandfundsthatarenotproceeds of tax-exempt bondsandwilltrackallocations of tax-exempt bond proceeds andfundsthatare notproceeds of tax-exemptbondstoprojectexpenditures.For expenditures of tax-exemptbond proceeds,theFinance Director willrecordthedate,purpose,property financedandvendor associatedwitheachexpenditure of bondproceedsandidentifywhich expenditures areforthe purpose of reimbursing theBoroughforpriorexpenditures. Use of Property Financedwith Tax-Exempt BondProceeds Foreachissue of tax-exempt bonds,theFinance Director will monitor theuse of property financedwith tax-exempt bondproceedsfortheterm of thebondissueandfortheterm of any bondsissuedtorefundtheoriginalissueorissuedtorefundanissuethatrefundedtheoriginal issue.TheFinance Director will monitor suchusenolessfrequentlythanonceayear. ArbitrageYield Restriction andRebate Foreachissue of tax-exempt bonds,theFinanceDirectorwill monitor theinterestearnedon investment of tax-exempt bondproceedsonanannualbasisandwillcausearbitragerebate calculationstobemadeasrequiredbyapplicablefederallaw.If necessary,theFinanceDirector alsowillcausetheappropriatefederalarbitragetaxreturnstobe prepared andtimelyfiledwith theIRStogetherwithanyrebateamountowed. 1 51352843.1 Identification of Potential Violations If atanytimeduringtheterm of anissue of tax-exempt bonds,the Borough discoversthata violation of federaltax requirements applicabletothatissuemayhaveoccurred,theFinance Directorwillconsultwithbondcounseltodeterminewhetheranysuch violation actuallyhas occurredand,if so,takepromptactionto accomplish anavailableremedialactionunder applicableIRS regulations orenterintoaclosingagreementwiththeIRSunderthe Voluntary Closing Agreement ProgramdescribedunderNotice2008-31orotherfuture published guidance. Record Retention Recordsrelatingto tax-exempt bondsmustbemaintainedas required bytheState Auditor's Office.However,notwithstanding therecordretention requirements setforthbytheState Auditor's Office,recordsrelatingto tax-exempt bondsmustbe maintained fortheterm of the bondissueplusthreeyears,or,inthecase of anissuerefundedbyoneormore subsequent bond issues,forthe combined term of theissuesplusthreeyears. Training It isthepolicy of BoroughthattheFinance Director andhisorherstaff,aswellastheprincipal operatingofficials of thosedepartments of theBoroughforwhich property isfinancedwith tax-exempt bondsshouldbeprovidedwitheducationandtrainingonfederaltaxrequirements applicableto tax-exempt bonds.TheBoroughthereforewillenableandencouragethose personneltoattendandparticipatein educational andtraining programs offeredby,among others,bondcounsel,theWashingtonMunicipalTreasurers Association andtheWashington FinanceOfficers Association withregardtothefederaltax requirements applicableto tax-exempt bonds. 2 51352843.\ SIGNATURE CERTIFICATE KODIAK ISLAND BOROUGH,ALASKA $6,210,000 General Obligation School Bond,2015 Series A STATEOFWASHINGTON ss: COUNTYOFKING I,NOVAM.JAVIER,MMC,herebycertifyasfollows: 1.Iamthedulyappointed,qualifiedandactingBoroughClerkofKodiakIsland Borough,Alaska(the"Borough"),andassuchamauthorizedtoexecutethiscertificate. 2.TheKodiakIslandBorough,Alaska$6,210,000GeneralObligationSchoolBond, 2015SeriesA(the"2015ABond"),wasdulysignedonbehalfoftheBoroughbyJerrolFriend, MayoroftheBorough,anddulyattestedbyNovaM.Javier,ClerkoftheBorough. 4.ThesignaturesoftheMayorandtheBoroughClerkonthe2015ABondarethe trueandgenuinesignaturesofsuchrespectiveofficers. 5.Suchofficersarethedulyelectedorappointed,qualifiedandactingofficersof theBorough,holdingsuchrespectiveofficesandauthorizedtoexecutethe2015ABond. 6.ThesealthatisimpresseduponthisCertificateisthedulyadoptedandonly officialsealoftheBoroughandhasbeenimpressedonthe2015ABond. Dated:September 16,2015. \(' WORNTObeforemethis __dayofSeptember,2015. ~i9~----- (LegiblyPrintorStampNameofNotary) NotarypubliciandfortheStateofWashington, residingat ~ Myappointmentexpires ( 51466878.1 SIGNATURE CERTIFICATE KODIAK ISLAND BOROUGH,ALASKA $1,780,000 General Obligation School Bond,2015 Series B STATEOF WASHINGTON COUNTYOFKING ) )ss: ) I,NOVAM.JAVIER,MMC,herebycertifyasfollows: 1.Iamthedulyappointed,qualifiedandactingBoroughClerkofKodiakIsland Borough,Alaska(the"Borough"),andassuchamauthorizedtoexecutethiscertificate. 2.TheKodiakIslandBorough,Alaska$1,780,000GeneralObligationSchoolBond, 2015SeriesB(the"2015BBond"),wasdulysignedonbehalfoftheBoroughbyJerrolFriend, MayoroftheBorough,anddulyattestedbyNovaM.Javier,ClerkoftheBorough. 4.ThesignaturesoftheMayorandtheBoroughClerkonthe2015BBondarethe trueandgenuinesignaturesofsuchrespectiveofficers. 5.Suchofficersarethedulyelectedorappointed,qualifiedandactingofficersof theBorough,holdingsuchrespectiveofficesandauthorizedtoexecutethe2015BBond. 6.ThesealthatisimpresseduponthisCertificateisthedulyadoptedandonly officialsealoftheBoroughandhasbeenimpressedonthe2015BBond. (SignatureofNotary) TObeforemethis J.£..-dayofSeptember,2015. Dated:September16,2015. (LegiblyPrintorStampNameofNotary) Notarypublicin residingat __~~~T:::=::;::},-::+-=,...-__ Myappointmentexpires __--->::....I--':......!-y _ 51466925.1 NO LITIGATION CERTIFICATE KODIAK ISLAND BOROUGH,ALASKA $6,210,000 General Obligation SchoolBond,2015SeriesA I,JosephN.Levesque,certifythatIamthedulyappointedandactingBorough AttorneyofKodiakIslandBorough,Alaska(the"Borough"),andthat 1 amauthorizedto executeanddeliverthiscertificateandfurthercertifyonbehalfoftheBoroughas follows: 1.ThiscertificateisdeliveredinconnectionwiththeissuancebytheBorough ofits$6,210,000GeneralObligationSchoolBond,2015SeriesA(the"2015ABond"). 2.Nolitigationofanynatureisnowpendingor,tomyknowledge, threatened,affectingthecorporateexistenceorboundariesoftheBoroughorthetitleof thepresentofficerstotheirrespectiveoffices;andnoauthorityorproceedingforthe issuanceofthe2015ABondhasbeenrepealed,revokedorrescinded. 3.Nolitigationofanynatureisnowpending,or,tomyknowledge, threatenedseekingtorestrainorenjointheissuance,saleordeliveryofthe2015A Bond,ortherightoftheBoroughtolevyandcollecttaxespledgedortobepledgedto paytheprincipalofandinterestonthe2015ABond,orthepledgethereof,orinanyway contestingoraffectingthevalidityor enforceability ofthe2015ABondortheloan agreementbetweentheBoroughandtheAlaskaMunicipalBondBankrelatingtothe 2015ABond,orcontestingthepoweroftheBoroughoritsauthoritywithrespecttothe 2015ABond. 4.Nolitigationofanynatureisnowpending,or,tomyknowledge, threatenedagainsttheBoroughinvolvinganyofthepropertyorassetsoforunderthe controloftheBorough,which,individuallyorintheaggregate,involvesthepossibilityof any judgment oruninsuredliabilitywhichmayresultinanymaterialchangeinthe revenues,properties,orassets,orinthecondition,financialorotherwise,ofthe Borough. Dated:September16,2015. hN.Levesque,BoroughAttorney 51466878.1 NO LITIGATION CERTIFICATE KODIAK ISLAND BOROUGH,ALASKA $1,780,000 General Obligation SchoolBond,2015SeriesB I,JosephN.Levesque,certifythatIamthedulyappointedandacting Borough AttorneyofKodiakIslandBorough,Alaska (the"Borough"),andthatIam authorized to executeand deliver this certificate and further certifyon behalf ofthe Borough as follows: 1.Thiscertificateis delivered inconnectionwiththeissuancebythe Borough ofits$1,780,000GeneralObligationSchoolBond,2015SeriesB(the"2015BBond"). 2.Nolitigationofany nature isnowpendingor,tomy knowledge, threatened,affectingthe corporate existence or boundaries oftheBoroughorthe title of thepresentofficersto their respective offices;andnoauthorityorproceeding for the issuanceofthe2015BBondhasbeenrepealed,revokedorrescinded. 3.Nolitigationofanynatureisnowpending,or,tomy knowledge, threatenedseekingtorestrainorenjointheissuance,saleor delivery ofthe 2015B Bond,ortherightoftheBoroughtolevyand collect taxespledgedortobe pledged to paytheprincipalofand interest onthe2015BBond,orthepledgethereof,orin any way contestingoraffectingthe validity or enforceability ofthe2015BBondortheloan agreement betweentheBoroughandtheAlaskaMunicipalBondBankrelatingtothe 2015BBond,orcontestingthe power oftheBoroughoritsauthoritywithrespecttothe 2015BBond. 4.Nolitigationofanynatureisnowpending,or,tomy knowledge, threatened against theBoroughinvolvinganyofthepropertyorassetsofor under the controloftheBorough,which,individually orintheaggregate,involvesthe possibility of any judgment oruninsuredliabilitywhichmayresultinanymaterialchangeinthe revenues,properties,orassets,orinthecondition,financialorotherwise,of the Borough. Dated:September 16,2015. ~h Y\.i~-:--:--~__ ~Levesque,Borouqh Attorney 51466925 I CONTINUING DISCLOSURE CERTIFICATE TheKodiakIslandBorough,Alaska(the"Borough")executesanddeliversthis ContinuingDisclosureCertificate(the"DisclosureCertificate")inconnectionwiththe issuanceof$96,210,000AlaskaMunicipalBondBankGeneralObligationBonds,2015 SeriesThree(the"Bonds").TheBondsarebeingissuedundertheGeneralBond ResolutionoftheIssuerentitled"AResolutionCreatingAndEstablishingAnIssueOf BondsOfTheAlaskaMunicipalBondBank;ProvidingForTheIssuanceFromTimeTo Time Of SaidBonds;ProvidingForThePaymentOfPrincipalOfAndInterestOnSaid Bonds;AndProvidingForTheRightsOfTheHoldersThereof,"adoptedJuly13,2005, asamended(the"GeneralBondResolution"),andtheSeriesResolutionNo.2015- 04(S),adoptedonAugust11,2015(the"SeriesResolution,"andtogetherwiththe GeneralBondResolution,the"Resolutions").TheBoroughcovenantsandagreesas follows: Section1.PurposeoftheDisclosureCertificate.TheBoroughisexecuting anddeliveringthisDisclosureCertificateforthebenefitoftheBeneficialOwnersofthe Bonds,andtoassisttheParticipating Underwriter incomplyingwithSecuritiesand ExchangeCommission("SEC")Rule15c2-12(b)(5).TheBoroughiscurrentlyan "ObligatedPerson"withinthemeaningoftheRule. Section2.Definitions.Inadditiontothedefinitionssetforthinthe Resolutions,whichapplytoanycapitalizedtermusedinthisDisclosureCertificate unlessotherwisedefinedinthisSection,thefollowingcapitalizedtermsshallhavethe followingmeanings: "AnnualReport"meansanyAnnualReportprovidedbytheBoroughpursuantto, andasdescribedin,Section3ofthisDisclosureCertificate. "Borough"meanstheKodiakIslandBorough,Alaska. "FiscalYear"meansthefiscalyearoftheBorough(currentlythe12-monthperiod endingJune30)assuchfiscalyearmaybechangedfromtimetotimeasrequiredby StatelawandtheBorough'sordinances. "Issuer"meanstheAlaskaMunicipalBondBank. "MSRB"meanstheMunicipalSecuritiesRulemakingBoard. "ParticipatingUnderwriter"meanstheoriginal underwriter oftheBondsrequired tocomplywiththeRuleinconnectionwiththeofferingoftheBonds. "Rule"meansRule15c2-12(b)(5)adoptedbytheSecuritiesandExchange CommissionundertheSecuritiesExchangeActof1934,asamendedfromtimetotime. Section3.ProvisionofAnnualReportsandFinancialStatements. CommencingwithitsFiscalYearendingJune 30,2016,andforsolongastheBorough hasoutstandingwiththeIssueranamountofbondsequaltoorgreaterthantenpercent (10%)ofallbondsoutstandingundertheGeneralBondResolutionasofthelastdayof thefiscalyearoftheIssuer(currentlyJune30),theBoroughwillprovidetotheMSRB, inaformatasprescribedbytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual ReportfortheFiscalYear.TheAnnualReportshallcontainorincorporatebyreference thefollowingannualfinancialinformationandoperatingdata:(i)annualfinancial statementsfortheBorough,preparedinaccordancewithgenerallyacceptedaccounting principlesapplicableto governmental entities,assuchprinciplesmaybechangedfrom timetotimeand(ii)financialinformationgenerallyofthetypeincludedinAppendixDof theOfficialStatementrelatingtotheBonds. Anyoralloftheseitemsmaybeincorporatedbyspecificreferenceto documentsavailabletothepublicontheinternetwebsiteofMSRBorfiledwiththe SecuritiesandExchangeCommission.TheBoroughshallclearlyidentifyeachsuch otherdocumentsoincorporatedbyreference.TheAnnualReportmaybesubmittedas asingledocumentorasseparatedocumentscomprisingapackage,providedthat auditedfinancialstatementsoftheBoroughmaybesubmittedseparatelyfromthe remainderoftheAnnualReport. (b)IfnotprovidedaspartoftheAnnualReport,thenpromptlyupontheir publicrelease,theauditedfinancialstatementsoftheBoroughforeachFiscalYear, preparedinaccordancewithgenerallyacceptedaccountingprinciplesapplicableto governmentalentities,assuchprinciplesmaybechangedfromtimetotime. Section4.FilingRequirements.TheBoroughagreesanyfilingrequiredunder thetermsofthisCertificateshallbewiththeMSRB,inaformatprescribedbytheRule, andthatsuchfilingshallbemadeinconnectionwithCUSIPNos.01179P,011798and 01179R.AdditionaloralternateCUSIPnumber(s)maybeaddedfromtimetotimeby writtennoticefromtheIssuertotheBorough,andtheBoroughagreesthatifitshall receivefromtheIssuerCUSIPnumber(s)inadditiontothosesetforthinthisSection4, itshallmakeitsfilingsusingboththeCUSIPnumbershereinstatedandtheadditional CUSIPnumber(s),ifany. Section5.NoticeofFailuretoProvideInformation.TheBoroughshallprovide inatimely manner totheMSRBnoticeofanyfailuretosatisfytherequirementsof Section3ofthisDisclosureCertificate. Section6.TerminationofReportingObligation.TheBorough'sobligations underthisDisclosureCertificateshallterminateuponthelegaldefeasance,prior AMBB/General ObligationBonds,2015SeriesThree Continuing Disclosure Certificate -Kodiak Island Borough 1:\Docs\37421742\Cont Disc-KIB.Docx Page2 Page3 redemptionorpaymentinfullofitsloanobligationwiththeIssuerandasotherwise describedinSection3ofthisDisclosureCertificate. Section7.Amendment;Waiver.Notwithstandinganyotherprovisionofthis DisclosureCertificate,theBoroughmayamendthisDisclosureCertificate,providedthat the amendment meetseachofthefollowingconditions: (a)The amendment ismadeinconnectionwithachangeincircumstances thatarisesfromachangeinlegalrequirements,changeinlaw,orchangeintheidentity, natureorstatusoftheBorough; (b)ThisDisclosureCertificate,asamended,wouldhavecompliedwiththe requirementsoftheRuleasofthedatehereof,aftertakingintoaccountany amendmentsorinterpretationsoftheRule,aswellasanychangesincircumstances; (c)TheBoroughobtainsanopinionofnationallyrecognizedbondcounselto theeffectthatthe amendment willnotadverselyaffecttheIssuer'scompliancewiththe Ruleoritscontinuingdisclosureundertaking;and (d)TheBoroughnotifiesandprovidestheIssuerandtheMSRBwiththe copiesoftheopinionsandamendments. Anysuch amendment maybeadoptedwithouttheconsentofanyBeneficial OwnerofanyoftheBonds,notwithstandinganyotherprovisionofthisDisclosure CertificateortheResolutions. ThefirstAnnualReportcontainingamendedoperatingdataorfinancial informationpursuanttoan amendment ofthisDisclosureCertificateshallexplain,in narrativeform,thereasonsforthe amendment anditseffectonthetypeofoperating dataandfinancialinformationbeingprovided. Section8.Default.IntheeventofafailureoftheBoroughtocomplywithany provisionofthisDisclosureCertificate,anyBeneficialOwnermaytakesuchactionsas maybenecessaryandappropriate,includinganactiontocompelspecificperformance, tocausetheBoroughtocomplywithitsobligationsunderthisDisclosureCertificate.No failuretocomplywithanyprovisionofthisDisclosureCertificateshallbedeemedan EventofDefaultundertheResolutionsortheBonds,andthesolelegalremedyunder thisDisclosureCertificateintheeventofanyfailureoftheBoroughtocomplywiththis DisclosureCertificateshallbeanactiontocompelspecificperformance. Section9.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefitoftheBorough,theIssuer,theTrustee,theParticipatingunderwriter,andthe BeneficialOwnersfromtimetotimeoftheBonds,andshallcreatenorightsinanyother personorentity. AMBB/General ObligationBonds,2015SeriesThree Continuing Disclosure Certificate -Kodiak Island Borough 1:\Docs\37421742\Cont Disc-KIB.Docx Section10.FilingAlternative.Anyfilingrequiredunderthetermsofthis DisclosureCertificatemaybemadesolelybytransmittingsuchfilingtotheElectronic MunicipalMarketAccessasprovidedat http://www.emma.msrb.org,orinsuchother manner asmaybepermittedfromtimetotimebytheSecuritiesExchangeCommission. Section11.PriorCompliance.TheBoroughisincomplianceinallmaterial respectswithitspriorundertakingspursuanttotheRule,ifany. DATEDthis16thdayof September 2015. KODIAKISLANDBOROUGH,ALASKA BY:~~~_ KARLETONSHORT FinanceDirector AMBB/General ObligationBonds,2015SeriesThree ContinUing Disclosure Certificate -Kodiak Island Borough 1:\Docs\37421742\Cont Disc -KIB.Docx Page4 PAYMENT,DELIVERY AND APPLICATION OF PROCEEDS CERTIFICATE KODIAK ISLAND BOROUGH,ALASKA $6,210,000 General Obligation SchoolBond,2015 Series A I,KarletonShort,herebycertifyasfollows: 1.Iamthedulyappointed,qualifiedandactingFinanceDirectorofKodiak IslandBorough,Alaska(the"Borough"),andassuchamauthorizedtoexecutethis certificate. 2.Onthedatehereof,IdeliveredtotheAlaskaMunicipalBondBank, Juneau,Alaska(the"BondBank")the$6,210,000GeneralObligationSchoolBond, 2015SeriesAoftheBorough(the"2015ABond"). 3.Atorbeforethetimeofdeliveryofthe 2015A Bond,theBoroughreceived fromtheBondBankthefollowingamountsasfullpaymentforthe 2015A Bond. Principalof2015ABond Originalissuepremium Total Sources ofFunds $6,210,000.00 829,890.90 $7,039,890.90 4.TheBoroughwillapplytheamountreceivedfromtheBondBankas paymentforthe2015ABondinthefollowingmanner. ProjectFund DebtServiceAccount CostsofIssuance Underwriter's Discount TotalUsesofFunds Dated:September 16,2015. $7,000,000.00 1,555.79 18,000.00 20,335.11 $7,039,890.90 1(~Jk£iOL.:L _ KarletonShort,FinanceDirector I,DevenMitchell,ExecutiveDirectoroftheAlaskaMunicipalBondBank,Juneau, Alaska,herebyacknowledgereceiptfromKodiakIslandBorough,Alaska(the "Borough")ofthefollowingbondoftheBorough: $6,210,000 GeneralObligationSchoolBond,2015S. Dated:September 16,2015. PAYMENT,DELIVERY AND APPLICATION OF PROCEEDS CERTIFICATE KODIAK ISLAND BOROUGH,ALASKA $1,780,000 General Obligation SchoolBond,2015SeriesB I,KarletonShort,herebycertifyasfollows: 1.Iamthedulyappointed,qualifiedandactingFinanceDirectorofKodiak IslandBorough,Alaska(the"Borough"),andassuchamauthorizedtoexecutethis certificate. 2.Onthedatehereof,IdeliveredtotheAlaskaMunicipalBondBank, Juneau,Alaska(the"BondBank")the$1,780,000GeneralObligationSchoolBond, 2015SeriesBoftheBorough(the"2015BBond"). 3.Atorbeforethetimeofdeliveryofthe2015BBond,theBoroughreceived fromtheBondBankthefollowingamountsasfullpaymentforthe2015BBond. Principalof2015BBond Originalissuepremium Total Sources ofFunds $1,780,000.00 242,927.10 $2,022,927.10 4.TheBoroughwillapplytheamountreceivedfromtheBondBankas paymentforthe2015BBondinthefollowingmanner. ProjectFund DebtServiceAccount CostsofIssuance Underwriter's Discount TotalUsesofFunds Dated:September 16,2015. $2,000,000.00 53.62 18,000.00 4,873.48 $2,022,927.10 1{~.db~_ KarletonShort,FinanceDirector I,DevenMitchell,ExecutiveDirectoroftheAlaskaMunicipalBondBank,Juneau, Alaska,hereby acknowledge receiptfromKodiakIslandBorough,Alaska(the "Borough")ofthefollowingbondoftheBorough: $1,780,000GeneralObligationSchoolBond,2015Serie Dated:September 16,2015. NO.G-1 SPECIMEN UNITEDSTATESOFAMERICA $6,210,000 KODIAKISLANDBOROUGH,ALASKA .GENERAL OBLIGATION SCHOOLBOND,2015SERIESA REGISTEREDOWNER:ALASKA MUNICIPAL BONDBANK PRINCIPALAMOUNT:SIXMILLIONTWOHUNDREDTEN THOUSAND AND NO/100 DOLLARS TheKodiakIslandBorough(the"Borough"),amunicipalcorporationoftheState ofAlaska,hereby acknowledges itselftooweandforvaluereceived promises topayto theRegistered Owner identifiedabove,oritsregisteredassigns,theprincipal amount identifiedaboveinthefollowing installments oneachofthefollowingyears,andtopay interestonsuch installments fromthedatehereof,payableonApril1,2016,and semiannually thereafter on October 1,andApril1,ofeachyear,attheratesperannum asfollows: Year Principal InterestYearPrincipal Interest (October1)Installment Rate (October 1)Installment Rate 2016 $195,000 2.00%2026 $305,000 5.00% 2017 200,000 2.00 2027 320,000 5.00 2018 205,000 4.00 2028 335,000 5.00 2019 215,000 5.00 2029 355,000 5.00 2020 225,000 5.00 2030 370,000 4.00 2021 240,000 5.00 2031 390,000 5.25 2022 250,000 5.00 2032 410,000 5.25 2023 265,000 5.00 2033 430,000 5.25 2024 275,0005.00 2034 455,000 5.25 2025 290,000 5.00 2035 480,000 5.25 WhenandifthisBondisownedbytheAlaskaMunicipalBondBankora FinancialInstitution,payment ofprincipalandinterestshallbemadeasprovidedinthe Loan Agreement betweentheBondBankorFinancialInstitutionandtheBorough(the "LoanAgreement').WhenandifthisBondisnotownedbytheBondBankora FinancialInstitution,installments ofprincipalofand interest onthisBondshallbepaid bycheckordraftmailedbyfirstclassmailtotheRegistered Owner asofthecloseof businessonthe15thdayofthemonthbeforeeach installment payment date;provided, thatthefinal installment ofprincipalofandinterestonthisBondshallbepayableupon presentation and surrender ofthisBondbytheRegistered Owner attheofficeofthe 1 51466908.1 Registrar.Interestwillbecomputedonthebasisofa360-dayyearconsistingoftwelve 30-daymonths.BothprincipalofandinterestonthisBondarepayableinlawfulmoney oftheUnitedStatesofAmericawhich,ontherespectivedatesofpaymentthereof,shall belegaltenderforthepaymentofpublicandprivatedebts. ThisBondisoneoftheGeneralObligationSchoolBondsoftheKodiakIsland Borough,Alaska,oflike tenor andeffectexceptastointerestrate,serialnumber,right ofredemptionorprepaymentandmaturity,andconstitutingBondsauthorizedforthe purposeofpayingthecostofschoolandrelatedcapitalimprovementsintheBorough, andisissuedunderResolutionNo.FY2016-05oftheBoroughentitled: A RESOLUTION OFTHE KODIAK ISLAND BOROUGH ASSEMBLY AUTHORIZINGTHEBOROUGHTOISSUE GENERAL OBLIGATION SCHOOL BONDSINTHE PRINCIPAL AMOUNT OFNOTTOEXCEED $8,000,000TOPROVIDEFUNDSFOR SCHOOL AND RELATED CAPITAL IMPROVEMENTS INTHEBOROUGHANDTOPAYCOSTS OFISSUINGTHEBONDS,FIXINGCERTAIN DETAILS OFSUCH BONDS,AUTHORIZING THEIR SALE,ANDPROVIDINGFOR RELATED MATTERS (the"Resolution"). InstallmentsofprincipalofthisBondmaturingonandafter October 1,2025,shall besubjecttoprepaymentonandafterApril1,2025,attheoptionoftheBorough (subjecttoanyapplicableprovisionsoftheLoanAgreement),insuchprincipalamounts andfromsuchmaturitiesastheBoroughmaydetermine,andbylotwithinamaturity,at aredemptionpriceequaltotheprincipalamounttobeprepaid,plusaccruedinterestto thedateofprepayment. ThisBondis transferable asprovidedintheResolution,(i)onlyupontheBond RegisteroftheBorough,and (ii)upon surrender ofthisBond together withawritten instrumentof transfer dulyexecutedbytheRegistered Owner orthedulyauthorized attorneyoftheRegisteredOwner,andthereuponanewfullyregisteredBondorBonds inthesameaggregateprincipalamountandmaturityshallbeissuedtothetransfereein exchange therefor asprovidedintheResolutionanduponthepaymentofcharges,if any,asthereinprescribed.TheBoroughmaytreatand consider thepersoninwhose namethisBondisregisteredastheabsoluteownerhereofforthepurposeofreceiving paymentof,oronaccountof,theprincipalorredemptionprice,ifany,hereofand interestduehereonandforallotherpurposeswhatsoever. ThisBondisageneralobligationoftheKodiakIslandBorough,andthefullfaith andcreditoftheBorougharepledgedforthepaymentoftheprincipalofandintereston thisBondasthesameshallbecomedue. ITISHEREBYCERTIFIEDANDRECITEDthatallconditions,actsorthings requiredbythe constitution orstatutesoftheStateofAlaskatoexist,tohavehappened 2 51466908.1 ortohavebeenperformedprecedenttoorintheissuanceofthisBondexist,have happenedandhavebeenperformed,andthattheseriesofBondsofwhichthisisone, together withallotherindebtednessoftheBorough,iswithineverydebtandotherlimit prescribedbysuchconstitutionorstatutes. INWITNESSWHEREOF,THEKODIAKISLANDBOROUGH,ALASKA,has causedthisBondtobesignedinitsnameandonitsbehalfbythemanualorfacsimile signatureofitsMayoranditscorporateseal(orafacsimilethereof)tobeimpressedor otherwisereproducedhereonandattestedbythemanualorfacsimilesignatureofits Clerk,allasofthe16th dayofSeptember,2015. 3 51466908.1 NO.G-1 SPECIMEN UNITEDSTATESOFAMERICA $1,780,000 KODIAKISLANDBOROUGH,ALASKA GENERAL OBLIGATION SCHOOL BOND,2015SERIESB REGISTERED OWNER:ALASKA MUNICIPAL BONDBANK PRINCIPAL AMOUNT:ONEMILLIONSEVENHUNDREDEIGHTY THOUSAND ANDNO/100DOLLARS TheKodiakIslandBorough(the"Borough"),amunicipalcorporationoftheState ofAlaska,hereby acknowledges itselftooweandforvaluereceivedpromisestopayto theRegistered Owner identifiedabove,oritsregisteredassigns,theprincipalamount identifiedaboveinthefollowing installments oneachofthefollowingyears,andtopay interestonsuch installments fromthedatehereof,payableonApril1,2016,and semiannually thereafter on October 1,andApril1,ofeachyear,attheratesperannum asfollows: YearPrincipal Interest YearPrincipal Interest (October 1)Installment Rate (October 1)InstallmentRate 2016 $145,000 2.00%2021$180,0005.00% 2017 150,0002.00 2022190,0005.00 2018 155,0004.00 2023200,0005.00 2019 160,000 5.00 2024210,0005.00 2020 170,000 5.00 2025220,0005.00 WhenandifthisBondisownedbytheAlaskaMunicipalBondBankora FinancialInstitution,payment ofprincipalandinterestshallbemadeasprovidedinthe Loan Agreement betweentheBondBankorFinancialInstitutionandtheBorough(the "LoanAgreement').WhenandifthisBondisnotownedbytheBondBankora FinancialInstitution,installments ofprincipalofandinterestonthisBondshallbepaid bycheckordraftmailedbyfirstclassmailtotheRegistered Owner asofthecloseof businessonthe15thdayofthemonthbeforeeach installment paymentdate;provided, thatthefinal installment ofprincipalofandinterestonthisBondshallbe payable upon presentation and surrender ofthisBondbytheRegisteredOwnerattheofficeofthe Registrar.Interestwillbecomputedonthebasisofa 360-day yearconsistingoftwelve 30-daymonths.Bothprincipalofand interest onthisBondarepayableinlawfulmoney oftheUnitedStatesof America which,ontherespectivedatesof payment thereof,shall belegal tender forthe payment ofpublicandprivatedebts. 1 51468119.1 ThisBondisoneoftheGeneralObligationSchoolBondsoftheKodiakIsland Borough,Alaska,oflike tenor andeffectexceptastointerestrate,serialnumber,right ofredemptionorprepaymentandmaturity,andconstitutingBondsauthorizedforthe purposeofpayingthecostofschoolandrelatedcapitalimprovementsintheBorough, andisissuedunderResolutionNo.FY2016-06oftheBoroughentitled: A RESOLUTION OFTHE KODIAK ISLAND BOROUGH ASSEMBLY AUTHORIZING THEBOROUGHTOISSUE GENERAL OBLIGATION SCHOOL BONDSINTHE PRINCIPAL AMOUNT NOTTOEXCEED $10,230,000TOFINANCETHE RENEWAL AND REPLACEMENT SCHEDULE RELATED TO BOROUGH-OWNED SCHOOL FACILITIES, PROJECTS WHICHARE70%REIMBURSABLE BYTHESTATEOF ALASKA,ANDTOPAYCOSTSOFISSUINGTHEBONDS,FIXING CERTAIN DETAILS OFSUCHBONDS,AUTHORIZING THEIRSALE, ANDPROVIDINGFOR RELATED MATTERS (the"Resolution"). TheinstallmentofprincipalofthisBondmaturingon October 1,2025,shallbe subjectto prepayment onandafterApril1,2025,attheoptionoftheBorough(subject toanyapplicableprovlsionsoftheLoanAgreement),insuchprincipalamountasthe Boroughmaydetermine,andbylotwithinamaturity,ataredemptionpriceequaltothe principalamounttobeprepaid,plusaccruedinteresttothedateofprepayment. ThisBondistransferableasprovidedintheResolution,(i)onlyupontheBond RegisteroftheBorough,and(ii)upon surrender ofthisBondtogetherwithawritten instrumentof transfer dulyexecutedbytheRegisteredOwnerortheduly authorized attorneyoftheRegisteredOwner,andthereuponanewfullyregisteredBondorBonds inthesameaggregateprincipalamountandmaturityshallbeissuedtothe transferee in exchange therefor asprovidedintheResolutionanduponthepaymentofcharges,if any,asthereinprescribed.TheBoroughmaytreatand consider thepersoninwhose namethisBondisregisteredastheabsoluteownerhereofforthepurposeofreceiving paymentof,oronaccountof,theprincipalorredemptionprice,ifany,hereofand interestduehereonandforallotherpurposeswhatsoever. ThisBondisageneralobligationoftheKodiakIslandBorough,andthefullfaith andcreditoftheBorougharepledgedforthepaymentoftheprincipalofandintereston thisBondasthesameshallbecomedue. ITIS HEREBY CERTIFIEDANDRECITEDthatallconditions,actsorthings requiredbytheconstitutionorstatutesoftheStateofAlaskatoexist,tohavehappened ortohavebeenperformedprecedenttoorintheissuanceofthisBondexist,have happenedandhavebeenperformed,andthattheseriesofBondsofwhichthisisone, together withall other indebtednessoftheBorough,iswithineverydebtandotherlimit prescribedbysuchconstitutionorstatutes. 2 51468119.) INWITNESSWHEREOF,THEKODIAKISLANDBOROUGH,ALASKA,has causedthisBondtobesignedinitsnameandonitsbehalfbythemanualorfacsimile signatureofitsMayoranditscorporateseal(orafacsimilethereof)tobeimpressedor otherwisereproducedhereonandattestedbythemanualorfacsimilesignatureofits Clerk,allasofthe16th dayofSeptember,2015. KODIAKISLANDBOROUGH 3 51468119.1 ~FOSTER PE PPER r't.i.r September 16,2015 KodiakIsland Borough,Alaska Alaska Municipal BondBank Re:Kodiak Island Borough,Alaska $6,210,000 General Obligation SchoolBond,2015SeriesA Wehaveservedas co-bond counsel to Kodiak Island Borough,Alaska (the "Borough"),in connection withtheissuance of the above-referenced bond(the "20 15A Bond"),andinthat capacity have examined suchlawandsuch certified proceedings and other documents aswehave deemed necessary to render thisopinion.Astomatters of factmaterialtothis opinion,wehavereliedupon representations contained inthe certified proceedings andother certifications of public officials furnished tous,without undertaking toverifythesameby independent investigation. The2015ABondisissuedbythe Borough pursuant to Resolution No.FY2016-05 (the "Resolution"),underandin accordance withthe Constitution andlaws of the State of Alaska andthe ordinances and resolutions of the Borough. Wehavenotbeen engaged to review andthus express no opinion concerning the completeness or accuracy of any official statement,offering circular or other salesor disclosure material relatingtothe issuance of the2015ABondor otherwise usedin connection withthe 2015A Bond ortheAlaska Municipal Bond Bank General Obligation Bonds,2015Series Three (the "Bond Bank Bonds"),aportion of the proceeds of whicharebeingusedto acquire the 2015A Bond,or otherwise usedin connection with the2015ABondortheBondBankBonds. UndertheInternal Revenue Code of 1986,as amended (the "Code"),the Borough isrequiredto comply with certain requirements afterthedate of issuance of the 2015A Bond in order to maintain the exclusion of the interest onthe 2015A Bondfromgrossincomefor federal income taxpurposes, including,without limitation,requirements concerning the qualified use of 2015A Bond proceeds andthe facilitiesfinancedor refinanced with 2015A Bond proceeds,limitations on investing gross proceeds of the2015ABondinhigher yielding investments in certain circumstances andthe arbitrage rebate requirement tothe extent applicable tothe2015ABond.The Borough has covenanted inthe Resolution to comply withthose requirements,butif the Borough failsto comply with those requirements,interest onthe 20I5A Bondcouldbecometaxable retroactive tothedate of issuance of the2015ABond.We havenot undertaken anddonot undertake to monitor the Borough's compliance withsuch requirements. Based uponthe foregoing,as of thedate of initial delivery of the 2015A Bond tothe purchaser thereof andfull payment therefor,itisour opinion that under existing law: TEL 206.447.4400 FAX,206.447.9700 nn THIRD AVENUE,SUITE 3400 SEATTLE,WASHINGTON 98101-3299 www.FOSTER.cOM 51466')20.1 SEATTLE WASHINGTON SPOKANE WASHINGTON KodiakIsland Borough,Alaska Alaska Municipal Bond Bank September 16,2015 Page2 1.The Borough isaduly organized and legally existing municipal corporation under the laws of theState of Alaska. 2.TheLoan Agreement between the Borough andthe Alaska Municipal Bond Bank dated as of September 1,2015,relating tothe20 l5A Bond,hasbeenduly authorized,executed and delivered bythe Borough andisavalidand binding obligation of the Borough,enforceable against the Borough in accordance withits terms,except onlytothe extent that enforcement of payment maybe limited by bankruptcy,insolvency or other laws affecting creditors'rightsandbythe application of equitable principles andthe exercise of judicial discretion in appropriate cases. 3.The2015A Bond hasbeenduly authorized andissuedbythe Borough andis issued in full compliance withthe provisions of the Constitution andlaws of the State of Alaska andthe ordinances and resolutions ofthe Borough relating thereto. 4.The 2015A Bond constitutes avalidand binding general obligation of the Borough payable from annual advalorem taxestobelevied without limitation astorateor amount onall of the taxable property within the Borough,except onlytothe extent that enforcement of payment maybe limited by bankruptcy,insolvency or other laws affecting creditors'rights andbythe application of equitable principles andthe exercise ofjudicial discretion in appropriate cases. 5.Assuming compl iancebythe Borough after thedate of issuance of the 2015A Bond with applicable requirements of the Code,the interest onthe 2015A Bond is excluded from gross income for federalincometax purposes andisnotanitem of tax preference for purposes of the alternative minimum tax applicable to individuals;however,while interest onthe 2015A Bond alsoisnotanitem of tax preference for purposes of the alternative minimum tax applicable to corporations,interest onthe 2015A Bond received by corporations istobe taken into account inthe computation of adjusted current earnings for purposes of the alternative minimum tax applicable to corporations,interest onthe 2015A Bond received by certain S corporations maybe subject totax,and interest onthe 2015A Bond received by foreign corporations with United States branches maybe subject toa foreign branch profits tax. 6.Interest onthe 2015A Bondisfreefrom taxation bythe State of Alaska except for transfer,estate and inheritance taxes,and except tothe extent interest onthe20 15A Bond received by corporations and taken into account inthe computation of adjusted current earnings for purposes of the alternative minimum tax applicable to corporations may affect the corresponding provisions of the State of Alaska corporate income tax. We express no opinion regarding any other federalorstatetax consequences of receipt of interest onthe 2015A Bond. This opinion isgivenas of thedate hereof,andwe assume no obligation to revise or supplement this opinion to reflect anyfactsor circumstances thatmay hereafter come toour attention,orany changes inlawthatmay hereafter occur. 51466920.1 Kodiak Island Borough,Alaska Alaska Municipal BondBank September 16,20l5 Page3 Webringto your attention the fact thatthe foregoing opinions are expressions of our professional judgment onthe matters expressly addressed anddonot constitute guarantees of result.No attorney- client relationship has existed or exists between ourfirmandthe Alaska Municipal Bond Bank in connection withthe 2015A Bondorby virtue of thisletter. Respectfully submitted, FOSTER PEPPER PLLC 51466920.1 ~Fa STER PEP PER I'LLL September 16,2015 KodiakIsland Borough,Alaska Alaska Municipal BondBank Re:KodiakIsland Borough,Alaska $1,780,000 General Obligation SchoolBond,2015SeriesB Wehaveservedas co-bond counsel to Kodiak Island Borough,Alaska (the "Borough"),in connection withtheissuance of the above-referenced bond(the "20 15B Bond"),andinthat capacity have examined suchlawandsuch certified proceedings and other documents aswehave deemed necessary to renderthis opinion.Asto matters of factmaterialtothis opinion,wehavereliedupon representations contained inthe certified proceedings and other certifications of public officials furnished tous,without undertaking to verify thesameby independent investigation. The2015BBondisissuedbytheBorough pursuant to Resolution No.FY2016-06 (the "Resolution"),underandin accordance withthe Constitution andlaws of theState of Alaska andthe ordinances and resolutions of theBorough. Wehavenotbeen engaged toreviewandthus express no opinion concerning the completeness or accuracy of any official statement,offering circular orothersalesor disclosure material relating tothe issuance of the2015B Bond or otherwise usedin connection withthe2015BBondorthe Alaska MunicipalBond Bank General Obligation Bonds,2015Series Three (the "Bond Bank Bonds"),aportion of the proceeds of which arebeingusedto acquire the2015BBond,or otherwise usedin connection with the2015BBondortheBond Bank Bonds. Under theInternal Revenue Code of 1986,asamended(the "Code"),the Borough is required to comply with certain requirements afterthedate of issuance of the2015BBondin order to maintain the exclusion of the interest onthe2015BBondfromgrossincomeforfederalincometax purposes, including,without limitation,requirements concerning thequalifieduse of 2015B Bond proceeds andthe facilities financed or refinanced with2015BBond proceeds,limitations on investing gross proceeds of the 2015BBondin higher yielding investments in certain circumstances andthe arbitrage rebate requirement tothe extent applicable tothe2015BBond.TheBoroughhas covenanted inthe Resolution to comply withthose requirements,butifthe Borough failsto comply with those requirements,interest onthe 2015BBondcouldbecome taxable retroactive tothedate of issuance of the2015BBond.Wehavenot undertaken anddonot undertake to monitor the Borough's compliance withsuch requirements. Baseduponthe foregoing,as of thedate of initial delivery of the2015B Bond tothe purchaser thereof andfull payment therefor,itisour opinion thatunder existing law: TEL,206.447.4400 FAX 206.447.9700 1111 THIRD AVENUE,SUITE3400 SEATTLE,WASHINGTON 98101-3299 www.FOSTER.COM 51468121.1 SEATTLE WASHINGTON SPOKANE WASHINGTON Kodiak Island Borough,Alaska Alaska Municipal BondBank September 16,2015 Page2 I.The Borough isaduly organized andlegally existing municipal corporation under the laws of theState of Alaska. 2.The Loan Agreement between the Borough andthe Alaska Municipal Bond Bank dated as of September 1,2015,relating tothe2015BBond,hasbeenduly authorized,executed and delivered by the Borough andisavalidand binding obligation of the Borough,enforceable against the Borough in accordance withits terms,except only tothe extent that enforcement of payment maybelimitedby bankruptcy,insolvency or other laws affecting creditors'rights andbythe application of equitable principles andthe exercise of judicial discretion in appropriate cases. 3.The 2015B Bond hasbeenduly authorized andissuedby the Borough andis issued in full compliance withthe provisions of the Constitution andlaws of the State of Alaska andthe ordinances and resolutions of the Borough relating thereto. 4.The 2015B Bond constitutes avalidand binding general obligation of the Borough payable from annual advalorem taxestobelevied without limitation astorateor amount onall of the taxable property within the Borough,except onlytothe extent that enforcement of payment maybe limitedby bankruptcy,insolvency or other laws affecting creditors'rights andbythe application of equitable principles andthe exercise of judicial discretion in appropriate cases. 5.Assuming compliance bythe Borough after thedate of issuance of the 2015B Bond with applicable requirements of the Code,the interest onthe 2015B Bond is excluded from gross income for federal income tax purposes andisnotanitem of tax preference for purposes of the alternative minimum tax applicable to individuals;however,while interest onthe 2015B Bond alsois not anitem of tax preference for purposes of the alternative minimumtax applicable to corporations,interest onthe 2015B Bond received by corporations istobetakeninto account inthe computation of adjusted current earnings for purposes of the alternative minimum taxapplicableto corporations,interest onthe 2015B Bond received by certain S corporations maybe subject totax,and interest onthe 2015B Bond received by foreign corporations withUnited States branches maybe subject toa foreign branch profits tax. 6.Interest onthe 2015B Bondisfreefrom taxation bythe State of Alaska except for transfer,estate and inheritance taxes,and except tothe extent interest onthe 2015B Bond received by corporations andtakeninto account inthe computation of adjusted current earnings for purposes of the alternative minimum tax applicable to corporations may affect the corresponding provisions of theState of Alaska corporate income tax. We express no opinion regarding any other federalorstatetax consequences of receipt of interest onthe2015BBond. This opinion isgivenas of thedate hereof,andwe assume no obligation to revise or supplement this opinion to reflect anyfactsor circumstances that may hereafter come to our attention,orany changes inlawthatmay hereafter occur. 5146812L1 Kodiak Island Borough,Alaska Alaska Municipal BondBank September 16,2015 Page3 Webringto your attention thefact that the foregoing opinions are expressions of our professional judgment onthe matters expressly addressed anddonot constitute guarantees of result.No attorney- client relationship has existed orexistsbetweenourfirmandthe Alaska Municipal BondBankin connection withthe20ISBBondorby virtue of thisletter. Respectfully submitted, FOSTER PEPPER PLLC 51468121.1 LEVESQUE LAW GROU~LLC 3380C Street,Suite202 Anchorage,Alaska99503 Phone:(907)261-8935 Fax:(206)309-0667 Email:joe@levesquelawgroup.com September 16,2015 KodiakIslandBorough,Alaska AlaskaMunicipalBondBank Re:KodiakIslandBorough,Alaska $6,210,000 GeneralObligationSchoolBond,2015SeriesA Wehaveservedasco-bondcounseltoKodiakIslandBorough,Alaska(the "Borough"),inconnectionwiththeissuanceofthe above-referenced bond(the"2015A Bond"),andinthatcapacityhaveexaminedsuchlawandsuchcertifiedproceedings andother documents aswehavedeemed necessary torenderthisopinion.Asto mattersoffactmaterialtothisopinion,wehavereliedupon representations containedin thecertifiedproceedingsandother certifications ofpublicofficialsfurnishedtous, without undertakingtoverifythesameby independent investigation. The 2015A BondisissuedbytheBoroughpursuanttoResolutionNo.FY2016- 05(the"Resolution"),underandin accordance withtheConstitutionandlawsofthe StateofAlaskaandtheordinancesandresolutionsoftheBorough. Wehavenotbeenengagedtoreviewandthusexpressnoopinionconcerning thecompletenessoraccuracyofanyofficialstatement,offeringcircularorothersalesor disclosurematerialrelatingtotheissuanceofthe2015ABondorotherwiseusedin connectionwiththe2015ABondortheAlaskaMunicipalBondBankGeneralObligation Bonds,2015SeriesThree(the"BondBankBonds"),aportionoftheproceedsofwhich arebeingusedtoacquirethe2015ABond,orotherwiseusedinconnectionwiththe 2015ABondortheBondBankBonds. UndertheInternalRevenueCodeof1986,asamended(the"Code"),the Boroughisrequiredtocomplywithcertain requirements afterthedateofissuanceof the2015ABondinordertomaintaintheexclusionoftheinterestonthe2015ABond fromgrossincomeforfederalincometaxpurposes,including,without limitation, requirementsconcerningthequalifieduseof2015ABondproceedsandthefacilities financedorrefinancedwith 2015A Bondproceeds,limitationsoninvestinggross 51466920.1 LEVESQUELAWGROUP,LLC KodiakIslandBorough,Alaska AlaskaMunicipalBondBank September 16,2015 Page2 proceedsofthe2015ABondinhigheryieldinginvestmentsincertaincircumstances andthearbitragerebaterequirementtotheextentapplicabletothe2015ABond.The BoroughhascovenantedintheResolutiontocomplywiththoserequirements,butifthe Boroughfailstocomplywiththoserequirements,interestonthe2015ABondcould becometaxableretroactivetothedateofissuanceofthe2015ABond.Wehavenot undertakenanddonotundertaketomonitortheBorough'scompliancewithsuch requirements. Basedupontheforegoing,asofthedateofinitialdeliveryofthe2015ABondto thepurchaser thereof andfullpaymenttherefor,itisouropinionthatunderexistinglaw: 1.TheBoroughisadulyorganizedandlegallyexistingmunicipalcorporation underthelawsoftheStateofAlaska. 2.TheLoan Agreement betweentheBoroughandtheAlaskaMunicipal BondBankdatedasof September 1,2015,relatingtothe2015ABond,hasbeenduly authorized,executedanddeliveredbytheBoroughandisavalidandbindingobligation oftheBorough,enforceableagainsttheBoroughinaccordancewithitsterms,except onlytotheextentthat enforcement ofpaymentmaybelimitedbybankruptcy, insolvencyorotherlawsaffectingcreditors'rightsandbytheapplicationofequitable principlesandtheexerciseofjudicialdiscretioninappropriatecases. 3.The2015ABondhasbeendulyauthorizedandissuedbytheBorough andisissuedinfullcompliancewiththeprovisionsoftheConstitutionandlawsofthe StateofAlaskaandtheordinancesandresolutionsoftheBoroughrelatingthereto. 4.The2015ABondconstitutesavalidandbindinggeneralobligationofthe Boroughpayablefromannual advalorem taxestobeleviedwithoutlimitationastorate oramountonallofthetaxablepropertywithintheBorough,exceptonlytotheextent thatenforcementofpaymentmaybelimitedbybankruptcy,insolvencyorotherlaws affectingcreditors'rightsandbytheapplicationofequitableprinciplesandtheexercise ofjudicialdiscretioninappropriatecases. 5.AssumingcompliancebytheBoroughafterthedateofissuanceofthe 2015ABondwithapplicablerequirementsoftheCode,theinterestonthe2015ABond isexcludedfromgrossincomeforfederalincometaxpurposesandisnotanitemoftax preferenceforpurposesofthealternativeminimumtaxapplicabletoindividuals; however,whileinterestonthe2015ABondalsoisnotanitemoftaxpreferencefor purposesofthealternativeminimumtaxapplicabletocorporations,interestonthe 2015ABondreceivedbycorporationsistobetakenintoaccountinthecomputationof 51466920.1 LEVESQUELAWGROUP,LLC KodiakIslandBorough,Alaska AlaskaMunicipalBondBank September16,2015 Page3 adjustedcurrentearningsforpurposesofthealternativeminimumtaxapplicableto corporations,interestonthe2015ABondreceivedbycertainScorporationsmaybe subjecttotax,andinterestonthe2015ABondreceivedbyforeigncorporationswith UnitedStatesbranchesmaybesubjecttoaforeignbranchprofitstax. 6.Interestonthe2015ABondisfreefromtaxationbytheStateofAlaska exceptfortransfer,estateandinheritancetaxes,andexcepttotheextentinterestonthe 2015ABondreceivedbycorporationsandtakenintoaccountinthecomputationof adjustedcurrentearningsforpurposesofthealternativeminimumtaxapplicableto corporationsmayaffectthecorrespondingprovisionsoftheStateofAlaskacorporate incometax. Weexpressnoopinionregardinganyotherfederalorstatetaxconsequencesof receiptofinterestonthe2015ABond. Thisopinionisgivenasofthedatehereof,andweassumenoobligationto reviseor supplement thisopiniontoreflectanyfactsorcircumstancesthatmay hereaftercometoourattention,oranychangesinlawthatmayhereafteroccur. Webringtoyourattentionthefactthattheforegoingopinionsareexpressionsof ourprofessional judgment onthemattersexpresslyaddressedanddonotconstitute guaranteesofresult.No attorney-client relationshiphasexistedorexistsbetweenour firmandtheAlaskaMunicipalBondBankinconnectionwiththe2015ABondorby virtueofthisletter. Respectfullysubmitted, LEVESQUELAWGROUP,LLC ~l.,1'\.t..~~ JosephN.Levesque 51466920,I LEVESQUE LAW GROU~LLC 3380C Street,Suite202 Anchorage,Alaska99503 KodiakIslandBorough,Alaska AlaskaMunicipalBondBank September 16,2015 Phone:(907)261-8935 Fax:(206)309-0667 Email:joe@levesquelawgroup.com Re:KodiakIslandBorough,Alaska $1,780,000GeneralObligationSchoolBond,2015SeriesB Wehaveservedasco-bondcounseltoKodiakIslandBorough,Alaska(the "Borough"),inconnectionwiththeissuanceoftheabove-referencedbond(the"2015B Bond"),andinthatcapacityhaveexaminedsuchlawandsuchcertifiedproceedings andotherdocumentsaswehavedeemednecessarytorenderthisopinion.Asto mattersoffactmaterialtothisopinion,wehaverelieduponrepresentationscontainedin thecertifiedproceedingsandothercertificationsofpublicofficialsfurnishedtous, withoutundertakingtoverifythesamebyindependentinvestigation. The2015BBondisissuedbytheBoroughpursuanttoResolutionNo.FY2016- 06(the"Resolution"),underandinaccordancewiththeConstitutionandlawsofthe StateofAlaskaandtheordinancesandresolutionsoftheBorough. Wehavenotbeenengagedtoreviewandthusexpressnoopinionconcerning thecompletenessoraccuracyofanyofficialstatement,offeringcircularorothersalesor disclosurematerialrelatingtotheissuanceofthe2015BBondorotherwiseusedin connectionwiththe2015BBondortheAlaskaMunicipalBondBankGeneralObligation Bonds,2015SeriesThree(the"BondBankBonds"),aportionoftheproceedsofwhich arebeingusedtoacquirethe2015BBond,orotherwiseusedinconnectionwiththe 2015BBondortheBondBankBonds. UndertheInternalRevenueCodeof1986,asamended(the"Code"),the Boroughisrequiredtocomplywithcertainrequirementsafterthedateofissuanceof the2015BBondinordertomaintaintheexclusionoftheinterestonthe2015BBond fromgrossincomeforfederalincometaxpurposes,including,withoutlimitation, requirementsconcerningthequalifieduseof2015BBondproceedsandthefacilities financedorrefinancedwith2015BBondproceeds,limitationsoninvestinggross proceedsofthe2015BBondinhigheryieldinginvestmentsincertaincircumstances 51468121.1 LEVESQUELAWGROUP,LLC KodiakIslandBorough,Alaska AlaskaMunicipalBondBank September16,2015 Page2 andthearbitragerebaterequirementtotheextentapplicabletothe2015BBond.The BoroughhascovenantedintheResolutiontocomplywiththoserequirements,butifthe Boroughfailstocomplywiththoserequirements,interestonthe2015BBondcould becometaxableretroactivetothedateofissuanceofthe2015BBond.Wehavenot undertakenanddonotundertaketomonitortheBorough'scompliancewithsuch requirements. Basedupontheforegoing,asofthedateofinitialdeliveryofthe2015BBondto thepurchaser thereof andfullpaymenttherefor,itisouropinionthatunderexistinglaw: 1.TheBoroughisadulyorganizedandlegallyexistingmunicipalcorporation underthelawsoftheStateofAlaska. 2.TheLoan Agreement betweentheBoroughandtheAlaskaMunicipal BondBankdatedasofSeptember1,2015,relatingtothe2015BBond,hasbeenduly authorized,executedanddeliveredbytheBoroughandisavalidandbindingobligation oftheBorough,enforceableagainsttheBoroughinaccordancewithitsterms,except onlytotheextentthat enforcement ofpaymentmaybelimitedbybankruptcy, insolvencyorotherlawsaffectingcreditors'rightsandbytheapplicationofequitable principlesandtheexerciseofjudicialdiscretioninappropriatecases. 3.The2015BBondhasbeendulyauthorizedandissuedbytheBorough andisissuedinfullcompliancewiththeprovisionsoftheConstitutionandlawsofthe StateofAlaskaandtheordinancesandresolutionsoftheBoroughrelatingthereto. 4.The2015BBondconstitutesavalidandbindinggeneralobligationofthe Boroughpayablefromannual advalorem taxestobeleviedwithoutlimitationastorate oramountonallofthetaxablepropertywithintheBorough,exceptonlytotheextent thatenforcementofpaymentmaybelimitedbybankruptcy,insolvencyorotherlaws affectingcreditors'rightsandbytheapplicationofequitableprinciplesandtheexercise ofjudicialdiscretioninappropriatecases. 5.AssumingcompliancebytheBoroughafterthedateofissuanceofthe 2015BBondwithapplicablerequirementsoftheCode,theinterestonthe2015BBond isexcludedfromgrossincomeforfederalincometaxpurposesandisnotanitemoftax preferenceforpurposesofthealternativeminimumtaxapplicabletoindividuals; however,whileinterestonthe2015BBondalsoisnotanitemoftaxpreferencefor purposesofthealternativeminimumtaxapplicabletocorporations,interestonthe 2015BBondreceivedbycorporationsistobetakenintoaccountinthecomputationof adjustedcurrentearningsforpurposesofthealternativeminimumtaxapplicableto 51468121.1 LEVESQUELAWGROUP,LLC KodiakIslandBorough,Alaska AlaskaMunicipalBondBank September 16,2015 Page3 corporations,interestonthe2015BBondreceivedbycertainScorporationsmaybe subjecttotax,andinterestonthe2015BBondreceivedbyforeigncorporationswith UnitedStatesbranchesmaybesubjecttoaforeignbranchprofitstax. 6.Interestonthe2015BBondisfreefromtaxationbytheStateofAlaska exceptfortransfer,estateandinheritancetaxes,andexcepttotheextentinterestonthe 2015BBondreceivedbycorporationsandtakenintoaccountinthecomputationof adjustedcurrentearningsforpurposesofthealternativeminimumtaxapplicableto corporationsmayaffectthecorrespondingprovisionsoftheStateofAlaskacorporate incometax. Weexpressnoopinionregardinganyotherfederalorstatetaxconsequencesof receiptofinterestonthe2015BBond. Thisopinionisgivenasofthedatehereof,andweassumenoobligationto reviseorsupplementthisopiniontoreflectanyfactsorcircumstancesthatmay hereaftercometoourattention,oranychangesinlawthatmay hereafter occur. Webringtoyourattentionthefactthattheforegoingopinionsareexpressionsof ourprofessional judgment onthemattersexpresslyaddressedanddonotconstitute guaranteesofresult.No attorney-client relationshiphasexistedorexistsbetweenour firmandtheAlaskaMunicipalBondBankinconnectionwiththe2015BBondorby virtueofthisletter. Respectfullysubmitted, LEVESQUELAWGROUP,LLC ~~11..t~-~r··" JosephN.Levesque 51468121.1 years years N/A N/A N/A N/A Fonm 8038-G (Rev.9-2011) 31Enterthe remaining weighted average maturity ofthe bonds tobe currently refunded .~ 32Entertheremaining weighted average maturity ofthe bonds tobe advance refunded ~ 33Enterthelastdateonwhichtherefunded bonds willbecalled (MM/DDIYYYY)~ 34Enterthedate(s)therefunded bonds wereissued ~(MM/DDIYYYY) For Paperwork Reduction Act Notice,see separate instructions.Cat.No.63773S Form8038-G Information ReturnforTax-ExemptGovernmental Obligations (Rev.September 2011)~UnderInternalRevenueCodesection 149(e)OMS No.1545-0720 Department ofthe Treasury ~Seeseparateinstructions. Internal Revenue Service Caution:If theissue price is under $100,000,useFormB03B-GC..[J Reporting Authority If Amended Return,check here ~D 1 Issuer's name 2 Issuer's employer identification number (EIN) Kodiak IslandBorough,Alaska 92-0030845 aa Name of person (other thanissuer)with whom theIRSmay communicate about this return (see instructions)3b Telephone number of other person shown on3a 4 Number and street (orP.O.box if mailisnot delivered to street address)I Room/suite 5 Report number (ForIRS Use Only) 710 Mill Bay Road 1311 6 City,town,or post office.state,andZIP code 7 Dateofissue Kodiak,Alaska 99615 9/16/2015 8 Nameofissue 9 CUSIP number Ccneral Obligation SchoolBond,2015 Se ries A anti 2015 So..iesB N/A 10a Name andtitleof officer or other employee ofthe issuer whom theIRSmaycallfor more information (see 10b Telephone number of officer or other instructions)employee shown on10a Karleron Short,Finance Director 907-486-9320 •~ili.Type of Issue (enter the issue price).Seethe instructions and attach schedule. 11 Education.11 9,062,818 12Healthand hospital 12 13 Transportation 13 14 Public safety .14 15 Environment (includinq sewage bonds)15 16Housing 16 17 Utilities 17 18 Other.Describe ~18 19 lt obfiqations '"TAN'0'RAN"hock 001,box taa •••••••••••••~0 .Sf(~ If obiigations areBANs,check onlybox19b ~D:',,',,-': 20If obligations areintheformofaleaseor installment sale,checkbox ~D iC!lf',! '."j '£'F":') l=lI,II Description of Obligations.Complete for the entire issue for which this form is being filed. (a)Final maturity date (b)Issue price (c)Stated redemption (d)Weighted (e)Yieldpriceatmaturityaveragematurity 21 10/0112035 s 9,062,818 $7,990,000 10.8178 vears 3.6984 %..Uses of Proceeds of Bond Issue (including underwriters'discount) 22 Proceeds usedfor accrued interest 22 0 23 Issuepriceofentireissue(enter amount fromline21,column (b))23 9,062,818 24Proceedsusedforbondissuancecosts(includingunderwriters'discount).24 61,209 25 Proceeds usedfor credit enhancement 25 0 26 Proceeds allocated toreasonably required reserveor replacement fund26 0 27 Proceeds usedto currently refundpriorissues 27 0 28 Proceeds usedtoadvancerefund prior issues 28 0 ...-. 29 Total(addlines24 through 28).29 61,209 30 Nonrefunding proceeds oftheissue (subtract line29fromline23andenter amount here)30 9,001,609 •=iII.'.Description of Refunded Bonds.Complete this part only for refunding bonds. .. Form B03B-G (Rev.9-2011)Page 2 1:F-filt.'ll Miscellaneous 35 Enterthe amount ofthestatevolumecap allocated totheissue under section 141(b)(5)35 N/A 36a Enterthe amount ofgross proceeds invested ortobeinvestedina guaranteed investment contract 1;;·>- (GIG)(see instructions)36a N/A b Enterthefinal maturity dateoftheGIC ~I;;;;;~~:icEnterthenameoftheGICprovider~ 37Pooled financings:Enterthe amount ofthe proceeds ofthisissue that aretobeusedtomakeloans toother governmental units 37 N/A o o D D D~ are remediated ~ ~ 38aIfthisIssue IS aloanmadefromthe proceeds of another tax-exempt Issue,check box ~0 andenterthe following Information: b Enterthedateofthe master pool obligation ~-'0"'9-'/1'-'6-'/2'-'0-'1"'5 _ cEntertheEINoftheissuerofthe master pool obligation ~..09-=2-'-6'-'°-'°-=.1:;.18=5"---_ dEnterthenameoftheissuerofthe master pool obligation ~Alaska Municipal Bond Bank 39Iftheissuerhas designated theissueundersection 265(b)(3)(B)(i)(lIl)(smallissuer exception),check box 40Iftheissuerhas elected topaya penalty inlieuof arbitrage rebate,check box. 41aIftheissuerhas identified ahedge,check here ~D andenterthe following information: bNameofhedge provider ~ cTypeofhedge ~_ dTermof hedge ~_--,--.,----_--,--,-----,-----,-_---,---,--,--_ 42Iftheissuerhas superintegrated thehedge,.check box 43Iftheissuerhas established written procedures toensurethatall nonqualified bonds ofthisissue according tothe requirements under theCodeand Regulations (see instructions),check box, 44Iftheissuerhas established written procedures to monitor the requirements of section 148,check box. 45aIfsome portion ofthe proceeds wasusedto reimburse expenditures,check here ~D andenterthe amount of reimbursement ..~ b Enterthedatethe official intent was adopted ~_ Signature and Consent Under penalties of perjury,1declare that Ihave examined thisreturnand accompanying schedules and statements,andtothe best ofmy knowledge andbelief,theyaretrue,correct,and complete.IfurtherdeclarethatIconsenttotheIRS's disclosure oftheissuer'sreturninformation,asnecessaryto p~roce~ssth:s retUj/,/he persJj'?~:ave authorized above.09/16/2015 :::'-+...~"--"~~=:'-___,_-'>f--'-'..~=..c:JO~~___,_c:_-------_=_"===-=-----~}(arleton Short,Finance Director Siw;ture ofissuer'sauthorizedrepresentative Date r Type orprintnameandtitle Paid Preparer Use Only Print/Typepreparer'sname IPreparer'ssignature I Date ICheck 0 if IPTIN M"rc R.Greenough I ~l'?rv.u.'(1..r 09/1612015 self-employed I P01061698 Firm'sname ~Foster Pennel'PLLC •~I Firm'sEIN ~91-0606972 Firm'saddress ~1111 Third A venue,Suite 3400,Seattle,WA 98101 I Phoneno.(206)447-4400 Form8038-G (Rev.9-2011) ALASKAMUNICIPALBONDBANK $96,210,000 GENERAL OBLIGATION BONDS,2015SERIESTHREE BOND PURCHASE CONTRACT August26,2015 AlaskaMunicipalBondBank 333WilloughbyAvenue,11 thFloor PostOfficeBox110405 Juneau,Alaska99811 LadiesandGentlemen: RBCCapitalMarkets,LLC(the "Representative"),actingon behalf of itself andas representative of Bank of America MerrillLynch,PierceFenner &Smith Incorporated and Goldman,Sachs &Co.(collectively,the "Underwriters"),herebyofferstoenterintothisBond PurchaseContract(the "Purchase Contract")withtheAlaskaMunicipalBondBank(the"Bond Bank").TheoffermadeherebyissubjecttoacceptancebytheBondBankbyexecutionand delivery of thisPurchaseContracttothe Representative atorpriorto11:00p.m.,Alaskatime,on thedatesetforthabove.If theoffermadeherebyisnotsoaccepted,thisPurchaseContractwill besubjecttowithdrawalbythe Representative uponnoticedeliveredbytheRepresentativeto theBondBankatanytimepriortotheacceptance hereof bytheBondBank.TheBondBank acknowledgesthat(a)thepurchaseandsale of the2015SeriesThreeBonds(definedherein) pursuanttothisPurchaseContractisan arm's-length commercial transaction betweentheBond BankandtheUnderwriters,(b)inconnectionwithsuch transaction,each Underwriter isacting solelyasprincipalandnotasanagentorfiduciary of theBondBank,(c)no Underwriter has assumed (i)afiduciary responsibility infavor of theBondBankwithrespecttotheoffering of the2015SeriesThreeBondsortheprocessleadingthereto(whetherornotany Underwriter has advisedoriscurrentlyadvisingtheBondBankonothermatters)or(ii)anyotherobligationto theBondBankexcepttheobligationsexpresslysetforthinthisPurchaseContract,(d)theBond Bankhasconsultedwithitsownlegalandotherprofessionaladvisorstotheextentitdeemed appropriateinconnectionwiththeoffering of the2015SeriesThreeBonds,and(e)each Underwriterhasfinancialandotherintereststhatdifferfromthose ofthe BondBank. CapitalizedtermsusedinthisPurchaseContractthatarenototherwisedefinedshallhave themeaningsgiventosuchtermsinthe2005GeneralObligationBond Resolution adoptedby theBoard of Directors ofthe BondBankonJuly 13,2005,asamended(the"2005GeneralBond Resolution"),orSeriesResolutionNo.2015-04(S),adoptedbytheBoard of Directors of the BondBankonAugust11,2015(the "Series Resolution,"and together withthe2005General BondResolution,the"Bond Resolution"). 1.PurchaseandSale.Uponthetermsandconditionsanduponthebasis of the representations,warranties,covenantsandagreementssetforthherein,the Underwriters hereby 51462057.3 agreetopurchasefromtheBondBankforofferingtothepublic,andtheBondBankhereby agreestoselltotheUnderwritersforsuchpurpose,all(butnotlessthanall)of itsGeneral ObligationBonds,2015SeriesThree,intheaggregateprincipalamount of $96,210,000(the "2015SeriesThreeBonds").Thepurchasepriceforthe2015SeriesThreeBondsshallbe $104,076,129.62(representingtheaggregateprincipalamount of the2015SeriesThreeBonds, plusanetoriginalissuepremium of $8,208,651.10,lessan Underwriters'discount of $342,521.48). 2.The2015SeriesThreeBonds.The2015SeriesThreeBondsshallbeissued underandsecuredbytheBondResolutionandpursuanttoAS44.85.005-44.85.420,as amended(the"Act").The2015SeriesThreeBondproceedsarebeingusedforthefollowing purposes:(i)tomakefiveloanstoGovernmentalUnitsfornewmoneypurposes;and(ii)topay aportion of thecosts of issuance of the2015SeriesThreeBonds.The2015SeriesThreeBond proceedsusedfornewmoneypurposesinclude:(a)aloantotheUniversity of Alaskatopaya portion of thecosts of constructing anewCombinedHeatandPowerPlantatthe University's Fairbankscampus;(b)aloantoHainesBoroughformechanicalsystemupgradesand replacement of anairhandlingunitatHainesHighSchool;(c)twoloanstotheKodiakIsland Boroughforexpansion of KodiakHighSchoolandforvariousrenewaland replacement projects inBoroughschools;and(d)aloantotheCity of KingCovetopayaportion of thecoststo constructa run-of-the-river hydroelectricfacility. TheBank of NewYorkMellonTrustCompany,N.A.,servesasTrustee(the "Trustee") undertheBondResolution.The2015SeriesThreeBondsshallbedatedas of thedate of their initialdeliverytotheRepresentativeandshallmatureonthedatesandintheprincipalamounts, bearinterestattheratesperannum,besubjecttoredemptiononthedatesandattheredemption prices,andbeinitiallyofferedtothepublicattheprices,ortheprices corresponding tothe yields,allassetforthinSchedule1attachedhereto.The2015SeriesThreeBondsshall otherwisebeasdescribedinthePreliminaryOfficialStatementrelatingtothe2015SeriesThree BondsdatedAugust 19,2015 (includingallappendicesthereto,alldocumentsandinformation incorporatedthereinbyreferenceandanysupplementsoramendmentstheretomadepriortothe date of thisPurchaseContract,withonlysuchchangesasmayhavebeenacceptedbythe Representative,the "Preliminary OfficialStatement"). 3.Purchase.It shallbeaconditiontotheBond Bank's obligation tosellanddeliver the2015SeriesThreeBondstotheUnderwritersattheClosing(definedherein)thattheentire aggregateprincipalamount of the2015SeriesThreeBondsreferredtoinSection1shallbe purchased,acceptedandpaidforbytheUnderwritersattheClosing,anditshallbeacondition tothe Underwriters'obligationtopurchase,acceptdelivery of andpayforthe2015SeriesThree BondsattheClosingthattheentireaggregateprincipalamount of the2015SeriesThreeBonds referredtoinSection1shallbeissued,soldanddeliveredbytheBondBank. 4.OfficialStatement. (a)TheBondBankhasheretoforedeemedthePreliminaryOfficialStatement finalas of itsdateforpurposes of paragraph(b)(1)of Rule15c2-12 ("Rule 15c2-12") promulgatedbytheSecuritiesandExchangeCommissionundertheSecuritiesExchangeAct of 1934,asamended(the "Exchange Act"),exceptfortheomission of the information permittedto 2 51462057.3 beomittedunderparagraph(b)(1)ofRule15c2-12.TheBondBankhas authorized andhereby ratifiesandapprovesthedistributionanduse of thePreliminaryOfficialStatementbythe Underwritersinconnectionwiththepublicofferingandsale of the2015SeriesThreeBonds priortotheavailability of theOfficialStatement(definedherein). (b)TheOfficialStatementshallbedatedas of thedate of thisPurchase ContractandshallbeidenticalinformandcontenttothePreliminaryOfficialStatement,with onlysuchchangesasmayhavebeenacceptedbytheRepresentative.SuchOfficialStatement, together withsuchchanges,includingallappendicesthereto,alldocumentsandinformation incorporatedthereinbyreferenceandanysupplementsoramendmentstheretomadepriortothe date of theClosinginaccordancewiththisPurchaseContract,isreferredtoasthe "Official Statement."TheBondBankagreestodelivertotheUnderwritersasmanycopies of theOfficial StatementastheUnderwritersreasonablyrequesttocomplywithparagraph(b)(4)of Rule15c2-12andallapplicablerules of theMunicipalSecuritiesRulemakingBoard(the "MSRB").TheBondBankagreestodeliverthoseOfficialStatementswithinsevenbusiness daysaftertheexecutionhereof,butinanyeventatleastthreebusinessdayspriortotheClosing. TheBondBankalsoagreesthat if anamendmentorsupplementtotheOfficialStatementis acceptedbytheRepresentativeafterthedatehereof,theBondBankshalldeliverorcausetobe deliveredtotheUnderwritersasmanycopies of suchamendmentor supplement asthe Underwritersreasonablyrequesttocomplywiththerules of theMSRB.TheBondBankhereby approvestheuseanddistributionbytheUnderwriters of theOfficialStatementinconnection withthepublicofferingandsale of the2015SeriesThreeBonds. (c)ThePreliminaryOfficialStatementand/ortheOfficialStatementmaybe deliveredinprintedand/orelectronicformtotheextentpermittedby applicable rules of the MSRBandasmaybeagreedbytheBondBankandtheRepresentative.If theOfficialStatement ispreparedfordistributioninelectronicform,theBondBankherebyconfirmsthatitdoesnot objecttodistribution ofthe OfficialStatementinelectronicform. 5.Representations,WarrantiesandAgreements of theBondBank.TheBondBank representsandwarrantstoandagreeswiththeUnderwritersthatas of thedate hereof andas of thedate of theClosing: (a)TheBondBankhasfulllegalright,powerandauthoritytoadopttheBond Resolution,toexecuteanddeliverthisPurchaseContract,theLoan Agreements andthe ContinuingDisclosureCertificatesubstantiallyintheform of ExhibitBattachedtotheSeries Resolution(the "Disclosure Certificate"),toissuethe2015SeriesThreeBondsforthepurposes describedinthePreliminaryOfficialStatementandintheBondResolution,topledgeandassign tothepaymentofthe2015SeriesThreeBondsthefullfaithandcredit of theBondBank,all MunicipalBonds,allMunicipalBondsPayments,theinvestmentsthereof,theproceeds of such investmentsandallfundsandaccountsestablishedbythe2005GeneralBondResolution, subjecttotheapplication thereof tothepurposesandontheconditionspermittedbytheterms of theBondResolution,andtoobserveandperformthecovenantsand agreements containedinthe BondResolution,thisPurchaseContract,theLoanAgreements,theDisclosure Certificate and the2015SeriesThreeBonds. 3 51462057.3 (b)Byallnecessaryofficialaction,theBondBankhasauthorized,ratified andapprovedtheOfficialStatementandthedistributionbytheUnderwriters of theOfficial Statementtopurchasersandprospectivepurchasers of the2015SeriesThreeBonds. (c)TheBondBankhasdulyadoptedtheBondResolutionatmeetingsduly noticed,calledandheld,andtheBondResolutionisinfullforceandeffectandhasnotbeen repealed;theBondBankhasdulyauthorizedandapprovedtheexecutionanddeliveryof,andthe observanceandperformancebytheBondBank of itscovenantsand agreements containedin, thisPurchaseContract,theLoanAgreements,theDisclosureCertificateandthe2015Series ThreeBonds,andtheconsummationbytheBondBank of alltransactions contemplated thereby tohavebeenconsummatedatorpriortothedate of theClosing;andtheBondBankisin complianceinallrespectswithitsobligationsinconnectionwiththeissuance of the2015Series ThreeBondscontainedtherein. (d)ThePreliminaryOfficialStatement,otherthaninformationconcerning DTC,theUnderwritersandtheinformationinAppendixD(astowhichno representation or warrantyismadeinthissubsection),didnotas of itsdateanddoesnotas of thedate of this PurchaseContractcontainanyuntruestatement of amaterialfactoromittostateamaterialfact necessarytomakethestatementstherein,inthelight of thecircumstancesunderwhichtheywere made,notmisleading. (e)Theinformationin Appendix DofthePreliminaryOfficial Statement has beenobtainedfromsourcesthattheBondBankbelievestobereliable,andnothinghascometo theattention of theBondBankthatwouldcausetheBondBanktobelievethatsuchinformation, as of thedate of thePreliminaryOfficialStatementandas of thedate of thisPurchaseContract, containedorcontainsanuntruestatement of amaterialfactoromittedoromitsanystatement of materialfactnecessarytomakethestatementstherein,inlight of the circumstances underwhich theyweremade,notmisleading. (f)TheOfficialStatement,otherthaninformation concerning DTC,the UnderwritersandtheinformationinAppendixD(astowhichnorepresentationorwarrantyis madeinthissubsection),doesnotas of thedate of thisPurchaseContractand,if supplemented oramendedpursuanttoSection5(h),atthetime of eachsupplementor amendment thereto,asso supplemented oramended,willnot,containanyuntruestatement of amaterialfactoromitto stateamaterialfactnecessarytomakethestatementstherein,inthelight of the circumstances underwhichtheyweremade,notmisleading. (g)Theinformationin Appendix D of theOfficialStatementhasbeen obtainedfromsourcesthattheBondBankbelievestobereliable,andas of thedate of this PurchaseContract,nothinghascometotheattention of theBondBankthatwouldcausethe BondBanktobelievethatsuchinformationcontainsanuntruestatement of amaterialfactor omitsanystatement of materialfactnecessarytomakethestatementstherein,inlight of the circumstances underwhichtheyweremade,notmisleading,and,if theOfficialStatementis supplementedoramendedpursuanttoSection5(h),atthetime of each supplement or amendment thereto,nothingshallhavecometotheattention of theBondBankthatwouldcause theBondBanktobelievethatsuchinformationcontainsanuntruestatement of amaterialfactor 4 51462057.3 omitsanystatement of materialfactnecessarytomakethestatementstherein,inlight of the circumstances underwhichtheyweremade,notmisleading. (h)If,betweenthedate of thisPurchaseContractandthedatethatis25days followingthe "end of theunderwritingperiod"(asdefinedinRule15c2-12),anyeventshall occuroranyfactshallbecomeknowntotheBondBankthatmightorwouldcausetheOfficial Statement,asthensupplementedoramended,tocontainanyuntruestatement of amaterialfact oromittostateamaterialfactnecessarytomakethestatementstherein,inthelight of the circumstances underwhichtheyweremade,notmisleading,theBondBankshallpromptly notifytheRepresentative thereof andif,intheopinion of theRepresentative,suchevent,factor conditionrequiresthepreparationandpublication of asupplementoramendmenttotheOfficial Statement,theBondBankatitsexpenseshallsupplementoramendtheOfficialStatementina formandinamannerapprovedbytheRepresentative. (i)TheBondBankisapublicbodycorporateandpoliticconstitutedasa public corporation andaninstrumentality of theState of Alaska(the "State")withinthe Department of Revenuebuthavingalegalexistenceindependent of andseparatefromtheState, exercisingpublicandessentialgovernmentalfunctionsandcreatedbytheAct. U)Betweenthedate hereof andtheClosing,theBondBankwillnotwithout thepriorwrittenconsent of the Representative supplement oramendtheOfficialStatementor offerorissueanygeneralobligationbondsorsecuritiesorofferorissuetoanypartyotherthan theUnderwritersanybondsorsecuritiesinlieu of the2015SeriesThreeBondsandwillnot, withoutpriorwrittennoticetothe Representative,offerorissueanyotherbonds,notesorother obligationsforborrowedmoneyorincuranyothermaterialliabilities,directorcontingent,other thanintheordinarycourse of itsbusiness. (k)Withrespecttotheissuanceandsale of the2015SeriesThreeBonds,the BondBankisnotinmaterialbreach of orinmaterialdefaultundertheBondResolutionorany constitutional provision,law,ordinance,regulation,order,permit,loanagreement,note,bond, resolution,agreementorotherinstrumentrelatingtotheissuance of the2015SeriesThreeBonds towhichtheBondBankis,oronthedate of theClosingwillbe,apartyortowhichtheBond Bankorany of itspropertiesorassetsisotherwisesubjectorinanywayrelatingtotheBond Resolution,thisPurchaseContract,theLoanAgreements,theDisclosureCertificate,the2015 SeriesThreeBondsortheOfficialStatement;andnoeventtotheBond Bank's knowledgehas occurredandiscontinuingthatconstitutesorthat,withthepassage of timeorthegiving of notice,orboth,wouldconstituteamaterialbreach of oramaterialdefaultorevent of default undertheBondResolution,thisPurchaseContract,theLoanAgreements,theDisclosure Certificate,the2015SeriesThreeBondsoranyconstitutionalprovision,law,ordinance, regulation,order,permit,loanagreement,note,bond,resolution,agreementorotherinstrument relatingtotheissuance of the2015SeriesThreeBondstowhichtheBondBankis,oronthedate of theClosingwillbe,apartyortowhichtheBondBankorany of its properties orassetsis otherwisesubject. (I)Theadoption of theBondResolutionandtheexecutionanddelivery of thisPurchaseContract,theLoanAgreements,theDisclosureCertificateandthe2015Series ThreeBondsandtheobservanceand performance of theBond Bank's covenantsand obligations 5 51462057.3 hereunderand thereunder willnotconflictwithorconstituteamaterialbreach of ormaterial defaultbytheBondBankundertheBondResolutionoranyconstitutionalprovision,law, ordinance,regulation,order,permit,loanagreement,note,bond,resolution,agreementorother instrumenttowhichtheBondBankis,oronthedate of theClosingwillbe,apartyortowhich theBondBankorany of itspropertiesorassetsisotherwisesubject,norwillanysuchadoption, execution,delivery,observanceorperformanceresultinthecreationorimposition of anylien, chargeorothersecurityinterestor encumbrance of anynaturewhatsoeverbytheBondBank uponany of itspropertiesorassetsorundertheterms of anysuchconstitutionalprovision,law, ordinance,regulation,order,permit,loanagreement,note,bond,resolution,agreementorother instrument,exceptasprovidedbytheBondResolution,thisPurchaseContract,theLoan Agreements,theDisclosureCertificateorthe2015SeriesThreeBonds. (m)Thereisnoaction,suit,proceeding,inquiryorinvestigation,atlaworin equity,beforeorbyanycourt,government agency,publicboardorbody,pendingagainstthe BondBankor,totheBond Bank's actualknowledge,threatenedagainsttheBondBank,of the naturedescribedasfollows: (i)affectingtheexistence of theBondBankorthetitles of itsofficers totheirrespectiveoffices,or (ii)affectingorseekingtoprohibit,restrainorenjointheissuance,sale ordelivery of the2015SeriesThreeBondsorthepledgeandassignment of theBondBank pursuanttotheBondResolutionortheapplication of theproceeds of thesale ofthe 2015Series ThreeBonds,or (iii)contestingoraffectingthepowers of theBondBankwithrespect to,orthevalidityor enforceability of,oranyauthorityfor,any of theBondResolution,this PurchaseContract,theLoanAgreements,theDisclosureCertificateorthe2015SeriesThree Bonds,ortheobservanceandperformancebytheBondBank of itscovenantsandobligations underany ofthe foregoing,or (iv)affectingtheownership of any of theBond Bank's assets,or (v)contestingthe tax-exempt status of interestonthe2015Series ThreeBonds,or (vi)contestingthe completeness oraccuracy of thePreliminaryOfficial StatementortheOfficialStatementorassertingthatthePreliminaryOfficialStatementorthe OfficialStatementcontainedorcontainsanyuntruestatement of amaterialfactoromittedor omitstostateanymaterialfactnecessarytomakethestatementstherein,inthelight of the circumstances underwhichtheyweremade,notmisleading. (n)TheBondBankshallfurnishsuchinformation,executesuchinstruments andtakesuchotheractionnotinconsistentwithlawincooperationwiththeRepresentativeas maybereasonablyrequestedto:(i)qualifythe2015SeriesThreeBondsforofferandsaleunder theBlueSkyorothersecuritieslawsandregulations of suchstatesandother jurisdictions of the UnitedStatesasmaybedesignatedbythe Representative and(ii)determinetheeligibility ofthe 2015SeriesThreeBondsforinvestmentunderthelaws of suchstatesandother jurisdictions, 6 51462057.3 exceptthattheBondBankshallnotberequiredinconnectiontherewith,orasacondition thereof,tobearanycost thereof ortoexecuteageneralconsenttoservice of processortoqualify todobusinessinconnectionwithanysuchqualificationor determination inany jurisdiction. (0)The2015SeriesThreeBonds,whenissuedanddeliveredinaccordance withtheBondResolutionandsoldtotheUnderwritersasprovidedherein,willbe,thisPurchase Contractis,andtheLoan Agreements andtheDisclosureCertificate,whenexecutedand delivered,willbe,legal,validandbindingobligations of theBondBank,enforceablein accordancewiththeirrespectiveterms,excepttotheextentthatenforceabilitymaybelimitedby orrenderedineffectivebybankruptcyinsolvency,fraudulentconveyance,reorganization, moratoriumandothersimilarlawsaffecting creditors'rightsgenerallyortheapplication of equitableprinciplesandtheexercise ofjudicial discretionin appropriate cases;theowners of the 2015SeriesThreeBondswillbeentitledtothebenefits of theBondResolution;anduponsuch issuanceanddelivery,the2015SeriesThreeBondsshallconstitutelegal,validandbinding obligations of theBondBank,issuedinconformitywithandentitledtothebenefitandsecurity ofthe BondResolution. (p)Allauthorizations,approvals,licenses,permits,consentsandorders of any governmentalauthority,legislativebody,court,board,agencyorcommissionhaving jurisdiction of thematterthatarerequiredtobeobtainedbytheBondBankpriortothesale of the2015 SeriesThreeBondsforthedueauthorizationof,thatwouldconstituteaconditionprecedenttoor theabsence of whichwouldmateriallyadverselyaffectthedueobservanceandperformanceby theBondBank of itscovenantsandobligationsinconnectionwiththeissuanceandsale of the 2015SeriesThreeBondsundertheBondResolutionandthisPurchaseContract,theexecution anddelivery of thisPurchaseContract,theLoanAgreements,theDisclosureCertificateandthe 2015SeriesThreeBondsortheobservanceorperformancebytheBondBank of itscovenants andobligationsunderany ofthe BondResolution,thisPurchaseContract,theLoanAgreements, theDisclosureCertificateandthe2015SeriesThreeBonds,havebeendulyobtained,exceptfor suchapprovals,consentsandordersasmayberequiredundertheBlueSkyorsecuritieslaws of anystateinconnectionwiththeofferingandsale of the2015SeriesThreeBonds,astowhichno representationismade. (q)Thefinancialstatementsandotherhistoricalfinancialinformation of the BondBankcontainedinthePreliminaryOfficialStatementfairlypresentthefinancialposition of theBondBankas of thedatesindicated,fortheperiodsthereinspecified;andexceptas otherwisedisclosedinthePreliminaryOfficialStatementandtheOfficialStatement,therehas beennomaterialadversechangeinthefinancialconditionorresults of operations of theBond Banksincetherespectivedatesthereof. (r)Anycertificatesignedbyanyofficial of theBondBankanddeliveredto theRepresentativeshallbedeemedtobearepresentationandagreementbytheBondBank(and notbyanyofficialinhisorherindividualcapacity)toorwiththeUnderwritersastothe statementsmadethereinas if setforthherein. (s)TheBondBankhasneverdefaultedinthepayment of principal of or interestonany of itsdebtobligations,andtheBondBankhasnotfailedwithinthepreviousfive yearstocomplyinallmaterialrespectswithany of itsundertakings pursuant toparagraph(b)(5) 7 51462057.3 of Rule15c2-12,exceptasdisclosedinthePreliminaryOfficialStatementandtheOfficial Statement. (t)TheBondBankwillundertake,pursuanttotheDisclosureCertificate,to providecertainannualfinancialinformationandnoticesupontheoccurrence of certainevents,if material,andtheform of thisundertakingisaccuratelysetforthinthePreliminaryOfficial StatementandwillbeaccuratelysetforthintheOfficialStatement. (u)TheBondBankwillcauseeachObligatedPerson(asdefinedinthe PreliminaryOfficialStatement)toenterintoawrittenagreementorcontractforthebenefit of the holders of the2015SeriesThreeBondstoprovidetotheMSRBcertainannualfinancial information,includingauditedfinancialstatementsandoperatingdata,andtimelynotice of any failuretoproviderequiredinformationonorbeforethedatespecifiedinsuchagreementor contract. 6.Closing.At8:00a.m.,Pacifictime,onSeptember16,2015,oratsuchotherdate andtimeasshallhavebeenmutuallyagreeduponbytheBondBankandtheRepresentative,the BondBankshalldeliverorcausetobedelivered(a)totheTrusteeinaccordancewiththeFAST closingprocedures of DTC,the2015SeriesThreeBondsindefinitiveformdulyexecutedbythe BondBankand(b)totheRepresentative,theotherdocumentsspecifiedinSection7(c);and subjecttothetermsandconditionscontainedherein,the Representative shallacceptsuch deliveryandpaythepurchaseprice of the2015SeriesThreeBondsassetforthinSection1in immediatelyavailablefunds,inanaggregateamountequaltotheaggregatepurchasepriceset forthinSection1. Paymentforthedelivery of the2015SeriesThreeBondsasaforesaidshallbemade throughtheoffices of DTCinNewYork,NewYork,andallotherdocuments hereinafter mentionedshallbedeliveredtotheoffices of K&LGatesLLPinSeattle,Washington,oratsuch otherplaceasshallhavebeenmutuallyagreeduponbytheBondBankandtheRepresentative. Suchpaymentanddeliveryisreferredtoasthe "Closing."The Representative shallorderCUSIP identificationnumbers,andtheBondBankshallcausesuchCUSIPidentificationnumberstobe printedonthe2015SeriesThreeBonds,butneitherthefailuretoprintsuchnumberonany2015 SeriesThreeBondnoranyerrorwithrespecttheretoshallconstitutecauseforafailureorrefusal bytheUnderwriterstoacceptdelivery of andtopayforthe2015SeriesThreeBondsin accordancewiththeterms of thisPurchaseContract.The2015SeriesThreeBondsshallbe preparedanddeliveredatleastonebusinessdaypriortothedate of theClosingtotheTrusteein theform of onecertificateforeachmaturity,fullyregisteredinthename of Cede&Co.(orsuch othernameasmayberequestedbyanauthorizedrepresentative of DTC),asnominee of DTC. 7.ClosingConditions.Theobligations of theUnderwriters hereunder shallbe subjecttotheperformancebytheBondBank of itsobligations hereunder atorpriortothe Closingandarealsosubjecttotheconditionsdescribedbelow. (a)Therepresentationsandwarranties of theBondBankcontainedor incorporatedintheBondResolution,thisPurchaseContract,theLoanAgreements,the Disclosure Certificate andthe2015SeriesThreeBondsshallbetrue,completeandcorrectinall 8 51462057.3 material respects as of thedate hereof andas of thedate of the Closing asifmadeonthedate of the Closing. (b)Atthetime of the Closing,(i)each of theBond Resolution,this Purchase Contract,theLoan Agreements andthe Disclosure Certificate shallbeinfullforceand effect and shallnothavebeen amended,modified or supplemented afterthedate thereof except asshall havebeen agreed toin writing bythe Representative oras otherwise permitted bytheterms of such document;and(ii)the Bond Bank shallhave performed its respective obligations required underor specified intheBond Resolution,this Purchase Contract,theLoan Agreements,the Disclosure Certificate orthe2015SeriesThreeBondstohavebeen performed ator prior tothe Closing. (c)Ator prior tothe Closing,the Representative shall receive the following documents,ineachcase reasonably satisfactory informand substance tothe Representative and to Foster Pepper PLLC,counseltothe Underwriters: (i)TheOfficial Statement executed byan authorized officer of the BondBank. (ii)Executed or certified copies(as appropriate)of each of the following,withonlysuch changes or amendments afterthedate hereof asmayhavebeenagreed toin writing bythe Representative: (A)theBond Resolution; (B)the Loan Agreements; (C)the Disclosure Certificate;and (D)the Bond Bank's Blanket Issuer Letter of Representations toDTC. (iii)The approving opinion of Wohlforth,Brecht &Cartledge ("Bond Counsel"),datedthedate of the Closing and addressed tothe Underwriters,substantially inthe formsetforthin Appendix Atothe Preliminary Official Statement. (iv)The supplemental opinion of Bond Counsel,dated thedate of the Closing and addressed tothe Underwriters,totheeffectthat: (A)the Bond Bank isapublicbody corporate andpolitic constituted asapublic corporation andan instrumentality of theState within the Department of Revenue but having alegal existence independent of and separate fromtheState,exercising publicand essential governmental functions andcreatedbytheAct; (B)theBond Resolution,this Purchase Contract,theLoan Agreements andthe Disclosure Certificate havebeenduly authorized,executed and delivered by the Bond Bank and (assuming inthecase of this Purchase Contract andtheLoan Agreements the due authorization,execution and delivery thereof bythe other parties thereto)constitute legal, 9 51462057.3 validandbindingagreements of theBondBankenforceableagainsttheBondBankin accordancewiththeterms of suchagreementsexceptas enforcement maybelimitedbyor renderedineffectivebybankruptcy,insolvency,fraudulent conveyance,reorganization, moratoriumandothersimilarlawsaffecting creditors'rightsgenerallyortheapplication of equitableprinciplesandtheexercise ofjudicial discretioninappropriatecases; (C)theBondBankhasduly authorized thedistributionbythe Underwriters of thePreliminaryOfficialStatementandtheOfficialStatementtopotential purchasers of the2015SeriesThreeBonds; (D)the2015SeriesThreeBondsarefullynegotiableforall purposes of AS45.01-45.08,AS45.12,AS45.14andAS45.29,andholders of the2015Series ThreeBonds,byacceptingthe2015SeriesThreeBonds,are conclusively consideredtohave agreedthatsuch2015SeriesThreeBondsarefullynegotiableforallpurposes of AS45.01-45.08,AS45.12,AS45.14andAS45.29; (E)thestatementscontainedinthePreliminaryOfficial StatementandtheOfficialStatementundertheheadings "DESCRIPTION OFTHE2015 SERIESTHREE BONDS,""SECURITY FORTHE2015SERIESTHREE BONDS," "SUMMARY OFTHE2005GENERALBOND RESOLUTION,""TAX MATTERS," "CONTINUING DISCLOSURE UNDERTAKING"and "DEFINITIONS"andinAppendicesA andF,insofarassuchstatementspurporttosummarizecertainprovisions of theBond Resolution,theLoanAgreements,theDisclosureCertificateandthe2015SeriesThreeBonds (otherthananyfinancialorstatisticaldatacontainedinsuchsections,aboutwhichnoopinion needbeexpressed),andcertainStateandfederallawsandtaxmatters,aretrueandcorrectinall materialrespects;and (F)the2015SeriesThreeBondsareexemptfromregistration pursuanttotheSecuritiesAct of 1933,asamended(the "Securities Act"),andtheBond ResolutionisexemptfromqualificationasanindenturepursuanttotheTrustIndentureAct of 1939,asamended(the "Trust IndentureAct"). (v)Acertificate of adulyauthorized Assistant AttorneyGeneral of the State,datedthedate of theClosing,totheeffectthat: (A)Tothebestknowledge of suchcounsel,allapprovals, consentsandorders of anyStategovernmentalauthority,board,agencyorcommissionhaving jurisdiction thatwouldconstituteconditionsprecedenttotheperformancebytheBondBank of itsobligationsundertheBondResolution,theLoan Agreements,theDisclosureCertificateand the2015SeriesThreeBondsandthatcanbereasonablyobtainedatthetime of suchcertificate havebeenobtained; (B)ThereisnoStatelitigationor proceeding pending,ortothe knowledge of suchcounsel,afterdueinquiry,threatened,inanywayaffectingtheexistence of theBondBank,orthetitles of itsofficerstotheirrespectiveoffices,orseekingtorestrainorto enjointheauthorization,saleordelivery of the2015SeriesThreeBonds,ortheright,powerand authority of theBondBanktopurchasethe2015SeriesThreeBondsandtocollectthe 10 51462057.3 Municipal Bonds Payments pledged topaythe principal of and interest onthe2015 Series Three Bonds,orthe pledge thereof,orinanyway contesting or affecting the validity or enforceability of theBond Resolution,this Purchase Contract,theLoan Agreements,the Disclosure Certificate orthe2015 Series Three Bonds,or contesting the powers of the Bond Bank orits authority with respect tothe Bond Resolution,this Purchase Contract,theLoan Agreements,the Disclosure Certificate orthe2015 Series Three Bonds;and (C)Based onthe examination of such counsel,such counsel hasno reason to believe thatthe material inthe Preliminary Official Statement or Official Statement under the caption "LITIGATION"relating tothe Bond Bank contains any untrue statement of a material factor omits to state a material fact necessary to make the statements therein,inlight of the circumstances under which they weremade,not misleading inany material respects.. (vi)An opinion of Foster Pepper PLLC,counsel tothe Underwriters, dated thedate of the Closing and addressed tothe Underwriters,tothe effect that: (A)the offer andsale of the2015 Series Three Bonds bythe Underwriters are exempt fromthe registration requirements of the Securities Act; (B)the Bond Resolution is exempt from qualification under the Trust Indenture Act; (C)the Disclosure Certificate andthis Purchase Contract together provide a suitable basis forthe Underwriters to reasonably determine,pursuant to paragraph (b)(5)(i)of Rule 15c2-12,that the Bond Bank has undertaken,ina written agreement or contract forthe benefit of the holders of the2015 Series Three Bonds,to provide the annual financial information and notices required by paragraph (b)(5)(i)of Rule 15c2-12;and (D)without undertaking to determine independently or assuming any responsibility forthe accuracy,completeness or fairness of the statements contained inthe Official Statement,no information came tothe attention of the attorneys inthat firm rendering legal services in connection with the issuance of the2015 Series Three Bonds that caused those attorneys to believe thatthe Official Statement (except any financial,economic or statistical data contained inthe Official Statement,any information contained inthe Official Statement regarding DTCorhow interest onthe2015 Series Three Bonds is treated forfederal orState income tax purposes,andthe information contained in Appendices A,C,D,EandGto the Official Statement,astoall of which no opinion or belief needbe expressed),as of itsdate andas of thedate of the Closing,contained or contains any untrue statement of a material factor omitted oromitstostatea material fact required tobe stated therein or necessary to make the statements therein,inthe light ofthe circumstances in which they were made,not misleading. (vii)The opinion of bond counsel to each Governmental Unit,eachto the effect that,with respect tothat Governmental Unit: (A)the Governmental Unit IS duly organized and legally existing under thelaws of the State; 11 51462057.3 (B)theapplicableLoan Agreement betweenthe Governmental UnitandtheBondBankhasbeendulyauthorizedandexecutedbytheGovernmentalUnitandis avalidandbindingobligation of theGovernmentalUnit; (C)eachapplicableMunicipalBondhasbeendulyauthorized andexecutedbytheGovernmentalUnitandisissuedinfullcompliancewiththeprovisions of theConstitutionandlaws of theStateandthelegislation of theGovernmentalUnitrelating thereto; (D)eachapplicableMunicipalBondconstitutesavalidand bindingobligation of theGovernmentalUnit,exceptonlytotheextentthat enforcement of paymentmaybelimitedbybankruptcy,insolvencyorotherlawsaffecting creditors'rightsand bytheapplication of equitableprinciplesandtheexercise of judicial discretionin appropriate cases;and (E)interestoneachapplicableMunicipalBondisexcluded fromgrossincomeforfederalincometaxpurposesandisnotanitem of taxpreferencefor purposes of thealternativeminimumtaxapplicabletoindividuals;andinterestoneach applicableMunicipalBondisfreefromtaxationbytheStateexceptfortransfer,estateand inheritancetaxes. (viii)A certificate of theBondBank,datedthedate of theClosing,to theeffectthat: (A)the representations andwarranties of theBondBank containedinthisPurchaseContractaretrueandcorrectinallmaterialrespectsonandas of the date of theClosingas ifmade onthedate of theClosing; (B)theOfficialStatement,otherthaninformation concerning DTC,theUnderwriters,thereofferingpricesandyieldsonthe2015SeriesThreeBondsandthe informationinAppendixD(astowhichnorepresentationorwarrantyneedbemadeinthis paragraph),as of itsdatedidnotandas of thedate of theClosingdoesnotcontainanuntrue statement of amaterialfactoromitanystatement of materialfactnecessarytomakethe statementstherein,inlight of the circumstances underwhichtheyweremade,notmisleading; (C)theinformationrelatingtoentitiesotherthantheBond BankcontainedintheOfficialStatementhasbeenobtainedfromsourcesthattheBondBank believestobereliable,andnothinghascometotheattention of theBondBankthatwouldcause theBondBanktobelievethatsuchinformation,as of thedate of theOfficialStatementandas of thedate of theClosing,containedanuntruestatement of amaterialfactoromittedanystatement of materialfactnecessarytomakethestatementstherein,inlight of the circumstances under whichtheyweremade,notmisleading; (D)sincethedate of theOfficialStatement,nomaterialadverse changeinthefinancialconditionoroperations of theBondBankhasoccurred,andnoother informationhascometotheattention of theBondBank,thatshouldbedisclosedintheOfficial StatementinorderthattheOfficialStatementnotcontainanuntruestatement of amaterialfact 12 51462057.3 oromittostateamaterialfactornecessarytomakethestatementstherein,inthelight of the circumstances underwhichtheyaremade,notmisleading. (ix)EvidencesatisfactorytotheRepresentativethatthe2015Series ThreeBondshavebeenassignedratings of"AA+"byFitchand "AA+"byStandard &Poor's. (x)Acertificate of theTrustee,datedthedate of theClosing,tothe effectthat: (A)theTrusteeisanationalbankingassociationdulyorganized andvalidlyexistingunderthelaws of theUnitedStates of America,havingthefullpowerand authoritytoenterintoandperformitsobligationsundertheBondResolution,toacceptand administer thetrustscreatedundertheBondResolutionandtoauthenticateanddeliverthe2015 SeriesThreeBonds; (B) anddeliveredbytheTrustee; the2015SeriesThreeBondshavebeendulyauthenticated (C)noconsent,approval,authorizationorotheractionbyany governmentalorregulatoryauthorityhaving jurisdiction overtheTrusteethathasnotbeen obtainedisorwillberequiredfortheperformancebytheTrustee of itsobligationsunderthe BondResolutionorfortheauthenticationanddelivery of the2015SeriesThreeBonds; (D)the performance bytheTrustee of itsobligationsunderthe BondResolutionandthe authentication anddeliverybytheTrustee of the2015SeriesThree Bondswillnotconflictwith,resultinaviolationorbreach of orconstituteadefaultunderany materialagreementormaterialinstrumenttowhichtheTrusteeisapartyorbywhichitisbound, oranylaworanyrule,regulation,orderordecree of anycourtor governmental bodyhaving jurisdiction overtheTrusteeorany of itsactivitiesorproperties(exceptthatno representation needbemadewithrespecttoanyfederalorstatesecuritiesorblueskylawsorregulations)or (exceptwithrespecttotheliens of theBondResolution)resultinthecreationorimposition of anylien,chargeorothersecurityinterestor encumbrance of anynature whatsoever uponany of thepropertyorassets of theTrustee;and (E)tothe Trustee's knowledge,thereisnolitigation,action, suit,proceeding,inquiryorinvestigationbyorbeforeanycourt,governmentalagency,public boardorbody,pendingorthreatenedinanywayaffectingorcontestingtheexistence of the Trustee,theauthenticationordeliverybytheTrustee of the2015SeriesThreeBonds,the performancebytheTrustee of itsobligationsundertheBondResolutionorwhereinan unfavorabledecision,rulingorfindingwouldadverselyaffectthetransactionscontemplatedin connectionwiththeauthenticationanddelivery of the2015SeriesThreeBondsorthe performancebytheTrustee of itsobligationsundertheBondResolution. (xi)Suchadditionallegalopinions,certificates,instruments,permits, consentsandotherdocumentsasthe Representative mayreasonablyrequesttoevidencethetruth andaccuracy,as of thedate hereof andas of thedate of theClosing,of theBond Bank's representations andwarranties contained intheBondResolution,thisPurchaseContract,the LoanAgreements,theDisclosureCertificateandthe2015SeriesThreeBondsand of the 13 51462057.3 statements and information contained or incorporated inthe Official Statement,asthesamemay be supplemented or amended,andthedue observance and performance bytheBond Bank ator prior tothedate of the Closing of all covenants and obligations thentobe observed or performed andall conditions thentobe satisfied bytheBond Bank andto evidence the exclusion from grossincomeforfederalandStateincometax purposes of the interest andany original issue discount onthe2015Series Three Bonds. 8.Termination,The Representative may terminate this Purchase Contract,without liability therefor,by written notification fromthe Representative totheBond Bank if atanytime afterthedate of this Purchase Contract andator prior tothe Closing,anyone ormore of the following shalloccur: (a)Legislation shallhavebeen enacted bythe Congress of theUnitedStates orthe legislature of theState,or introduced by amendment or otherwise inor passed by either House of the Congress orthe legislature of theState,or recommended or endorsed tothe Congress for passage bythe President of theUnitedStatesorthe Governor of theState,or favorably reported for passage to either House of the Congress of theUnitedStatesbyany committee of suchHouseto which such legislation hasbeen referred for consideration,or recommended or endorsed for passage or presented for consideration byany member of anysuch committee orbythe Treasury Department of theUnitedStates,the Internal Revenue Service or the staff of the Joint Committee on Taxation of the Congress,ora decision shallhavebeen rendered byacourt of the United StatesortheState,ortheUnitedStatesTaxCourt,oranorder, ruling,regulation (final,temporary or proposed)or official statement shallhavebeenmadebyor on behalf of the Treasury Department of theUnitedStates,the Internal Revenue Service or other governmental agency of appropriate jurisdiction,with respect tofederalorState taxation of interest received on securities of the general character of the2015SeriesThreeBondsorwhich would havethe effect of changing,directly or indirectly,thefederalorStatetax consequences of receipt of interest on securities of the general character of the2015Series Three Bonds inthe hands of the owners thereof,whichinthe opinion of the Representative would adversely affect the market priceor marketability of the2015Series Three Bonds. (b)Any legislation,constitutional amendment,ordinance,ruleor regulation shallbe introduced inorenactedbyany governmental body,board,department oragency of the StateortheUnitedStates,ora decision byany court of competent jurisdiction withintheStateor anycourt of the United Statesshallbe rendered,affecting theBond Bank,which,inthe opinion of the Representative,will materially adversely affectthemarketpriceor marketability of the 2015Series Three Bonds. (c)There shallhave occurred anynew national outbreak of hostilities orany escalation in existing national hostilities,oranyother national or international calamity orcrisis oranactualor imminent default or moratorium in respect of payment of anyUnitedStates Treasury bills,bondsornotes,the effect of which,inthe opinion of the Representative,would adversely affect the market priceor marketability of the2015SeriesThreeBonds. (d)A general banking moratorium shallhavebeen declared byfederal,New YorkorState authorities ora major financial crisisor material disruption in commercial banking or securities settlement or clearance services shallhave occurred. 14 51462057.3 (e)Thereshallbeinforceageneralsuspensionoftrading,mmimum or maximumpricesfortradingormaximumrangesforprices of securities,orrestrictions concerningtheextension of creditby,orchangesto,thenetcapitalrequirements of underwriters orotherrestrictionsnotinforceornotbeingenforcedas of thedate hereof ontheNewYork StockExchangeorothernationalsecuritiesexchange. (f)Astoporder,rulingorregulationbytheSecuritiesandExchange Commissionshallhereafterbeissuedormade,thereasonableeffect of whichisthatthe issuance,offeringorsale of the2015SeriesThreeBonds,ascontemplatedhereinorinthe OfficialStatement,or of obligations of thegeneral character of the2015SeriesThreeBonds,is inviolation of anyprovisions of theSecuritiesAct,theExchangeActortheTrustIndentureAct oranyruleorregulationpromulgatedundertheSecuritiesAct,theExchangeActortheTrust IndentureAct. (g)Thereshalloccuranychangeorany development involvingaprospective change,inoraffectingthebusiness,propertiesorfinancialcondition of theBondBankwhich,in theopinion of the Representative,materiallyimpairsthemarketpriceor marketability of the 2015SeriesThreeBonds. (h)Thereshallhaveoccurredanymateriallyadversechangeintheaffairsor financialcondition of theBondBank,exceptforchangeswhichthePreliminaryOfficial Statementdisclosesareexpectedtooccur. (i)Thereshallhaveoccurredoranynoticeshallhavebeengivenofany intendedreview,downgrading,suspension,withdrawal,ornegativechangeincreditwatchstatus byanynationalratingservicetoany of theBond Bank's obligations(includingtheratingstobe accordedthe2015SeriesThreeBonds). G)Anevent,factorconditiondescribedinSection5(h)shallhaveoccurred orbecomeknownwhich,inthereasonableopinion of theRepresentative,requiresthe preparationandpublication of asupplementoramendmenttotheOfficialStatement. (k)Legislationshallbeenacted,oradecision of acourt of theUnitedStates shallberenderedoranyactionshallbetakenby,oron behalf of,theSecuritiesandExchange Commissionoranyothergovernmentalagencyhaving jurisdiction inthesubjectmatterwhich, intheopinion of counseltotheUnderwriters,hastheeffect of requiringthe contemplated distribution of the2015SeriesThreeBondsoranyunderlyingarrangementtoberegistered undertheSecuritiesActortheExchangeAct,ortheBondResolutiontobequalifiedunderthe TrustIndentureActorthatwouldmaketheofferingandsale of the2015SeriesThreeBonds illegal. 9.Expenses.TheUnderwritersshallbeundernoobligationtopayandtheBond Bankshall payor shallcausetobepaidtheexpensesincidenttotheperformance of its obligationshereunder,including:(a)thefeesanddisbursements of BondCounsel,Western FinancialGroup,LLCandanyotherexperts,accountants,lawyersorconsultantsretainedbythe BondBankandthefeesandexpenses of theTrustee;(b)thecost of preparationandprintingand signing of the definitive 2015SeriesThreeBondsandtheregistrationthereof;(c)thecost of 15 51462057.3 preparingand distributing thePreliminaryOfficialStatementandtheOfficialStatementandany supplementsoramendmentsthereto;and(d)charges of ratingagenciesforratingthe2015Series ThreeBonds.TheBondBankshallalsopayforanyexpenses(includedintheexpense component of the Underwriters'discount)incurredbytheUnderwriterswhichareincidentalto implementing thisPurchaseContractandtheissuance of theBonds,including,butnotlimitedto, meals,transportation andlodging,if any,andanyothermiscellaneousclosingcosts,butinno eventshallthe Underwriters'discountexceedtheamountsetforthintheSeriesResolution. TheBondBankacknowledgesthatithashadanopportunity,inconsultationwithsuch advisorsasitmaydeemappropriate,if any,toevaluateandconsiderthefeesandexpensesbeing incurredaspart of theissuance of theBonds. TheUnderwritersshallpayalladvertisingexpensesincurredbytheUnderwritersin connectionwiththepublicoffering of the2015SeriesThreeBonds,includingthecosts of qualifyingthe2015SeriesThreeBondsforsaleinvariousstateschosenbytheUnderwriters, andexceptasprovidedabove,thefeesandexpenses of itscounselandallotherexpenses incurredbytheUnderwritersinconnectionwithitspublicofferinganddistribution of the2015 SeriesThreeBonds. 10.Notices.Anynoticeorother communication tobegiventotheBondBankunder thisPurchaseContract(otherthantheacceptance hereof asspecifiedinSection1)maybegiven bydeliveringthesameinwritingtoAlaskaMunicipalBondBank,333WilloughbyAvenue, lIth Floor,PostOfficeBox110405,Juneau,Alaska99811,Attention:ExecutiveDirector;any noticeorother communication tobegiventotheUnderwritersunderthisPurchaseContractmay begivenbydeliveringthesameinwritingtoRBCCapitalMarkets,LLC,Two Embarcadero Center,Suite1200,SanFrancisco,California94111;Attention:TomYang. 11.GoverningLaw.Thevalidity,interpretationandperformance of thisPurchase Contract shallbegovernedbythelaws of theState of Alaska. 12.PartiesinInterest.ThisPurchaseContract,whenacceptedbytheBondBankin writingasheretoforespecifiedandwheneffectiveashereinprovided,shallconstitutetheentire agreementbetweentheBondBankandtheUnderwritersandissolelyforthebenefit ofthe Bond BankandtheUnderwriters(includingthesuccessorsorassigns thereof butnotanypurchaser of 2015SeriesThreeBondsbyvirtue of suchpurchase).Nootherpersonshallacquireorhaveany rights hereunder orbyvirtue hereof Allrepresentations,warrantiesandagreements of theBond BankinthisPurchaseContractshallremainoperativeandinfullforceandeffect,regardless of (a)anyinvestigationmadebyoron behalf of theUnderwriters,(b)delivery of andpaymentfor the2015SeriesThreeBondshereunderor(c)anytermination of thisPurchaseContract. 13.Headings.Theheadings of thesections of thisPurchaseContractareinsertedfor convenience of referenceonlyandshallnotbedeemedtobeaparthereof. 14.Effectiveness.ThisPurchaseContractshallbecomeeffectiveupontheexecution hereof byanauthorizedrepresentative of theBondBankandshallbevalidandenforceableatthe time of suchacceptanceandreceipt. [Signaturepagefollows] 16 51462057,3 15.Counterparts.ThisPurchase Contract maybe executed inseveralcounterparts, which together shallconstituteoneandthesameinstrument. Verytrulyyours, RBC CAPITAL MARKETS,LLC as Representative of the Underwriters Q. TomA.Yang, Accepted: August26,20I5,at 3:00 p.m.Alaska Time 17 S1462057,3 Schedule 1 GENERAL OBLIGATION BONDS,2015SERIES THREE MATURITY DATES,PRINCIPAL AMOUNTS,INTEREST RATES,YIELDS AND REDEMPTION PROVISIONS Maturity Date (October 1)Principal Amount Interest Rate Yield 2016 $375,000 2.00%0.60% 2017 390,000 2.00 0.93 2018 1,960,000 4.00 1.22 2019 2,050,000 5.00 1.46 2020 2,175,000 5.00 1.78 2021 2,300,000 5.00 2.11 2022 2,415,000 5.00 2.35 2023 2,540,000 5.00 2.52 2024 2,670,000 5.00 2.69 2025 2,805,000 5.00 2.8i2 ) 2026 2,715,000 5.00 3.00(2) 2027 2,855,000 5.00 3.11(2) 2028 3,000,000 5.00 3.22(2) 2029 3,160,000 5.00 3.29(2) 2030 3,300,000 4.00 3.84(2) 2031 3,455,000 5.25 3.36(2) 2032 3,645,000 5.25 3.41 (2) 2036(1)16,045,000 5.25 3.56(2) 2039(1)12,950,000 5.00 3.76(2) 2040 4,745,000 4.00 4.24 2044(1)20,660,000 4.00 4.29 (1)TermBonds. (2)Calculated tothefirstparcalldate of April 1,2025. Optional Redemption.The2015Series Three Bonds maturing onorafter October 1, 2025,are subject to redemption in whole orinpartattheoption of theBond Bank onanydateon orafterApril1,2025,ataprice of 100%of the principal amount thereof tobe redeemed plus accrued interest tothedatefixedfor redemption. Schedule 1-1 51462057.3 MandatorySinkingFundRedemption.The2015SeriesThreeBondsmaturingon October1,2036aresubjecttomandatorysinkingfundredemptionon October 1 of theyearsand intheprincipalamountssetforthinthefollowingtable.Anysuchredemptionshallbeataprice equalto100percent of theprincipalamounttoberedeemedplusaccruedandunpaidinterest thereontothedatefixedforredemption,butwithoutpremium. *Maturity Date 2033 2034 2035 2036* PrincipalAmount $3,835,000 4,050,000 4,265,000 3,895,000 The2015SeriesThreeBondsmaturingonOctober1,2039aresubjecttomandatory sinkingfundredemptiononOctober1 of theyearsandintheprincipalamountssetforthinthe followingtable.Anysuchredemptionshallbeatapriceequalto100percent of theprincipal amounttoberedeemedplusaccruedandunpaidinterestthereontothedatefixedforredemption, butwithoutpremium. *Maturity Date 2037 2038 2039* PrincipalAmount $4,105,000 4,310,000 4,535,000 The2015SeriesThreeBondsmaturingonOctober1,2044aresubjecttomandatory sinkingfundredemptiononOctober1 of theyearsandintheprincipalamountssetforthinthe followingtable.Anysuchredemptionshallbeatapriceequalto100percent of theprincipal amounttoberedeemedplusaccruedandunpaidinterestthereontothedatefixedforredemption, butwithoutpremium. *Maturity Date 2041 2042 2043 2044* PrincipalAmount $4,860,000 5,055,000 5,265,000 5,480,000 51462057,3 Schedule1-2 REQUISITION AND CERTIFICATE OFTHE ALASKA MUNICIPAL BOND BANK PURSUANT TO SECTION 502(B)OFTHE GENERAL BOND RESOLUTION OFTHEBANK ADOPTED JULY 13,2005 To:TheBankofNewYorkMellonTrustCompany,NA asTrusteeundertheGeneralBondResolution oftheAlaskaMunicipalBondBank adoptedJuly13,2005 Theundersigned,asanAuthorizedOfficeroftheAlaskaMunicipalBondBank (the"Bank")undertheGeneralBondResolutionadoptedJuly13,2005,asamended (the"GeneralBondResolution"),herebyrequisitionsfromyouasTrusteeactingunder andpursuanttotheGeneralBondResolution,(i)aspaymentfortheGeneralRevenue Bond,2015SeriesUoftheUniversityofAlaska("University")thesumof $92,600,178.30istobepaidtoUniversity;(ii)aspaymentfortheElectricUtility RevenueBond,2015oftheCityofKingCove,Alaska("KingCove")thesumof $1,094,324.52 istobepaidtoKingCove;(iii)aspaymentfortheGeneralObligation Bond,2015oftheHainesBorough,Alaska("Haines")thesumof$1,305,028.90istobe paidtoHaines;(iv)aspaymentfortheGeneralObligationSchoolBond,2015SeriesA oftheKodiakIslandBorough,Alaska("KIB")thesumof$7,019,555.79istobepaidto KIB;and(v)aspaymentfortheGeneralObligationSchoolBond,2015SeriesBofKIB thesumof$2,018,053.62istobepaidtoKIB.Paymentismadefromproceedsofthe Bank'sGeneralObligationBonds,2015SeriesThree,datedSeptember 16,2015. AsanAuthorizedOfficer,Iherebycertifythatthetermsandprovisionsofthe loanagreementsbyandbetween(i)theBankandtheUniversitydated September 1, 2015;(ii)theBankandKingCovedated September 1,2015;(iii)thebankandHaines dated September 1,2015;andtheBankandKIBdatedSeptember 1,2015 (collectively, the"LoanAgreements"),areincompliancewiththeGeneralBondResolution.Tomy knowledge,theUniversity,KingCove,Haines,andKIBarenotindefaultunderanyof thetermsorprovisionsoftheLoanAgreements. IN WITNESSWHEREOF,Ihavehereuntosetmy 2015. AMBB/General ObligationBonds,2015SeriesThree Requisition Certificate I:\Docs\37421742\Requisition Certificate.Docx September 16,2015 TheBankofNewYorkMellonTrustCompany,NA asTrustee/PayingAgent 100PineStreet,Suite3150 SanFrancisco,CA94111 LadiesandGentlemen: Therehaveheretoforebeendeliveredtoyou,asTrustee/PayingAgent,duly executed,$96,210,000aggregateprincipalamountofGeneralObligationBonds,2015 SeriesThree(the"Bonds")oftheAlaskaMunicipalBondBank(the"Bank").TheBonds areauthorizedbytheGeneralObligationBondResolutionoftheBankadoptedon July13,2005,asamended(the"GeneralBondResolution")andSeriesResolutionNo. 2015-04(S),adoptedon August 11,2015(the"SeriesResolution,"and together withthe GeneralBondResolution,the"Resolutions"). YouhavereceivedthefollowingdocumentspursuanttotheGeneralBond ResolutionasconditionsprecedenttotheauthenticationanddeliveryoftheBonds: 1.Acounsel'sopinionwithrespecttoandasspecifiedinSection203(C)(1) and1003oftheGeneralBondResolution. 2.ThewrittenorderoftheBankastodeliveryoftheBonds,signedbyan AuthorizedOfficer,describingtheBondstobeauthenticatedanddelivered,designating theunderwritertowhomtheBondsaretobedeliveredandstatingthepurchasepriceof theBonds.Suchorderissetforthinthisletter. 3.AcertifiedcopyofSeriesResolutionNo.2015-04(S)authorizingthe issuanceoftheBonds,andcertifiedbyanAuthorizedOfficer. 4.AcertificateofanAuthorizedOfficerstatingthattheBankisnotindefault intheperformanceofanyofthecovenants,conditions,agreementsorprovisions containedintheGeneralBondResolution. YouareherebyauthorizedanddirectedtoauthenticatetheBondsand,whenso authenticated,todeliverthemviayourFASTdeliveryagreementtoTheDepository TrustCompanyonbehalfofRBCCapitalMarkets,LLC,on behalf ofitselfandas representativeoftheunderwritersnamedinthebondpurchasecontractdated TheBankofNewYorkMellon Trust Company,NA September 16,2015 Page2 August 26,2015(the"Underwriter"),uponreceiptof(i)$104,076,129.62,consistingof theaggregateprincipalamountoftheBondsof$96,210,000.00,plusnetoriginalissue premiumof$8,208,651.10,lesstheUnderwriter's discount of$342,521.48. AlltermswhicharedefinedinSection103oftheGeneralBondResolutionshall havethesamemeaningshereinassuchtermsaregiveninsaidsectionoftheGeneral BondResolution. ThisletteralsocertifiesthatIamanAuthorizedOfficeroftheBankwithinthe meaningoftheGeneralBondResolution. Sincerelyyours, ALASKAMUNICIPALBONDBANK Receiptoftheforegoingthis16thdayof September 2015ishereby acknowledged. THEBANKOFNEWYORK MELLONTRUSTCOMPANY,NA asTrustee/PayingAgent By Catd1I1f1~ AuthorizedOfficer AMBB/General ObligationBonds,2015SeriesThree Written Order I:\Docs\37421742\WrillenOrder.Docx CERTIFICATE ASTO SIGNATURES, EXECUTION OFBONDSAND SPECIMEN BONDS THEUNDERSIGNED,asChairmanoftheBoardofDirectorsandExecutive Director,respectively,oftheAlaskaMunicipalBondBank(the"Bank")andAuthorized OfficersasthetermisdefinedintheGeneralBondResolutionoftheBankadopted July13,2005,asamended,HEREBY CERTIFYasfollows: 1.Subscribedbelowareourtrueandgenuinesignatures. 2.OnorbeforethedatehereofeachoftheBank'sGeneralObligation Bonds,2015SeriesThree(the"Bonds").TheBondsaredescribedinSchedule X attachedheretoandherebymadeaparthereof,weredulyandcompletelysignedinthe nameandonbehalfoftheBankbytheexecutionthereonofthesignatureofthe undersignedChairman,andbytheimpressionthereonoftheofficialsealoftheBank, attestedbythesignatureoftheundersignedExecutiveDirector. 3.Thesealwhichisimpresseduponthiscertificatehasbeenimpressed uponeachoftheBondsandisthelegallyadopted,properandonlyofficialcorporate sealoftheBank. 4.Onthedate hereof wewereandarethedulychosen,qualifiedandacting officersoftheBankholdingtheofficesindicatedbytheofficialtitlessetoppositeour namesbelow. 5.Attachedheretoisatrueandcorrectspecimenofeachcoverpageand thebodyoftheBonds. INWITNESSWHEREOF,wehavehereuntosetourhandandtheofficialsealof theBankthis16thdayof September 2015. Signature [SEAL] OfficialTitle Chairmanofthe BoardofDirectors ExecutiveDirector SCHEDULE X $96,210,000 ALASKA MUNICIPALBONDBANK GENERALOBLIGATIONBONDS,2015SERIESTHREE AUTHORIZATION:UnderandpursuanttoChapter85ofTitle44,AlaskaStatutes,as amended,theGeneralBondResolutionoftheAlaskaMunicipalBondBankadopted July13,2005,asamended,andSeriesResolutionNo.2015-04(S),adoptedon August11,2015(the"SeriesResolution,"andtogetherwiththeGeneralBond Resolution,the"Resolutions"). PursuanttothetermsoftheResolutions,theAlaskaMunicipalBondBankisissuingits GeneralObligationBonds,2015SeriesThree(the"Bonds"). BANKQUALIFIED:TheBondsarenotdesignated"qualifiedtax exempt obligations" withinthemeaningofSection265(b)(3)oftheInternalRevenueCodeof1986,as amended. DATEOFBONDDELIVERY:September 16,2015. DATE.MATURITIESANDINTERESTRATES:TheBondsaredatedthedateof delivery,andmatureineachoftheyearsandintheprincipalamountsandbearinterest attheratesperannumsetforthonthefollowingpage. INTERESTPAYMENTDATES:InterestpaymentsfortheBondscommenceonApril1, 2016,andoccursemi-annually thereafter onOctober1andApril1ofeachyear. PLACEOFPAYMENTOFPRINCIPAL:PrincipalwillbepayablebyTheBankofNew YorkMellonTrustCompany,NA,SanFrancisco,California,astrustee,toDTC. OTHERDETAILSOFTHEBONDS:ThedefinitiveBondsareissuedinfullyregistered formindenominationsof$5,000oranyintegralmultiplethereof. DEFINEDTERMS:Alltermsnothereindefinedshallhavethemeaningsetforthinthe Resolutions. AMBB/General ObligationBonds,2015SeriesThree Signature Certificate 1:\Docs\37421742\SigCert.Docx Page2 ALASKA MUNICIPAL BONDBANK GENERAL OBLIGATION BONDS,2015SERIESTHREE Maturity Principal Maturity Principal (October 1)Amount Interest (October 1)Amount Interest 2016 $375,000 2.00%2027 $2,855,000 5.00% 2017 390,000 2.00 2028 3,000,000 5.00 2018 1,960,000 4.00 2029 3,160,000 5.00 2019 2,050,000 5.00 2030 3,300,000 4.00 2020 2,175,000 5.00 2031 3,455,000 5.25 2021 2,300,000 5.00 2032 3,645,000 5.25 2022 2,415,000 5.00 2036 16,045,000 5.25 2023 2,540,000 5.00 2039 12,950,000 5.00 2024 2,670,000 5.00 2040 4,745,000 4.00 2025 2,805,000 5.00 2044 20,660,000 4.00 2026 2,715,000 5.00 AMBB/General Obligation Bonds,2015SeriesThree Signature Certificate 1:\Docs\37421742\Sig Cert.Docx Page3 Unless this certificate is presented byan authorized representative ofThe Depository TrustCompany,a NewYork corporation ("DTC"),the Issuer orits agent forregistrationoftransfer,exchange orpayment, andany certificate issuedis registered inthenameofCede&Co.orinsuch other name asis requested byan authorized representative ofDTC(andany payment ismadetoCede&Co.ortosuch other entity asis requested byan authorized representative ofDTC),ANY TRANSFER,PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BYORTOANYPERSONIS WRONGFUL inasmuchasthe registered owner hereof,Cede &Co..hasan interest herein. G-1 ALASKA ltlCm EI GENERAL OBLIGATION BONDS,2015SERIESTHREE $375,000 INTERESTRATE: 2.00% Registered Owner:CEDE &Co. MATURITYDATE: October 1,2016 CUSIPNO.: 01179RMK6 Principal Amount:Three Hundred Seventy-Five Thousand and No/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbodycorporate andpolitic,constitutedasaninstrumentalityoftheStateofAlaska,organizedand existingunderandpursuanttothelawsoftheStateofAlaska,acknowledgesitself indebtedto,and forvaluereceived,herebypromisestopaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveontheMaturityDatespecified above,andtopaytotheregisteredownerhereofinterestonsuchprincipalsumfrom thedatehereoftothedateofmaturityofthisBondattherateperannumspecified above,payableApril1,2016,andsemi-annuallyonthe1stdayofOctoberandonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldinbook-entryform,payment ofprincipalandinterestshallbemadebywiretransfertotheregisteredownerpursuant towritteninstructionsfurnishedtoTheBankofNewYorkMellonTrustCompany,NA, inSanFrancisco,California,asTrusteeundertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe"Resolution"),orits successor orassignsasTrustee(hereincalledthe"Trustee").IntheeventthisBondis nolongerheldinbook-entryform,(i)paymentofinterestwillbemadebycheckordraft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast$1,000,000inprincipalamountof2015SeriesThreeBondsreceived atleast15dayspriortoaninterestpaymentdate,by wire transfer inimmediately availablefundstoanaccountintheUnitedStatesofAmericadesignatedbysuch registeredowner;and(ii)principalwillbepayableuponpresentationandsurrender hereof atthecorporatetrustofficeoftheTrustee.Interestshallbecomputedonthe basisofa360-dayyearcomposedoftwelvethirty-daymonths.Bothprincipalofand interestonthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof Americawhich,ontherespectivedatesofpaymentthereof,shallbelegaltenderforthe paymentofpublicandprivatedebts.. $390,000 ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE UnlessthiscertificateispresentedbyanauthorizedrepresentativeofTheDepositoryTrustCompany,a NewYorkcorporation("DTC"),theIssueroritsagentforregistrationoftransfer,exchangeorpayment, andanycertificateissuedisregisteredinthenameofCede &Co.orinsuchothernameasisrequested byanauthorizedrepresentativeofDTC(andanypaymentismadetoCede &Co.ortosuchotherentity asisrequestedbyanauthorizedrepresentativeofDTC),ANYTRANSFER,PLEDGEOROTHERUSE HEREOFFORVALUEOROTHERWISEBYORTOANYPERSONISWRONGFULinasmuchasthe registeredownerhereof,Cede &Co.,hasan ~.R~.ei·.Ti.,t~.:.~,.'.~.~...11fJ..p.'mm...~'.0 \\;11l .}\iill ~If,~J~:~~i1 :~.~'*a.l .J ~~:.:t ;all l~:~,/;>.,.,.~G-2 Y<;,T 1 c.:.:.:'!~w i£l ~i3 ~"I ~~~lW '?tl INTEREST RATE: 2.00% MATURITY DATE: October 1,2017 CUSIPNO.: 01179RML4 Registered Owner:CEDE&Co. Principal Amount:Three Hundred Ninety Thousand andNo/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbody corporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existingunderandpursuanttothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,herebypromisestopaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveontheMaturityDatespecified above,andtopaytotheregisteredowner hereof interestonsuchprincipalsumfrom thedate hereof tothedateofmaturityofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipalandinterestshallbemadebywire transfer totheregisteredowner pursuant towritten instructions furnishedtoTheBankofNewYorkMellonTrustCompany,NA, inSanFrancisco,California,asTrusteeundertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe"Resolution"),orits successor orassignsasTrustee(hereincalledthe"Trustee").IntheeventthisBondis nolongerheldinbook-entryform,(i)payment ofinterestwillbemadebycheckordraft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast$1,000,000inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoaninterest payment date,bywire transfer in immediately availablefundstoanaccountintheUnitedStatesofAmericadesignatedbysuch registeredowner;and(ii)principalwillbepayableuponpresentationand surrender hereof atthecorporatetrustofficeoftheTrustee.Interestshallbecomputedonthe basisofa360-dayyearcomposedoftwelve thirty-day months.Bothprincipalofand interestonthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof Americawhich,ontherespectivedatesof payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. UnlessthiscertificateispresentedbyanauthorizedrepresentativeofTheDepositoryTrustCompany,a NewYorkcorporation("DTC"),theIssueroritsagentforregistrationoftransfer,exchangeorpayment, andanycertificateissuedisregisteredinthenameofCede &Co.orinsuchothernameasisrequested byanauthorizedrepresentativeofDTC(andanypaymentismadetoCede &Co.ortosuchotherentity asisrequestedbyanauthorizedrepresentativeofDTC),ANYTRANSFER,PLEDGEOROTHERUSE HEREOFFORVALUEOROTHERWISEBYORTOANYPERSONISWRONGFULinasmuchasthe registeredownerhereof,Cede &Co.,hasaninterestherein. G-3 $1,960,000 INTEREST RATE: 4.00% Registered Owner:CEDE&Co. MATURITY DATE: October 1,2018 CUSIPNO.: 01179RMM2 Principal Amount:One Million Nine Hundred Sixty Thousand and No/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbody corporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existing under and pursuant tothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,hereby promises topaytoCEDE&CO.or registeredassigns,theprincipalsumspecifiedaboveonthe Maturity Date specified above,andtopaytotheregisteredowner hereof interest onsuchprincipalsumfrom thedate hereof tothedateof maturity ofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipalandinterestshallbemadebywire transfer totheregisteredowner pursuant towritten instructions furnishedtoTheBankofNewYorkMellonTrustCompany,N.A., inSanFrancisco,California,as Trustee under theGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsasTrustee(hereincalledthe"Trustee").Inthe event thisBondis no longer heldin book-entry form,(i)payment of interest willbemadebycheckor draft mailedbyfirstclassmailtotheregisteredownerattheaddress appearing onthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoan interest payment date,bywire transfer in immediately available fundstoan account intheUnitedStatesofAmerica designated bysuch registeredowner;and(ii)principalwillbe payable upon presentation and surrender hereof atthe corporate trustofficeoftheTrustee.Interestshallbecomputedonthe basisofa 360-day yearcomposedoftwelve thirty-day months.Bothprincipalofand interest onthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof America which,ontherespectivedatesof payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. UnlessthiscertificateispresentedbyanauthorizedrepresentativeofTheDepositoryTrustCompany,a NewYorkcorporation("DTC"),theIssueroritsagentforregistrationoftransfer,exchangeorpayment, andanycertificateissuedisregisteredinthenameofCede &Co.orinsuchothernameasisrequested byanauthorizedrepresentativeofDTC(andanypaymentismadetoCede &Co.ortosuchotherentity asisrequestedbyanauthorizedrepresentativeofDTC),ANYTRANSFER,PLEDGEOROTHERUSE HEREOFFORVALUEOROTHERWISEBYORTOANYPERSONISWRONGFULinasmuchasthe registeredownerhereof,Cede &Co.,hasaninterestherein, G-4 1~~1!1 ~<.'~C'.Jij'"~.-'I "'R'~fliI,~'~~ili,;I ~;''.'.f"...c'J ~~...,-,"'J.,'r.Y t<,'m ¥::l~'~ft·.I~;V '"•l"•l"'-. 1"-,;iii i~,0;;,'."t1 ,,,~;\"'",""":'"11'1:_'_!'!'!\,_'.'..!,'V.7 _",.f1 _,,~.-.'.. ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE $2,050,000 INTEREST RATE: 5.00% Registered Owner:CEDE&Co. MATURITY DATE: October 1,2019 CUSIPNO.: 01179RMNO Principal Amount:Two Million Fifty Thousand and No/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbody corporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existing under and pursuant tothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,hereby promises topaytoCEDE&CO.or registeredassigns,theprincipalsumspecifiedaboveonthe Maturity Date specified above,and to paytotheregistered owner hereof interest onsuchprincipalsumfrom thedate hereof tothedateofmaturityofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipalandinterestshallbemadebywire transfer totheregistered owner pursuant towritten instructions furnishedtoTheBankofNewYorkMellon Trust Company,NA, inSanFrancisco,California,as Trustee undertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsas Trustee (hereincalledthe"Trustee").Inthe event thisBondis no longer heldin book-entry form,(i)payment of interest willbemadebycheckordraft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoan interest payment date,bywire transfer in immediately available fundstoan account intheUnitedStatesofAmerica designated bysuch registeredowner;and(ii)principalwillbepayableupon presentation and surrender hereof atthe corporate trustofficeoftheTrustee.Interest shallbecomputedonthe basisofa 360-day yearcomposedoftwelve thirty-day months.Bothprincipalofand interest onthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof America which,onthe respective dates of payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. Unlessthis certificate ispresentedbyanauthorized representative ofThe Depository TrustCompany,a NewYork corporation ("DTC"),theIssueroritsagentforregistrationoftransfer,exchange orpayment, andany certificate issuedisregisteredinthenameofCede &Co.orinsuchothernameasisrequested byan authorized representative ofDTC(andany payment ismadetoCede &Co.ortosuch other entity asisrequestedbyan authorized representative ofDTC),ANY TRANSFER,PLEDGEOROTHERUSE HEREOF FORVALUEOR OTHERWISE BYORTOANYPERSONIS WRONGFUL inasmuchasthe registered owner hereof,Cede&Co.,hasaninterestherein. G-5 $2,175,000 INTEREST RATE: 5.00% Registered Owner:CEDE&Co. MATURITY DATE: October 1,2020 CUSIPNO.: 01179RMP5 Principal Amount:Two Million One Hundred Seventy-Five Thousand and No/100 Dollars Alaska MunicipalBondBank(hereincalledthe"Bank"),apublicbody corporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existing under and pursuant tothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,hereby promises topaytoCEDE&CO.or registeredassigns,theprincipalsumspecifiedaboveonthe Maturity Date specified above,andtopaytotheregisteredowner hereof interestonsuchprincipalsumfrom thedate hereof tothedateof maturity ofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipaland interest shallbemadebywire transfer totheregisteredowner pursuant towritten instructions furnishedtoTheBankofNewYorkMellon Trust Company,NA, inSanFrancisco,California,as Trustee undertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsas Trustee (hereincalledthe"Trustee").Inthe event thisBondis no longer heldin book-entry form,(i)payment of interest willbemadebycheckordraft mailedbyfirstclassmailtotheregisteredowneratthe address appearing onthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoan interest paymentdate,bywire transfer in immediately available fundstoan account intheUnitedStatesof America designated bysuch registeredowner;and(ii)principalwillbepayableupon presentation and surrender hereof atthe corporate trust officeoftheTrustee.Interest shallbecomputedonthe basisofa 360-day yearcomposedoftwelve thirty-day months.Bothprincipalofand interest onthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof America which,onthe respective datesof payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. UnlessthiscertificateispresentedbyanauthorizedrepresentativeofTheDepositoryTrustCompany,a NewYorkcorporation("DTC"),theIssueroritsagentforregistrationoftransfer,exchangeorpayment, andanycertificateissuedisregisteredinthenameofCede &Co.orinsuchothernameasisrequested byanauthorizedrepresentativeofDTC(andanypaymentismadetoCede &Co.ortosuchotherentity asisrequestedbyanauthorizedrepresentativeofDTC),ANYTRANSFER,PLEDGEOROTHERUSE HEREOFFORVALUEOROTHERWISEBYORTOANYPERSONISWRONGFULinasmuchasthe registeredownerhereof,Cede &Co.,hasaninterestherein. ~W:t F:~~m;f~)~$2,300,000G-6 ~J i4 ("'~!J _',,_--'C!"--. ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE INTEREST RATE: 5.00% Registered Owner:CEDE &Co. MATURITY DATE: October 1,2021 CUSIPNO.: 01179RMQ3 Principal Amount:Two Million Three Hundred Thousand and No/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbodycorporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existingunderand pursuant tothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,herebypromisestopaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveontheMaturityDatespecified above,andtopaytotheregisteredowner hereof interestonsuchprincipalsumfrom thedate hereof tothedateofmaturityofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipalandinterestshallbemadebywire transfer totheregisteredownerpursuant towritteninstructionsfurnishedtoTheBankofNewYorkMellonTrustCompany,N.A., inSanFrancisco,California,asTrusteeundertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe"Resolution"),orits successor orassignsasTrustee(hereincalledthe"Trustee").Inthe event thisBondis nolongerheldin book-entry form,(i)payment ofinterestwillbemadebycheckordraft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast $1,000,000 inprincipalamountof2015SeriesThreeBondsreceived atleast15dayspriortoan interest paymentdate,bywire transfer in immediately availablefundstoan account intheUnitedStatesofAmericadesignatedbysuch registeredowner;and(ii)principalwillbepayableuponpresentationand surrender hereof atthecorporatetrustofficeoftheTrustee.Interestshallbecomputedonthe basisofa360-dayyearcomposedoftwelvethirty-daymonths.Bothprincipalofand interestonthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof Americawhich,ontherespectivedatesofpaymentthereof,shallbelegal tender forthe payment ofpublicandprivatedebts. UnlessthiscertificateispresentedbyanauthorizedrepresentativeofTheDepositoryTrustCompany,a NewYorkcorporation("DTC"),theIssueroritsagentforregistrationoftransfer,exchangeorpayment, andanycertificateissuedisregisteredinthenameofCede &Co.orinsuchothernameasisrequested byanauthorizedrepresentativeofDTC(andanypaymentismadetoCede &Co.ortosuchotherentity asisrequestedbyanauthorizedrepresentativeofDTC),ANYTRANSFER,PLEDGEOROTHERUSE HEREOFFORVALUEOROTHERWISEBYORTOANYPERSONISWRONGFULinasmuchasthe registeredownerhereof,Cede &Co.,hasaninterestherein. G-7 f.I~~~~'l'~~:if.'l ~~,tE"!O!I f'?\~'..r~.;v ~,!!J~.~f ~f:,:~'·Tf.;~t~'~;}._:~~:..~J ',..~'.~~,~7\~ ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE $2,415,000 INTEREST RATE: 5.00% Registered Owner:CEDE&Co. MATURITY DATE: October 1,2022 CUSIPNO.: 01179RMR1 Principal Amount:Two Million Four Hundred Fifteen Thousand and No/100 Dollars Alaska Municipal BondBank(hereincalledthe"Bank"),apublicbody corporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existing under and pursuant tothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,herebypromisestopaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveonthe Maturity Datespecified above,andtopaytotheregisteredowner hereof interest onsuchprincipalsumfrom thedate hereof tothedateof maturity ofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipalandinterestshallbemadebywire transfer totheregistered owner pursuant towritten instructions furnishedtoTheBankofNewYorkMellon Trust Company,N.A., inSanFrancisco,California,as Trustee undertheGeneralBond Resolution ofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsas Trustee (hereincalledthe"Trustee").Inthe event thisBondis no longer heldin book-entry form,(i)payment of interest willbemadebycheckordraft mailedbyfirstclassmailtotheregisteredowneratthe address appearing onthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoan interest paymentdate,bywire transfer in immediately available fundstoan account intheUnitedStatesof America designated bysuch registeredowner;and(ii)principalwillbepayableupon presentation and surrender hereof atthe corporate trustofficeoftheTrustee.Interestshallbecomputedonthe basisofa 360-day yearcomposedoftwelve thirty-day months.Bothprincipalofand interest onthisBondarepayableinanycoinor currency oftheUnitedStatesof America which,ontherespectivedatesof payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. UnlessthiscertificateispresentedbyanauthorizedrepresentativeofTheDepositoryTrustCompany,a NewYorkcorporation("DTC"),theIssueroritsagentforregistrationoftransfer,exchangeorpayment, andanycertificateissuedisregisteredinthenameofCede &Co.orinsuchothernameasisrequested byanauthorizedrepresentativeofDTC(andanypaymentismadetoCede &Co.ortosuchotherentity asisrequestedbyanauthorizedrepresentativeofDTC),ANYTRANSFER,PLEDGEOROTHERUSE HEREOFFORVALUEOROTHERWISEBYORTOANYPERSONISWRONGFULinasmuchasthe registeredownerhereof,Cede &Co.,hasaninterestherein. G-8 ~)6~It G~i .;'"~p; ALASKA MONICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015 SERIES THREE $2,540,000 INTEREST RATE: 5.00% Registered Owner:CEDE &Co. MATURITY DATE: October 1,2023 CUSIP NO.: 01179RMS9 Principal Amount:Two Million Five Hundred Forty Thousand and No/100 Dollars Alaska Municipal BondBank(hereincalledthe"Bank"),a public body corporate andpolitic,constituted asan instrumentality of the State ofAlaska,organized and existing under and pursuant tothelaws of theState of Alaska,acknowledges itself indebted to,andforvaluereceived,hereby promises topaytoCEDE&CO.or registered assigns,the principal sum specified above onthe Maturity Date specified above,andtopaytothe registered owner hereof interest onsuch principal sumfrom thedate hereof tothedate of maturity of thisBondattherateper annum specified above,payable April1,2016,and semi-annually onthe1st day of October andonthe 1stdayofApril thereafter.ForsolongasthisBondisheldin book-entry form,payment of principal and interest shallbe made bywire transfer tothe registered owner pursuant to writteninstructions furnished toTheBankofNew York Mellon Trust Company,NA, inSan Francisco,California,as Trustee under the General Bond Resolution ofthe Bank,adopted July 13,2005,as amended (hereincalledthe "Resolution"),orits successor or assigns as Trustee (hereincalledthe "Trustee").Inthe event thisBondis no longer heldin book-entry form,(i)payment of interest willbe made by check or draft mailed byfirstclassmailtothe registered owner atthe address appearing onthebond register of theBankkeptbythe Trustee,or,uponthe written request ofa registered owner of atleast $1,000,000 in principal amount of2015Series Three Bondsreceived at least 15dayspriortoan interest payment date,bywire transfer in immediately available fundstoan account intheUnited States of America designated bysuch registered owner;and(ii)principal willbe payable upon presentation and surrender hereof atthe corporate trust office of theTrustee.Interest shallbe computed onthe basis of a 360-day year composed of twelve thirty-day months.Both principal ofand interest onthisBondare payable inanycoinor currency oftheUnited States of America which,onthe respective dates of payment thereof,shallbelegal tender forthe payment of public and private debts. UnlessthiscertificateispresentedbyanauthorizedrepresentativeofTheDepositoryTrustCompany,a NewYorkcorporation("DTC"),theIssueroritsagentforregistrationoftransfer,exchangeorpayment, andanycertificateissuedisregisteredinthenameofCede &Co.orinsuchothernameasisrequested byanauthorizedrepresentativeofDTC(andanypaymentismadetoCede &Co.ortosuchotherentity asisrequestedbyanauthorizedrepresentativeofDTC),ANYTRANSFER,PLEDGEOROTHERUSE HEREOFFORVALUEOROTHERWISEBYORTOANYPERSONISWRONGFULinasmuchasthe registeredownerhereof,Cede &Co.,hasaninterestherein. G-9 ,'.~~~]l"'':~~~c~~,~\~$2,670,000 "'{;~",'."''!3J ~;~1i:\'~'''3 f:~ ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE INTEREST RATE: 5.00% Registered Owner:CEDE &Co. MATURITY DATE: October 1,2024 CUSIPNO.: 01179RMT7 Principal Amount:Two Million Six Hundred Seventy Thousand and No/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbodycorporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existingunderandpursuanttothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,herebypromisestopaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveontheMaturityDatespecified above,andtopaytotheregisteredowner hereof interestonsuchprincipalsumfrom thedate hereof tothedateofmaturityofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipalandinterestshallbemadebywire transfer totheregisteredownerpursuant towritteninstructionsfurnishedtoTheBankofNewYorkMellonTrustCompany,N.A., inSanFrancisco,California,asTrusteeundertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsasTrustee(hereincalledthe"Trustee").IntheeventthisBondis nolongerheldinbook-entryform,(i)payment ofinterestwillbemadebycheckordraft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered owner ofatleast$1,000,000inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoaninterestpaymentdate,bywire transfer in immediately availablefundstoan account intheUnitedStatesofAmerica designated bysuch registeredowner;and(ii)principalwillbepayableuponpresentationand surrender hereof atthecorporatetrustofficeoftheTrustee.Interestshallbecomputedonthe basisofa360-dayyearcomposedoftwelve thirty-day months.Bothprincipalofand interest onthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof America which,ontherespectivedatesofpaymentthereof,shallbelegal tender forthe payment ofpublicandprivatedebts. Unlessthis certificate ispresentedbyan authorized representative ofTheDepository Trust Company,a NewYork corporation ("DTC"),the Issuer oritsagentforregistrationoftransfer,exchange orpayment, andany certificate issuedisregisteredinthenameofCede&Co.orinsuch other nameasisrequested byan authorized representative ofDTC(andany payment ismadetoCede &Co.ortosuch other entity asisrequestedbyan authorized representative ofDTC),ANYTRANSFER,PLEDGEOROTHERUSE HEREOF FORVALUEOR OTHERWISE BYORTOANYPERSONIS WRONGFUL inasmuchasthe registered owner hereof,Cede&Co.,hasan interest herein. ~-:~1'\F'1J 5J ~il!I~C ~W G-10 ,~3 t'(;'~;~,;;~~~W~~.~ri;~$2,805,000 ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE INTEREST RATE: 5.00% Registered Owner:CEDE&Co. MATURITY DATE: October 1,2025 CUSIPNO.: 01179RMU4 Principal Amount:Two Million Eight Hundred Five Thousand and No/100 Dollars Alaska Municipal BondBank(hereincalledthe"Bank"),apublicbody corporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existing under and pursuant tothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,hereby promises topaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveonthe Maturity Date specified above,andtopaytotheregistered owner hereof interest onsuchprincipalsumfrom thedate hereof tothedateofmaturityofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipaland interest shallbemadebywire transfer totheregistered owner pursuant towritten instructions furnishedtoTheBankofNewYorkMellonTrustCompany,NA, inSanFrancisco,California,as Trustee undertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsas Trustee (hereincalledthe"Trustee").Inthe event thisBondis no longer heldin book-entry form,(i)payment ofinterestwillbemadebycheckor draft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoan interest payment date,bywire transfer in immediately availablefundstoan account intheUnitedStatesof America designated bysuch registeredowner;and(ii)principalwillbepayableupon presentation and surrender hereof atthe corporate trustofficeoftheTrustee.Interestshallbecomputedonthe basisofa 360-day yearcomposedof twelve thirty-day months.Bothprincipalofand interest onthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof America which,ontherespective dates of payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. Unlessthis certificate ispresentedbyan authorized representative ofThe Depository Trust Company,a NewYork corporation ("DTC"),the Issuer oritsagentforregistrationoftransfer,exchange orpayment, andany certificate issuedisregisteredinthenameofCede&Co.orinsuch other nameasisrequested byan authorized representative ofDTC(andany payment ismadetoCede &Co.ortosuch other entity asisrequestedbyanauthorized representative ofDTC),ANY TRANSFER,PLEDGEOROTHERUSE HEREOF FOR VALUE OR OTHERWISE BYORTOANYPERSONIS WRONGFUL inasmuchasthe registered owner hereof,Cede&Co.,hasan ini~e~~~~i!}~r.'i 1H~~~.".:r\..~ ~i,,d'"L-~).~:~1\)~[~1 l'~G-11 ,,,,.I"'.:C,.,··11.':J',.$2,715,000 ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE INTEREST RATE: 5.00% Registered Owner:CEDE&Co. MATURITY DATE: October 1,2026 CUSIPNO.: 01179RMV2 Principal Amount:Two Million Seven Hundred Fifteen Thousand and No/100 Dollars Alaska Municipal BondBank(hereincalledthe"Bank"),apublicbody corporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existing under and pursuant tothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,hereby promises topaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveonthe Maturity Datespecified above,andtopaytotheregistered owner hereof interestonsuchprincipalsumfrom thedate hereof tothedateof maturity ofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipaland interest shallbemadebywire transfer totheregistered owner pursuant towritten instructions furnishedtoTheBankofNewYorkMellon Trust Company,N.A., inSanFrancisco,California,as Trustee under theGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsasTrustee(hereincalledthe"Trustee").Inthe event thisBondis no longer heldin book-entry form,(i)payment ofinterestwillbemadebycheckor draft mailedbyfirstclassmailtotheregistered owner attheaddress appearing onthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoan interest payment date,bywire transfer in immediately available fundstoan account intheUnitedStatesofAmerica designated bysuch registeredowner;and(ii)principalwillbepayableupon presentation and surrender hereof atthe corporate trustofficeoftheTrustee.Interestshallbecomputedonthe basisofa 360-day yearcomposedoftwelve thirty-day months.Bothprincipalofand interest onthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof America which,ontherespective dates of payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. Unlessthis certificate ispresentedbyan authorized representative ofThe Depository Trust Company,a NewYork corporation ("DTC"),theIssueroritsagentforregistrationoftransfer,exchange orpayment, andany certificate issuedisregisteredinthenameofCede &Co.orinsuch other nameasisrequested byan authorized representative ofDTC(andany payment ismadetoCede&Co.ortosuch other entity asisrequestedbyan authorized representative ofDTC),ANY TRANSFER,PLEDGEOROTHERUSE HEREOFFORVALUEOR OTHERWISE BYORTOANYPERSONIS WRONGFUL inasmuchasthe registered owner hereof,Cede&Co.,hasan interest herein. ,'.~~f;'~;:~f~f)if:!~~=r\~G-12.~~~~'"Pc,~)r ~%::'!~."J L~$2,855,000 ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015 SERIES THREE INTEREST RATE: 5.00% Registered Owner:CEDE&Co. MATURITY DATE: October 1,2027 CUSIP NO.: 01179RMWO Principal Amount:Two Million Eight Hundred Fifty-Five Thousand and No/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbodycorporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existingunderandpursuanttothelawsoftheStateofAlaska,acknowledgesitself indebtedto,andforvaluereceived,herebypromisestopaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveontheMaturityDatespecified above,andtopaytotheregisteredowner hereof interestonsuchprincipalsumfrom thedate hereof tothedateofmaturityofthisBondattherateperannumspecified above,payableApril1,2016,andsemi-annuallyonthe1stdayofOctoberandonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldinbook-entryform,payment ofprincipalandinterestshallbemadebywire transfer totheregisteredownerpursuant towritteninstructionsfurnishedtoTheBankofNewYorkMellonTrustCompany,NA, inSanFrancisco,California,asTrusteeundertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe"Resolution"),orits successor orassignsasTrustee(hereincalledthe"Trustee").IntheeventthisBondis nolongerheldinbook-entryform,(i)paymentofinterestwillbemadebycheckordraft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast$1,000,000inprincipalamountof2015SeriesThreeBondsreceived atleast15dayspriortoaninterestpaymentdate,bywire transfer inimmediately availablefundstoanaccountintheUnitedStatesofAmericadesignatedbysuch registeredowner;and(ii)principalwillbepayableuponpresentationand surrender hereof atthecorporatetrustofficeoftheTrustee.Interestshallbecomputedonthe basisofa360-dayyearcomposedoftwelvethirty-daymonths.Bothprincipalofand interestonthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof Americawhich,ontherespectivedatesofpaymentthereof,shallbelegaltenderforthe paymentofpublicandprivatedebts. $3,000,000 UnlessthiscertificateispresentedbyanauthorizedrepresentativeofTheDepositoryTrustCompany,a NewYorkcorporation("DTC"),theIssueroritsagentforregistrationoftransfer,exchangeorpayment, andanycertificateissuedisregisteredinthenameofCede &Co.orinsuchothernameasisrequested byanauthorizedrepresentativeofDTC(andanypaymentismadetoCede &Co.ortosuchotherentity asisrequestedbyanauthorizedrepresentativeofDTC),ANYTRANSFER,PLEDGEOROTHERUSE HEREOFFORVALUEOROTHERWISEBYORTOANYPERSONISWRONGFULinasmuchasthe registeredownerhereof,Cede &Co.,hasaninterestherein. ,<J .,~"~g~r-""'~,.~r'""~~:Jl ~1'1 \m ..~,Jj?r--\~:\:3,~~,~p Lr·~""'~'&~{!i i\i!f.~""1':,;;",-,~::.:.'.8 ,-y .~-,~·if~·..;__'"':,"."-.: ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015 SERIES THREE G-13 INTEREST RATE: 5.00% MATURITY DATE: October 1,2028 CUSIPNO.: 01179RMX8 Registered Owner:CEDE&Co. Principal Amount:Three Million and No/100 Dollars Alaska Municipal BondBank(hereincalledthe"Bank"),apublicbody corporate andpolitic,constituted asan instrumentality oftheStateofAlaska,organizedand existingunderand pursuant tothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,hereby promises topaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveonthe Maturity Date specified above,andtopaytotheregisteredowner hereof interestonsuchprincipalsumfrom thedate hereof tothedateofmaturityofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofApril thereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipaland interest shallbemadebywire transfer totheregisteredowner pursuant towritten instructions furnished toTheBankofNewYorkMellonTrustCompany,N.A., inSanFrancisco,California,as Trustee undertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsas Trustee (hereincalledthe"Trustee").Inthe event thisBondis no longer heldin book-entry form,(i)payment ofinterestwillbemadebycheckor draft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15days prior toan interest payment date,bywire transfer in immediately available fundstoan account intheUnitedStatesof America designated bysuch registeredowner;and(ii)principalwillbepayableupon presentation and surrender hereof atthe corporate trust officeoftheTrustee.Interestshallbecomputedonthe basisofa 360-day year composed oftwelve thirty-day months.Bothprincipalofand interest onthisBondarepayableinanycoinor currency oftheUnitedStatesof America which,onthe respective datesof payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. Unlessthis certificate ispresentedbyanauthorized representative ofThe Depository Trust Company,a NewYork corporation ("DTC"),theIssueroritsagentforregistrationoftransfer,exchange orpayment, andany certificate issuedisregisteredinthenameofCede &Co.orinsuchothernameasisrequested byan authorized representative ofDTC(andany payment ismadetoCede &Co.ortosuch other entity asisrequestedbyan authorized representative ofDTC),ANY TRANSFER,PLEDGEOROTHERUSE HEREOF FOR VALUE OR OTHERWISE BYORTOANYPERSONIS WRONGFUL inasmuchasthe registered owner hereof,Cede&Co.,hasaninterestherein. G-14 ....~.~S"f'""'~'\A'r'l'!lti~:~1'~,,:,;,,~,~,~ti'(:'V'\'~~'~...~jJ \:1!l ,~'.,tt~Jt:.~','",~,'.,~:,".J i":"",':".J.,:r.f"!li,._r....I.-,"",.:~f1:lil _'.".~,,-'_",.-~.JiI.-••.. ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE $3,160,000 INTEREST RATE: 5.00% Registered Owner:CEDE&Co. MATURITY DATE: October 1,2029 CUSIPNO.: 01179RMY6 Principal Amount:Three Million One Hundred Sixty Thousand and No/100 Dollars Alaska Municipal BondBank(hereincalledthe"Bank"),apublicbody corporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existing under and pursuant tothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,hereby promises topaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveonthe Maturity Datespecified above,andtopaytotheregisteredowner hereof interest onsuchprincipalsumfrom thedate hereof tothedateof maturity ofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofApril thereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipaland interest shallbemadebywire transfer totheregisteredowner pursuant towritten instructions furnished toTheBankofNewYorkMellonTrustCompany,N.A., inSanFrancisco,California,as Trustee undertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsas Trustee (hereincalledthe"Trustee").Inthe event thisBondis no longer heldin book-entry form,(i)payment of interest willbemadebycheckordraft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoan interest payment date,bywire transfer in immediately available fundstoan account intheUnitedStatesof America designated bysuch registeredowner;and(ii)principalwillbepayableupon presentation and surrender hereof atthe corporate trustofficeoftheTrustee.Interestshallbecomputedonthe basisofa 360-day year composedoftwelve thirty-day months.Bothprincipalofand interest onthisBondarepayableinanycoinor currency oftheUnitedStatesof America which,onthe respective datesof payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. $3,300,000 UnlessthiscertificateispresentedbyanauthorizedrepresentativeofTheDepositoryTrustCompany,a NewYorkcorporation("DTC"),theIssueroritsagentforregistrationoftransfer,exchangeorpayment, andanycertificateissuedisregisteredinthenameofCede &Co.orinsuchothernameasisrequested byanauthorizedrepresentativeofDTC(andanypaymentismadetoCede &Co.ortosuchotherentity asisrequestedbyanauthorizedrepresentativeofDTC),ANYTRANSFER,PLEDGEOROTHERUSE HEREOFFORVALUEOROTHERWISEBYORTOANYPERSONISWRONGFULinasmuchasthe registeredownerhereof,Cede &Co.,hasaninterestherein. A~~.'.:'·..~..'1lO .6.*.'J [~..~...'.£j...i~'}i,i n..!"I.il.G-15 i.~w~(m ~'l ~/:~~:~~lr k~.~!~'i.;;~"Ji4 ~_?J :-'Y ~--,,..:'W'"~;.0,,1.,:-:~"- ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE INTEREST RATE: 4.00% Registered Owner:CEDE &Co. MATURITY DATE: October 1,2030 CUSIPNO.: 01179RMZ3 Principal Amount:Three Million Three Hundred Thousand and No/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbodycorporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existingunderandpursuanttothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,herebypromisestopaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveontheMaturityDatespecified above,andtopaytotheregisteredowner hereof interestonsuchprincipalsumfrom thedate hereof tothedateofmaturityofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipalandinterestshallbemadebywire transfer totheregisteredownerpursuant towritten instructions furnishedtoTheBankofNewYorkMellonTrustCompany,NA, inSanFrancisco,California,asTrusteeundertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsas Trustee (hereincalledthe"Trustee").Inthe event thisBondis nolongerheldinbook-entryform,(i)payment ofinterestwillbemadebycheckordraft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered owner ofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoan interest paymentdate,bywire transfer in immediately availablefundstoan account intheUnitedStatesof America designated bysuch registeredowner;and(ii)principalwillbepayableupon presentation and surrender hereof atthecorporatetrustofficeoftheTrustee.Interestshallbecomputedonthe basisofa360-dayyearcomposedoftwelve thirty-day months.Bothprincipalofand interest onthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof America which,ontherespectivedatesof payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. Unlessthiscertificateispresentedbyan authorized representative ofThe Depository TrustCompany,a NewYorkcorporation("DTC"),the Issuer oritsagentforregistrationoftransfer,exchange orpayment, andanycertificateissuedisregisteredinthenameofCede &Co.orinsuch other nameasisrequested byan authorized representative ofDTC(andany payment ismadetoCede&Co.ortosuchotherentity asisrequestedbyanauthorized representative ofDTC),ANY TRANSFER,PLEDGEOROTHERUSE HEREOF FORVALUEOR OTHERWISE BYORTOANYPERSONIS WRONGFUL inasmuchasthe registered owner hereof,Cede&Co.,hasan interest herein. G-16 '.,,,.-..l'"'"'~'."f""i,:~",'.a",~/l'I"',',',~f',",',"'~',,'',".''',',',",:,i.~~~"\c,.':,,.~",..t",',..,<~.'.,~,.",(,.,;v"~,,.-",Col ':]i,,,~~.;~~~:')"~J.~':~"'.!i r~ ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE $3,455,000 INTEREST RATE: 5.25% Registered Owner:CEDE&Co. MATURITY DATE: October 1,2031 CUSIPNO.: 01179RNA7 Principal Amount:Three Million Four Hundred Fifty-Five Thousand and No/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbody corporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existingunderand pursuant tothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,hereby promises topaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveonthe Maturity Datespecified above,andtopaytotheregistered owner hereof interestonsuchprincipalsumfrom thedate hereof tothedateof maturity ofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipalandinterestshallbemadebywire transfer totheregisteredowner pursuant towritten instructions furnishedtoTheBankofNewYorkMellon Trust Company,NA, inSanFrancisco,California,as Trustee undertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsas Trustee (hereincalledthe"Trustee").Inthe event thisBondis no longer heldin book-entry form,(i)payment of interest willbemadebycheckor draft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond register oftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered owner ofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoan interest payment date,bywire transfer in immediately available fundstoan account intheUnitedStatesof America designated bysuch registeredowner;and(ii)principal willbepayableupon presentation and surrender hereof atthe corporate trustofficeoftheTrustee.Interestshallbecomputedonthe basisofa360-dayyear composed oftwelve thirty-day months.Bothprincipalofand interest onthisBondarepayableinanycoinor currency oftheUnitedStatesof America which,ontherespective dates of payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. UnlessthiscertificateispresentedbyanauthorizedrepresentativeofTheDepositoryTrustCompany,a NewYorkcorporation("DTC"),theIssueroritsagentforregistrationoftransfer,exchangeorpayment, andanycertificateissuedisregisteredinthenameofCede &Co.orinsuchothernameasisrequested byanauthorizedrepresentativeofDTC(andanypaymentismadetoCede &Co.ortosuchotherentity asisrequestedbyanauthorizedrepresentativeofDTC),ANYTRANSFER,PLEDGEOROTHERUSE HEREOFFORVALUEOROTHERWISEBYORTOANYPERSONISWRONGFULinasmuchasthe registeredownerhereof,Cede &Co.,hasaninterestherein. G-17 $3,645,000 ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE INTEREST RATE: 5.25% Registered Owner:CEDE &Co. MATURITY DATE: October 1,2032 CUSIPNO.: 01179RNB5 Principal Amount:Three Million Six Hundred Forty-Five Thousand and No/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbodycorporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existingunderandpursuanttothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,herebypromisestopaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveontheMaturityDatespecified above,andtopaytotheregisteredowner hereof interestonsuchprincipalsumfrom thedate hereof tothedateof maturity ofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipalandinterestshallbemadebywire transfer totheregisteredowner pursuant towritteninstructionsfurnishedtoTheBankofNewYorkMellonTrustCompany,NA, inSanFrancisco,California,asTrusteeundertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe"Resolution"),orits successor orassignsas Trustee (hereincalledthe"Trustee").IntheeventthisBondis nolongerheldinbook-entryform,(i)payment ofinterestwillbemadebycheckordraft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoan interest payment date,bywire transfer in immediately availablefundstoan account intheUnitedStatesofAmerica designated bysuch registeredowner;and(ii)principalwillbepayableuponpresentationand surrender hereof atthecorporatetrustofficeoftheTrustee.Interestshallbecomputedonthe basisofa360-dayyearcomposedoftwelvethirty-daymonths.Bothprincipalofand interestonthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof Americawhich,ontherespectivedatesof payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. $16,045,000 Unlessthis certificate ispresentedbyan authorized representative ofThe Depository Trust Company,a NewYork corporation ("DTC"),theIssueroritsagentforregistrationoftransfer,exchange orpayment, andany certificate issuedisregisteredinthenameofCede&Co.orinsuch other nameasisrequested byan authorized representative ofDTC(andany payment ismadetoCede &Co.ortosuch other entity asisrequestedbyanauthorized representative ofDTC),ANY TRANSFER,PLEDGEOR OTHER USE HEREOF FORVALUEOR OTHERWISE BYORTOANYPERSONIS WRONGFUL inasmuch asthe registered owner hereof,Cede&Co.,hasaninterestherein. €.'"""'fi.j<"~..m ..~.'~'.p.''"~\~.\~..f.'.i;~l'....~.....),1 .{.'.'":.~.'..;:{j.~"..Vi.'....•:':..v'(::,~~-,.~r-.....,.f,:>Ji3 (·-it~~'i ~~'"-'':)~.~'G':."~t'li ,,~G-18 ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE INTEREST RATE: 5.25% MATURITY DATE: October 1,2036 CUSIPNO.: 01179RNC3 Registered Owner:CEDE&Co. Principal Amount:Sixteen Million Forty-Five Thousand and No/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbodycorporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existingunderandpursuanttothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,herebypromisestopaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveontheMaturityDatespecified above,andtopaytotheregisteredowner hereof interestonsuchprincipalsumfrom thedate hereof tothedateof maturity ofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldinbook-entryform,payment ofprincipalandinterestshallbemadebywire transfer totheregisteredowner pursuant towritten instructions furnishedtoTheBankofNewYorkMellonTrustCompany,NA, inSanFrancisco,California,as Trustee undertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsasTrustee(hereincalledthe"Trustee").IntheeventthisBondis no longer heldinbook-entryform,(i)payment ofinterestwillbemadebycheckordraft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast$1,000,000inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoan interest payment date,bywire transfer in immediately availablefundstoanaccountintheUnitedStatesofAmerica designated bysuch registeredowner;and(ii)principalwillbepayableuponpresentationand surrender hereof atthecorporatetrustofficeoftheTrustee.Interestshallbecomputedonthe basisofa360-dayyearcomposedoftwelve thirty-day months.Bothprincipalofand interest onthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof Americawhich,ontherespectivedatesof payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. Unlessthis certificate ispresentedbyan authorized representative ofThe Depository Trust Company,a NewYork corporation ("DTC"),theIssueroritsagentforregistrationoftransfer,exchange orpayment, andany certificate issuedisregisteredinthenameofCede &Co.orinsuch other nameasisrequested byan authorized representative ofDTC(andany payment ismadetoCede&Co.ortosuchotherentity asisrequestedbyanauthorized representative ofDTC),ANY TRANSFER,PLEDGEOROTHERUSE HEREOF FORVALUEOR OTHERWISE BYORTOANYPERSONIS WRONGFUL inasmuchasthe registered owner hereof,Cede&Co.,hasan interest herein. G1 f.,il C~..~f)~J ":lj ,:~J.;;r\!i $ -9 ~~)~;;j \l~~)~~..~~~~~r'~12,950,000 ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE INTEREST RATE: 5.00% Registered Owner:CEDE &Co. MATURITY DATE: October 1,2039 CUSIPNO.: 01179RNE9 Principal Amount:Twelve Million Nine Hundred Fifty Thousand and No/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbodycorporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existingunderandpursuanttothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,herebypromisestopaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveontheMaturityDatespecified above,andtopaytotheregisteredowner hereof interestonsuchprincipalsumfrom thedate hereof tothedateofmaturityofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipalandinterestshallbemadebywire transfer totheregisteredownerpursuant towritteninstructionsfurnishedtoTheBankofNewYorkMellonTrustCompany,NA, inSanFrancisco,California,asTrusteeundertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe"Resolution"),orits successor orassignsasTrustee(hereincalledthe"Trustee").IntheeventthisBondis nolongerheldinbook-entryform,(i)payment ofinterestwillbemadebycheckordraft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoaninterest payment date,bywire transfer in immediately availablefundstoan account intheUnitedStatesofAmerica designated bysuch registeredowner;and (ii)principalwillbepayableupon presentation and surrender hereof atthecorporatetrustofficeoftheTrustee.Interestshallbecomputedonthe basisofa360-dayyearcomposedoftwelve thirty-day months.Bothprincipalofand interestonthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof Americawhich,ontherespectivedatesof payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. Unlessthis certificate ispresentedbyan authorized representative ofThe Depository Trust Company,a NewYork corporation ("DTC"),the Issuer oritsagentforregistrationoftransfer,exchange orpayment, andany certificate issuedisregisteredinthenameofCede &Co.orinsuch other nameasisrequested byan authorized representative ofDTC(andany payment ismadetoCede&Co.ortosuch other entity asisrequestedbyan authorized representative ofDTC),ANY TRANSFER,PLEDGEOROTHERUSE HEREOF FORVALUEOR OTHERWISE BYORTOANYPERSONIS WRONGFUL inasmuch asthe registered owner hereof,Cede &Co.,hasan interest herein. G-20 $4,745,000 ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE INTEREST RATE: 4.00% Registered Owner:CEDE &Co. MATURITY DATE: October 1,2040 CUSIPNO.: 01179RNG4 Principal Amount:Four Million Seven Hundred Forty-Five Thousand and No/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbodycorporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existing under andpursuanttothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,herebypromisestopaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveontheMaturityDatespecified above,andtopaytotheregisteredowner hereof interestonsuchprincipalsumfrom thedate hereof tothedateofmaturityofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipalandinterestshallbemadebywire transfer totheregisteredowner pursuant towritten instructions furnishedtoTheBankofNewYorkMellonTrustCompany,NA, inSanFrancisco,California,asTrusteeundertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsasTrustee(hereincalledthe"Trustee").IntheeventthisBondis nolongerheldin book-entry form,(i)payment ofinterestwillbemadebycheckordraft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoaninterestpaymentdate,bywire transfer in immediately availablefundstoan account intheUnitedStatesofAmericadesignatedbysuch registeredowner;and (ii)principalwillbepayableupon presentation and surrender hereof atthecorporatetrustofficeoftheTrustee.Interestshallbecomputedonthe basisofa360-dayyearcomposedoftwelve thirty-day months.Bothprincipalofand interestonthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof Americawhich,ontherespectivedatesofpaymentthereof,shallbelegal tender forthe payment ofpublicandprivatedebts. UnlessthiscertificateispresentedbyanauthorizedrepresentativeofTheDepositoryTrustCompany,a NewYorkcorporation("DTC"),theIssueroritsagentforregistrationoftransfer,exchangeorpayment, andanycertificateissuedisregisteredinthenameofCede &Co.orinsuchothernameasisrequested byanauthorizedrepresentativeofDTC(andanypaymentismadetoCede &Co.ortosuchotherentity asisrequestedbyanauthorizedrepresentativeofDTC),ANYTRANSFER,PLEDGEOROTHERUSE HEREOFFORVALUEOROTHERWISEBYORTOANYPERSONISWRONGFULinasmuchasthe registeredownerhereof,Cede &Co.,hasaninterestherein. ;l::'l r?~,"0:;.1P"~~;",~~,¥;:;;;1'"\')]'.;~::--,~f:5 k~~i~:3 ~~~:'(;4 -~~t',,~G-21~,\:tj '~]'~).~':!t:~''':J i __$20,660,000 ALASKA MUNICIPAL BOND BANK GENERAL OBLIGATION BONDS,2015SERIESTHREE INTEREST RATE: 4.00% Registered Owner:CEDE &Co. MATURITY DATE: October 1,2044 CUSIPNO.: 01179RNF6 Principal Amount:Twenty Million Six Hundred Sixty Thousand and No/100 Dollars AlaskaMunicipalBondBank(hereincalledthe"Bank"),apublicbodycorporate andpolitic,constitutedasan instrumentality oftheStateofAlaska,organizedand existingunderand pursuant tothelawsoftheStateofAlaska,acknowledges itself indebtedto,andforvaluereceived,hereby promises topaytoCEDE &CO.or registeredassigns,theprincipalsumspecifiedaboveontheMaturityDatespecified above,andtopaytotheregisteredowner hereof interestonsuchprincipalsumfrom thedate hereof tothedateof maturity ofthisBondattherateperannumspecified above,payableApril1,2016,and semi-annually onthe1stdayof October andonthe 1stdayofAprilthereafter.ForsolongasthisBondisheldin book-entry form,payment ofprincipalandinterestshallbemadebywire transfer totheregisteredowner pursuant towritten instructions furnishedtoTheBankofNewYorkMellonTrustCompany,NA, inSanFrancisco,California,asTrusteeundertheGeneralBondResolutionofthe Bank,adoptedJuly13,2005,asamended(hereincalledthe "Resolution"),orits successor orassignsasTrustee(hereincalledthe"Trustee").IntheeventthisBondis nolongerheldin book-entry form,(i)payment ofinterestwillbemadebycheckordraft mailedbyfirstclassmailtotheregisteredownerattheaddressappearingonthebond registeroftheBankkeptbytheTrustee,or,uponthewrittenrequestofaregistered ownerofatleast $1,000,000 inprincipal amount of2015SeriesThreeBondsreceived atleast15dayspriortoaninterestpaymentdate,bywire transfer in immediately availablefundstoan account intheUnitedStatesofAmerica designated bysuch registeredowner;and (ii)principalwillbepayableuponpresentationand surrender hereof atthecorporatetrustofficeoftheTrustee.Interest shallbecomputedonthe basisofa360-dayyearcomposedoftwelve thirty-day months.Bothprincipalofand interestonthisBondarepayableinanycoinorcurrencyoftheUnitedStatesof Americawhich,ontherespectivedatesof payment thereof,shallbelegal tender forthe payment ofpublicandprivatedebts. ThisBondisageneralobligationoftheBankandisoneofadulyauthorized issueofBondsoftheBankdesignated"AlaskaMunicipalBondBankBonds"(herein calledthe"Bonds"),issuedandtobeissuedinvariousseriesunderandpursuanttothe AlaskaMunicipalBondBankAct,constitutingChapter85,Title44,oftheAlaska Statutes(hereincalledthe"Act"),andunderandpursuanttotheResolutionanda seriesresolutionauthorizingeachsuchseries.AsprovidedintheResolution,the Bondsmaybeissuedfromtimetotimepursuanttoseriesresolutionsinoneormore series,invariousprincipalamounts,maymatureatdifferenttimes,maybearinterestat differentratesand,subjecttotheprovisionsthereof,mayotherwisevary.The aggregateprincipalamountofBondswhichmaybeissuedundertheResolutionisnot limitedexceptasprovidedintheResolution,theapplicableSeriesResolution,andthe Act,andallBondsissuedandtobeissuedundersaidResolutionareandwillbeequally andratablysecuredbythepledgesandcovenantsmadetherein,exceptasotherwise expresslyprovidedorpermittedintheResolutionandtheapplicableSeriesResolution. ThisBondisoneofaseriesofBonds(the"2015SeriesThreeBonds")issuedin theaggregateprincipalamountof$96,210,000undertheResolutionoftheBankanda seriesresolutionoftheBank,adoptedAugust11,2015,andentitled:"ASeries ResolutionAuthorizingtheIssuanceofGeneralObligationBonds,2015SeriesThree,of theAlaskaMunicipalBondBank"(saidresolutionsbeinghereincollectivelycalledthe "Resolutions"). CopiesoftheResolutionsareonfileattheofficeoftheBankandatthe corporatetrustofficeoftheTrustee,andreferencetotheResolutionsandanyandall supplementstheretoandmodificationsandamendmentsthereofandtotheActismade foradescriptionofthepledgesandcovenantssecuringthe2015SeriesThreeBonds; thenature,extentandmannerofenforcementofsuchpledges;therightsandremedies oftheregisteredownersofthe2015SeriesThreeBondswithrespectthereto;andthe termsandconditionsuponwhichtheBondsareissuedandmaybeissuedthereunder; toalloftheprovisionsofwhichtheregisteredownerofthisBond,byacceptanceofthis Bond,consentsandagrees.Totheextentandinthemannerpermittedbythetermsof theResolutions,theprovisionsoftheResolutionsoranyresolutionamendatorythereof orsupplementaltheretomaybemodifiedoramendedbytheBank,withthewritten consentoftheregisteredownersofatleasttwo-thirdsinprincipalamountoftheBonds thenoutstandingand,incaselessthanalloftheseveralseriesofBondswouldbe affectedthereby,withsuchconsentoftheregisteredownersofatleasttwo-thirdsin principalamountoftheBondsofeachseriessoaffectedthenoutstanding. The2015SeriesThreeBondsaresubjecttoredemptionpriortotheirrespective scheduledmaturitiesassetforthbelow. The2015SeriesThreeBondsmaturingonorafterOctober1,2025,aresubject toredemption,inwholeorinpart,onorafterApril1,2025,attheoptionoftheBank at a priceof100%oftheprincipalamountthereoftoberedeemedplusaccruedinterestto thedateofredemption. Page2 Unlesspreviouslyredeemedpursuanttotheforegoingoptionalredemption provisions,the2015SeriesThreeBondsmaturingonOctober1,2036(the"2036Term Bond")aresubjecttoredemptiononOctober1ofthefollowingyearsandinthe followingprincipalamountsat100%oftheprincipalamountofthe2015SeriesThree Bondsto be redeemedplusaccruedinterest,ifany,totheredemptiondate. 2036TermBond Date PrincipalAmount *Maturity October1,2033 October1,2034 October1,2035 October1,2036* $3,835,000 4,050,000 4,265,000 3,895,000 Unlesspreviouslyredeemedpursuanttotheforegoingoptionalredemption provisions,the2015SeriesThreeBondsmaturingonOctober1,2039(the"2039Term Bond")aresubjecttoredemptiononOctober1ofthefollowingyearsandinthe followingprincipalamountsat100%oftheprincipalamountofthe2015SeriesThree Bondstobe redeemed plusaccruedinterest,ifany,totheredemptiondate. 2039TermBond Date PrincipalAmount *Maturity October1,2037 October1,2038 October1,2039* $4,105,000 4,310,000 4,535,000 Unlesspreviouslyredeemedpursuanttotheforegoingoptionalredemption provisions,the2015SeriesThreeBondsmaturingonOctober 1,2044 (the"2044Term Bond")aresubjecttoredemptiononOctober1ofthefollowingyearsandinthe followingprincipalamountsat100%oftheprincipalamountofthe2015SeriesThree Bondstoberedeemedplusaccruedinterest,ifany,totheredemptiondate. 2044TermBond Date PrincipalAmount *FinalMaturity October1,2041 October1,2042 October1,2043 October 1,2044* $4,860,000 5,055,000 5,265,000 5,480,000 Page3 Noticeofredemptionwillbemailedtoownersof2015SeriesThreeBondscalled forredemptionnotlessthan30daysnormorethan60daysbeforetheredemption date.Interestonany2015SeriesThreeBondscalledforredemptionwillceaseonthe redemptiondate. ThisBondistransferable,asprovidedintheResolutions,onlyuponthebooksof theBankkeptforthatpurposeatthecorporatetrustofficeoftheTrustee,bythe registeredownerhereofinpersonorbyitsattorneydulyauthorizedinwriting,uponthe surrenderofthisBondtogetherwithawritteninstrumentoftransfersatisfactorytothe Trusteedulyexecutedbytheregisteredowneroritsattorneydulyauthorizedinwriting, andthereuponanewregistered2015SeriesThreeBondorBondsinthesame aggregateprincipalamountandofthesamematurity,inauthorizeddenominations, shallbeissuedtothetransfereeinexchangethereforasprovidedintheResolutions anduponthepaymentofthecharges,ifany,thereinprescribed. The2015SeriesThreeBondsareissuableinthedenominationof$5,000orany integralmultiplethereof,notexceedingtheaggregateprincipalamountof2015Series ThreeBondsmaturingintheyearofmaturityoftheBondforwhichthedenominationof theBondistobespecified.Subjecttosuchconditionsanduponpaymentofsuch charges,ifany,2015SeriesThreeBonds,uponsurrenderthereofatthecorporatetrust officeoftheTrusteewithawritteninstrumentoftransfersatisfactorytotheTrustee,duly executedbytheregisteredowneroritsattorneydulyauthorizedinwriting,may,atthe optionoftheregisteredownerthereof,beexchangedforanequalaggregateprincipal amountofregistered2015SeriesThreeBondsofanyotherauthorizeddenominations, ofthesamematurity. TheBankisobligatedtopaytheprincipalofandinterestonthe2015Series ThreeBondsonlyfromrevenuesorfundsoftheBank,andtheStateofAlaskaisnot obligatedtopaysuchprincipaloforinterestonthe2015SeriesThreeBonds.Neither thefaithandcreditnorthetaxingpoweroftheStateofAlaskaispledgedtothe paymentoftheprincipalofortheinterestonthe2015SeriesThreeBonds. ThisBondisfullynegotiableforallpurposesoftheUniformCommercialCode, andeachownerofthisBondbyacceptingthisBondshallbeconclusivelyconsideredto haveagreedthatthisBondisfullynegotiableforthosepurposes. NeitheramemberoftheBanknoranypersonexecutingthe2015SeriesThree Bondsshallbeliablepersonallyonthe2015SeriesThreeBondsbyreasonofthe issuancethereof. ThisBondshallnotbeentitledtoanybenefitundertheResolutionsorbevalidor becomeobligatoryforanypurposeuntilthisBondshallhavebeenauthenticatedbythe executionbytheTrusteeoftheTrustee'sCertificateofAuthenticationhereon. TheBankmodifiedtheResolution,effectiveonthedatewhenallBondsissued priortoFebruary19,2013ceasetobeOutstanding,by:(i)authorizingtheTrusteeto Page4 releasetotheBankamountsheldintheReserveFundwhichexceedtheRequiredDebt ServiceReservewheneverthereisareductionintheRequiredDebtServiceReserve; (ii)requiringtheTrusteetowithdrawearningsandprofitsrealizedintheReserveFund, andtoprovidesuchamountstotheBankonorbeforeJune30ofeachyearsolongas thebalancethereinequalstheRequiredDebtServiceReserve;(iii)authorizingcertain amendmentsandmodificationstotheResolutioneffectiveuponsecuringtheconsentof Holdersofatleasttwo-thirdsinprincipalamountofBondsthenOutstanding;and(iv) providingthatanunderwriterorpurchaserofaSeriesofBondsmayconsenttoa modificationof,oramendmentto,theResolutionasHolderofsuchBondsatthetime suchBondsareissued. ITISHEREBYCERTIFIED,RECITEDANDDECLAREDthatallacts,conditions andthingsrequiredbytheConstitutionandstatutesoftheStateofAlaskaandthe Resolutionstoexist,tohavehappenedandtohavebeenperformedprecedenttoandin theissuanceofthisBond,exist,havehappenedandhavebeenperformedinduetime, formandmannerasrequiredbylawandthattheissueofthe2015SeriesThreeBonds, togetherwithallotherindebtednessoftheBank,iswithineverydebtandotherlimit prescribedbylaw. INWITNESSWHEREOF,theAlaskaMunicipalBondBankhascausedthisBond tobeexecutedinitsnamebythemanualorfacsimilesignatureofitsChairmanandits corporateseal(orafacsimilethereof)tobeaffixed,imprinted,engravedorotherwise reproducedhereon,andattestedbythemanualorfacsimilesignatureofitsExecutive Directorallasofthe16thdayofSeptember2015. ALASKAMUNICIPALBONDBANK [SEAL] .ATTEST: Page5 TRUSTEE'S CERTIFICATE OF AUTHENTICATION ThisBondisoneoftheBondsdescribedinthe within-mentioned Resolutionsand isoneofthe2015Series Three BondsoftheAlaska Municipal BondBank. THEBANKOFNEWYORKMELLON TRUST COMPANY,NA, as Trustee Dateof Authentication: September 16,2015 Authorized Officer Page6 ASSIGNMENT FORVALUERECEIVEDtheundersignedherebysells,assignsandtransfers unto (PleaseprintortypewritetheNameandAddress,includingtheZipCode of the Transferee,andthefederaltaxpayeridentificationorsocialsecuritynumber)thewithin Bondandallrightsthereunder,andherebyirrevocablyconstitutesandappoints _________attorneytotransferthewithinBondonthebookskeptfor registrationandtransferthereof,withfullpowerofsubstitutioninthepremises. Dated:_ SignatureGuaranteed By:_ [MustbeamemberoftheNewYork StockExchangeorabank] Page7 THE BANK OF NEW YORK MELLON TRUST COMPANY,N.A. OFFICER'S CERTIFICATE Idoherebycertifythat: (i)IamthedulyelectedOfficer of TheBank of NewYorkMellonTrustCompany, N.A.;(theCompany"); (ii)attachedheretoisatrue,correctcopy of SigningAuthoritiesextractsfromby-laws of theCompanyadoptedbyaction of theBoard of Directors of theCompanyand presently in effect; (iii)attachedheretoisalist of thepersonswho,as of thedatehereof,arecertainduly electedofficers ofthe Company,whichlistssetsforththetitle of eachsuchofficernexttohisor hertypedname,withwhichofficersIam personally familiar;and INWITNESS WHEREOF,IhavehereuntoexecutedthisCertificateasVice President of theCompanythis16th day of September,2015. Officer's Name:CarolNelson Title:Vice President Iherebycertifythatas of thedate hereof that CarolNelsonisthedulyelectedOfficer of TheBank of NewYorkMellonTrustCompany,N.A.andthatthesignaturewhichappearsonthe foregoingpagesisthe signature of CarolNelsonandthatitisasignaturewithwhichIam personally familiaranddocertifyastoitsauthenticity: Dated:September 16,2015 By:GonzaloUrey Title:VicePresident O:\WINWQRDIQTHER\THDIBank ofNewYorkTrustCo,NA,SECRETARY'S CERTIFICATE THE BANKOFNEW YORK MELLON TRUST COMPANY, NATIONAL AsSOCIATION I,theundersigned,Cristina M.Rice,Assistant Secretary ofTheBankofNewYorkMellon Trust Company,NationalAssociation,anationalbankingassociationorganized under thelawsoftheUnitedStates (the"Association")andlocatedintheStateofCalifornia,DOHEREBYCERTIFY that the following individuals areduly appointed andqualifiedOfficersoftheAssociationand that the signature appearing next toeachofficerlistedisa true copyofthe signature ofsuchofficer: OfficerNameandTideSigningAuthority LosAngeles.California(400SouthHopeStreet) Fanny Chen A,J,N Vice President Mark A.Golder A,J,N Vice President LisaInfusino A,J,N Vice President Daniel Marroquin A,J,N Vice President GloriaRamirez A,J,NVicePresident GonzaloUrey A,J,N Vice President Deborah D.Young A,J,N Vice President Seattle.Washington(601UnionStreet) Signature ,",; .+v"o~../ ••w' Carol Nelson Vice President A,J,N I further certify that asofthisdatetheyhavebeen authorized tosignonbehalfoftheAssociationin discharging or performing their dutiesinaccordancewiththeseniorandlimitedsigningpowersprovided under ArticleV,Sections5.2and5.3oftheBy-lawsoftheAssociationandthe paragraphs indicatedaboveof thesigning authority resolutionofthe Board ofDirectorsoftheAssociation. Attachedheretoaretrue and correct copiesofexcerptsoftheBy-lawsoftheAssociationandthesigning authority resolution,whichhavenotbeenamendedorrevisedsinceOctober15,2009andarein full forceand effect. INWITNESS WHEREOF,Ihave hereunto setmyhandand affixed thesealofTheBankofNewYork M .....T_Company,National As<odation ""5"('of J:::21l~.• ~,-~.ikUL~ Cristina M.Rice,Assistant Secretary Extracts from By-Laws of The Bank ofNew York Mellon Trust Company,N.A. As Amended through October 15,2009 ARTICLE V SIGNING AUTHORITIES Section 5.1Real Prope11y.Real property owned bythe Association initsownrightshallnot be deeded,conveyed,mortgaged,assigned or transferred except when duly authorized bya resolution of theBoard.The Board mayfrom time-to-time authorize officers todeed,convey,mortgage,assign or transfer real property owned bythe Association inits own rightwithsuch maximum valuesasthe Boardmayfixinits authorizing resolution. Section 5.2.Senior Signing Powers.Subject tothe exception provided in Section 5.1,the President andany Executive Vice President is authorized toaccept,endorse,execute orsignany document,instrument or paper inthe name of,oron behalf of,the Association inall transactions arising outof,orin connection with,the normal course of the Association's business orinany fiduciary,representative or agency capacity and,when required,toaffixtheseal of the Association thereto.In such instances asinthe judgment of the President,orany Executive Vice President may be proper and desirable,anyone of said officers may authorize in writing from time-to-time any other officer tohavethe powers setforthinthis section applicable only tothe performance or discharge of theduties of such officer within hisorher particular division orfunction.Any officer of the Association authorized inor pursuant to Section 5.3tohaveany of the powers setforth therein,other thanthe officer signing pursuant tothis Section 5.2,is authorized to attest totheseal of the Association onany documents requiring suchseal. Section 5.3.Limited Signing Powers.Subject tothe exception provided in Section 5.1,in such instances asinthe judgment of the President orany Executive Vice President,maybe proper and desirable,flny one of saidofficers may authorize in writing from time-to-time flny other officer, employee or individual tohavethe limited signing powers or limited power toaffixtheseal of the Association to specified classes of documents setforthina resolution of the Board applicable only to the performance or discharge of the duties of suchofficer,employee or individual within hisorher division orfunction. Section 5.4.Powers of Attorney.All powers of attorney on behalf of the Association shallbe executed byany officer of the Association jointly withthe President,any Executive Vice President,or any Managing Director,provided thatthe execution bysuch Managing Director of said Power of Attorney shallbe applicable only tothe performance or discharge of theduties of said officer within hisorher particular division orfunction.Any such power of attorney may,however,be executed by any officer or officers or person or persons whomaybe specifically authorized to execute thesameby theBoard of Directors. Section 5.5.Auditor.The Auditor orany officer designated bythe Auditor is authorized to certify inthe name of,oron behalf of the Association,inits own rightorina fiduciary or representative capacity,astothe accuracy and completeness of anyaccount,schedule of assets,or other document,instrument or paper requiring such certification. SIGNING AUTHORITY RESOLUTION Pursuant to Article V,Section 5.3 of the By-Laws Adopted October 15,2009 RESOLVED that,pursuant to Section 5.3 of the By-Laws of the Association,authority be,and hereby is,granted tothe President orany Executive Vice President,insuch instances asinthe judgment of anyone of said officers may be proper and desirable,to authorize inwritingfrom time-to- timeany other officer,employee or individual tohavethe limited signing authority setforthin anyone ormore of thefollowing paragraphs applicable only tothe performance or discharge of theduties of such officer,employee or individual within hisorher division orfunction: (A)Allsigning authority setforthin paragraphs (B)through (I)below except LevelC which must be specifically designated. (Bl)Individuals authorized toaccept,endorse,execute orsignanybill receivable; certification;contract,document or other instrument evidencing,embodying a commitment with respect to,or reflecting thetermsor conditions of,aloanoran extension of credit bythe Association; note;and document,instrument or paper of anytype,including stockandbond powers,required for purchasing,selling,transferring,exchanging or otherwise disposing of or dealing inforeign currency, derivatives oranyform of securities,including options andfuturesthereon;ineachcasein transactions arising outof,orin connection with,thenormalcourse of the Association's business. (B2)Individuals authorized to endorse,execute orsignany certification;disclosure notice required bylaw;document,instrument or paper of anytype required for judicial,regulatory or administrative proceedings orfilings;andlegalopinions. (Cl)Authority toaccept,endorse,execute orsignor effect the issuance of any cashiers, certified or other official check;draft;order for payment of money;check certification;receipt; certificate of deposit;money transfer wire;andinternal transfers resulting ina change of beneficial ownership;ineachcase,inexcess of $500,000,000 with single authorization forall transactions. (C2)Authority toaccept,endorse,execute orsignor effect the issuance of any cashiers, certified or other official check;draft;order for payment of money;check certification;receipt; certificate of deposit;money transfer wire;and intemal transfers resulting inachange of beneficial ownership;in each case,inexcess of$500,000,000*. (C3)Authority toaccept,endorse,execute orsignor effect the issuance of any cashiers, certified or other official check;draft;order for payment of money;check certification;receipt; certificate of deposit;money transfer wire;and intemal transfers resulting in a change of beneficial ownership;ineachcase,inan amount upto $500,000,000. (C4)Authority toaccept,endorse,execute orsignor effect the issuance of any cashiers, certified or other official check;draft;order for payment of money;check certification;receipt; certificate of deposit;money transfer wire;and intemal transfers resulting ina change of beneficial ownership;ineachcase,inan amount in excess of$IOO,OOO,OOO butnotto exceed $500,000,000*. (C5)Authority toaccept,endorse,execute orsignor effect the issuance of any cashiers, certified or other official check;draft;order for payment of money;check certification;receipt; certificate of deposit;money transfer wire;and internal transfers resulting in a change of beneficial ownership;in eachcase,in an amount upto $100,000,000. (C6)Authority toaccept,endorse,execute orsignor effect the issuance of any cashiers, certified or other official check;draft;order for payment of money;check certification;receipt; certificate of deposit;money transfer wire;and internal transfers resulting in a change of beneficial ownership;in eachcase,in an amount upto $10,000,000. (C7)Authority toaccept,endorse,execute orsignor effect the issuance of any cashiers, certified or other official check;draft;order for payment of money;check certification;receipt; certificate of deposit;money transfer wire;and internal transfers resulting in a change of beneficial ownership;in eachcase,in an amount upto $5,000,000. (C8)Authority toaccept,endorse,execute orsignor effect the issuance of any cashiers, certified or other official check;draft;order for payment of money;check certification;receipt; certificate of deposit;money transfer wire;and internal transfers resulting in a change of beneficial ownership;in eachcase,in an amount upto $1,000,000. (C9)Authority toaccept,endorse,execute orsignor effect the issuance of any cashiers, certified or other official check;draft;order for payment of money;check certification;receipt; certificate of deposit;money transfer wire;and internal transfers resulting in a change of beneficial ownership;in each case,in an amount upto $250,000. (CIO)Authority toaccept,endorse,execute orsignor effect the issuance of any cashiers, certified or other official check;draft;order for payment of money;check certification;receipt; certificate of deposit;money transfer wire;and internal transfers resulting in a change of beneficial ownership;in eachcase,in an amount upto $50,000. (Cll)Authority toaccept,endorse,execute orsignor effect the issuance of any cashiers, certified or other official check;draft;order for payment of money;check certification;receipt; certificate of deposit;money transfer wire;and internal transfers resulting in a change of beneficial ownership;in each case,in an amount upto $5,000. *Dual authorization is required byany combination of senior officer and/or Sector Head approved designee for non-exempt transactions.Single authorization required for exempt transactions. (Dl)Authority toaccept,endorse,execute orsignany contract obligating the Association for the payment of money orthe provision of services in an amount upto $1,000,000. (D2)Authority toaccept,endorse,execute orsignany contract obligating the Association for the payment of money orthe provision of services in an amount upto $250,000. (D3)Authority toaccept,endorse,execute orsignany contract obligating the Association for the payment of money orthe provision of services in an amount upto $50,000. (D4)Authority toaccept,endorse,execute orsignany contract obligating the Association for the payment of money orthe provision of services in an amount upto $5,000. (E)Authority toaccept,endorse,execute orsignany guarantee of signature to assignments of stocks,bonds or other instruments;certification required for transfers and deliveries of stocks,bonds or other instruments;and document,instrument or paper of anytype required in connection with any Individual Retirement Account or Keogh Plan or similar plan. (F)Authority toaccept,endorse,execute orsignany certificate of authentication asbond, unit investment trust or debenture trustee andon behalf of the Association as registrar and transfer agent. (G)Authority toaccept,endorse,execute orsignany bankers acceptance;letter of credit; andbill of lading. (H)Authority toaccept,endorse,execute orsignany document,instrument or paper of any type required in connection withthe ownership,management or transfer of realor personal property heldbythe Association in trust orin connection withany transaction with respect to which the Association isactinginanyfiduciary,representative or agency capacity,including the acceptance of suchfiduciary,representative or agency account. (11)Authority toeffectthe external movement of free delivery of securities andinternal transfers resulting in changes of beneficial ownership. (12)Authority toeffectthe movement of securities versus payment at market or contract value. (J)Authority to either signon behalf of the Association ortoaffixtheseal of the Association toany of the following classes of documents:Trust Indentures,Escrow Agreements, Pooling and Servicing Agreements,Collateral Agency Agreements,Custody Agreements,Trustee's Deeds,Executor's Deeds,Personal Representative's Deeds,OtherRealEstateDeedsfor property not owned bythe Association inits own right,Corporate Resolutions,Mortgage Satisfactions,Mortgage Assignments,Trust Agreements,Loan Agreements,TrustandEstate Accountings,Probate Petitions, responsive pleadings in litigated matters and Petitions in Probate Court with respect to Accountings, Contracts for providing customers with Association products or services. (N)Individuals authorized to accept,endorse,execute orsign internal transactions only, (i.e.,general ledger tickets);doesnot include the authority to authorize external money movements, internal money movements orinternalfree deliveries thatresultin changes of beneficial ownership. (PI)Authority to approve the payment of valid expenses as incurred tomeetthe obligations of the Association,excluding salary and other employee directed benefit payments;ineachcase,in excess of$IO,OOO,OOO. (P2)Authority to approve the payment of valid expenses as incurred tomeetthe obligations of the Association,excluding salary and other employee directed benefit payments;ineachcase,inan amount upto $10,000,000. (P3)Authority to approve the payment of valid expenses as incurred tomeetthe obligations of the Association,excluding salary and other employee directed benefit payments;ineachcase,inan amount upto $5,000,000. (P4)Authority to approve the payment of valid expenses as incurred tomeetthe obligations of the Association,excluding salary and other employee directed benefit payments;ineachcase,inan amount upto $1,000,000. (P5)Authority to approve the payment of valid expenses as incurred tomeetthe obligations of the Association,excluding salary and other employee directed benefit payments;ineachcase,inan amount upto $250,000. (P6)Authority to approve the payment of valid expenses as incurred tomeetthe obligations of the Association,excluding salary and other employee directed benefit payments;ineachcase,inan amount upto $100,000. (P7)Authority to approve the payment of valid expenses as incurred tomeetthe obligations of the Association,excluding salary and other employee directed benefit payments;ineachcase,inan amount upto $50,000. (P8)Authority to approve the payment of valid expenses as incurred tomeetthe obligations of the Association,excluding salary and other employee directed benefit payments;ineachcase,inan amount upto $25,000. (P9)Authority to approve the payment of valid expenses as incurred to meet the obligations of the Association,excluding salary and other employee directed benefit payments;ineachcase,inan amount upto $10,000. (PIO)Authority to approve the payment of valid expenses as incurred tomeetthe obligations of the Association,excluding salary and other employee directed benefit payments;ineachcase,inan amount upto$5,000. (PH)Authority to approve the payment of valid expenses as incurred tomeetthe obligations of the Association,excluding salary and other employee directed benefit payments;ineachcase,inan amount upto$3,000. RESOLVED,thatany signing authority granted pursuant tothis resolution maybe rescinded bythe President orany Executive Vice President and such signing authority shall terminate without the necessity of any further action when the person having such authority leaves the employ of the Association. CERTIFICATE OF TRUSTEE AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree Theundersigned,anauthorizedofficerofTheBankofNewYorkMellonTrust Company,NA (the"Trustee"),herebycertifieson behalf oftheTrusteeasfollowsin connectionwiththeissuanceofthe above-referenced bonds(the"2015Bonds"): 1.TheTrusteeisanationalbankingassociationdulyorganizedandvalidlyexisting underthelawsoftheUnitedStatesofAmerica,havingthefullpowerand authority toenterintoandperformits obligations undertheBondResolution,to acceptandadministerthetrustscreatedundertheBondResolutionandto authenticate anddeliverthe2015Bonds. 2.The2015BondshavebeendulyauthenticatedanddeliveredbytheTrustee. 3.Noconsent,approval,authorization orotheractionbyanygovernmentalor regulatoryauthorityhaving jurisdiction overtheTrusteethathasnotbeen obtainedisorwillberequiredfortheperformancebytheTrusteeofits obligations undertheBondResolutionorfortheauthenticationanddeliveryof the2015Bonds. 4.TheperformancebytheTrusteeofits obligations undertheBondResolutionand the authentication anddeliverybytheTrusteeofthe2015Bondswillnotconflict with,resultinaviolationorbreachoforconstituteadefaultunderanymaterial agreement ormaterial instrument towhichtheTrusteeisapartyorbywhichitis bound,oranylaworanyrule,regulation,orderordecreeofanycourtor governmental bodyhaving jurisdiction overtheTrusteeoranyofitsactivitiesor properties(exceptthatno representation ismadewithrespecttoanyfederalor statesecuritiesorblueskylawsorregulations)or(exceptwithrespecttothelien oftheBondResolution)resultinthecreationorimpositionofanylien,chargeor other security interestor encumbrance ofanynature whatsoever uponanyofthe property orassetsoftheTrustee. 5.TotheTrustee'sknowledge,thereisnolitigation,action,suit,proceeding,inquiry orinvestigationbyorbeforeanycourt,governmentalagency,publicboardor body,pendingor threatened inanywayaffectingorcontestingtheexistenceof theTrustee,the authentication ordeliverybytheTrusteeofthe2015Bonds,the performance bythe Trustee ofitsobligationsundertheBondResolutionor whereinanunfavorabledecision,rulingorfindingwouldadverselyaffectthe transactions contemplatedinconnectionwiththeauthenticationanddeliveryof the2015Bondsorthe performance bytheTrusteeofitsobligationsunderthe BondResolution. Capitalizedtermsusedbutnotdefinedinthiscertificatehavethemeaningsassigned suchtermsintheBondPurchase Contract relatingtothe2015BondsdatedAugust26, 2015,betweentheAlaskaMunicipalBondBankandRBCCapitalMarkets,LLC. DATED:September 16,2015. THEBANKOFNEWYORKMELLONTRUST COMPANY,N.A.,asTrustee AuthorizedOfficer 1:\Docs\37421742\Tustee's Certificate re BPC.docx Page2 TRUSTEE'S CERTIFICATE OF AUTHENTICATION AND RECEIPT OF DOCUMENTS ANDFUNDS THE BANKOFNEWYORKMELLONTRUSTCOMPANY,N.A.,asTrustee undertheGeneralBondResolutionoftheAlaskaMunicipalBondBank(the"Bank") adoptedJuly13,2005,asamended(the"GeneralBondResolution"),HEREBY CERTIFIESasfollows: 1.PriortothedeliveryonthisdayashereinafterstatedoftheBank'sGeneral ObligationBonds,2015SeriesThree(the"Bonds"),thereweredeliveredtothe undersigned: (a)Counsel'sOpinionasrequiredbySections203(C)(1)and1003of theGeneralBondResolution. (b)PursuanttoSection203(C)(2)oftheGeneralBondResolution,the writtenorderoftheBankastodeliveryoftheBonds,signedbyanAuthorizedOfficer, describingtheBondstobeauthenticatedanddelivered,designatingthepurchaserto whomtheBondsaretobedeliveredandstatingthepurchasepriceoftheBonds. (c)PursuanttoSection203(C)(3)oftheGeneralBondResolution,a copyofSeriesResolutionNo.2015-04(S)(the"SeriesResolution"),ascertifiedbyan AuthorizedOfficeroftheBank. (d)PursuanttoSection203(C)(4)oftheGeneralBondResolution,the certificateofanAuthorizedOfficerstatingthattheBankisnotindefaultinthe performanceofanyofthecovenants,conditions,agreementsorprovisionscontainedin theGeneralBondResolution. 2.Therehavebeendeliveredtotheundersignedalldocuments,opinions, certificatesandotherinstrumentsrequiredunderSections203and1003oftheGeneral BondResolutionasconditions precedent totheauthenticationanddeliveryofthe Bondsthereunderandthe transactions withtheGovernmentalUnitslistedin Paragraphs7through10hereof. 3.ItauthenticatedtheBondsbymanuallyexecutingoneachoftheBondsa certificateinthefollowingform: TRUSTEE'SCERTIFICATEOF AUTHENTICATION ThisBondisoneoftheBondsdescribedinthewithin-mentionedResolutionsand isoneofthe2015SeriesThreeBondsoftheAlaskaMunicipalBondBank. DateofAuthentication: THEBANKOFNEWYORKMELLON TRUSTCOMPANY,NA, asTrustee AuthorizedOfficer 4.Eachoftheauthenticationcertificateswassignedbyanofficerofthe undersigneddulyauthorizedtoexecutesaidcertificatesandperformsuchotheractsas werenecessaryorincidentalthereto. 5.IthasexaminedtheformofeachoftheBondsasauthenticatedand deliveredbyitandfoundthesametobe substantially intheformprescribedbythe SeriesResolution. 6.Onthedatehereof,theundersignedcausedtheBondstobedeliveredby FastAutomatedSecuritiesTransfer,dulyauthenticated,toRBCCapitalMarkets,LLCor itsdesignee,TheDepositoryTrustCompany. 7.AtorpriortothetimeofsaiddeliveryoftheBonds,therewasreceivedby theundersignedtheUniversityofAlaska("University")$86,085,000GeneralRevenue Bond,2015SeriesU. 8.AtorpriortothetimeofsaiddeliveryoftheBonds,therewasreceivedby theundersignedtheCityofKingCove,Alaska("KingCove")$980,000ElectricUtility RevenueBond,2015. 9.AtorpriortothetimeofsaiddeliveryoftheBonds,therewasreceivedby theundersignedtheHainesBorough,Alaska("Haines")$1,155,000GeneralObligation Bond,2015. 10.AtorpriortothetimeofsaiddeliveryoftheBonds,therewasreceivedby theundersignedtheKodiakIslandBorough,Alaska("KIB")$6,210,000General ObligationSchoolBond,2015SeriesAand$1,780,000GeneralObligationSchool Bond,2015SeriesB. AMBB/General ObligationBonds,2015SeriesThree Trustee's Certificate of Authentication and Receipt of Documents and Funds 1:\Docs\37421742\Auth Cert (Trustee's Cert.).Docx Page2 11.Theofficerexecutingthiscertificateonbehalfoftheundersignedisthe dulyauthorizedofficeroftheundersignedhavingprimary responsibility forthe administrationofthetrustcreatedbytheGeneralBondResolution. 12.AtorpriortothetimeofdeliveryoftheBondstherewasreceivedbythe undersignedaspaymentfortheBondsthesumof $104,076,129.62 (saidamountbeing theprincipalamountoftheBondsof$96,210,000.00,plusnetoriginalissuepremiumof $8,208,651.10,less$342,521.48representingthe Underwriter's discountfor theBonds. Ofthepaymentamount,andinregardstothenewmoneyloanswiththeBank,I havedeposited(i)$92,600,178.30withtheUniversity,(ii)$1,094,324.52withKing Cove,(iii)$1,305,028.90withHaines,and(iv)$9,037,609.41withKIB. 13.Theundersignedherebycertifiesthatisreceivedonthedate hereof from NationalPublicFinanceGuaranteeCorporationadebtservicereservesuretybondwith acoveragelimitof$5,198,465.78(the"SuretyBond")forpurposesofsatisfyingthe ReserveFundRequirement. 14.TheundersignedherebycertifiesthatuponreceiptoftheSuretyBond describedinParagraph13above,amountsandReserveEquivalentsheldinthe ReserveFundsatisfytheReserveFundRequirement. CapitalizedtermsnotdefinedhereinshallbeasdefinedintheGeneralBond Resolutionand/ortheSeriesResolution. INWITNESSWHEREOF,TheBankofNewYorkMellonTrustCompany,N.A., asTrusteeasaforesaid,hascausedthiscertificatetobeexecutedanddeliveredbya dulyauthorizedofficerthis16thdayofSeptember2015. THEBANKOFNEWYORKMELLON TRUSTCOMPANY,N.A. asTrustee ~IPL- AuthorizedOfficer By:---:::::::::....!.<~:..lL-~~_ AMBB/General ObligationBonds,2015SeriesThree Trustee's Certificate of Authentication and Receipt of Documents and Funds 1:\Docs\37421742IAuth Cert (Trustee's Cert.).Docx Page3 CERTIFICATE OF EXECUTIVE DIRECTOR ASTO DELIVERY AND PAYMENT FOR THE BONDS AND UNDERWRITER'S RECEIPT OFTHE GENERAL OBLIGATION BONDS,2015 SERIES THREE I,DEVEN J.MITCHELL,Executive Director ofthe Alaska Municipal Bond Bank (the "Bank"),HEREBY CERTIFY as follows: 1.The Bank's $96,210,000 General Obligation Bonds,2015 Series Three, dated the date of delivery (the "Bonds"),were delivered to The Bank of New York Mellon Trust Company,N.A.,as trustee (the "Trustee")on behalf ofRBC Capital Markets,LLC,on behalf of itself andas representative ofthe underwriters named inthe bond purchase contract dated August 26,2015 (the "Underwriter").The Bank instructed the Trustee to authenticate bond certificates for each maturity ofthe Bonds and constructively deliver the Bonds tothe Underwriter.The Bonds are registered in the name of Cede &Co.,as nominee of The Depository Trust Company,inthe principal amounts shown onthe inside cover of the Official Statement relating tothe Bonds. 2.That ator before the time ofsuch delivery there was received bythe Trustee,on behalf ofthe Bank fromthe Underwriter,the amount of $104,076,129.62 as full payment for the Bonds,computed as follows: Principal Amount of Bonds Less:Underwriter's Discount Plus:Net Original Issue Premium Total Received on Delivery $96,210,000.00 (342,521.48) 8,208,651.10 $104,076,129.62 IN WITNESS WHEREOF,Ihave hereunto setmyhand this 16th day of September 2015. AMBB/General Obligation Bonds,2015SeriesThree Certificate of Executive Director asto Delivery and Payment Forthe Bonds and Underwriter's Receipt of the Bonds 1:\Docs\37421742\Cert OfExDir (Delivery &Payment).Docx Page1 RECEIPT OF UNDERWRITER TheundersignedacknowledgesconstructivereceiptthisdayoftheBonds describedintheattachedcertificateandthe documents requiredtobedeliveredasof thisdayandrequeststhattheBondsbedeliveredinaccordancewithsaidcertificate. DATEDthis16thdayofSeptember2015. RBCCAPITALMARKETS,LLC, asUnderwriter By: AMBB/General Obligation Bonds,2015SeriesThree Certificate of Executive Director asto Delivery and Payment Forthe Bonds and Underwriter's Receipt of the Bonds 1:\Docs\37421742\Cert Of ExDir (Delivery &Paymenl).Docx Page2 CERTIFICATE OF EXECUTIVE DIRECTOR CONCERNING LITIGATION,OFFICIAL STATEMENT AND OTHER MATTERS I,DEVENJ.MITCHELL,thedulyappointedExecutiveDirectoroftheAlaska MunicipalBondBank(the"Bank"),HEREBYCERTIFY,withrespecttothe$96,210,000 GeneralObligationBonds,2015SeriesThree(the"Bonds")asfollows.Allcapitalized termsnototherwisedefinedhereinshallhavethemeaningprovidedinthegeneral resolutionentitled"AResolutionCreatingAndEstablishingAnIssueOfBondsOfThe AlaskaMunicipalBondBank;ProvidingForTheIssuanceFromTimeToTimeOfSaid Bonds;ProvidingForThePaymentOfPrincipal Of AndInterestOnSaidBonds;And ProvidingForTheRightsOfTheHoldersThereof,"adoptedJuly13,2005,asamended (the"GeneralBondResolution"),andSeriesResolutionNo.2015-04(S},adoptedon August 11,2015(the"SeriesResolution,"andtogetherwiththeGeneralBond Resolution,the"Resolutions").Alltermsnothereindefinedshallhavethemeaningset forthintheResolutions. 1.Noaction,suit,proceeding,inquiryorinvestigation,atlaworinequityis pendingor,tothebestofmyknowledge,threatenedinanycourtinanywayaffecting theexistenceoftheBank,orthetitlesofitsofficerstotheirrespectiveoffices,or seekingtorestrainortoenjointheissuance,saleordeliveryoftheBonds,ortherightof theBanktocollectpaymentsandothermoneyspledgedortobepledgedtopaythe principalofandinterestontheBonds,orthepledgethereof,orinanywaycontestingor affectingthevalidityor enforceability oftheBonds,theResolutions,anyLoan Agreement,orcontestinginanywaythecompletenessoraccuracyofthePreliminary Official Statement dated August 19,2015,relatedtotheBonds(the "Preliminary Official Statement"),ortheOfficialStatementdated August 26,2015,relatedtotheBonds(the "OfficialStatement"),orcontestingthepoweroftheBankoritsauthoritywithrespectto theBonds,ortheResolutions;nor,tothebestofmyknowledge,isthereanybasis therefor,whereinanunfavorabledecision,ruling,orfindingwouldmateriallyadversely affectthevalidityor enforceability oftheBonds,ortheResolutions. 2.Exceptasprovidedforinparagraphthreebelow,theinformation containedintheOfficial Statement (otherthaninformationconcerningDTC,the Underwriter,thereofferingpricesandyieldsontheBonds,andinformationinAppendix Dastowhichnoopinionisexpressedexceptassetforthinparagraph3below),asof itsdateandthedatehereof,tothebestofmyknowledgedoesnotcontainanuntrue statementofamaterialfactoromittostateamaterialfactnecessarytomakethe statementstherein,inlightofthecircumstancesunderwhichtheyweremade,not misleadinginanymaterialrespect. 3.TheinformationrelatingtoentitiesotherthantheBankcontainedinthe Official Statement hasbeenobtainedfromsourcestheBankbelievestobereliable,and nothinghascometomyattentionthatwouldcausemetobelievethatsuchinformation, asofthedateoftheOfficialStatementandthedatehereof,containedanuntrue statementofamaterialfactoromittedany statement ofmaterialfactnecessarytomake thestatementstherein,inlightofthecircumstancesunderwhichtheyweremade,not misleadinginanymaterialrespect. 4.SincethedateoftheOfficialStatement,Iamnotawareofanymaterial adversechangeinthefinancialconditionoroperationsoftheBank,andnoother informationhascometotheattentionoftheBankthatshouldbedisclosedintheOfficial StatementinorderthattheOfficialStatementnotcontainanuntruestatementofa materialfactoromittostateamaterialfactornecessarytomakethestatementstherein inlightofthecircumstancesunderwhichtheyweremadenotmisleading. 5.Tothebestofmyknowledgetherepresentationsandwarrantiesofthe BankcontainedintheBondPurchaseContractaretrueandcorrectinallmaterial respectsonandasofthedatehereofasifmadeonthedatehereof. 6.TothebestofmyknowledgetheBankhascompliedwitheachcontinuing disclosureundertakingthattheBankhasmadeunderRule15c2-12adoptedbythe SecuritiesandExchangeCommissionundertheSecuritiesandExchangeActof1934, asamendedfromtimetotimeexceptassetforthinthePreliminaryOfficialStatement andOfficialStatement. 7.TothebestofmyknowledgetheBankhascompliedwithallthe agreementsandsatisfiedalltheconditionsonitsparttobeperformedorsatisfiedator priortothedatehereofinrelationtotheissuanceanddeliveryoftheBonds. 8.TheBankisnotindefaultintheperformanceofanyofthecovenants, conditions,agreementsorprovisionscontainedintheResolutions. INWITNESSWHEREOF,Ihavehereuntosetmyhandthis16thdayof September 2015. AMBB/General ObligationBonds,2015SeriesThree Certificate of Executive Director 1:\Docs\37421742\Cert OfExDir (Litigation).Docx Page2 CONTINUING DISCLOSURE CERTIFICATE AlaskaMunicipalBondBank(the"Issuer")executesanddeliversthisContinuing DisclosureCertificate(the"DisclosureCertificate")inconnectionwiththeissuanceof $96,210,000AlaskaMunicipalBondBankGeneralObligationBonds,2015Series Three(the"Bonds").TheBondsarebeingissuedundertheGeneralBondResolution oftheBankentitled"AResolutionCreatingAndEstablishingAnIssueOfBondsOfThe AlaskaMunicipalBondBank;ProvidingForTheIssuanceFromTimeToTimeOfSaid Bonds;ProvidingForThePaymentOfPrincipalOfAndInterestOnSaidBonds;And ProvidingForTheRightsOfTheHoldersThereof,"adoptedJuly13,2005,asamended (the"GeneralBondResolution"),andSeriesResolutionNo.2015-04(S)adoptedon August11,2015(the"SeriesResolution,"andtogetherwiththeGeneralBond Resolution,the"Resolutions").TheIssuercovenantsandagreesasfollows: Section1.PurposeoftheDisclosureCertificate.TheIssuerisexecutingand deliveringthisDisclosureCertificateforthebenefitoftheBeneficialOwnersofthe Bonds,andtoassisttheParticipatingUnderwriterincomplyingwithSecuritiesand ExchangeCommissionRule15c2-12(b)(5). Section2.Definitions.InadditiontothedefinitionssetforthintheResolutions, whichapplytoanycapitalizedtermusedinthisDisclosureCertificateunlessotherwise definedinthisSection,thefollowingcapitalizedtermsshallhavethefollowing meanings: "AnnualReport"meansanyAnnualReportprovidedbytheIssuerpursuantto, andasdescribedin,Section3ofthisDisclosureCertificate. "FiscalYear"meansthefiscalyearoftheIssuer(currentlythe12-monthperiod endingJune30),assuchfiscalyearmaybechangedfromtimetotimeasrequiredby Statelaw. "MSRB"meanstheMunicipalSecuritiesRulemakingBoard. "ParticipatingUnderwriter"meansanyoftheoriginalunderwritersoftheBonds requiredtocomplywiththeRuleinconnectionwiththeofferingoftheBonds. "Rule"meansRule15c2-12(b)(5)adoptedbytheSecuritiesandExchange CommissionundertheSecuritiesExchangeActof1934,asamendedfromtimetotime. Section3.ProvisionofAnnualReportsandFinancialStatements.Commencing withitsFiscalYearendingJune30,2016,theIssuerwillprovidetotheMSRB,ina formatasprescribedbytheRule: AMBB/General Obligation Bonds,2015SeriesThree Continuing Disclosure Certificate 1:\Docs\37421742\Cont Disc-AMBB.Docx Page1 (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual ReportfortheFiscalYear.TheAnnualReportshallcontainorincorporateby reference:(i)annualauditedfinancial statements oftheIssuer;(ii)astatementof authorized,issuedandoutstandingbondeddebtoftheIssuer;(iii)theReserveFund balance;and(iv)statisticsregarding Governmental Unitssimilartothosefoundin AppendixDtotheOfficialStatementasoftheendofthepriorFiscalYear.Anyorallof theseitemsmaybeincludedbyspecificreferencetodocumentsavailabletothepublic ortheinternetwebsiteoftheMSRBorfiledwiththeSecuritiesandExchange Commission.TheIssuershallclearlyidentifyeachsuchotherdocumentso incorporatedbyreference.TheAnnualReportmaybesubmittedasasingle document orasseparatedocumentscomprisingapackage,providedthatauditedfinancial statementsmaybesubmittedseparatelyfromtheremainderoftheAnnualReport. (b)Notlaterthan120daysaftertheendofeachFiscalYear,theIssuerwill notifyeachGovernmentalUnit,whohas,orhad,anamountofbondsequaltoorgreater thantwentypercent(20%)ofalloutstandingloansundertheGeneralBondResolution, ofitscontinuingdisclosureundertakingresponsibility.AlistofsuchGovernmentalUnits forthepriorFiscalYearwillbeincludedintheAnnualReport. Section4.NoticeofFailuretoProvideInformation.TheIssuershallprovideina timelymannertotheMSRBnoticeofanyfailuretosatisfytherequirementsofSection3 ofthisDisclosureCertificate. Section5.ReportingofSignificantEvents.(a)TheIssuershallfilewiththe MSRBanoticeofanyofthefollowingeventswithrespecttotheBonds,withinten(10) businessdaysoftheoccurrenceofsuchevent: (1)Principalandinterestpaymentdelinquencies. (2)Unscheduleddrawsondebtservicereservesreflectingfinancial difficulties. (3)Unscheduleddrawsoncreditenhancementsreflectingfinancial difficulties. (4)Substitutionofcreditorliquidityproviders,ortheirfailureto perform. (5)Adversetaxopinionsoreventsaffectingthe tax-exempt statusof theBondswhichinclude(i)theissuancebytheInternalRevenueService("IRS") ofproposedorfinal determinations oftaxability,(ii)NoticesofProposedIssues (IRSForm5701-TEB),(iii)othermaterialnoticesor determinations withrespect totheBonds,and(iv)othereventsaffectingthetaxstatusoftheBonds. AMBB/General Obligation Bonds,2015SeriesThree Continuing Disclosure Certificate 1:\Docs\37421742\Cont Disc-AMBB.Docx Page2 (6)Defeasances. (7)Ratingchanges. (8)Tender offers. (9)Bankruptcy,insolvency,receivershiporsimilarproceedingbythe Issueror"obligatedperson." (b)TheIssuershallfilewiththeMSRBanoticeofanyofthefollowingevents withrespecttotheBonds,withinten(10)businessdaysoftheoccurrenceofsuch event,ifmaterial: (1)Nonpayment-relateddefaults. (2)ModificationstorightsofholdersoftheBonds. (3)Bondcalls,otherthanmandatory,scheduledredemptionsnot otherwisecontingentontheoccurrenceofanevent. (4) Bonds. Release,substitutionorsaleofpropertysecuringrepaymentofthe (5)Otherthaninthenormalcourseofbusiness,theconsummationof amerger,consolidation,oracquisitioninvolvingan"obligatedperson,"orthe saleofallor substantially alloftheassetsoftheIssueror"obligatedperson,"or theentryintoadefinitiveagreementtoundertakesuchanaction,oratermination ofadefinitiveagreementrelatingtoanysuchactions,otherthaninaccordance withitsterms. (6)Appointment ofasuccessororadditionaltrusteeorthechangein nameofthetrusteefortheBonds. Section6.TerminationofReportingObligation.TheIssuer'sobligationsunder thisDisclosureCertificateshallterminateuponthelegaldefeasance,priorredemption orpaymentinfullofalloftheBonds. Section7.Amendment;Waiver.Notwithstandinganyotherprovisionofthis DisclosureCertificate,theIssuermayamendthisDisclosureCertificate,providedthat the amendment meetseachofthefollowingconditions: AMBB/General Obligation Bonds,2015SeriesThree Continuing Disclosure Certificate J:\Docs\37421742\Cont Disc-AMBB.Docx Page3 (a)The amendment ismadeinconnectionwithachangeincircumstances thatarisesfromachangeinlegalrequirements,changeinlaw,orchangeintheidentity, natureorstatusoftheIssuer; (b)ThisDisclosureCertificate,asamended,wouldhavecompliedwiththe requirementsoftheRuleasofthedatehereof,aftertakingintoaccountany amendmentsorinterpretationsoftheRule,aswellasanychangesincircumstances; (c)TheIssuerobtainsanopinionofcounselunaffiliatedwiththeIssuerthat the amendment doesnotmateriallyimpairtheinterestsoftheBeneficialOwnersofthe Bonds;and (d)TheIssuernotifiesandprovidestheMSRBwithcopiesoftheopinionsand amendments. Anysuch amendment maybeadoptedwithouttheconsentofanyBeneficial OwnerofanyoftheBonds,notwithstandinganyotherprovisionofthisDisclosure CertificateortheResolutions. ThefirstAnnualReportcontainingamendedoperatingdataorfinancial informationpursuanttoanamendmentofthisDisclosureCertificateshallexplain,in narrativeform,thereasonsfortheamendmentanditseffectonthetypeofoperating dataandfinancialinformationbeingprovided. Section8.FilingAlternative.Anyfilingrequiredunderthetermsofthis DisclosureCertificatemaybemadesolelybytransmittingsuchfilingtotheElectronic MunicipalMarketAccessasprovidedat http://www.emma.msrb.org,orinsuchother manner asmaybepermittedfromtimetotimebytheSecuritiesExchangeCommission. Section9.Default.IntheeventofafailureoftheIssuertocomplywithany provisionofthisDisclosureCertificate,anyBeneficialOwnermaytakesuchactionsas maybenecessaryandappropriate,includinganactiontocompelspecificperformance, tocausetheIssuertocomplywithitsobligationsunderthisDisclosureCertificate.No failuretocomplywithanyprovisionofthisDisclosureCertificateshallbedeemedan EventofDefaultundertheResolutions,andthesoleremedyunderthisDisclosure CertificateintheeventofanyfailureoftheIssuertocomplywiththisDisclosure Certificateshallbeanactiontocompelspecificperformance. Section10.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefitoftheIssuer,theTrustee,theParticipatingUnderwriterandtheBeneficial OwnersfromtimetotimeoftheBonds,andshallcreatenorightsinanyotherpersonor entity. AMBB/General ObligationBonds,2015SeriesThree Continuing Disclosure Certificate 1:\Docs\37421742\Cont Disc-AMBB.Docx Page4 Section11.PriorCompliance.TheIssuerisincomplianceinallmaterial respectswithitspriorundertakingspursuanttotheRuleexceptassetforthinthe OfficialStatement,dated August 26,2015,relatingtotheBonds. DATEDthis16thdayofSeptember2015. AMBB/General ObligationBonds,2015SeriesThree Continuing Disclosure Certificate 1:\Docs\37421742\Cont Disc-AMBB.Docx Page5 CONTINUING DISCLOSURE CERTIFICATE TheKenaiPeninsulaBorough,Alaska(the"Borough")executesanddeliversthis ContinUingDisclosureCertificate(the "Disclosure Certificate")inconnectionwiththe issuanceof$78,115,000 Alaska MunicipalBondBankGeneralObligationand Refunding Bonds,2011SeriesThree(the"Bonds").TheBondsarebeingissuedunder the General BondResolution of theIssuerentitled"AResolutionCreatingAnd Establishing AnIssue Of Bonds Of TheAlaskaMunicipalBondBank;ProvidingForThe IssuanceFromTimeToTimeOfSaidBonds;ProvidingForThe Payment OfPrincipal Of And Interest OnSaidBonds;AndProviding For TheRights Of TheHoldersThereof," adoptedJuly 13,2005,as amended August 19,2009 (the"GeneralBond Resolution"), and the SeriesResolutionNo.2011-04,adoptedonJUly26,2011(the"Series Resolution,"andtogether With the General BondResolution,the"Resolutions").The Boroughcovenantsandagreesasfollows: Section1.Purpose of the Disclosure Certificate.TheBoroughisexecuting anddeliveringthisDisclosure Certificate for the benefitoftheBeneficialOwnersofthe Bonds,andtoassistthe Participating Underwriter incomplyingwithSecuritiesand ExchangeCommission("SEC")Rule15c2-12(b)(5).TheBoroughiscurrentlyan "Obligated Person"withinthe meaning of theRule. Section2.Definitions.Inadditiontothedefinitionssetforthinthe Resolutions,whichapplyto any capitalized termusedinthisDisclosureCertificate unless otherwise definedinthisSection,the foJ/owing capitalizedtermsshallhavethe followingmeanings; "Annual Report"meansany Annual Report providedbytheBoroughpursuant to, andas described in,Section3 of this Disclosure Certificate. "Borough"meanstheKenai Peninsula Borough,Alaska. "Fiscal Year"meansthe fiscal year oftheBorough(currentlythe12-monthperiod ending June 30)assuchfiscal year may bechangedfromtimetotimeasrequiredby StatelawandtheBorough's ordinances. "Issuer"meanstheAlaska Municipal BondBank. "MSRB"meansthe Municipal Securities RulemakingBoard. "Participating Underwriter"means theoriginalpurchaseroftheBondsrequiredto comply withtheRulein connection with the offeringoftheBonds. "Rule"meansRule 15c2-12(b)(5)adoptedbytheSEC under theSecurities Exchange Actof1934,as amended fromtimetotime. Section3.Provision of Annual Reports andFinancialStatements. Commencing withitsFiscalYear ending June30,2012,andforsolongastheBorough has outstanding with the Issueran amount of bonds equaltoor greater than10percent of a/lbonds outstanding undertheGeneral Bond Resolutionasofthelastdayofthe fiscalyearofthe Issuer (currentlyJune30),theBoroughwillprovidetotheMSRB,ina formatasprescribedbytheRule,thefollowing: (a)Notlaterthan210days after theendofeachFiscalYear,anAnnual ReportfortheFiscalYear.The Annual Reportshallcontainor incorporate byreference the follOWing annualfinancial information andoperatingdata:(i)annual financial statements fortheBorough.preparedin accordance withgenerallyacceptedaccounting principles applicableto governmental entities,assuchprinciplesmaybechangedfrom timetotimeand (ij)financial information generally ofthetypeincludedinAppendixDof theOfficial Statement relatingtotheBonds. Anyoralloftheseitemsmaybeincorporatedby specific referenceto documents availabletothe public onthe internet websiteofMSRBorfiledwiththe Securities andExchange Commission.TheBoroughshallclearly identify eachsuch .other document soincorporatedbyreference.The AnnualReportmaybesubmittedas asingle document oras separate documents oomprisingapaokage,providedthat audited financial statements of theBorough may besubmitted separately fromthe remainder ofthe Annual Report. (b)Ifnotprovidedas part of the Annual Report,then promptly upontheir publicrelease,theaudited financial statements of theBoroughforeachFiscalYear, preparedin accordance with generally accepted accounting principles applicableto governmental entities,assuch principles may bechangedfrom time totime. Section4.Notice of Failure toProvideInformation.The Borough shallprovide ina timely manner tothe MSRB notice of anyfailuretosatisfytherequirementsof Section3 ofthis Disclosure Certificate. Section5.Termination of Reporting Obligation.TheBorough'sobligations underthis Disclosure Certificate shall terminate uponthelegaldefeasance,prior redemptionor payment infull of itsloanobligation with theIssuerandasotherwise described inSection3 of this Disclosure Certificate. Section6.Amendment;Waiver.Notwithstanding anyotherprovisionof this Disclosure Certificate,the Borough mayamendthisDisclosureCertificate,providedthat the amendment meetseachofthe following conditions: AMBB/General Obligation and Refunding Bonds,2011SeriesThree ContinUing Disclosure Certificate -KPB 1:\Doc:s\37421725\Conl Disc>-KPB.Ooc>x Page2 (a)The amendment ismadeinconnectionwithachangeincircumstances that arisesfromachangeinlegalrequirements,change inlaw,orchangeintheidentity, natureorstatus of theBorough; (b)This Disclosure Certificate,asamended,wouldhavecompliedwiththe requirements of the Rule asofthedatehereof,after taking into accountany amendmentsor interpretations of theRule,aswellasanychangesincircumstances; and (c)TheBoroughobtainsanopinionof nationally recognizedbondcounselto the effectthat the amendment willnotadversely affect theIssuer'scompliancewiththe Ruleoritscontinuing disclosure undertaking;and (d)The BoroughnotifiesandprovidestheIssuerandtheMSRBwiththe copiesofthe opinions andamendments. Anysuch amendment may beadopted without the consent ofanyBeneficial Owner ofanyoftheBonds,notwithstanding any other provision of thisDisclosure Certificateor the Resolutions. The first Annual Report containing amendedoperatingdataorfinancial information pursuant toan amendment of this Disclosure Certificateshallexplain,in narrativeform,the reasons for the amendment anditseffectonthe type ofoperating data andfinancial information beingprovided. Section7.Default.Intheeventofafailureof the Boroughto comply withany provisionofthis Disclosure Certificate,anyBeneficial Owner may takesuchactionsas may be necessary and appropriate,includinganactiontocompelspecificperformance, tocausethe Borough to comply withitsobligationsunderthis Disclosure Certificate.No failure tocomplywithany provision of thisDisclosure Certificate shallbedeemedan Event ofDefault under the Resolutions ortheBonds,andthesolelegalremedyunder thisDisclosure Certificate inthe event ofanyfailureoftheBoroughto comply withthis Disclosure Certificate shaff beanactiontocompel specific performance. Section8.Beneficiaries.ThisDisclosure Certificate shallinuresolelytothe benefit oftheBorough,the Issuer,theTrustee,theParticipatingUnderwriter,andthe BeneficialOwnersfrom time totimeof the Bonds,andshallcreatenorightsinanyother personor entity_ Section9.Filing Alternative.Any filingrequired under thetermsofthis Disclosure Certificate may be made solelyby transmitting suchfilingtotheElectronic Municipal Market Access as provided at httpJlwww.emma.msrb.org,orinsuchother manner as may be permitted fromtimetotimebytheSecuritiesExchangeCommission. AMBB/General Obligationand Refunding Bonds,2011SeriesThree Continuing Disclosure Certificate -KPB J:\Docs\37421725\Conl Disc·KPB.Docx Page3 Section10.Prior Compliance.TheBoroughisincompliancewithall of itsprior undertakings pursuant totheRule. DATEDthis 15th dayof September 2011. KENAI PENINSULA BOROUGH,ALASKA By:~~~~Chapm;Fiflal1ce Director AMBS/General ObngationandRefundingBonds,2011SeriesThree Continuing Disclosure Certificate -KPB f:\Docs\37421725\Conl Disc-KPB.Docx Page4 CONTINUING DISCLOSURE CERTIFICATE TheKenaiPeninsulaBorough,Alaska(the "Borough")executes anddeliversthis ContinuingDisclosureCertificate(the"Disclosure Certificate")in connection withthe issuanceof $96,045,000 AlaskaMunicipalBondBank General Obligationand RefundingBonds,2013SeriesOne(the"Bonds").TheBondswereissuedunderthe GeneralBondResolutionofthe Issuer entitled "AResolutionCreatingAndEstablishing AnIssueOfBondsOfTheAlaskaMunicipalBondBank;ProvidingForTheIssuance FromTimeToTimeOfSaidBonds;ProViding ForThePayment Of PrincipalOfAnd InterestOnSaidBonds;AndProvidingForTheRightsOfTheHoldersThereof," adoptedJuly13,2005,asamendedAugust19,2009(the "General BondResolution"), andSeriesResolutionNo.2013-01,adoptedon January 28,2013 (the"Series Resolution,"andtogetherwiththeGeneralBondResolution,the"Resolutions").The Boroughcovenantsandagreesasfollows: Section1.PurposeoftheDisclosureCertificate.The Borough isexecuting anddeliveringthisDisclosure Certificate forthe benefit ofthe Beneficial Ownersofthe Bonds,andtoassistthe ParticipatingUnderwriter incomplyingwithSecuritiesand ExchangeCommission("SEC")Rule 15c2-12(b)(5).TheBorough is currentlyan "ObligatedPerson"withinthemeaning ofthe Rule. Section2.Definitions.Inadditiontothedefinitions set forthinthe Resolutions,whichapplytoanycapitalizedtermusedinthis Disclosure Certificate unlessotherwisedefinedinthisSection,the follOWing capitalized terms shallhavethe follOWing meanings: "AnnualReport"meansany Annual ReportprovidedbytheBoroughpursuantto, andasdescribedin,Section3 of thisDisclosureCertificate. "Borough"meanstheKenaiPeninsulaBorough,Alaska. "FiscalYear"meansthefiscalyearofKenai(currentlythe12-monthperiod endingJune30)assuchfiscalyearmaybechangedfromtimetotimeasrequiredby StatelawandKenai's ordinances. "issuer"meanstheAlaska Municipal BondBank. "MSRB"meansthe Municipal SecuritiesRulemakingBoard. "Participating Underwriter"meanstheoriginal purchaser oftheBondsrequiredto complywiththeRuleinconnectionwiththeofferingoftheBonds. "Rule"meansRule 15c2-12(b)(5)adoptedbytheSEC under theSecurities ExchangeActof1934,as amended fromtimetotime. Page2 Section3.ProvisionofAnnualReportsand Financial Statements.Commencing withitsFiscal Year endingJune 3D,2014,and for solongashas outstanding withthe Issuer an amount of bonds equaltoor greater than 10 percent ofall bonds outstanding under the General Bond Resolution asofthelast day of thefiscal year of theIssuer (currently June 30),theBoroughwill provide tothe MSRB,ina format as prescribed by theRule,thefof/owing: (a)Not later than 210 days after the end of eachFiscalYear,anAnnual Report forthe Fiscal Year.The Annual Report shall contain or incorporate byreference thefollowing annual financial information and operating data:(i)annual financial statements fortheBorough,prepared in accordance with generally accepted accounting principles applicable to governmental entities,assuch principles maybe changed from timetotimeand (ii)financial information generally of the type included in Appendix Dof theOfficial Statement relatingtotheBonds. Any oralloftheseitemsmaybe incorporated by specific reference to documents available tothe public onthe internet website ofMSRBorfiledwiththe Securities and Exchange Commission.The Borough shall clearly identify eachsuch other document so incorporated by reference.The Annual Report may be submitted as asingle document oras separate documents comprising a package,providedthat audited financial statements of theBoroughmaybe submitted separately fromthe remainder ofthe Annual Report. (b)Ifnot provided as part ofthe Annual Report,then promptly upontheir public release,theaudited financial statements ofthe Borough foreachFiscalYear, prepared in accordance with generally accepted accounting principles applicable to governmental entities,assuch principles maybe changed fromtimetotime. Section 4.Notice of Failureto Provide Information.The Borough shallprovide ina timely manner tothe MSRB notice ofany failure to satisfy the requirements of Section 3 ofthis Disclosure Certificate. Section 5.Tenmination of Reporting Obligation.The Borough's obligations under this Disclosure Certificate shalftenminate upon thelegal defeasance,prior redemption or payment infullofitsloan obligation withthe Issuer andasotherwise described inSection 3 ofthis Disclosure Certificate. Section6.Amendment:Waiver.Notwithstanding any other provision ofthis Disclosure Certificate,the Borough may amend this Disclosure Certificate,providedthat the amendment meets eachofthe following conditions: (a)The amendment ismadein connection witha change in circumstances that arises from a change inlegal requirements,change inlaw,or change intheidentity, nature or status of the Borough; AMBB/General Obligation andRefundingBonds.2013SeriesOne Continuing Dlsclosu re Certifi<;ate -KPB 1:\Docs\37421733\ContDisc-KPB.Doc. (b)ThisDisclosureCertificate,asamended,wouldhavecompliedwiththe requirementsoftheRuleasofthedatehereof,aftertakingintoaccountany amendmentsorinterpretations of theRule,aswellasanychangesincircumstances; and (c)TheBoroughobtainsanopinionof nationally recognizedbondcounselto theeffectthattheamendmentwillnotadverselyaffecttheIssuer'scompliancewiththe Ruleoritscontinuingdisclosureundertaking;and (d)TheBoroughnotifiesandprovidestheIssuerandtheMSRBwiththe copiesoftheopinionsandamendments. Anysuchamendmentmaybeadopted without theconsentofanyBeneficial Ownerofany of theBonds,notwithstandingany other provisionofthisDisclosure CertificateortheResolutions. ThefirstAnnualReportcontainingamendedoperatingdataorfinancial informationpursuanttoanamendment of this Disclosure Certificateshallexplain,in narrativeform,thereasonsfortheamendmentanditseffectonthetypeofoperating dataandfinancialinformationbeingprovided. Section7.Default.IntheeventofafailureoftheBoroughtocomplywithany provisionofthisDisclosureCertificate,anyBeneficialOwnermaytakesuchactionsas maybenecessaryandappropriate,includinganactiontocompelspecificperformance, tocausetheBoroughtocomplywithitsobligations under thisDisclosureCertiflcate.No failuretocomplywithanyprovisionofthisDisclosureCertificateshallbedeemedan EventofDefaultundertheResolutionsortheBonds,andthesolelegalremedyunder thisDisclosureCertificateintheeventofanyfailureoftheBoroughtocomplywiththis DisclosureCertificateshallbeanactiontocompel specific performance. Section8.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefitoftheBorough,theIssuer,theTrustee,theParticipatingUnderwriter,andthe BeneficialOwnersfromtimetotimeoftheBonds,andshallcreatenorightsinanyother personorentity. Section9.FilingAlternative.Anyfilingrequiredunderthetermsofthis DisclosureCertificatemaybemadesolelybytransmittingsuchfilingtotheElectronic MunicipalMarketAccessasprovidedat http://www.emma.msrb.org,orinsuchother manner asmaybepermittedfromtimetotimebytheSecuritiesExchangeCommission. Section10.PriorCompliance.TheBoroughisincompliancewithallofitsprior undertakings pursuanttotheRule. AMBB/General Obligation andRefundingBonds,2013SeriesOne Continulrrq Disclosure Certificate -KPB 1:\Docs\37421733\Conl Disc-KPB.Docx Page3 DATED this10thdayof June 2013. KENAI PENINSULA BOROUGH,ALASKA By:~c~;:r Finance Director AMBB/GeneralObligationandRefundingBonds,2013SeriesOne Continuing Disclosure Certificate -KPB 1:\Docs\37421733\Cont Disc-KPB.Docx Page4 CONTINUING DISCLOSURE CERTIFICATE TheKenai Peninsula Borough(the "Borough")executes anddeliversthis Continuing Disclosure Certificate (the "Disclosure Certificate")in connection withthe issuance of $72,045,000 Alaska MunicipalBondBank General Obligation Bonds,2013 Series Three (the "Bonds").TheBondsare being issued under theGeneralBond Resolution ofthe Issuer entitled "AResolution Creating And Establishing AnIssue Of Bonds OfTheAlaska Municipal BondBank;Providing ForThe Issuance FromTimeTo Time Of SaidBonds;Providing ForThe Payment Of PrincipalOfAnd Interest OnSaid Bonds;AndProviding For The RightsOfThe Holders Thereof,"adopted July13,2005, as amended August 19,2009(the"GeneralBond Resolution"),andamendedand restated Series Resolution No.2013-04 adopted on October 10,2013(the"Series Resolution,"and together withtheGeneralBond Resolution,the "Resolutions").The Borough onthedate hereof issued $20,860,000 aggregate principal amountofits General Obligation School Bonds,2013.The Borough covenants andagreesas follows: Section 1.Purpose of the Disclosure Certificate.The Borough is executing and delivering this Disclosure Certificate forthe benefit ofthe Beneficial Ownersofthe Bonds,andto assist the Participating Underwriter in complying with Securities and Exchange Commission Rule 15c2-12(b)(5).The Boroughis currently an"Obligated Person"withinthe meaning of theRule. Section2.Definitions.In addition tothe definitions setforthintheResolutions, which apply toany capitalized termusedinthis Disclosure Certificate unlessotherwise defined inthis Section,the following capitalized termsshallhavethefollowing meanings: "AnnualReport"means any Annual Report providedbythe Borough pursuant to, and as described in,Section 3 of this Disclosure Certificate. "Borough"means the Kenai Peninsula Borough,Alaska. "FiscalYear"means the fiscal yearofthe Borough (currently the12-monthperiod ending June30),as such fiscal year maybechangedfromtimeto time asrequiredby State lawandthe Borough's ordinances. "Issuer"means the Alaska Municipal BondBank. "MSRB"means the Municipal Securities Rulemaking Board. "Participating Underwriter"means anyoftheoriginal underwriters oftheBonds required to comply with the Rulein connection withtheofferingoftheBonds. "Rule"means Rule 15c2-12(b)(5)adoptedbythe Securities andExchange Commission under the Securities Exchange Act of1934,as amended fromtimetotime. Section3.Provisionof Annual ReportsandFinancial Statements.Commencing withitsFiscalYearendingJune30,2014,andforsolongastheBoroughhas outstanding withthe Issuer an amount ofbondsequaltoor greater than tenpercent (10%)ofallbonds outstanding under the General BondResolutionasofthelastdayof the fiscalyearofthe Issuer (currently June30),theBoroughwill provide totheMSRB, ina format asprescribedbytheRule,thefollowing: (a)Notlaterthan210days after theendofeachFiscalYear,anAnnual ReportfortheFiscalYear.The Annual Report shallcontainorincorporateby referencethefollowing annual information andoperatingdata:(i)annualfinancial statements fortheBoroughpreparedin accordance with generally accepted accounting principles applicable to governmental entities,assuch principles may bechangedfromtimetotime,and (ii)financial information generally of thetype includedin Appendix DoftheOfficial Statement relatingtotheBonds. Anyorallof these itemsmaybe incorporated by specific referenceto documents available tothe public onthe internet websiteofMSRBorfiledwith the Securities and Exchange Commission.TheBoroughshallclearlyidentify eachsuchother document so incorporated byreference.TheAnnualReport maybesubmittedasa single document oras separate documents comprisinga package,provided that audited financial statements oftheBoroughmaybe submitted separately fromthe remainder of theAnnualReport. (b)Ifnotprovidedas part ofthe Annual Report,then promptly upontheir public release,theaudited financial statements oftheBoroughforeachFiscal Year,preparedin accordance with generally accepted accounting principles applicable to governmental entities,assuchprinciplesmaybechangedfrom timetotime. Section4.Notice of Failure to Provide Information.TheBoroughshallprovidein a timely manner tothe MSRB notice ofany failure tosatisfythe requirements ofSection 3 of this Disclosure Certificate. Section5.Termination of Reporting Obligation.The Borough's obligationsunder this Disclosure Certificate shall terminate uponthelegal defeasance,priorredemption or payment infullofallofitsloan obligation withtheIssuerandas otherwise described in Section 3ofthis Disclosure Certificate. Section6.Amendment;Waiver.Notwithstanding anyotherprovisionofthis Disclosure Certificate,the Borough may amend thisDisclosureCertificate,providedthat the amendment meetseachofthe following conditions: AMBB/General ObligationBonds,2013SeriesThree Authority Continuing Disclosure Certificate 1:lDocs\37421735\Conl Disc-Kenai.Docx Page2 (a)The amendment ismadein connection withachangeincircumstances that arisesfromachangeinlegal requirements,change inlaw,orchangeintheidentity, natureorstatusofthe Borough; (b)This Disclosure Certificate,asamended,wouldhavecompliedwiththe requirements oftheRuleasofthedatehereof,aftertakingintoaccountany amendments or interpretations oftheRule,aswellasanychangesincircumstances; (c)TheBoroughobtainsanopinionofa nationally recognizedbondcounsel tothe effect thatthe amendment will not adversely affecttheIssuer'scompliancewith theRuleoritscontinuing disclosure undertaking;and (d)TheBoroughnotifiesandprovidestheIssuerandtheMSRBwithcopies oftheopinionsand amendments. Anysuch amendment may beadopted without theconsentofanyBeneficial Owner ofany of theBonds,notwithstanding anyotherprovisionofthisDisclosure Certificate orthe Resolutions. Thefirst Annual Report containingamendedoperatingdataorfinancial information pursuanttoan amendment ofthis Disclosure Certificateshallexplain,in narrative form,thereasons for the amendment andits effect onthetypeofoperating dataandfinancial information beingprovided. Section7.Filing Alternative.Anyfilingrequiredunderthetermsofthis Disclosure Certificate may be made solely by transmitting suchfilingtotheElectronic Municipal Market Access as provided at http://www.emma.msrb.org,orinsuchother manner asmaybe permitted fromtimetotimebythe Securities ExchangeCommission. Section8.Default.In the event ofafailureoftheBoroughtocomplywithany provision ofthis Disclosure Certificate,anyBeneficial Owner maytakesuchactionsas may be necessary and appropriate,including anactiontocompelspecificperformance, tocausetheBoroughto comply withits obligations underthisDisclosureCertificate.No failure tocomplywith any provision ofthis Disclosure Certificate shallbedeemedan EventofDefault under the Resolutions ortheBonds,andthesolelegalremedyunder thisDisclosure Certificate inthe event ofany failure oftheBoroughtocomplywiththis Disclosure Certificateshalfbeanactiontocompelspecificperformance. Section9.Beneficiaries.This Disclosure Certificateshallinuresolelytothe benefit oftheBorough,theIssuer,theTrustee,theParticipatingUnderwriterandthe Beneficial Ownersfromtimeto time oftheBonds,andshallcreatenorightsinanyother person orentity. AMBB/General ObligationBonds,2013SeriesThree Authority Continuing Disclosure Certificate 1:\DocsI37421735\Cont Disc-KenaLDocx Page3 Section 10.Prior Compliance.TheBoroughisin compliance withallofitsprior undertakings pursuant totheRule. DATEDthis14thday of November 2013. KENAI PENINSULA BOROUGH,ALASKA ~t~v-CC.CHAPAN FinaceDIrector AMBB/General Obligation Bonds,2013 Series Three Authority Continuing Disclosure Certificate 1:\Oocs\37421735\Cont Disc-Kenai.Docx Page4 CONTINUING DISCLOSURE CERTIFICATE TheKenaiPeninsulaBorough(the"Borough")executes anddeliversthis Continuing Disclosure Certificate (the "Disclosure Certificate")inconnectionwiththe issuance of$61,205,000AlaskaMunicipalBondBank General ObligationBonds,2014 SeriesOne(the"Bonds"),consistingof $47,205,000 principalamountofGeneral Obligation Bonds,2014A SeriesOne(Tax-Exempt)and $14,000,000 principalamount of General Obligation2014B Series One(Taxable).TheBondsarebeingissuedunder the General BondResolutionoftheIssuerentitled"AResolutionCreatingAnd Establishing AnIssue Of BondsOfTheAlaskaMunicipalBondBank;ProvidingForThe Issuance FromTimeToTime Of SaidBonds;ProvidingForThePaymentOfPrincipal Of And Interest OnSaidBonds;AndProvidingForTheRightsOfTheHoldersThereof," adopted July13,2005,as amended August19,2009(the "General BondResolution"), and Series ResolutionNo.2014-01adoptedon January 9,2014(the"Series Resolution,"and together withtheGeneralBondResolution,the"Resolutions").The Boroughonthedate hereof issued$18,490,000 aggregate principalamountofits CentralKenaiPeninsulaHospitalServiceArea Specialty ClinicBuildingRevenueBond, 2014SeriesA(Tax-Exempt)and $14,000,000 aggregateprincipalamountofitsCentral Kenai Peninsula Hospital Service AreaSpecialtyClinicBuildingRevenueBond,2014 SeriesB(Taxable).TheBoroughcovenantsandagreesasfollows: Section1.Purposeofthe Disclosure Certificate.TheBoroughisexecutingand delivering thisDisclosure Certificate for thebenefitoftheBeneficialOwnersofthe Bonds,andtoassistthe Participating UnderwriterincomplyingwithSecuritiesand Exchange CommissionRule 15c2-12(b)(5).TheBoroughiscurrentlyan"Obligated Person"withinthemeaningoftheRule. Section 2.Definitions.Inadditiontothe definitions setforthintheResolutions, which apply toany capitalized termusedinthisDisclosureCertificateunlessotherwise defined inthisSection,the following capitalizedtermsshallhavethefollowing meanings: "AnnualReport"means any Annual ReportprovidedbytheBoroughpursuantto, andas described in,Section3ofthisDisclosureCertificate. "Borough"meanstheKenaiPeninsulaBorough,Alaska. "Fiscal Year"meansthe fiscal yearoftheBorough(currentlythe12-monthperiod ending June 30),assuchfiscal year maybechangedfromtimetotimeasrequiredby State lawandtheBorough's ordinances. "Issuer"meansthe Alaska Municipal BondBank. "MSRB"meansthe Municipal Securities RulemakingBoard. "Participating Underwriter"meansanyoftheoriginal underwriters oftheBonds requiredtocomplywiththeRuleinconnectionwiththeofferingoftheBonds. "Rule"meansRule15c2-12(b)(5)adoptedbytheSecuritiesandExchange Commission underthe Securities ExchangeActof1934,asamendedfromtimetotime. Section3.ProvisionofAnnualReportsandFinancialStatements.Commencing withitsFiscalYearendingJune30,2014,and for solongastheBoroughhas outstanding withtheIssueranamountofbondsequaltoorgreaterthantenpercent (10%)ofallbondsoutstandingundertheGeneralBondResolutionasofthelastdayof thefiscalyearoftheIssuer (currently June30),theBoroughwillprovidetotheMSRB, ina format asprescribedbytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,an Annual ReportfortheFiscalYear.TheAnnualReportshallcontainorincorporateby reference thefollowingannualinformationandoperatingdata:(i)annualfinancial statements fortheBoroughpreparedinaccordancewith generally acceptedaccounting principles applicableto governmental entities,assuchprinciplesmaybechangedfrom timetotime,and(ii)financialinformation generally ofthetypeincludedinAppendix 0 of theOfficial Statement relatingtotheBonds. Anyoralloftheseitemsmaybe incorporated by specific reference to documents availabletothepublicontheinternetwebsiteofMSRBorfiledwiththe Securities andExchangeCommission.TheBoroughshallclearlyidentifyeachsuch other document so incorporated byreference.TheAnnualReportmaybesubmittedas a single document oras separate documents comprisingapackage,providedthat audited financial statements oftheBoroughmaybesubmittedseparatelyfromthe remainder oftheAnnualReport. (b)IfnotprovidedaspartoftheAnnualReport,thenpromptlyupon their publicrelease,theauditedfinancial statements oftheBoroughforeachFiscal Year,preparedin accordance with generally acceptedaccountingprinciplesapplicable to governmental entities,assuch principles maybechangedfromtimetotime. Section4.Filing Requirements.TheBoroughagreesanyfilingrequiredunder the terms ofthis Certificate shallbewiththeMSRB,inaformatprescribedbytheRule, andthatsuchfilingshallbemadeinconnectionwithCUSIPNos.01179P,011798and 01179R.Additionalor alternate CUSIPnumber(s)maybeaddedfromtimetotimeby written noticefromthe Issuer totheBorough,andtheBoroughagreesthatifitshall receive fromtheIssuerCUSIP number(s)inadditiontothosesetforthinthisSection4, itshallmakeitsfilingsusingboththeCUSIPnumbershereinstatedand/orthe additional CUSIPnumber(s),ifany. AMBB/General ObligationBonds,2014SeriesOne Authority Continuing Disclosure Certificate 1:\Docs\37421736\Cont Disc-Kenai.Docx Page2 Section 5.Notice of Failure to Provide Information.TheBoroughshall provide in a timely manner tothe MSRB noticeof any failure tosatisfythe requirements of Section 3ofthis Disclosure Certificate. Section 6.Termination of Reporting Obligation.The Borough's obligations under this Disclosure Certificate shall terminate uponthelegal defeasance,prior redemption or payment infullofallofitsloan obligation withthe Issuer andas otherwise described in Section 3ofthis Disclosure Certificate. Section 7.Amendment;Waiver.Notwithstanding any other provistonofthis Disclosure Certificate,the Borough may amend this Disclosure Certificate,providedthat the amendment meets eachofthe following conditions: (a)The amendment is made in connection witha change in circumstances that arises froma change inlegal requirements,change inlaw,or change intheidentity,nature or status ofthe Borough; (b)This Disclosure Certificate,as amended,wouldhavecompliedwith the requirements oftheRuleasofthe date hereof,aftertakinginto account any amendments or interpretations oftheRule,aswellasanychangesin circumstances; (c)The Borough obtains an opinion ofa nationally recognized bond counsel tothe effect that the amendment willnot adversely affect theIssuer's compliance withtheRuleorits continuing disclosure undertaking;and (d)The Borough notifies and provides the Issuer andtheMSRBwith copies ofthe opinions and amendments. Any such amendment may be adopted without the consent ofany Beneficial Owner of any oftheBonds,notwithstanding any other provisionofthis Disclosure Certificate orthe Resolutions. The first Annual Report containing amended operatingdataorfinancial information pursuant toan amendment of this Disclosure Certificate shallexplain,in narrative form,the reasons for the amendment andits effect onthetypeof operating data and financial information being provided. Section 8.Filing Alternative.Any filing required under the terms ofthis Disclosure Certificate may be made solely by transmitting suchfilingtothe Electronic Municipal Market Access as provided at http://www.emma.msrb.org,orinsuchother manner as may be permitted from time to time bythe Securities Exchange Commission. AMBB/General ObligationBonds,2014 Series One Authority Continuing Disclosure Certificate 1:lDocs\37421736\Conl Disc-KenaLDocx Page3 Section9.Default.Intheevent of a failure of theBoroughto comply withany provisionofthis Disclosure Certificate,any Beneficial Owner maytakesuchactionsas maybe necessary and appropriate,includinganactiontocompelspecificperformance, tocausetheBoroughto comply withits obligations under thisDisclosureCertificate.No failureto comply withanyprovisionofthis Disclosure Certificateshallbedeemedan Eventof Default under the Resolutions ortheBonds,andthesolelegalremedyunder this Disclosure Certificate inthe event ofany failure of theBoroughto comply withthis Disclosure Certificate shallbeanactionto compel specific performance. Section 10.Beneficiaries.This Disclosure Certificate shallinuresolelytothe benefit oftheBorough,theIssuer,theTrustee,theParticipating Underwriter andthe Beneficial Ownersfromtimetotime of theBonds,andshallcreatenorightsinany other personorentity. Section 11.Prior Compliance.TheBoroughisincompliancewithallofitsprior undertakings pursuant totheRule. DATEDthis20th day of February 2014. KENAI PENINSULA BOROUGH,ALASKA By c~fW\~<- Finance Director AMBB/GeneralObligationBonds,2014SeriesOne Authority Continuing Disclosure Certificate Page4 1:\Docs\37421736\Cont Disc-KenaLDocx CONTINUING DISCLOSURE CERTIFICATE TheKenaiPeninsulaBorough,Alaska(the"Borough")executesanddeliversthis ContinuingDisclosure Certificate (the "Disclosure Certificate")inconnectionwiththe issuanceof $59,550,000 AlaskaMunicipalBondBankGeneralObligationand RefundingBonds,2015SeriesTwo(the"Bonds"),consistingof$34,220,000General ObligationandRefundingBonds,2015A SeriesTwo(Non-AMT)(the"2015ABonds") and $25,330,000 GeneralObligationBonds,2015BSeriesTwo(AMT)(the"2015B Bonds").TheBondsarebeingissuedundertheGeneralBondResolutionoftheIssuer entitled"AResolutionCreatingAndEstablishingAnIssueOfBonds Of TheAlaska MunicipalBondBank;ProvidingForTheIssuanceFromTimeToTime Of SaidBonds; ProvidingForThe Payment OfPrincipalOfAndInterestOnSaidBonds;AndProviding ForTheRightsOfTheHolders Thereof,"adoptedJuly13,2005,asamended(the "GeneralBondResolution"),andtheSeriesResolutionNo.2015-03,adoptedonApril9, 2015(the"SeriesResolution,"and together withtheGeneralBondResolution,the "Resolutions").TheCity covenants andagreesasfollows: Section1.PurposeoftheDisclosureCertificate.TheBoroughisexecuting anddeliveringthis Disclosure CertificateforthebenefitoftheBeneficialOwnersofthe Bonds,andtoassisttheParticipating Underwriter incomplyingwithSecuritiesand ExchangeCommission("SEC")Rule15c2-12(b)(5).TheBoroughiscurrentlyan "ObligatedPerson"withinthemeaningoftheRule. Section2.Definitions.Inadditiontothedefinitionssetforthinthe Resolutions,whichapplytoanycapitalizedtermusedinthisDisclosureCertificate unlessotherwisedefinedinthisSection,thefollowingcapitalizedtermsshallhavethe followingmeanings: "AnnualReport"meansanyAnnualReportprovidedbytheBoroughpursuantto, andasdescribedin,Section3ofthis Disclosure Certificate. "Borough"meanstheKenaiPeninsulaBorough,Alaska. "FiscalYear"meansthefiscalyearoftheBorough(currentlythe12-monthperiod endingJune30)assuchfiscalyearmaybechangedfromtimetotimeasrequiredby StatelawandtheBorough'sordinances. "Issuer"meanstheAlaskaMunicipalBondBank. "MSRB"meanstheMunicipal Securities RulemakingBoard. "Participating Underwriter"meanstheoriginalunderwriteroftheBondsrequired tocomplywiththeRuleinconnectionwiththeofferingoftheBonds. "Rule"meansRule 15c2-12(b)(5)adoptedbytheSecuritiesandExchange Commissionunderthe Securities Exchange Actof1934,asamendedfromtimetotime. Page2 Section3.ProvisionofAnnualReportsandFinancialStatements. CommencingwithitsFiscalYearendingJune30,2016,andforsolongastheBorough hasoutstandingwiththe Issuer anamountofbondsequaltoorgreaterthantenpercent (10%)ofallbonds outstanding undertheGeneralBondResolutionasofthelastdayof thefiscalyearofthe Issuer (currentlyJune30),theBoroughwillprovidetotheMSRB, inaformatasprescribedbytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual ReportfortheFiscalYear.TheAnnualReportshallcontainorincorporatebyreference thefollowingannual financial informationandoperatingdata:(i)annualfinancial statementsfortheBorough,preparedinaccordancewithgenerallyacceptedaccounting principlesapplicableto governmental entities,assuchprinciplesmaybechangedfrom timetotimeand(ii)financialinformationgenerallyofthetypeincludedinAppendixDof theOfficial Statement relatingtotheBonds. Anyoralloftheseitemsmaybeincorporatedbyspecificreferenceto documentsavailabletothepublicontheinternetwebsiteofMSRBorfiledwiththe SecuritiesandExchangeCommission.TheBoroughshallclearlyidentifyeachsuch other documentso incorporated byreference.TheAnnualReportmaybesubmittedas asingledocumentoras separate documentscomprisingapackage,providedthat auditedfinancial statements oftheBoroughmaybesubmittedseparatelyfromthe remainder oftheAnnualReport. (b)IfnotprovidedaspartoftheAnnualReport,thenpromptlyupontheir publicrelease,the audited financialstatementsoftheBoroughforeachFiscalYear, preparedinaccordancewith generally acceptedaccountingprinciplesapplicableto governmental entities,assuchprinciplesmaybechangedfromtimetotime. Section4.Filing Requirements.TheBoroughagreesanyfilingrequiredunder thetermsofthis Certificate shallbewiththeMSRB,inaformatprescribedbytheRule, andthatsuchfilingshallbemadeinconnectionwithCUSIPNos.01179P,011798and 01179R.Additionalor alternate CUSIPnumber(s)maybeaddedfromtimetotimeby writtennoticefromthe Issuer totheBorough,andtheBoroughagreesthatifitshall receivefromtheIssuerCUSIPnumber(s)inadditiontothosesetforthinthisSection4, itshallmakeitsfilingsusingboththeCUSIPnumbershereinstatedandtheadditional CUSIPnumber(s),ifany. Section5.Notice ofFailuretoProvideInformation.TheBoroughshallprovide inatimelymannertotheMSRBnoticeofanyfailuretosatisfytherequirementsof Section3ofthis Disclosure Certificate. Section6.Termination ofReportingObligation.TheBorough'sobligations underthisDisclosure Certificate shallterminateuponthelegaldefeasance,prior AMBB/General Obligationand Refunding Bonds,2015SeriesTwo Continuing Disclosure Certificate -Kenai 1:\Docs\37421740\Cont Disc-KenaLDocx redemption orpaymentinfullofitsloan obligation withtheIssuerandasotherwise described inSection3 of this Disclosure Certificate. Section7.Amendment;Waiver.Notwithstanding any other provisionofthis Disclosure Certificate,theBoroughmayamendthisDisclosureCertificate,providedthat the amendment meetseach of thefollowingconditions: (a)The amendment ismadeinconnectionwithachangeincircumstances that arisesfromachangeinlegalrequirements,changeinlaw,orchangeintheidentity, nature orstatusoftheBorough; (b)ThisDisclosureCertificate,asamended,wouldhavecompliedwiththe requirements oftheRuleasofthedatehereof,aftertakingintoaccountany amendments or interpretations oftheRule,aswellasanychangesincircumstances; and (c)TheBoroughobtainsanopinionof nationally recognizedbondcounselto theeffectthatthe amendment willnot adversely affecttheIssuer's compliance withthe Ruleoritscontinuing disclosure undertaking;and (d)TheBorough notifies andprovidestheIssuerandtheMSRBwiththe copiesoftheopinionsand amendments. Anysuch amendment may beadopted without theconsentofanyBeneficial Owner ofanyoftheBonds,notwithstanding anyotherprovisionofthisDisclosure Certificate ortheResolutions. ThefirstAnnualReportcontainingamendedoperatingdataorfinancial information pursuanttoan amendment ofthisDisclosureCertificateshallexplain,in narrative form,thereasons for the amendment anditseffectonthetypeofoperating dataandfinancial information beingprovided. Section8.Default.Inthe event ofafailureoftheBoroughtocomplywithany provision ofthisDisclosureCertificate,anyBeneficialOwnermaytakesuchactionsas maybe necessary and appropriate,includinganactiontocompel specific performance, tocausetheBoroughto comply withits obligations underthisDisclosureCertificate.No failuretocomplywithany provision ofthisDisclosureCertificateshallbedeemedan Event of Defaultunderthe Resolutions ortheBonds,andthesolelegalremedyunder thisDisclosure Certificate inthe event ofanyfailureoftheBoroughtocomplywiththis Disclosure Certificateshallbeanactiontocompelspecificperformance. Section9.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefit oftheBorough,theIssuer,theTrustee,theParticipatingUnderwriter,andthe AMBB/General Obligationand Refunding Bonds,2015 SeriesTwo ContinUing Disclosure Certificate -Kenai 1:\Docs\37421740\Cont Disc-KenaLDocx Page3 Beneficial OwnersfromtimetotimeoftheBonds,andshallcreatenorightsinanyother personorentity. Section10.Filing Alternative.Anyfilingrequiredunderthetermsofthis Disclosure Certificatemaybemade solely by transmitting suchfilingtotheElectronic Municipal MarketAccessasprovidedat http://www.emma.msrb.org,orinsuchother manner asmaybepermittedfromtimetotimebytheSecuritiesExchangeCommission. Section11.PriorCompliance.The Borough isincomplianceinallmaterial respects withitsprior undertakings pursuant totheRule,ifany. DATEDthis4thdayofJune2015. KENAI PENINSULA BOROUGH,ALASKA &trtC~CRA C.CHAP NFhla:~irector AMBB/General ObligationandRefundingBonds,2015SeriesTwo Continuing Disclosure Certificate -Kenai 1:\Docs\37421740\Cont Disc -KenaLDocx Page4 CONTINUING DISCLOSURE CERTIFICATE TheCityandBoroughofSitka,Alaska(the"CityandBorough")executesand delivers thisContinuingDisclosure Certificate (the"Disclosure Certificate")inconnection withtheissuanceof $78,665,000.00 AlaskaMunicipalBondBank General Obligation Bonds,2010SeriesFour(the"Bonds").TheBondsarebeingissuedundertheGeneral BondResolutionoftheIssuerentitled"AResolutionCreatingAndEstablishingAnIssue OfBondsOfTheAlaskaMunicipalBondBank;ProvidingForTheIssuanceFromTimeTo TimeOfSaidBonds;ProvidingForThePaymentOfPrincipalOfAndInterestOnSaid Bonds;AndProvidingForTheRightsOfTheHolders Thereof,"adoptedJuly13,2005,as amended August19,2009(the"GeneralBondResolution"),andtheSeriesResolutionNo. 2010-09,adoptedonOctober19,2010(the"SeriesResolution,"and together withthe General BondResolution,the "Resolutions").TheCityandBorough covenants andagrees asfollows: Section1.PurposeoftheDisclosureCertificate.TheCityandBoroughis executing anddeliveringthisDisclosure Certificate forthe benefit oftheBeneficialOwners oftheBonds,andtoassistthe Participating Underwriter incomplyingwithSecuritiesand ExchangeCommission("SEC")Rule 15c2-12(b)(5).TheCityandBoroughisan "Obligated Person"withinthe meaning oftheRule. Section2.Definitions.In addition tothe definitions setforthintheResolutions, whichapplytoanycapitalizedtermusedinthisDisclosure Certificate unlessotherwise defined inthisSection,the following capitalized terms shall have thefollowingmeanings: "AnnualReport"meansanyAnnualReportprovidedbytheCityandBorough pursuant to,andasdescribedin,Section3ofthisDisclosureCertificate. "CityandBorough"meanstheCityandBoroughofSitka,Alaska. "FiscalYear"meansthefiscalyearoftheCityandBorough(currentlythe12-month periodendingJune30)assuchfiscal year maybechangedfromtimetotimeasrequired byStatelawandtheCityand Borough's ordinances. "Issuer"meanstheAlaska Municipal BondBank. "MSRB"meanstheMunicipal Securities RulemakingBoard. "ParticipatingUnderwriter"means theoriginal underwriter oftheBondsrequiredto comply withtheRuiein connection withtheofferingoftheBonds. "Rule"meansRule 15c2-12(b)(5)adoptedbytheSECundertheSecurities ExchangeActof1934,as amended fromtimetotime. Section3.ProvisionofAnnualReportsandFinancialStatements.Commencing withitsFiscalYearending June 30,2011,andforsolongastheCityandBoroughhas outstandingwiththe Issuer an amount ofbondsequaltoorgreaterthan10percentofall bondsoutstanding under the General BondResolutionasofthelastdayofthefiscalyear oftheIssuer(currentlyJune30),theCityandBoroughwillprovidetotheMSRB,ina formatasprescribedbytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,an Annual Report fortheFiscalYear.TheAnnualReportshall containor incorporate byreferencethefollowingannual financial information andoperatingdata:(i)annualfinancial statements fortheCityandBorough,preparedinaccordance with generally accepted accountingprinciplesapplicableto governmental entities,assuch principles maybechanged frorntimetotimeand(ii)financialinformationgenerallyofthe typeincludedin Appendix DoftheOfficialStatementrelating totheBonds. Anyorallof these itemsmaybe incorporated byspecific referenceto documents availabletothepublicontheinternet website of MSRBorfiledwiththe Securities andExchange Commission.The City andBoroughshallclearlyidentifyeach such other document so incorporated byreference.The AnnualReport may besubmittedasasingle document oras separate documents comprisingapackage,providedthat audited financial statements oftheCityandBoroughmaybe submitted separately fromtheremainderoftheAnnualReport. (b)IfnotprovidedaspartoftheAnnualReport,then promptly upontheirpublic release,theaudited financial statements oftheCityandBoroughforeachFiscalYear, preparedin accordance with generally accepted accounting principlesapplicableto governmentalentities,assuch principles maybechangedfromtimetotime. Section4.NoticeofFailuretoProvideInformation.TheCityandBoroughshall provideinatimely manner totheMSRBnoticeofanyfailuretosatisfytherequirements ofSection3ofthis Disclosure Certificate. Section5.Termination of Reporting Obligation.TheCityandBorough's obligationsunderthis Disclosure Certificateshallterminateuponthelegaldefeasance, priorredemptionorpaymentinfullofitsloanobligationwiththeIssuerandasotherwise describedinSection3ofthis Disclosure Certificate. AMBB/GeneralObliga/ionBonds.2010SeriesFour Continuing Disclosure Certificate·Sitka 1:\Docs\37421721\Conl Disc-Silka.wpd Page2 Section6.Amendment;Waiver.Notwithstanding any other provision ofthis Disclosure Certificate,theCityandBoroughmayamendthisDisclosure Certificate, provided thatthe amendment meetseachofthefollowingconditions: (a)The amendment ismadeinconnectionwithachangein circumstances that arises fromachangeinlegalrequirements,changeinlaw,orchangeintheidentity,nature or status oftheCityandBorough; (b)ThisDisclosureCertificate,asamended,wouldhavecompliedwiththe requirements oftheRuleasofthedatehereof,aftertakinginto account any amendments or interpretations oftheRule,aswellasanychangesin circumstances;and (c)TheCityandBoroughobtainsanopinionof nationally recognizedbond counsel totheeffectthatthe amendment willnotadverselyaffecttheIssuer'scompliance withtheRuleorits continuing disclosureundertaking;and (d)TheCityandBoroughnotifiesandprovidestheIssuerandtheMSRBwith thecopiesoftheopinionsand amendments. Anysuch amendment maybeadoptedwithouttheconsentofanyBeneficialOwner ofanyoftheBonds,notwithstanding anyotherprovisionofthisDisclosureCertificateor theResolutions. ThefirstAnnual Report containing amendedoperatingdataorfinancialinformation pursuant toan amendment ofthisDisclosureCertificateshallexplain,innarrativeform,the reasons forthe amendment anditseffectonthetypeof operating dataandfinancial information beingprovided. Section7.Default.IntheeventofafailureoftheCityandBoroughtocomply withanyprovisionofthis Disclosure Certificate,anyBeneficial Owner maytakesuch actions asmaybe necessary andappropriate,includinganactiontocompelspecific performance,tocausethe City andBoroughtocomplywithits obligations underthis Disclosure Certificate.NofailuretocomplywithanyprovisionofthisDisclosureCertificate shall bedeemedanEvent of Default under theResolutions,andthesalelegalremedy under thisDisclosure Certificate intheeventofanyfailureoftheCityandBoroughto comply withthisDisclosure Certificate shallbeanactiontocompelspecificperformance. Section8.Beneficiaries.ThisDisclosure Certificate shallinuresolelytothe benefit oftheCityandBorough,theIssuer,theTrustee,theParticipatingUnderwriter,and the Beneficial OwnersfromtimetotimeoftheBonds,andshallcreatenorightsinany other personorentity. Section9.Filing Alternative.AnyfilingrequiredunderthetermsofthisDisclosure Certificate maybemade solely by transmitting suchfilingtotheElectronicMunicipal AM88/General Obliga/;onBonds,2010SeriesFour Continuing Disclosure Cenificate -Sitka 1:\Oocs\37t.2172"Conr DiSC-Silil.a.wpd Page3 Market Accessasprovidedat http://www.emma.msrb.org,orinsuch other manner asmay be permitted fromtimetotimebythe Securities Exchange Commission. Section10.Prior Compliance.The City andBoroughisincompliancewithallof itsprior undertakings pursuant totheRule. DATEDthis9thdayof December 2010. CITYANDBOROUGHOFSITKA,ALASKA AMBB/General ObligationBonds,2010SeriesFour Continuing Disclosure Certificate -Sitka 1:\Docs\370421721\Conl Disc-Silka.wpd Page4 CONTINUING DISCLOSURE CERTIFICATE TheCityandBoroughofSitka,Alaska(the"CityandBorough")executesand deliversthisContinuingDisclosureCertificate(the"DisclosureCertificate")in connectionwiththeissuanceof$12,130,000AlaskaMunicipalBondBankGeneral ObligationBonds,2011SeriesTwo(the"Bonds").TheBondsarebeingissuedunder theGeneralBondResolutionoftheIssuerentitled"AResolutionCreatingAnd Establishing An IssueOfBondsOfTheAlaskaMunicipalBondBank;ProvidingForThe IssuanceFromTimeToTimeOfSaidBonds;ProvidingForThePaymentOfPrincipal OfAndInterestOnSaidBonds;AndProvidingForTheRights Of TheHoldersThereof," adoptedJuly13,2005,asamendedAugust 19,2009 (the"GeneralBondResolution"), andtheSeriesResolutionNo.2011-02,adoptedonApril19,2011(the"Series Resolution,"andtogetherwiththeGeneralBondResolution,the"Resolutions").The CityandBoroughcovenantsandagreesasfollows: Section1.PurposeoftheDisclosureCertificate.TheCityandBoroughis executinganddeliveringthisDisclosureCertificateforthebenefitoftheBeneficial OwnersoftheBonds,andtoassisttheParticipatingUnderwriterincomplyingwith SecuritiesandExchangeCommission("SEC")Rule15c2-12(b)(5).TheCityand Boroughiscurrentlyan"ObligatedPerson"withinthemeaningoftheRule. Section2.Definitions.Inadditiontothedefinitionssetforthinthe Resolutions,whichapplytoanycapitalizedtermusedinthisDisclosureCertificate unlessotherwisedefinedinthisSection,thefollowingcapitalizedtermsshallhavethe followingmeanings: "AnnualReport"meansanyAnnualReportprovidedbytheCityandBorough pursuantto,andasdescribedin,Section3ofthisDisclosureCertificate. "CityandBorough"meanstheCityandBoroughofSitka,Alaska. "FiscalYear"meansthefiscalyearoftheCityandBorough(currentlythe12- monthperiodendingJune30)assuchfiscalyearmaybechangedfromtimetotimeas requiredbyStatelawandtheCityandBorough'sordinances. "Issuer"meanstheAlaskaMunicipalBondBank. "MSRB"meanstheMunicipalSecuritiesRulemakingBoard. "ParticipatingUnderwriter"meanstheoriginalpurchaseroftheBondsrequiredto complywiththeRuleinconnectionwiththeofferingoftheBonds. "Rule"meansRule15c2-12(b)(5)adoptedbytheSECundertheSecurities ExchangeActof1934,asamendedfromtimetotime. Page2 Section3.ProvisionofAnnualReportsandFinancialStatements. CommencingwithitsFiscalYearendingJune 30,2011,andforsolongastheCityand BoroughhasoutstandingwiththeIssueranamountofbondsequaltoorgreaterthan 10percentofallbondsoutstandingundertheGeneralBondResolutionasofthelast dayofthefiscalyearoftheIssuer(currentlyJune30),theCityandBoroughwillprovide totheMSRB,inaformatasprescribedbythe RUle,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual ReportfortheFiscalYear.TheAnnualReportshallcontainorincorporatebyreference thefollowingannualfinancialinformationandoperatingdata:(i)annual financial statementsfortheCityandBorough,preparedinaccordancewithgenerally accepted accountingprinciplesapplicabletogovernmentalentities,assuchprinciplesmaybe changedfromtimetotimeand(ii)financialinformationgenerallyofthetypeincludedin AppendixDoftheOfficialStatementrelatingtotheBonds. Anyoralloftheseitemsmaybeincorporatedbyspecificreferenceto documentsavailabletothepublicontheinternetwebsiteofMSRBorfiledwiththe SecuritiesandExchangeCommission.TheCityandBoroughshallclearlyidentifyeach suchotherdocumentsoincorporatedbyreference.TheAnnualReportmaybe submittedasasingledocumentorasseparatedocumentscomprisinga package, providedthatauditedfinancialstatementsoftheCityandBoroughmaybe submitted separatelyfromtheremainderoftheAnnualReport. (b)IfnotprovidedaspartoftheAnnualReport,thenpromptlyupontheir publicrelease,theauditedfinancialstatementsoftheCityandBoroughforeachFiscal Year,preparedinaccordancewithgenerallyacceptedaccountingprinciplesapplicable togovernmentalentities,assuchprinciplesmaybechangedfromtimetotime. Section4.NoticeofFailuretoProvideInformation.TheCityand Borough shallprovideinatimelymannertotheMSRBnoticeofanyfailuretosatisfythe requirementsofSection3ofthisDisclosureCertificate. Section5.TerminationofReportingObligation.TheCityandBorough's obligationsunderthisDisclosureCertificateshallterminateuponthelegal defeasance, priorredemptionorpaymentinfullofitsloanobligationwiththeIssuerandasotherwise describedinSection3ofthisDisclosureCertificate. Section6.Amendment:Waiver.Notwithstandinganyotherprovisionofthis DisclosureCertificate,theCityandBoroughmayamendthisDisclosure Certificate, providedthattheamendmentmeetseachofthe follOWing conditions: (a)Theamendmentismadeinconnectionwithachangein circumstances thatarisesfromachangeinlegalrequirements,changeinlaw,orchangeinthe identity, natureorstatusoftheCityandBorough; AMBB/General ObligationBonds.2011Series TwO Continuing Disclosure Certificate -Sitka 1:lDocs\37421724\Cont Disc -Silka.Docx (b)ThisDisclosureCertificate,asamended,wouldhavecompliedwiththe requirementsoftheRuleasofthedatehereof,aftertakingintoaccountany amendmentsorinterpretationsoftheRule,aswellasanychangesin circumstances; and (c)TheCityandBoroughobtainsanopinionofnationallyrecognizedbond counseltotheeffectthattheamendmentwillnotadverselyaffectthe Issuer's compliancewiththeRuleoritscontinuingdisclosureundertaking;and (d)TheCityandBoroughnotifiesandprovidestheIssuerandtheMSRBwith thecopiesoftheopinionsandamendments. AnysuchamendmentmaybeadoptedwithouttheconsentofanyBeneficial OwnerofanyoftheBonds,notwithstandinganyotherprovision of thisDisclosure CertificateortheResolutions. ThefirstAnnualReportcontainingamendedoperatingdataorfinancial informationpursuanttoan amendment ofthisDisclosureCertificateshallexplain,in narrativeform,thereasonsfortheamendmentanditseffectonthetypeofoperating dataandfinancialinformationbeingprovided. Section7.Default.IntheeventofafailureoftheCityandBoroughtocomply withanyprovisionofthisDisclosureCertificate,anyBeneficialOwnermaytakesuch actionsasmaybenecessaryandappropriate,includinganactiontocompelspecific performance,tocausetheCityandBoroughtocomplywithitsobligationsunderthis DisclosureCertificate.NofailuretocomplywithanyprovisionofthisDisclosure CertificateshallbedeemedanEventofDefaultundertheResolutionsorthe Bonds, andthesolelegalremedyunderthisDisclosureCertificateintheeventofanyfailureof theCityandBoroughtocomplywiththisDisclosureCertificateshallbeanactionto compelspecificperformance. Section8.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefitoftheCityandBorough,theIssuer,theTrustee,theParticipating Underwriter, andtheBeneficialOwnersfromtimetotimeoftheBonds,andshallcreatenorightsin anyotherpersonorentity. Section9.FilingAlternative.Anyfilingrequiredunderthetermsofthis DisclosureCertificatemaybemadesolelybytransmittingsuchfilingtotheElectronic MunicipalMarketAccessasprovidedat nttp:l/www.emma.msrb.org,orinsuchother mannerasmaybepermittedfromtimetotimebytheSecuritiesExchangeCommission. AMBB/GeneralObligationBonds,2011SeriesTwo Continuing Disclosure Certificate -Sitka 1:\Docs\37421724\COnl Disc-Silka.Docx Page3 Section10.PriorCompliance.TheCityandBoroughisincompliancewithall ofitspriorundertakingspursuanttotheRule. DATEDthis10thdayofMay2011. CITYANDBOROUGHOFSITKA,ALASKA AMBB/GeneralObligationBonds,2011SeriesTwo Continuing Disclosure Certificate -Sitka 1:\Docs\37421724\Cont Disc -Silka.Docx Page4 CONTINUING DISCLOSURE CERTIFICATE TheCityandBoroughofSitka,Alaska(the"City")executesanddeliversthis ContinuingDisclosure Certificate (the"DisclosureCertificate")inconnectionwiththe issuanceof $52,795,000 AlaskaMunicipalBondBankGeneralObligationand RefundingBonds,2012SeriesTwo(the"Bonds").TheBondsarebeingissuedunder theGeneralBond Resolution oftheIssuerentitled"AResolutionCreatingAnd EstablishingAnIssue Of BondsOfTheAlaskaMunicipalBondBank;ProvidingForThe IssuanceFromTimeToTimeOfSaidBonds;ProvidingForThePaymentOfPrincipal OfAndInterestOnSaidBonds;AndProvidingForTheRightsOfTheHoldersThereof," adoptedJuly13,2005,asamendedAugust19,2009(the"GeneralBondResolution"), andSeriesResolutionNo.2012-02,adoptedonApril 10,2012 (the"SeriesResolution," and together withtheGeneralBondResolution,the"Resolutions").TheCitycovenants andagreesasfollows: Section1.Purpose oftheDisclosureCertificate.TheCityisexecutingand deliveringthis Disclosure CertificateforthebenefitoftheBeneficialOwnersofthe Bonds,andtoassistthe Participating UnderwriterincomplyingwithSecuritiesand ExchangeCommission ("SEC")Rule15c2-12(b)(5).TheCityiscurrentlyan"Obligated Person"withinthemeaning of theRule. Section2.Definitions.Inadditiontothedefinitionssetforthinthe Resolutions,whichapplytoanycapitalizedtermusedinthisDisclosureCertificate unlessotherwisedefinedinthisSection,thefollowingcapitalizedtermsshallhavethe followingmeanings: "AnnualReport"means anyAnnualReportprovidedbytheCitypursuantto,and asdescribedin,Section3ofthisDisclosureCertificate. "City"meanstheCityandBoroughofSitka,Alaska. "FiscalYear"meansthefiscalyearoftheCity(currentlythe12-monthperiod endingJune30)assuchfiscalyearmaybechangedfromtimetotimeasrequiredby State Jaw andtheCity's ordinances. "Issuer"meanstheAlaskaMunicipalBondBank. "MSRB"meanstheMunicipalSecuritiesRulemakingBoard. "Participating Underwriter"meanstheoriginalpurchaseroftheBondsrequiredto complywiththeRulein connection withtheofferingoftheBonds. "Rule"meansRule 15c2-12(b)(5)adoptedbytheSECundertheSecurities ExchangeActof1934,as amended fromtimetotime. Page2 Section3.Provision of AnnualReportsand Financial Statements. Commencing withitsFiscalYearendingJune 30,2013,andforsolongastheCityhas outstanding withtheIssueran amount ofbondsequaltoor greater than10percentof allbondsoutstandingundertheGeneralBondResolutionasofthelastdayofthefiscal year of theIssuer(currentlyJune30),theCitywillprovidetotheMSRB,inaformatas prescribedbytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual ReportfortheFiscalYear.TheAnnualReportshallcontainor incorporate byreference thefollowingannualfinancial information andoperatingdata:(i)annualfinancial statements fortheCity,prepared inaccordancewithgenerallyacceptedaccounting principlesapplicableto governmental entities,assuchprinciplesmaybechangedfrom timetotimeand(il)financial information generally ofthetypeincludedin Appendix Dof theOfficialStatementrelatingto the Bonds. Anyoralloftheseitemsmaybeincorporatedby specific referenceto documents availabletothe public onthe internet website of MSRBorfiledwiththe SecuritiesandExchange Commission.TheCityshallclearlyidentifyeachsuchother document soincorporatedbyreference.TheAnnualReportmaybesubmittedasa single document oras separate documents comprisinga package,providedthat auditedfinancial statements oftheCitymaybesubmittedseparatelyfromtheremainder of theAnnualReport. (b)Ifnotprovidedaspart of theAnnualReport,then promptly upontheir publicrelease,theaudited financial statementsoftheCityforeachFiscalYear, preparedin accordance with generally acceptedaccounting principles applicableto governmental entities,assuch principles maybechangedfromtimetotime. Section4.Noticeof Failure toProvideInformation.TheCityshallprovideina timely manner totheMSRBnoticeofanyfailuretosatisfythe requirements ofSection3 of thisDisclosureCertificate. Section5.Termination of ReportingObligation.TheCity'sobligationsunder this Disclosure Certificate shall terminate uponthelegaldefeasance,priorredemption or payment infullofitsloan obligation withtheIssuerandas otherwise describedin Section3ofthisDisclosure Certificate. Section6.Amendment;Waiver.Notwithstandinganyotherprovisionofthis Disclosure Certificate,theCitymayamendthisDisclosureCertificate,providedthatthe amendment meetseachofthe following conditions: (a)The amendment ismadeinconnectionwithachangeincircumstances thatarisesfromachangeinlegal requirements,changeinlaw,orchangeintheidentity, natureorstatusoftheCity; AMBB/General Obligationand Refunding Bonds,2012SeriesTwo Continuing Disclosure Certificate -Sitka 1:\Docs\37421729\Cont Disc·Sitka 2012.Docx (b)ThisDisclosure Certificate,asamended,wouldhave complied withthe requirements of theRuleas of thedatehereof,aftertakinginto account any amendments or interpretations of theRule,aswellasanychangesincircumstances; and (c)TheCity obtains anopinionofnationallyrecognizedbondcounseltothe effect thatthe amendment willnot adversely affecttheIssuer's compliance withtheRule oritscontinuingdisclosure undertaking;and (d)TheCitynotifiesand provides theIssuerandtheMSRBwiththecopiesof theopinionsandamendments. Anysuch amendment maybeadoptedwithouttheconsent of anyBeneficial Owner ofanyoftheBonds,notwithstanding anyotherprovisionofthisDisclosure Certificate ortheResolutions. ThefirstAnnual Report containingamendedoperatingdataorfinancial information pursuanttoan amendment ofthisDisclosure Certificate'shallexplain,in narrative form,thereasonsforthe amendment anditseffectonthetypeofoperating data andfinancial information beingprovided. Section7.Default.Inthe event ofafailureofthe City to comply withany provision ofthisDisclosure Certificate,anyBeneficialOwnermaytakesuchactionsas may benecessaryand appropriate,includinganactiontocompel specific performance, tocausetheCitytocomply with its obligations under thisDisclosureCertificate.No failure tocomplywithany provision of thisDisclosureCertificateshallbedeemedan Event ofDefault under the Resolutions ortheBonds,andthesolelegalremedyunder thisDisclosureCertificateinthe event ofanyfailureoftheCityto comply withthis Disclosure Certificateshallbeanactiontocompelspecificperformance. Section8.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefit oftheCity,theIssuer,theTrustee,theParticipatingUnderwriter,andthe Beneficial OwnersfromtimetotimeoftheBonds,andshallcreatenorightsinanyother personorentity. Section9.Filing Alternative.Anyfilingrequiredunderthetermsofthis Disclosure Certificatemaybe made solelybytransmittingsuchfilingtotheElectronic Municipal MarketAccessas provided at http://www.emma.msrb.org,orinsuchother manner asmaybepermittedfromtimetotimebytheSecuritiesExchangeCommission. Section10.Prior Compliance.TheCityisincompliancewithallofitsprior undertakings pursuant totheRule. AMBB/General Obligationand Refunding Bonds,2012SeriesTwo Continuing Disclosure Certificate -Sitka 1:\Docs\37421729\Conl Disc -Sitka 2012.Docx Page3 DATED this24thdayofMay2012. CITY AND BOROUGH OFSITKA,AlP.SKA BY:~HNSWEENEYIiI Finance Director AMBB/General Obligationand Refunding Bonds,2012SeriesTwo Continuing Disclosure Certificate -Sitka 1:lDocsI37421729\Cont Disc-Sitka 2012.Docx Page4 CONTINUING DISCLOSURE CERTIFICATE TheCityandBoroughofSitka,Alaska(the"CityandBorough")executesand deliversthisContinuingDisclosureCertificate(the"DisclosureCertificate")in connectionwiththeissuanceof$96,045,000AlaskaMunicipalBondBankGeneral ObligationandRefundingBonds,2013SeriesOne(the"Bonds").TheBondsarebeing issuedundertheGeneralBondResolutionoftheIssuerentitled"AResolutionCreating AndEstablishingAnIssueOfBondsOfTheAlaskaMunicipalBondBank;ProvidingFor TheIssuanceFromTimeToTImeOfSaidBonds;PrOViding ForThePaymentOf PrincipalOfAndInterestOnSaidBonds;AndProvidinqForTheRights Of TheHolders Thereof,"adopted july 13,2005,asamended August 19,2009(the"GeneralBond Resolution"),andSeriesResolutionNo.2013-01,adoptedonJanuary28,2013(the "SeriesResolution,"and together withtheGeneralBondResolution,the"Resolutions"). TheCityandBoroughonthedatehereofissued(i)$3,955,000aggregateprincipal amountofitsHarborFacilitiesRevenueBond,2013,and(ii)$35,530,000aggregate principalamountofits Junior LienElectricRevenueBond,2013.TheCityandBorough covenantsandagreesasfollows: Section1.PurposeoftheDisclosureCertificate.TheCityandBoroughis executinganddeliveringthisDisclosureCertificateforthebenefitoftheBeneficial OwnersoftheBonds,andtoassisttheParticipatingUnderwriterincomplyingwith SecuritiesandExchangeCommission("SEC")Rule15c2-12(b)(5).TheCityand Boroughiscurrentlyan "Obligated Person"withinthemeaningoftheRule. Section2.Definitions.Inadditiontothedefinitions set forthinthe Resolutions,Which applytoanycapitalizedtermusedinthisDisclosureCertificate unlessotherwisedefinedinthisSection,thefollowingcapitalizedtermsshallhavethe followingmeanings: "AnnualReport"meansanyAnnualReportprovidedbytheCityandBorough pursuantto,andas described in,Section3ofthisDisclosureCertificate. "CityandBorough"meanstheCityandBoroughofSitka,Alaska. "FiscalYear"means thefiscalyearoftheCityandBorough(currentlythe12- monthperiodending June 30)assuchfiscalyearmaybechangedfromtimetotimeas requiredbyStatelawandtheCityandBorough'sordinances. "Issuer"meanstheAlaskaMunicipalBondBank. "MSRB"meanstheMunicipalSecuritiesRulemakingBoard. "Participating Underwriter"meanstheoriginal purchaser oftheBondsrequiredto complywiththeRuleinconnectionwiththeofferingoftheBonds. "Rule"meansRule15c2-12(b)(5)adoptedbytheSECundertheSecurities ExchangeActof1934,asamendedfromtimetotime. Section3.Provision of AnnualReportsandFinancial Statements. CommencingwithitsFiscalYearendingJune30,2014,andforsolongastheCityand BoroughhasoutstandingwiththeIssueranamountofbondsequaltoorgreaterthan 10percentofallbondsoutstandingundertheGeneralBondResolutionasofthelast dayofthefiscalyearoftheIssuer(currentlyJune30),theCityandBoroughwillprovide totheMSRB,inaformatasprescribedbytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual ReportfortheFiscalYear.TheAnnualReportshallcontainorincorporateby reference thefollowingannualfinancialinformationandoperatingdata:(i)annualfinancial statementsfor the CityandBorough,preparedinaccordancewithgenerally accepted accountingprinciplesapplicabletogovernmentalentities,assuchprinciplesmaybe changedfromtimetotimeand (ii)financialinformationgenerallyofthetypeincludedin AppendixDoftheOfficialStatementrelatingtotheBonds. Anyoralloftheseitemsmaybeincorporatedbyspecificreferenceto documentsavailabletothepublicontheinternetwebsiteofMSRBorfiledwiththe SecuritiesandExchangeCommission.TheCityandBoroughshallclearlyidentifyeach suchother vdocument soincorporatedbyreference.TheAnnualReportmaybe submittedasasingledocumentorasseparatedocumentscomprisinga package, providedthatauditedfinancialstatementsoftheCityandBoroughmaybesubmitted separatelyfromtheremainderoftheAnnualReport. (b)IfnotprovidedaspartoftheAnnualReport,thenpromptlyupontheir publicrelease,theauditedfinancialstatementsoftheCityandBoroughforeachFiscal Year,preparedinaccordancewithgenerallyacceptedaccountingprinciplesapplicable togovernmentalentities,assuchprinciplesmaybechangedfromtimetotime. Section4.Notice of FailuretoProvideInformation.TheCityand Borough shallprovideinatimelymannertotheMSRBnoticeofanyfailuretosatisfythe requirementsofSection3ofthisDisclosureCertificate. Section5.Termination of ReportingObligation.TheCityandBorough's obligationsunderthisDisclosureCertificateshallterminateuponthelegal defeasance, priorredemptionorpaymentinfullofitsloanobligationwiththeIssuerandasotherwise describedinSection3ofthisDisclosure Certificate. Section6.Amendment:Waiver.Notwithstandinganyotherprovisionofthis DisclosureCertificate,theCityandBoroughmayamendthisDisclosure Certificate, providedthattheamendmentmeetseachofthe follOWing conditions: AMBS/General Obligationand Refunding Bonds,2013SeriesOne Continuing Disclosure Certificate -Sitka (Harbor) 1:lDocs\37421733\Cont Disc-Sitka (2013).Docx Page2 Page3 (a)Theamendmentismadeinconnectionwithachangeincircumstances thatarisesfromachangeinlegalrequirements,changeinlaw,orchangeintheidentity, natureorstatusoftheCityandBorough; (b)ThisDisclosureCertificate,asamended,wouldhavecompliedwiththe requirementsoftheRuleasofthedatehereof,aftertakingintoaccountany amendmentsorinterpretationsoftheRule,aswellasanychangesincircumstances; and (c)TheCityandBoroughobtainsanopinionofnationallyrecognizedbond counseltotheeffectthattheamendmentwillnotadverselyaffecttheIssuer's compliancewiththeRuleoritscontinuingdisclosureundertaking;and (d)TheCityandBoroughnotifiesandprovidestheIssuerandtheMSRBwith thecopiesoftheopinionsandamendments. Anysuch amendment maybeadoptedwithouttheconsentofanyBeneficial OwnerofanyoftheBonds,notwithstandinganyotherprovisionofthisDisclosure CertificateortheResolutions. ThefirstAnnualReportcontainingamendedoperatingdataorfinancial informationpursuanttoanamendment of thisDisclosureCertificateshallexplain,in narrativeform,thereasonsfortheamendmentanditseffectonthetypeofoperating dataandfinancialinformationbeingprovided. Section7.Default.IntheeventofafailureoftheCityandBoroughtocomply withanyprovisionofthisDisclosureCertificate,anyBeneficialOwnermaytakesuch actionsasmaybenecessaryandappropriate,includinganactiontocompelspecific performance,tocausetheCityandBoroughtocomplywithitsobligationsunderthis DisclosureCertificate.NofailuretocomplywithanyprovisionofthisDisclosure CertificateshallbedeemedanEventofDefaultundertheResolutionsortheBonds, andthesolelegalremedy under thisDisclosureCertificateintheeventofanyfailureof theCityandBoroughtocomplywiththisDisclosureCertificateshallbeanactionto compelspecific performance. Section8.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefitoftheCityandBorough,theIssuer,theTrustee,theParticipatingUnderwriter, andtheBeneficialOwnersfromtimetotimeoftheBonds,andshallcreatenorightsin anyotherpersonorentity. Section9.FilingAlternative.Anyfilingrequired under thetermsofthis DisclosureCertificatemaybemadesolelybytransmittingsuchfilingtotheElectronic MunicipalMarketAccessasprovidedathttp://www.emma.msrb.org,orinsuchother mannerasmaybepermittedfromtimetotimebytheSecuritiesExchangeCommission. AMBBfGeneral Obligationand Refunding Bonds,2013 SeriesOne Continuing Disclosure Certificate -Sitka(Harbor) 1:lDocs\37421733\Cont Oisc-Stlka (2013).Docx Section10.PriorCompliance.TheCityandBoroughisincompliancewithall ofitsprior undertakings pursuant totheRule. DATEDthis12thdayofMarch2013. CITYANDBOROUGHOFSITKA,ALASKA ~lf[HNSWEENEYiiI ' FinanceDirector AMBB/General Obligation and Refunding Bonds,2013SeriesOne Continuing Disclosure Certificate -Sitka(Harbor) l;\Docs\37421733IConl Disc-snka (2013).Docx Page4 CONTINUING DISCLOSURE CERTIFICATE TheCityandBoroughofSitka(the"CityandBorough")executesanddelivers thisContinuingDisclosure Certificate (the"Disclosure Certificate")inconnectionwith theissuanceof $72,045,000 AlaskaMunicipalBondBankGeneralObligationBonds, 2013SeriesThree(the"Bonds").TheBondsarebeingissuedundertheGeneralBond Resolutionofthe Issuer entitled"AResolutionCreatingAndEstablishingAnIssueOf BondsOfTheAlaska Municipal BondBank;ProvidingForTheIssuanceFromTimeTo TimeOfSaidBonds;ProvidingForThePayment Of PrincipalOfAndInterestOnSaid Bonds;AndProvidingForTheRightsOfTheHolders Thereof,"adoptedJuly13,2005, asamended August 19,2009(the"GeneralBondResolution"),andamendedand restatedSeriesResolutionNo.2013-04adoptedon October 10,2013(the"Series Resolution,"and together withtheGeneralBondResolution,the"Resolutions").The CityandBoroughonthedate hereof issued $25,615,000 aggregateprincipalamountof itsJuniorLienElectric Revenue Bond,20138.TheCityandBoroughcovenantsand agreesasfollows: Section1.PurposeoftheDisclosureCertificate.TheCityandBoroughis executingand delivering thisDisclosureCertificateforthe benefit oftheBeneficial Owners of theBonds,andtoassisttheParticipating Underwriter incomplyingwith Securitiesand Exchange Commission Rule 15c2-12(b)(5).The City andBoroughis currentlyan"ObligatedPerson"withinthemeaningoftheRule. Section2.Definitions.In additiontothe definitions setforthintheResolutions, whichapplytoany capitalized termusedinthisDisclosure Certificate unlessotherwise definedinthisSection,thefollowingcapitalizedtermsshallhavethefollowing meanings: "AnnualReport"means any Annual ReportprovidedbytheCityandBorough pursuant to,andas described in,Section3ofthisDisclosureCertificate. "Cityand Borough"meanstheCityandBoroughofSitka,Alaska. "FiscalYear"meansthefiscalyearoftheCityandBorough(currentlythe12- monthperiodendingJune30),assuchfiscalyearmaybechangedfromtimetotimeas requiredbyStatelawandtheCityandBorough'sordinances. "Issuer"meanstheAlaskaMunicipalBondBank. "MSRB"meansthe Municipal SecuritiesRulemakingBoard. "ParticipatingUnderwriter"meansanyoftheoriginal underwriters oftheBonds requiredtocomplywiththeRuleinconnectionwiththeofferingoftheBonds. "Rule"meansRule 15c2-12(b)(5)adoptedbytheSecuritiesandExchange Commissionunderthe Securities Exchange Actof1934,asamendedfromtimetotime. Section3.ProvisionofAnnualReportsand Financial Statements.Commencing withitsFiscalYearendingJune30,2014,andforsolongastheCityandBoroughhas outstandingwiththe Issuer anamountofbondsequaltoor greater thantenpercent (10%)ofallbondsoutstandingundertheGeneralBondResolutionasofthelastdayof thefiscalyearofthe Issuer (currentlyJune30),theCityandBoroughwillprovidetothe MSRB,inaformatasprescribedbythe RUle,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual ReportfortheFiscalYear.TheAnnualReportshallcontainorincorporateby referencethefollowingannualinformationandoperatingdata:(i)annualfinancial statements fortheCityandBoroughpreparedin accordance withgenerally accepted accounting principlesapplicableto governmental entities,assuch principlesmaybechangedfromtimetotime,and (ii)financialinformation generally ofthetypeincludedin Appendix DoftheOfficialStatementrelatingto theBonds. Anyoralloftheseitemsmaybe incorporated byspecificreferenceto documents available tothepubliconthe internet website ofMSRBorfiled with theSecuritiesandExchangeCommission.TheCityandBoroughshallclearly identifyeachsuchother document soincorporatedbyreference.TheAnnual Reportmaybe submitted asasingle document orasseparatedocuments comprisingapackage,providedthatauditedfinancialstatementsoftheCityand Boroughmaybe submitted separately fromthe remainder oftheAnnualReport. (b)Ifnotprovidedaspartofthe Annual Report,thenpromptlyupontheir publicrelease,theauditedfinancial statements oftheCityandBoroughforeach FiscalYear,prepared inaccordancewith generally acceptedaccounting principles applicable to governmental entities,assuchprinciplesmaybe changedfrom time totime. Section4.Notice ofFailuretoProvideInformation.TheCityandBoroughshall provideina timely manner totheMSRBnoticeofanyfailuretosatisfytherequirements ofSection3ofthisDisclosureCertificate. Section5.Termination ofReportingObligation.TheCityandBorough's obligationsunderthis Disclosure Certificate shall terminate uponthelegaldefeasance, priorredemptionor payment infullofallofitsloanobligationwiththeIssuerandas otherwisedescribedinSection3ofthisDisclosureCertificate. Section6.Amendment;Waiver.Notwithstanding anyotherprovisionofthis DisclosureCertificate,theCityandBoroughmayamendthisDisclosureCertificate, providedthatthe amendment meetseachofthe following conditions: AMBB/General ObligationBonds,2013SeriesThree Authority Continuing Disclosure Certificate 1:lDocsI37421735\Conl Disc-Sitka.Docx Page2 (a)The amendment ismadeinconnectionwithachangeincircumstances that arisesfroma change inlegalrequirements,changeinlaw,orchangeintheidentity, natureorstatusoftheCityandBorough; (b)ThisDisclosureCertificate,asamended,wouldhavecompliedwiththe requirements oftheRuleasofthedatehereof,aftertakingintoaccountany amendments or interpretations oftheRule,aswellasanychangesincircumstances; (c)TheCityandBoroughobtainsanopinionofa nationally recognizedbond counseltotheeffectthattheamendmentwillnot adversely affecttheIssuer's compliance withtheRuleoritscontinuing disclosure undertaking;and (d)TheCityandBoroughnotifiesandprovidestheIssuerandtheMSRBwith copiesoftheopinionsandamendments. Anysuch amendment maybeadopted without theconsentofanyBeneficial Owner ofanyoftheBonds,notwithstandinganyotherprovisionofthisDisclosure Certificate ortheResolutions. ThefirstAnnualReportcontainingamendedoperatingdataorfinancial information pursuant toan amendment ofthisDisclosure Certificate shallexplain,in narrative form,thereasonsforthe amendment andits effect onthetypeofoperating dataandfinancial information beingprovided. Section7.FilingAlternative.Anyfilingrequiredunderthetermsofthis DisclosureCertificatemaybemadesolelyby transmitting suchfilingtotheElectronic Municipal Market Access asprovidedat http://www.emma.msrb.org,orinsuchother manner asmaybe permitted fromtimetotimebythe Securities ExchangeCommission. Section8.Default.IntheeventofafailureoftheCityandBoroughtocomply withanyprovisionofthis Disclosure Certificate,anyBeneficialOwnermaytakesuch actions asmaybe necessary andappropriate,includinganactiontocompelspecific performance,tocausetheCityandBoroughtocomplywithitsobligationsunderthis Disclosure Certificate.No failure tocomplywithanyprovisionofthisDisclosure Certificate shallbe deemed anEventofDefaultundertheResolutionsortheBonds, andthesolelegal remedy underthisDisclosureCertificateintheeventofanyfailureof theCityandBoroughto comply withthisDisclosure Certificate shallbeanactionto compelspecific performance. Section9.Beneficiaries.ThisDisclosure Certificate shallinuresolelytothe benefit oftheCityandBorough,theIssuer,theTrustee,theParticipatingUnderwriter AMSS/General ObligationSands,2013SeriesThree Authority Continuing Disclosure Certificate 1:\Docs\37421735\Cont Disc-Silka.Docx Page3 andtheBeneficialOwnersfromtimetotimeoftheBonds,andshallcreatenorightsin anyotherpersonorentity. Section10.Prior Compliance.TheCityandBoroughisincompliancewithallof itsprior undertakings pursuant totheRule. DATEDthis14thdayof November 2013. CITY AND BOROUGHOFSITKA,ALASKA By:~..22,L6HNSWEENEYilJ Finance Director AMBB/General ObligationBonds,2013SeriesThree Authority Continuing Disclosure Certificate Page4 1:\DocsI37421735\Conl Disc-Sitka.Docx CONTINUING DISCLOSURE CERTIFICATE TheCityandBoroughofJuneau,Alaska(the"CityandBorough")executesand deliversthis Continuing DisclosureCertificate(the"DisclosureCertificate")in connectionwiththe issuance of$18,495,000AlaskaMunicipalBondBankGeneral ObligationBonds,2012SeriesOne(the"Bonds").TheBondsarebeingissuedunder theGeneralBond Resolution of theIssuerentitled"AResolutionCreatingAnd EstablishingAnIssue Of BondsOfTheAlaskaMunicipalBondBank;Providing For The IssuanceFromTimeToTimeOfSaidBonds;ProvidingForThePayment Of Principal OfAnd Interest OnSaidBonds;AndProvidingForTheRightsOfThe Holders Thereof," adoptedJuly13,2005,asamended August 19,2009(the"GeneralBondResolution"), andSeries Resolution No.2012-01,adoptedonFebruary6,2012(the"Series Resolution,"and together withtheGeneralBondResolution,the "Resolutions").The CityandBorough covenants andagreesasfollows: Section1.PurposeoftheDisclosure Certificate.TheCityandBoroughis executingand delivering thisDisclosure Certificate forthebenefitoftheBeneficial OwnersoftheBonds,andtoassistthe Participating Underwriterin complying with Securities and Exchange Commission ("SEC")Rule15c2-12(b)(5).TheCityand Boroughis currently an"ObligatedPerson"withinthemeaningoftheRule. Section 2.Definitions.Inadditiontothedefinitionssetforthinthe Resolutions,whichapplytoanycapitalizedtermusedinthisDisclosureCertificate unlessotherwise defined inthisSection,thefollowingcapitalizedtermsshallhavethe followingmeanings: "AnnualReport"means anyAnnualReportprovidedbytheCityandBorough pursuant to,andas described in,Section3ofthis Disclosure Certificate. "Cityand Borough"meanstheCityandBoroughofJuneau,Alaska. "FiscalYear"meansthefiscalyearoftheCityandBorough (currently the12- monthperiodendingJune30)assuchfiscalyear may bechangedfromtimetotimeas requiredbyStatelawandtheCityandBorough's ordinances. "Issuer"meanstheAlaskaMunicipalBondBank. "MSRB"meanstheMunicipalSecuritiesRulemakingBoard. "Participating Underwriter"meanstheoriginal purchaser oftheBondsrequiredto complywiththeRulein connection withtheofferingoftheBonds. "Rule"meansRule 15c2-12(b)(5)adoptedbytheSECundertheSecurities ExchangeActof1934,as amended fromtimetotime. Section3.ProvisionofAnnualReportsandFinancialStatements. CommencingwithitsFiscal Year endingJune30,2012,andforsolongastheCityand BoroughhasoutstandingwiththeIssueranamountofbondsequaltoorgreaterthan 10percentofallbondsoutstandingundertheGeneralBondResolutionasofthelast dayofthefiscalyearoftheIssuer(currentlyJune30),theCityandBoroughwillprovide totheMSRB,inaformatasprescribedbytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual Report fortheFiscalYear.TheAnnualReportshallcontainorincorporatebyreference thefollowingannualfinancialinformationandoperatingdata:(i)annualfinancial statements fortheCityandBorough,preparedinaccordancewithgenerallyaccepted accountingprinciplesapplicabletogovernmentalentities,assuchprmciplesmaybe changedfromtimetotimeand(ii)financialinformationgenerallyofthetypeincludedin Appendix DoftheOfficial Statement relatingtotheBonds. Anyoralloftheseitemsmaybeincorporatedby specific referenceto documentsavailabletothepubliconthe internet websiteofMSRBorfiledwiththe SecuritiesandExchangeCommission.TheCityandBoroughshallclearlyidentifyeach suchotherdocumentsoincorporatedbyreference.TheAnnualReportmaybe submittedasasingle document orasseparatedocumentscomprisingapackage, providedthatauditedfinancialstatementsoftheCityandBoroughmaybesubmitted separately fromthe remainder oftheAnnualReport. (b)IfnotprovidedaspartoftheAnnualReport,thenpromptlyupon their publicrelease,theauditedfinancialstatementsoftheCityandBoroughforeachFiscal Year,preparedin accordance with generally acceptedaccountingprinciplesapplicable to governmental entities,assuchprinciplesmaybechangedfromtimetotime. Section4.NoticeofFailuretoProvideInformation.TheCityandBorough shallprovideina timely manner totheMSRBnoticeofanyfailuretosatisfythe requirementsofSection3ofthisDisclosureCertificate. Section5.Termination ofReportingObligation.TheCityandBorough's obligationsunderthis Disclosure Certificateshallterminateuponthelegaldefeasance, .priorredemptionor payment infullofitsloanobligationwiththeIssuerandasotherwise described inSection3ofthisDisclosureCertificate. Section6.Amendment;Waiver.Notwithstanding anyotherprovisionofthis DisclosureCertificate,theCityandBoroughmayamendthisDisclosureCertificate, providedthatthe amendment meetseachofthefollowingconditions: (a)The amendment ismadeinconnectionwithachangeincircumstances thatarisesfromachangeinlegal requirements,changeinlaw,orchangeintheidentity, natureorstatusoftheCityandBorough; AMBB/GeneralObligationBonds.2012SeriesOne Continuing Disclosure Certificate -Juneau 1:\Docs\37421726\Cont Disc -Juneau.Docx Page2 (b)This Disclosure Certificate,asamended,wouldhavecompliedwiththe requirements oftheRuleasofthedatehereof,aftertakinginto account any amendments or interpretations oftheRule,aswellasanychangesincircumstances; and (c)TheCityandBoroughobtainsanopinionofnationallyrecognizedbond counseltotheeffectthatthe amendment willnotadverselyaffecttheIssuer's compliance withtheRuleoritscontinuing disclosure undertaking;and (d)TheCityandBoroughnotifiesandprovidestheIssuerandtheMSRBwith thecopiesoftheopinionsand amendments. Anysuch amendment maybeadopted without theconsentofanyBeneficial Owner ofanyoftheBonds,notwithstanding anyotherprovisionofthisDisclosure Certificate ortheResolutions. Thefirst Annual Reportcontainingamendedoperatingdataorflnancial information pursuanttoan amendment ofthisDisclosureCertificateshallexplain,in narrative fOnTI,thereasonsforthe amendment anditseffectonthetypeofoperating dataandfinancialinformationbeingprovided. Section7.Default.IntheeventofafailureoftheCityandBoroughtocomply withanyprovisionofthis Disclosure Certificate,anyBeneficialOwnermaytakesuch actionsasmaybe necessary andappropriate,includinganactiontocompel specific performance,tocausetheCityandBoroughtocomplywithitsobligationsunderthis Disclosure Certificate.NofailuretocomplywithanyprovisionofthisDisclosure Certificate shallbe deemed anEvent of DefaultundertheResolutionsortheBonds, andthesolelegal remedy under this Disclosure Certificateintheeventofanyfailureof theCityandBoroughto comply withthisDisclosureCertificateshallbeanactionto compelspecific performance. Section8.Beneficiaries.This Disclosure Certificateshallinuresolelytothe benefit oftheCityandBorough,theIssuer,theTrustee,theParticipatingUnderwriter, andtheBeneficialOwnersfromtimetotimeoftheBonds,andshallcreatenorightsin any other personorentity. Section9.Filing Alternative.Anyfilingrequiredunderthetermsofthis Disclosure Certificate may bemadesolelyby transmitting suchfilingtothe Electronic Municipal Market Access asprovidedat http://www.emma.msrb.org,orinsuchother manner asmaybe permitted fromtimetotimebythe Securities ExchangeCommission. AMBB/GeneralObligationBonds.2012SeriesOne Continuing Disclosure Certificate -Juneau 1:\Docs\37421726\Cont Disc -Juneau.Docx Page3 Section 10.PriorCompliance.TheCityandBoroughisincompliancewitha/l ofitsprior undertakings pursuanttotheRule. DATEDthis6thdayofMarch 2012. ROUGH 0AU,ALASKA AMBB/GeneralObligationBonds,2012SeriesOne Continuing Disclosure Certificate -Juneau 1:\Docs\37421726\Cont Disc-Juneau.Docx Page4 CONTINUING DISCLOSURE CERTIFICATE TheCityandBoroughofJuneau,Alaska(the"City")executesanddeliversthis Continuing Disclosure Certificate(the"DisclosureCertificate")inconnectionwiththe issuanceof $52,795,000 AlaskaMunicipalBondBankGeneralObligationand RefundingBonds,2012SeriesTwo(the"Bonds").TheBondsarebeingissuedunder theGeneralBondResolutionoftheIssuerentitled"AResolutionCreatingAnd EstablishingAnIssue Of BondsOfTheAlaskaMunicipalBondBank;ProvidingForThe IssuanceFromTimeToTimeOfSaidBonds;ProvidingForThePayment Of Principal OfAndInterestOnSaidBonds;AndProvidingForTheRightsOfTheHolders Thereof," adoptedJuly13,2005,asamended August 19,2009(the"GeneralBondResolution"), andSeriesResolutionNo.2012-02,adoptedonApril10,2012(the"SeriesResolution," andtogetherwiththeGeneralBondResolution,the"Resolutions").TheCitycovenants andagreesasfollows: Section1.Purpose oftheDisclosureCertificate.TheCityisexecutingand deliveringthis Disclosure CertificateforthebenefitoftheBeneficialOwnersofthe Bonds,andto assist theParticipating Underwriter incomplyingwithSecuritiesand Exchange Commission ("SEC")Rule15c2-12(b)(5).TheCityiscurrentlyan"Obligated Person"withinthemeaningoftheRule. Section2.Definitions.Inadditiontothedefinitionssetforthinthe Resolutions,whichapplytoanycapitalizedtermusedinthisDisclosureCertificate unlessotherwisedefinedinthisSection,thefollowingcapitalizedtermsshallhavethe followingmeanings: "AnnualReport"meansanyAnnualReportprovidedbytheCity pursuant to,and asdescribedin,Section3ofthisDisclosure Certificate. "City"meanstheCityandBoroughofJuneau,Alaska. "FiscalYear"means thefiscalyearoftheCity(currentlythe12-monthperiod endingJune30)assuchfiscalyearmaybechangedfromtimetotimeasrequiredby StatelawandtheCity'sordinances. "Issuer"means theAlaskaMunicipalBondBank. "MSRB"meanstheMunicipal Securities RulemakingBoard. "Participating Underwriter"meanstheoriginal purchaser oftheBondsrequiredto comply withtheRuleinconnectionwiththeofferingoftheBonds. "Rule"meansRule 15c2-12(b)(5)adoptedbytheSECundertheSecurities Exchange Actof1934,asamendedfromtimetotime. Section3.ProvisionofAnnual Reports andFinancialStatements. Commencing withitsFiscalYearendingJune 30,2013,andforsolongastheCityhas outstanding withtheIssueranamountofbondsequaltoorgreaterthan10percentof allbondsoutstandingundertheGeneralBond Resolution asofthelastdayofthefiscal yearoftheIssuer(currentlyJune30),theCitywillprovidetotheMSRB,inaformatas prescribed bytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual ReportfortheFiscalYear.TheAnnualReportshallcontainorincorporatebyreference thefollowingannualfinancialinformationandoperatingdata:(i)annualfinancial statements fortheCity,preparedinaccordancewithgenerallyacceptedaccounting principles applicabletogovernmentalentities,assuchprinciplesmaybechangedfrom timetotimeand (ii)financialinformationgenerallyofthetypeincludedinAppendixDof theOfficial Statement relatingtotheBonds. Anyoralloftheseitemsmaybeincorporatedbyspecificreferenceto documents availabletothepubliconthe internet websiteofMSRBorfiledwiththe Securities andExchangeCommission.TheCityshallclearlyidentifyeachsuchother document so incorporated byreference.TheAnnualReportmaybesubmittedasa single document oras separate documents comprising apackage,providedthat auditedfinancial statements oftheCitymaybe submitted separatelyfromthe remainder oftheAnnualReport. (b)IfnotprovidedaspartoftheAnnualReport,thenpromptlyupontheir publicrelease,theauditedfinancial statements oftheCityforeachFiscalYear, preparedin accordance withgenerallyacceptedaccountingprinciplesapplicableto governmental entities,assuchprinciplesmaybechangedfromtimetotime. Section4.Notice of FailuretoProvide Information.TheCityshallprovideina timely manner totheMSRBnoticeofanyfailuretosatisfytherequirementsofSection3 ofthis Disclosure Certificate. Section5.Termination ofReporting Obligation.TheCity'sobligations under thisDisclosure Certificate shallterminateuponthelegaldefeasance,priorredemption or payment infullofitsloanobligationwiththeIssuerandasotherwisedescribedin Section3ofthisDisclosureCertificate. Section6.Amendment:Waiver.Notwithstanding anyotherprovisionofthis Disclosure Certificate,theCitymayamendthis Disclosure Certificate,providedthatthe amendment meetseachofthefollowingconditions: (a)The amendment ismadein connection withachangeincircumstances that arisesfromachangeinlegalrequirements,change inlaw,orchangeintheidentity, natureorstatusoftheCity; AMBB/General ObligationandRefundingBonds,2012SeriesTwo Continuing Disclosure Certificate -Juneau 1:\Docs\37421729\Conl Disc -Juneau.Docx Page2 (b)ThisDisclosureCertificate,asamended,would have compliedwiththe requirementsoftheRuleasofthedatehereof,aftertakingintoaccountany amendmentsorinterpretationsoftheRule,aswellasanychangesincircumstances; and (c)TheCityobtainsanopinionofnationallyrecognizedbondcounseltothe effectthattheamendmentwillnotadverselyaffecttheIssuer'scompliancewiththeRule oritscontinuingdisclosureundertaking;and (d)TheCitynotifiesandprovidestheIssuerandtheMSRBwiththecopiesof theopinionsandamendments. Anysuch amendment maybeadoptedwithouttheconsentofanyBeneficial OwnerofanyoftheBonds,notwithstandinganyotherprovisionofthisDisclosure CertificateortheResolutions. ThefirstAnnualReportcontainingamendedoperatingdataorfinancial informationpursuanttoan amendment ofthisDisclosureCertificateshallexplain,in narrative form,thereasonsfortheamendmentanditseffectonthetypeofoperating dataandfinancialinformationbeingprovided. Section7.Default.Inthe event ofafailureoftheCitytocomplywithany provisionofthisDisclosureCertificate,anyBeneficial Owner maytakesuchactionsas maybenecessaryand appropriate,includinganactiontocompelspecificperformance, tocausetheCitytocomplywithitsobligationsunderthisDisclosureCertificate.No failuretocomplywithanyprovisionofthisDisclosureCertificateshallbedeemedan Event ofDefaultunderthe Resolutions ortheBonds,andthesolelegalremedyunder thisDisclosureCertificateinthe event ofanyfailureoftheCitytocomplywiththis DisclosureCertificateshallbeanactiontocompelspecificperformance. Section8.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefitoftheCity,theIssuer,theTrustee,theParticipatingUnderwriter,andthe BeneficialOwnersfromtimetotimeoftheBonds,andshallcreatenorightsinanyother personorentity. Section9.FilingAlternative.Anyfilingrequiredunderthetermsofthis DisclosureCertificatemaybemadesolelybytransmittingsuchfilingtotheElectronic MunicipalMarketAccessasprovidedathttp://www.emma.msrb.org,orinsuchother mannerasmaybepermittedfromtimetotimebythe Securities ExchangeCommission. Section10.PriorCompliance.TheCityisincompliancewithallofitsprior undertakingspursuanttotheRule. AMBB/General ObligationandRefundingBonds,2012SeriesTwo Continuing Disclosure Certificate -Juneau 1:\Docs\37421729\Cont Disc-Juneau.Docx Page3 DATEDthis24thdayofMay 2012. AMBB/GeneralObligationandRefundingBonds,2012SeriesTwo Continuing Disclosure Certificate -Juneau 1:\Docs\37421729\Conl Dlsc,Juneau.Docx Page4 CONTINUING DISCLOSURE CERTIFICATE TheCityandBoroughofJuneau,Alaska(the"CityandBorough")executesand deliversthisContinuingDisclosureCertificate(the"DisclosureCertificate")in connectionwiththeissuanceof$21,190,000AlaskaMunicipalBondBankGeneral ObligationBonds,2012SeriesThree(the"Bonds'').TheBondsarebeingissuedunder theGeneralBondResolutionoftheIssuerentitled"AResolution creating And EstablishingAnIssue Of BondsOfTheAlaskaMunicipalBondBank;ProViding ForThe IssuanceFromTimeToTimeOfSaidBonds;ProvldinqForThePaymentOfPrincipal OfAndInterestOnSaidBonds;AndProvidingForTheRightsOfTheHoldersThereof," adoptedJuly13,2005,asamendedAugust19,2009(the"GeneralBondResolution"), andSeriesResolutionNo.2012-03,adoptedonJuly9,2012,asamended September26,2012(the"SeriesResolution,"andtogetherwiththeGeneralBond Resolution,the"Resolutions").TheCityandBoroughcovenantsandagreesasfollows: Section1.PurposeoftheDisclosureCertificate.TheCityandBoroughis executinganddeliveringthisDisclosureCertificateforthebenefitoftheBeneficial OwnersoftheBonds,andtoassisttheParticipatingUnderwriterincomplyingwith SecuritiesandExchangeCommission("SEC")Rule15c2-12(b)(5).TheCityand Boroughiscurrentlyan"ObligatedPerson"withinthemeaning of theRule. Section2.Definitions.Inadditiontothedefinitionssetforthinthe Resolutions,whichapplytoanycapitalizedtermusedinthisDisclosureCertificate unlessotherwisedefinedinthisSection,the follOWing capitalizedtermsshallhavethe followingmeanings: "AnnualReport"meansanyAnnualReportprovidedbytheCityandBorough pursuantto,andasdescribedin,Section3 ofthis DisclosureCertificate. "Cityand Borough"meanstheCityandBoroughofJuneau,Alaska. "FiscalYear"meansthefiscal year oftheCityandBorough(currentlythe12- monthperiodendingJune30)assuchfiscalyearmaybechangedfromtimetotimeas requiredbyStatelawandtheCityandBorough'sordinances. "Issuer"meanstheAlaskaMunicipalBondBank. "MSRB"meansthe Municipal SecuritiesRulernakinqBoard. "Participating Underwriter"meanstheoriginalpurchaseroftheBondsrequiredto complywiththeRulein connection withtheofferingoftheBonds. "Rule"meansRule 15c2-12(b)(5)adoptedbytheSECundertheSecurities ExchangeActof1934,as amended fromtimetotime. Page2 Section3.Provision of AnnualReportsandFinancialStatements. CommencingwithitsFiscalYearendingJune30,2013,andforsolongastheCityand Boroughhasoutstandingwiththe Issuer anamountofbondsequaltoor greater than 10percentofallbondsoutstandingundertheGeneralBondResolutionasofthelast dayofthefiscalyearoftheIssuer(currentlyJune30),theCityandBoroughwillprovide totheMSRB,inaformatas prescribed bytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual ReportfortheFiscalYear.The Annual Reportshallcontainorincorporatebyreference thefollowingannualfinancialinformationandoperatingdata:(i)annualfinancial statementsfortheCityandBorough,preparedinaccordancewithgenerallyaccepted accountingprinciplesapplicabletogovernmentalentities,assuchprinciplesmaybe changedfromtimetotimeand(ii)financialinformationgenerallyofthetypeincludedin Appendix DoftheOfficial Statement relatingtotheBonds. Anyoralloftheseitemsmaybeincorporatedbyspecificreferenceto documentsavailabletothepublicontheinternetwebsiteofMSRBorfiledwiththe SecuritiesandExchangeCommission.TheCityandBoroughshallclearlyidentifyeach suchotherdocumentso incorporated byreference.TheAnnualReportmaybe submittedasasingle document orasseparatedocumentscomprisingapackage, providedthatauditedfinancial statements oftheCityandBoroughmaybesubmitted separatelyfromtheremainder of the Annual Report. (b)Ifnotprovidedaspart of theAnnualReport,thenpromptlyupontheir publicrelease,theauditedfinancialstatementsoftheCityandBoroughforeachFiscal Year,preparedinaccordancewith generally acceptedaccountingprinciplesapplicable togovernmentalentities,assuch principles maybechangedfromtimetotime. Section4.NoticeofFailuretoProvideInformation.TheCityandBorough shallprovideina timely manner totheMSRBnoticeofanyfailuretosatisfythe requirementsofSection3ofthis Disclosure Certificate. Section5.TerminationofReportingObligation.TheCityandBorough's obligationsunderthis Disclosure Certificate shallterminateuponthelegaldefeasance, priorredemptionor payment infullofitsloanobligationwiththeIssuerandasotherwise describedinSection3ofthis Disclosure Certificate. Section6.Amendment;Waiver.Notwithstandinganyotherprovisionofthis DisclosureCertificate,theCityandBoroughmayamendthisDisclosureCertificate, providedthatthe amendment meetseachofthefollowingconditions: (a)Theamendmentis made inconnection with achangeincircumstances thatarisesfromachangeinlegal requirements,change inlaw,orchangeintheidentity, natureorstatusoftheCityand Borough; AMBB/General ObligationBonds,2012SeriesThree Continuing Disclosure Certificate -Juneau I:\Docs\374217311Conl Disc-Juneau.Docx Page 3 (b)ThisDisclosureCertificate,asamended,wouldhavecompliedwiththe requirementsoftheRuleasofthedatehereof,aftertakingintoaccountany amendmentsorinterpretationsoftheRule,aswellasanychangesincircumstances; and (c)TheCityandBoroughobtainsanopinionofnationallyrecognizedbond counseltothe effect thattheamendmentwillnotadverselyaffecttheIssuer's compliancewiththeRuleoritscontinuingdisclosureundertaking;and (d)TheCityandBoroughnotifiesandprovidestheIssuerandtheMSRBwith thecopiesoftheopinionsandamendments. Anysuchamendmentmaybeadopted without theconsent of anyBeneficial OwnerofanyoftheBonds,notwithstandinganyotherprovisionofthisDisclosure CertificateortheResolutions. ThefirstAnnualReportcontainingamendedoperatingdataorfinancial information pursuant toan amendment ofthisDisclosureCertificateshallexplain,in narrativeform,thereasonsforthe amendment andits effect onthetypeofoperating dataandfinancialinformationbeingprovided. Section 7.Default.In the event ofafailureoftheCityandBoroughtocomply withanyprovisionofthisDisclosureCertificate,anyBeneficialOwnermaytakesuch actions asmaybenecessaryandappropriate,includinganactiontocompelspecific performance,tocausetheCityandBoroughtocomplywithitsobligationsunderthis Disclosure Certificate.NofailuretocomplywithanyprovisionofthisDisclosure Certificate shallbedeemedanEventofDefaultundertheResolutionsortheBonds, andthesalelegalremedyunderthisDisclosureCertificateintheeventofanyfailureof theCityandBoroughtocomplywiththisDisclosureCertificateshalfbeanactionto compelspecificperformance. Section 8.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefit oftheCityandBorough,theIssuer,theTrustee,theParticipatingUnderwriter, andtheBeneficialOwnersfromtimetotimeoftheBonds,andshallcreatenorightsin anyotherpersonorentity. Section 9.FilingAlternative.Anyfiling required underthetermsofthis DisclosureCertificatemaybemadesolelybytransmittingsuchfilingtotheElectronic Municipal MarketAccessasprovidedat http://www.emma.msrb.org,orinsuchother manner asmaybepermittedfromtimetotimebytheSecuritiesExchangeCommission. Section 10.Prior Compliance.TheCityandBoroughisincompliancewithall of itspriorundertakings pursuant totheRule. AMSS/General ObligationSands,2012SeriesThree ContinUing Disclosure Certificate -Juneau 1:\DocsI374217311Conl Disc-Juneau.Docx DATED this18th day of October 2012. CITY AND BOROUGH OFJUNEAU,ALASKA VJ\\\.~ ROBERT BARTHOLOMEW Finance Director By:_.L-.....:.......__.....:......._ AMBB/General ObligationBonds,2012SeriesThree Continuing Disclosure Certificate -Juneau 1:\Oo051374217311Cont Disc-Juneau.Docx Page4 CONTINUING DISCLOSURE CERTIFICATE The Cityand Borough of Juneau,Alaska (the "City and Borough")executesand delivers this Continuing Disclosure Certificate (the "Disclosure Certificate")in connection withthe issuance of $96,045,000 Afaska Municipal BondBankGeneral Obligation and Refunding Bonds,2013 SeriesOne(the"Bonds").TheBondsarebeing issued under the General Bond Resolution ofthe Issuer entitled"AResolutionCreating And Establishing An Issue Of Bonds Of The Alaska Municipal BondBank;ProvidingFor The Issuance From Time To Time Of Said Bonds;Providing ForThePaymentOf Principal Of And Interest OnSaidBonds;And Providing ForTheRightsOfTheHolders Thereof,"adopted July 13,2005,asamended August 19,2009(the"GeneralBond Resolution"),and Series Resolution No.2013-01,adopted on January 28,2013(the "Series Resolution,"and together withthe General Bond Resolution,the"Resolutions"). TheCityand Borough onthedate hereof issued(i)$23,660,000 aggregate principal amount ofits Hospital Revenue RefundingBond.2013 (Bartlett RegionalHospital Project),and(ii)$2,600,000 aggregate principal amount ofits General ObligationBond, 2013.TheCityand Borough covenants and agrees asfollows: Section 1.Purpose of the Disclosure Certificate.TheCityandBoroughis executing and delivering this Disclosure Certificate for the benefit oftheBeneficial Owners of theBonds,andto assist the Participating Underwriter incomplyingwith Securities and Exchange Commission ("SEC")Rule 15c2-12(b)(5).TheCityand Borough is currently an "Obligated Person"within the meaning of theRule. Section 2.Definitions.In addition tothe definitions setforthinthe Resolutions,which apply to any capitalized termusedinthis Disclosure Certificate unless otherwise defined inthisSection,the following capitalized termsshallhavethe following meanings:. "Annual Report"means any Annual Report providedbytheCityandBorough pursuant to,andas described in,Section 3ofthis Disclosure Certificate. "City and Borough"means theCityand Borough of Juneau,Alaska. "Fiscal Year"means the fiscal year oftheCityandBorough(currentlythe12- month period ending June 30)assuch fiscal year may be changed fromtimetotimeas required byStatelawandtheCityand Borough's ordinances. "Issuer"means the Alaska Municipal BondBank. "MSRB"means the Municipal Securities Rulemaking Board. "Participating Underwriter"means theoriginal purchaser oftheBondsrequiredto comply withtheRulein connection withthe offering oftheBonds. "Rule"meansRule 15c2-12{b)(5)adoptedbytheSEC under theSecurities ExchangeActof1934,asamendedfromtimetotime. Section3.ProvisionofAnnualReportsandFinancialStatements. Commencing withitsFiscalYearendingJune 30,2014,andforsolongastheCityand Boroughhasoutstandingwiththe Issuer an amount ofbondsequaltoorgreaterthan 10percent of allbondsoutstanding under theGeneralBondResolutionasofthelast dayofthefiscalyear of the Issuer (currently June30),theCityandBoroughwillprovide totheMSRB,inaformatasprescribedbytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual Report fortheFiscalYear.TheAnnualReportshallcontainorincorporatebyreference thefollowingannualfinancialinformationandoperatingdata:(i)annualfinancial statements fortheCityandBorough,preparedinaccordancewithgenerallyaccepted accounting principlesapplicableto governmental entitles,assuchprinciplesmaybe changedfromtimetotimeand(ii)financialinformationgenerallyofthetypeincludedin Appendix DoftheOfficial Statement relatingtotheBonds. Anyorall of theseitemsmaybeincorporatedby specific referenceto documents availabletothepubliconthe internet websiteofMSRBorfiledwiththe Securities and Exchange Commission.The CityandBoroughshallclearlyidentify eachsuch other document so incorporated by reference.The Annual Reportmaybe submitted asasingle document or as separate documents comprisingapackage, provided that auditedfinancial statements of theCityandBoroughmaybesubmitted separately fromtheremainder of theAnnualReport. (b)Ifnotprovidedas part oftheAnnualReport,thenpromptlyupontheir public release,theauditedfinancial statements oftheCityandBoroughforeachFiscal Year,preparedinaccordancewith generally acceptedaccountingprinciplesapplicable to governmental entities,assuch principles maybechangedfromtimetotime. Section4.Notice of Failure toProvideInformation.TheCityandBorough shariprovideinatimely manner totheMSRBnoticeofanyfailuretosatisfythe requirements ofSection3ofthisDisclosureCertificate. Section5.Termination ofReportingObligation.TheCityandBorough's obligations under this Disclosure Certificate shall terminate uponthelegaldefeasance, priorredemptionor payment infull of itsloanobligationwiththeIssuerandasotherwise described inSection3ofthis Disclosure Certificate. Section6.Amendment;Waiver.Notwithstandinganyotherprovisionofthis DisclosureCertificate,theCityandBoroughmayamendthisDisclosureCertificate, providedthatthe amendment meetseachofthe follOWing conditions: AMBB/General Obligationand Refunding Bonds,2013SeriesOne Continuing Disclosure Certificate -Juneau (Hospital) I:\Oocs\37421733\Conl Disc-Juneau (2013).Oocx Page2 Page3 (a)The amendment ismadeinconnectionwithachangeincircumstances that arisesfromachangeinlegalrequirements,changeinlaw,orchangeintheidentity, natureorstatus of theCityandBorough; (b)ThisDisclosureCertificate,asamended,wouldhavecompliedwiththe requirementsoftheRuleas of thedatehereof,aftertakingintoaccountany amendmentsor interpretations of theRule,aswellasanychangesincircumstances; and (c)TheCityandBoroughobtainsanopinionofnationallyrecognizedbond counseltotheeffectthattheamendmentwillnotadverselyaffect the Issuer's compliancewiththeRuleoritscontinuingdisclosureundertaking;and (d)TheCityandBoroughnotifiesandprovidestheIssuerandtheMSRBwith thecopiesof the opinionsandamendments. Anysuch amendment maybeadoptedwithouttheconsent of anyBeneficial Owner ofany of theBonds,notwithstandinganyotherprovisionofthisDisclosure CertificateortheResolutions. ThefirstAnnualReportcontainingamendedoperatingdataorfinancial information pursuant toan amendment ofthisDisclosureCertificateshallexplain,in narrativeform,thereasonsforthe amendment anditseffectonthetypeofoperating dataandfinancialinformationbeingprovided. Section7.Default.IntheeventofafailureoftheCityandBoroughtocomply withanyprovisionofthisDisclosureCertificate,anyBeneficialOwnermaytakesuch actionsasmaybe necessary andappropriate,includinganactiontocompelspecific performance,tocausethe City andBoroughtocomplywithitsobligationsunderthis DisclosureCertificate.Nofailuretocomplywithanyprovision of thisDisclosure CertificateshallbedeemedanEvent of DefaultundertheResolutionsortheBonds, andthesalelegalremedyunderthisDisclosureCertificateintheeventofanyfailureof the CityandBoroughtocomplywiththisDisclosureCertificateshallbeanactionto compelspecificperformance. Section8.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefit oftheCityandBorough,theIssuer,theTrustee,theParticipatingUnderwriter, andtheBeneficialOwnersfromtimetotimeoftheBonds,andshallcreatenorightsin anyotherpersonorentity. Section9.Filing Alternative.Anyfilingrequiredunderthetermsofthis DisclosureCertificatemaybemade solely bytransmittingsuchfilingtotheElectronic MunicipalMarket Access asprovidedathttp://www.emma.msrb.org.orinsuchother manner asmaybepermittedfrom time totimebytheSecuritiesExchangeCommission. AMBS/General Obligation andRefundingBonds,2013SeriesOne Continuing Disclosure Certificate -Juneau (Hospital) 1:\Docs\37421733\Cont Disc-Juneau (2013).OoCX Section10.PriorCompliance.TheCityandBoroughisincompliancewithall ofitspriorundertakingspursuanttotheRule. DATEDthis12thdayofMarch2013. CITYANDBOROUGHOFJUNEAU,ALASKA Mt~ ROBERTN.BARTHOLOMEW FinanceDirector AMBS/General Obligationand Refunding Bonds,2013SeriesOne Continuing Disclosure Certificate -Juneau (Hospital) 1:\Docs\37421733\Cont Disc-Juneau (2013).Docx Page4 CONTINUING DISCLOSURE CERTIFICATE TheCityandBoroughofJuneau(the"CityandBorough")executesanddelivers thisContinuing Disclosure Certificate (the "Disclosure Certificate")inconnectionwith theissuanceof $72,045,000 AlaskaMunicipalBondBankGeneralObligationBonds, 2013 SeriesThree(the "Bonds").TheBondsarebeingissuedundertheGeneralBond Resolution ofthe Issuer entitled"AResolutionCreatingAndEstablishingAnIssue Of BondsOfTheAlaska Municipal BondBank;ProvidingForTheIssuanceFromTimeTo Time Of SaidBonds;Providing ForThePaymentOfPrincipalOfAndInterestOnSaid Bonds;AndProviding For TheRightsOfTheHoldersThereof,"adoptedJuly13,2005, asamended August 19,2009(the"GeneralBondResolution"),andamendedand restatedSeries Resolution No.2013-04 adoptedon October 10,2013(the"Series Resolution,"and together withtheGeneralBondResolution,the"Resolutions").The CityandBoroughonthedate hereof issued $7,345,000 aggregateprincipalamountof itsGeneralObligation School Bond,2013B.TheCityandBoroughcovenantsand agreesasfollows: Section1.Purpose oftheDisclosureCertificate.TheCityandBoroughis executing and delivering this Disclosure Certificate forthebenefitoftheBeneficial Owners oftheBonds,andto assist theParticipatingUnderwriterincomplyingwith Securities and Exchange Commission Rule 15c2-12(b)(5).TheCityandBoroughis currently an"Obligated Person"withinthemeaning of theRule. Section2.Definitions.In addition tothe definitions setforthintheResolutions, whichapplytoany capitalized termusedinthisDisclosureCertificateunlessotherwise defined inthisSection,the following capitalizedtermsshallhavethefollowinq meanings: "AnnualReport"means anyAnnualReportprovidedbytheCityandBorough pursuant to,andas described in,Section3ofthisDisclosureCertificate. "Cityand Borough"means theCityandBoroughofJuneau,Alaska. "FiscalYear"means thefiscalyearoftheCityandBorough(currentlythe12- month periodending June 30),assuchfiscalyearmaybechangedfromtimetotimeas requiredbyStatelawandtheCityandBorough'sordinances. "Issuer"meansthe Alaska Municipal BondBank. "MSRB"meansthe Municipal Securities RulemakingBoard. "Participating Underwriter"means anyoftheoriginalunderwritersoftheBonds requiredtocomplywiththeRulein connection withtheofferingoftheBonds. "Rule"meansRule 15c2-12(b)(5)adoptedbytheSecuritiesandExchange Commission underthe Securities Exchange Actof1934,asamendedfromtimetotime. Section3.ProvisionofAnnualReportsandFinancialStatements.Commencing withitsFiscalYearendingJune30,2014,and for solongastheCityandBoroughhas outstanding withtheIssueranamountofbondsequaltoor greater thantenpercent (10%)of allbondsoutstandingundertheGeneralBondResolutionasofthelastdayof the fiscalyearoftheIssuer (currently June30),theCityandBoroughwillprovidetothe MSRB,inaformatasprescribedbytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual Report fortheFiscalYear.TheAnnualReportshallcontainorincorporateby reference thefollowingannual information andoperatingdata:(i)annualfinancial statements fortheCityandBoroughpreparedin accordance withgenerally accepted accounting principles applicable to governmental entities,assuch principles maybechangedfromtimetotime,and(ii)financial information generally ofthetypeincludedin Appendix 0 oftheOfficial Statement relatingto theBonds. Anyoralloftheseitemsmaybeincorporatedby specific referenceto documents availabletothepublicontheinternetwebsite of MSRBorfiledwith theSecuritiesand Exchange Commission.TheCityandBoroughshallclearly identify eachsuchother document soincorporatedbyreference.TheAnnual Report maybe submitted asasingle document orasseparatedocuments comprising apackage,provided thatauditedfinancial statements oftheCityand Boroughmaybe submitted separately fromtheremainderoftheAnnualReport. (b)Ifnotprovidedas part oftheAnnualReport,thenpromptlyupontheir public release,theaudited financial statements oftheCityandBoroughforeach FiscalYear,preparedin accordance withgenerallyacceptedaccounting principles applicableto governmental entities,assuchprinciplesmaybe changedfromtimetotime. Section4.NoticeofFailuretoProvideInformation.TheCityandBoroughshall provide inatimely manner tothe MSRB noticeofanyfailureto satisfy therequirements of Section3 of thisDisclosure Certificate. Section5.Termination ofReportingObligation.TheCityandBorough's obligations underthis Disclosure Certificate shallterminateuponthelegaldefeasance, prior redemption or payment infullofallofitsloanobligationwiththeIssuerandas otherwise describedin Section 3ofthis Disclosure Certificate. Section6.Amendment;Waiver.Notwithstanding any other provisionofthis Disclosure Certificate,theCityandBoroughmayamendthisDisclosureCertificate, provided that the amendment meets eachofthe follOWing conditions: AMBB/General ObligationBonds,2013 Series Three Authority Continuing Disclosure Certificate 1:\DocsI37421735\Conl Disc-Juneau.Docx Page2 (a)The amendment ismadein connection withachangeincircumstances that arisesfromachangeinlegal requirements,changeinlaw,orchangeintheidentity, natureorstatusoftheCityandBorough; (b)ThisDisclosureCertificate,as amended,wouldhavecompliedwiththe requirements oftheRuleasofthedatehereof,aftertakingintoaccountany amendments or interpretations oftheRule,aswellasanychangesincircumstances; (c)TheCityandBoroughobtainsanopinionofanationallyrecognizedbond counseltothe effect thatthe amendment willnotadverselyaffecttheIssuer's compliance withtheRuleoritscontinuing disclosure undertaking;and (d)TheCityandBoroughnotifiesandprovidestheIssuerandtheMSRBwith copiesoftheopinionsandamendments. Anysuch amendment maybe adopted without theconsentofanyBeneficial Owner ofanyoftheBonds,notwithstanding anyotherprovisionofthisDisclosure Certificate ortheResolutions. Thefirst Annual Reportcontainingamendedoperatingdataorfinancial information pursuant toan amendment ofthisDisclosure Certificate shallexplain,in narrative form,thereasonsforthe amendment anditseffectonthetypeofoperating dataand financial information beingprovided. Section7.Filing Alternative.Anyfilingrequiredunderthetermsofthis Disclosure Certificate maybemade solely by transmitting suchfilingtotheElectronic Municipal Market Access asprovidedat http://www.emma.msrb.org,orinsuchother manner asmaybe permitted fromtimetotimebytheSecuritiesExchangeCommission. Section8.Default.Inthe event ofafailure of theCityandBoroughtocomply withanyprovisionofthisDisclosure Certificate,anyBeneficial Owner maytakesuch actions asmaybe necessary and appropriate,includinganactiontocompelspecific performance,tocausetheCityand Borough to comply withitsobligationsunderthis Disclosure Certificate.No failure to comply withanyprovisionofthisDisclosure Certificate shallbe deemed an Event of Default undertheResolutionsortheBonds, andthesolelegal remedy under this Disclosure Certificateintheeventofanyfailureof theCityandBoroughto comply withthis Disclosure Certificateshallbeanactionto compel specific performance. Section9.Beneficiaries.This Disclosure Certificateshallinuresolelytothe benefit oftheCityandBorough,theIssuer,theTrustee,theParticipatingUnderwriter AMBB/General ObligationBonds,2013SeriesThree Authority Continuing Disclosure Certificate 1:\Docs\37421735\Cont Disc-Juneau.Docx Page3 andtheBeneficialOwnersfromtimetotimeoftheBonds,andshallcreatenorightsin anyotherpersonorentity. Section10.PriorCompliance.TheCityandBoroughisin compliance withallof itsprior undertakings pursuant totheRule. DATEDthis14thdayofNovember2013. CITYANDBOROUGHOF JUNEAU,ALASKA By: AMBB/GeneralObligationBonds,2013SeriesThree Authority Continuing Disclosure Certificate 1:\Docs\37421735\Cont Disc-Juneau.Docx ~\~-- ROBERT N.~MEW FinanceDirector Page4 CONTINUING DISCLOSURE CERTIFICATE TheCityand Borough ofJuneau(the "City and Borough")executes anddelivers this Continuing Disclosure Certificate (the "Disclosure Certificate")inconnectionwith the issuance of $61,205,000 Alaska Municipal BondBankGeneralObligationBonds, 2014 Series One(the "Bonds"),consisting of $47,205,000 principal amount ofGeneral Obligation Bonds,2014A Series One (Tax-Exempt)and $14,000,000 principalamount of General Obligation 2014B Series One (Taxable).TheBondsarebeingissuedunder the General Bond Resolution of the Issuer entitled"A Resolution CreatingAnd Establishing AnIssueOfBondsOfTheAlaska Municipal BondBank;ProvidingForThe Issuance From Time To Time Of SaidBonds;Providing ForThe Payment OfPrincipal Of And Interest OnSaidBonds;AndProvidingForTheRightsOfThe Holders Thereof," adopted July 13,2005,as amended August 19,2009(the"GeneralBondResolution"), and Series Resolution No.2014-01 adopted on January 9,2014 (the"Series Resolution,"and together withthe General BondResolution,the "Resolutions").The City and Borough onthedate hereof issued $6,055,000 aggregate principalamountof itsPort Revenue Bond,2014A NON-AMT.TheCityandBoroughcovenantsand agrees asfollows: Section 1.Purpose of the Disclosure Certificate.TheCityandBoroughis executing and delivering this Disclosure Certificate forthe benefit oftheBeneficial Owners of the Bonds,andto assist the Participating Underwriter incomplyingwith Securities and Exchange Commission Rule 15c2-12(b)(5).TheCityandBoroughis currently an "Obligated Person"withinthe meaning of theRule. Section 2.Definitions.Inadditiontothe definitions setforthintheResolutions, which apply toany capitalized termusedinthisDisclosure Certificate unlessotherwise defined inthisSection,the following capitalized termsshallhavethefollowing meanings: "Annual Report"means any Annual ReportprovidedbytheCityandBorough pursuant to,andas described in,Section 3 of thisDisclosure Certificate. "Cityand Borough"means theCityandBoroughofJuneau,Alaska. "Fiscal Year"means thefiscal year oftheCityandBorough (currently the12- monthperiodending June 30),assuchfiscal year maybechangedfromtimetotimeas required by State lawandthe City and Borough's ordinances. "Issuer"means the Alaska Municipal BondBank. "MSRB"means the Municipal Securities Rulemaking Board. "Participating Underwriter"means anyoftheoriginal underwriters oftheBonds required to comply withtheRulein connection withtheofferingoftheBonds. "Rule"meansRule15c2-12{b){5)adoptedbythe Securities andExchange Commission underthe Securities Exchange Act of1934,asamendedfromtimetotime. Section3.Provision ofAnnualReportsandFinancial Statements.Commencing withitsFiscalYear ending June30,2014,and for solongastheCityandBoroughhas outstanding withthe Issuer anamountofbondsequaltoor greater thantenpercent (10%)ofallbonds outstanding undertheGeneralBondResolutionasofthelastdayof thefiscalyearofthe Issuer (currentlyJune30),theCityandBoroughwillprovidetothe MSRB,inaformatasprescribedbytheRule,thefollowing: (a)Not later than210daysaftertheendofeachFiscalYear,an AnnualReportfortheFiscalYear.TheAnnualReportshallcontainorincorporateby referencethe following annualinformationandoperatingdata:(i)annualfinancial statements fortheCityandBoroughpreparedin accordance with generally accepted accounting principles applicable to governmental entities,assuch principles maybe changedfromtimetotime,and(ii)financialinformation generally ofthetypeincludedin Appendix 0 ofthe Official Statement relatingtotheBonds. Any oralloftheseitemsmaybeincorporatedby specific reference todocuments available tothepubliconthe internet websiteofMSRBorfiledwiththe Securities and Exchange Commission.TheCityandBoroughshall clearly identifyeach such other document soincorporatedbyreference.TheAnnualReportmaybe submitted asasingle document orasseparatedocumentscomprisingapackage, provided thataudited financial statementsoftheCityandBoroughmaybesubmitted separately fromthe remainder oftheAnnualReport. (b)IfnotprovidedaspartoftheAnnualReport,then promptly upon their publicrelease,theauditedfinancial statements oftheCityandBoroughforeach FiscalYear,preparedin accordance with generally accepted accounting principles applicable to governmental entities,assuchprinciplesmaybechangedfromtimeto time. Section4.Filing Requirements.TheCityandBoroughagreesanyfilingrequired under thetermsofthis Certificate shallbewiththeMSRB,inaformatprescribedbythe Rule,andthatsuchfilingshallbemadeinconnectionwithCUSIPNos.01179P,011798 and01179R.Additional or alternate CUSIPnumber{s)maybeaddedfromtimetotime bywrittennoticefromtheIssuertotheCityandBorough,andtheCityandBorough agrees thatifitshall receive fromthe Issuer CUSIPnumber{s)inadditiontothoseset forthinthisSection4,itshallmakeitsfilingsusingboththeCUSIPnumbersherein stated and/or the additional CUSIPnumber(s),ifany. AMBB/General ObligationBonds,2014SeriesOne Authority Continuing Disclosure Certificate 1:\Docs\37421736\Cont Disc-Juneau.Docx Page2 Section5.Notice of Failure toProvide Information.TheCityandBoroughshall provide ina timely manner totheMSRBnotice of anyfailureto satisfy therequirements of Section 3 of this Disclosure Certificate. Section6.Termination of Reporting Obligation.TheCityandBorough's obligations underthis Disclosure Certificateshall terminate uponthelegaldefeasance, prior redemptionor payment infullofallofitsloan obligation withthe Issuer andas otherwise described in Section 3ofthis Disclosure Certificate. Section7.Amendment;Waiver.Notwithstanding any other provisionofthis Disclosure Certificate,theCityandBoroughmayamendthis Disclosure Certificate, provided thatthe amendment meetseachofthe follOWing conditions: (a)The amendment ismadein connection withachangein circumstances that arises fromachangeinlegal requirements,change inlaw,or change intheidentity,nature orstatusofthe City andBorough; (b)This Disclosure Certificate,asamended,wouldhavecompliedwith the requirements oftheRuleasofthedatehereof,aftertakinginto account any amendments or interpretations of theRule,aswellasany changes in circumstances; (c)The City andBoroughobtainsanopinionofa nationally recognized bondcounseltothe effect that the amendment willnot adversely affect theIssuer's compliance withtheRuleorits continuing disclosure undertaking;and (d)The City andBorough notifies andprovidestheIssuerandthe MSRBwithcopiesofthe opinions and amendments. Anysuch amendment maybeadoptedwithoutthe consent of anyBeneficial Owner ofany of the Bonds,notwithstanding any other provision of thisDisclosure Certificate orthe Resolutions. Thefirst Annual Report containing amended operating dataorfinancial information pursuant toan amendment ofthisDisclosure Certificate shallexplain,in narrative form,the reasons for the amendment anditseffectonthetypeofoperating data andfinancial information beingprovided. Section8.Filing Alternative.Anyfilingrequired under thetermsofthis Disclosure Certificate may bemadesolelyby transmitting suchfilingtotheElectronic Municipal Market Access as provided at http://www.emma.msrb.org,orinsuchother manner asmaybe permitted fromtimetotimebytheSecurities Exchange Commission. AMBB/General Obligation Bonds,2014 Series One Authority Continuing Disclosure Certificate 1:\Docs\37421736\Cont Disc-Juneau.Docx Page3 Section9.Default.IntheeventofafailureoftheCityandBoroughtocomply withanyprovisionofthis Disclosure Certificate,anyBeneficial Owner maytakesuch actionsasmaybe necessary andappropriate,includinganactiontocompelspecific performance,tocause the CityandBoroughto comply withits obligations underthis Disclosure Certificate.NofailuretocomplywithanyprovisionofthisDisclosure Certificate shallbe deemed anEventofDefault under the Resolutions ortheBonds, andthesolelegal remedy under thisDisclosureCertificateintheeventofanyfailureof theCityandBoroughto comply withthis Disclosure Certificateshallbeanactionto compelspecific performance. Section10.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefit oftheCityand Borough,theIssuer,theTrustee,the Participating Underwriter andtheBeneficial Owners fromtimetotimeoftheBonds,andshallcreatenorightsin any other person or entity. Section11.Prior Compliance.TheCityandBoroughisincompliancewithallof itsprior undertakings pursuant totheRule. DATEDthis20th day of February 2014. CITYANDBOROUGHOFJUNEAU,ALASKA By: AMBB/General Obligation Bonds,2014 SeriesOne Authority Continuing Disclosure Certificate 1:\Docs\37421736\Cont Disc-Juneau.Docx PJ~I~ ROBERTN.BARTHOLOMEW Finance Director Page4 CONTINUING DISCLOSURE CERTIFICATE TheCityandBoroughofJuneau,Alaska(the"CityandBorough")executesand deliversthisContinuingDisclosureCertificate(the"DisclosureCertificate")·in connectionwiththeissuanceof $59,550,000 AlaskaMunicipalBondBankGeneral ObligationandRefundingBonds,2015SeriesTwo(the"Bonds"),consistingof $34,220,000GeneralObligationandRefundingBonds,2015ASeriesTwo(Non-AMT) (the"2015ABonds")and $25,330,000 GeneralObligationBonds,2015BSeriesTwo (AMT)(the "2015B Bonds").TheBondsarebeingissuedundertheGeneralBond ResolutionoftheIssuerentitled"AResolutionCreatingAndEstablishingAnIssueOf BondsOfTheAlaskaMunicipalBondBank;ProvidingForTheIssuanceFromTimeTo TimeOfSaidBonds;ProvidingForThePaymentOfPrincipalOfAndInterestOnSaid Bonds;AndProvidingForTheRightsOfTheHoldersThereof,"adoptedJuly13,2005, asamended(the"GeneralBondResolution"),andtheSeriesResolutionNo.2015-03, adoptedonApril9,2015(the"SeriesResolution,"andtogetherwiththeGeneralBond Resolution,the"Resolutions").TheCitycovenantsandagreesasfollows: Section1.PurposeoftheDisclosureCertificate.TheCityandBoroughis executinganddeliveringthisDisclosureCertificateforthebenefitoftheBeneficial OwnersoftheBonds,andtoassisttheParticipatingUnderwriterin complying with SecuritiesandExchangeCommission("SEC")Rule15c2-12(b)(5).TheCityand Boroughiscurrentlyan"ObligatedPerson"withinthemeaningoftheRule. Section2.Definitions.Inadditiontothedefinitionssetforthinthe Resolutions,which applytoanycapitalizedtermusedinthisDisclosureCertificate unlessotherwisedefinedinthisSection,thefollowingcapitalizedtermsshallhavethe followingmeanings: "AnnualReport"meansanyAnnualReportprovidedbytheCityandBorough pursuantto,andasdescribedin,Section3ofthisDisclosureCertificate. "CityandBorough"meanstheCityandBoroughofJuneau,Alaska. "FiscalYear"meansthefiscalyearoftheCityandBorough(currentlythe12- monthperiodendingJune30)assuchfiscalyearmaybechangedfromtimetotimeas requiredbyStatelawandtheCityandBorough'sordinances. "Issuer"meanstheAlaskaMunicipalBondBank. "MSRB"meanstheMunicipalSecuritiesRulemakingBoard. "ParticipatingUnderwriter"meanstheoriginalunderwriteroftheBondsrequired tocomplywiththeRuleinconnectionwiththeofferingoftheBonds. "Rule"meansRule 15c2-12(b)(5)adoptedbytheSecuritiesandExchange Commission under theSecuritiesExchangeActof1934,asamendedfromtimetotime. Section3.ProvisionofAnnualReportsandFinancialStatements. CommencingwithitsFiscalYearendingJune30,2016,andforsolongastheCityand BoroughhasoutstandingwiththeIssueranamountofbondsequaltoorgreaterthan tenpercent(10%)ofallbondsoutstandingundertheGeneralBondResolutionasofthe lastdayofthefiscalyearoftheIssuer(currentlyJune30),theCityandBoroughwill providetotheMSRB,inaformatasprescribedbytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual ReportfortheFiscalYear.TheAnnualReportshallcontainorincorporatebyreference thefollowingannualfinancialinformationandoperatingdata:(i)annualfinancial statementsfortheCityandBorough,preparedinaccordancewithgenerallyaccepted accountingprinciplesapplicabletogovemmentalentities,assuchprinciplesmaybe changedfromtimetotimeand(ii)financialinformationgenerallyofthetypeincludedin AppendixDoftheOfficialStatementrelatingtotheBonds. Anyoralloftheseitemsmaybeincorporatedbyspecificreferenceto documentsavailabletothepublicontheintemetwebsiteofMSRBorfiledwiththe SecuritiesandExchangeCommission.TheCityandBoroughshallclearlyidentifyeach suchotherdocumentsoincorporatedbyreference.TheAnnualReportmaybe submittedasasingledocumentorasseparatedocumentscomprisingapackage, providedthatauditedfinancialstatementsoftheCityandBoroughmaybesubmitted separatelyfromtheremainderoftheAnnualReport. (b)IfnotprovidedaspartoftheAnnualReport,thenpromptlyupontheir publicrelease,theauditedfinancialstatementsoftheCityandBoroughforeachFiscal Year,preparedinaccordancewithgenerallyacceptedaccountingprinciplesapplicable togovernmentalentities,assuchprinciplesmaybechangedfromtimetotime. Section4.FilingRequirements.TheCityandBoroughagreesanyfiling requiredunderthetermsofthisCertificateshallbewiththeMSRB,inaformat prescribedbytheRule,andthatsuchfilingshallbemadeinconnectionwithCUSIP Nos.01179P,011798and01179R.AdditionaloralternateCUSIPnumber(s)maybe addedfromtimetotimebywrittennoticefromtheIssuertotheCityandBorough,and theCity and,BoroughagreesthatifitshallreceivefromtheIssuerCUSIPnumber(s)in additiontothosesetforthinthisSection4,itshallmakeitsfilingsusingboththeCUSIP numbershereinstatedandtheadditionalCUSIPnumber(s),ifany. Section5.NoticeofFailuretoProvideInformation.'The CityandBorough shallprovideinatimelymannertotheMSRBnoticeofanyfailuretosatisfythe requirementsofSection3ofthisDisclosureCertificate. Section6.TerminationofReportingObligation.TheCityandBorough's obligationsunderthisDisclosureCertificateshallterminateuponthelegaldefeasance, AMBB/GeneralObligationandRefundingBonds,2015SeriesTwo Continuing Disclosure Certificate -Juneau Page2 1:IDocs1374217401Cont Disc-Juneau.Docx priorredemptionorpaymentinfullofitsloanobligationwiththeIssuerandasotherwise describedinSection3ofthisDisclosureCertificate. Section7.Amendment;Waiver.Notwithstandinganyotherprovisionofthis DisclosureCertificate,theCityandBoroughmayamendthisDisclosureCertificate, providedthattheamendmentmeetseachofthefollowingconditions: (a)Theamendmentismadeinconnectionwithachangeincircumstances thatarisesfromachangeinlegalrequirements,changeinlaw,orchangeintheidentity, natureorstatusoftheCityandBorough; (b)ThisDisclosureCertificate,asamended,wouldhavecompliedwiththe requirementsoftheRuleasofthedatehereof,aftertakingintoaccountany amendmentsorinterpretationsoftheRule,aswellasanychangesin circumstances; and (c)TheCityandBoroughobtainsanopinionofnationallyrecognizedbond counseltotheeffectthattheamendmentwillnotadverselyaffecttheIssuer's compliancewiththeRuleoritscontinuingdisclosureundertaking;and (d)TheCityandBoroughnotifiesandprovidestheIssuerandtheMSRBwith thecopiesoftheopinionsandamendments. AnysuchamendmentmaybeadoptedwithouttheconsentofanyBeneficial OwnerofanyoftheBonds,notwithstandinganyotherprovisionofthisDisclosure CertificateortheResolutions. ThefirstAnnualReportcontainingamendedoperatingdataorfinancial informationpursuanttoanamendmentofthisDisclosureCertificateshallexplain,in narrativeform,thereasonsfortheamendmentanditseffectonthetypeofoperating dataandfinancialinformationbeingprovided. Section8.Default.IntheeventofafailureoftheCityandBoroughtocomply withanyprovisionofthisDisclosureCertificate,anyBeneficialOwnermaytakesuch actionsasmaybenecessaryandappropriate,includinganactiontocompelspecific performance,tocausetheCityandBoroughtocomplywithitsobligationsunderthis Disclosure Certificate.NofailuretocomplywithanyprovisionofthisDisclosure CertificateshallbedeemedanEventofDefaultundertheResolutionsortheBonds, andthesolelegalremedyunderthisDisclosureCertificateintheeventofanyfailureof theCityandBoroughtocomplywiththisDisclosureCertificateshallbeanactionto compelspecificperformance. Section9.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefitoftheCityandBorough,theIssuer,theTrustee,theParticipating Underwriter, AMBB/GeneralObligationandRefundingBonds,2015SeriesTwo Continuing Disclosure Certificate -Juneau Page3 1:\Docs\374217401Cont Disc-Juneau.Docx andtheBeneficialOwnersfromtimetotimeoftheBonds,andshallcreatenorightsin anyotherpersonorentity. Section10.FilingAlternative.Anyfilingrequiredunderthetermsofthis DisclosureCertificatemaybemadesolelybytransmittingsuchfilingtotheElectronic MunicipalMarketAccessasprovidedathttp://www.emma.msrb.org,orinsuchother mannerasmaybepermittedfromtimetotimebytheSecuritiesExchangeCommission. Section11.PriorCompliance.TheCityandBoroughisinComplianceinall materialrespectswithitspriorundertakingspursuanttotheRule,ifany. DATEDthis4thdayofJune2015. CITYANDBOROUGHJUNEAU,ALASKA BY:~~~~'---__ ROBERTN.BARTHOLOMEW FinanceDirector AMSS/GeneralObligationandRefundingBonds,2015SeriesTwo Continuing Disclosure Certificate -Juneau Page4 1:\Docs\37421740\Cont Disc-Juneau.ooex CONTINUING DISCLOSURE CERTIFICATE TheKodiakIslandBorough(the "Borough")executesanddeliversthis Continuing Disclosure Certificate (the "Disclosure Certificate")inconnectionwiththe issuance of $61,205,000 Alaska Municipal BondBankGeneralObligationBonds,2014 Series One(the"Bonds"),consisting of $47,205,000 principalamountofGeneral Obligation Bonds,2014A SeriesOne (Tax-Exempt)and$14,000,000principalamount of General Obligation 2014BSeriesOne(Taxable).TheBondsarebeingissuedunder the General Bond Resolution of theIssuerentitled"AResolutionCreatingAnd Establishing AnIssueOfBondsOfTheAlaska Municipal BondBank;ProvidingForThe Issuance FromTimeToTimeOfSaidBonds;ProvidingForThePaymentOfPrincipal OfAnd Interest OnSaidBonds;AndProvidingForTheRightsOfTheHoldersThereof," adopted July13,2005,as amended August 19,2009(the"GeneralBondResolution"), andSeriesResolutionNo.2014-01adoptedon January 9,2014(the"Series Resolution,"and together withtheGeneralBondResolution,the"Resolutions").The Borough onthe date hereof issued $22,660,000 aggregate principalamountofits General Obligation SchoolBond,2014.TheBoroughcovenantsandagreesasfollows: Section 1.Purpose ofthe Disclosure Certificate.TheBoroughisexecutingand delivering this Disclosure Certificate forthe benefit oftheBeneficialOwnersofthe Bonds,andto assist the Participating Underwriter incomplyingwithSecuritiesand Exchange Commission Rule 15c2-12(b)(5).TheBoroughiscurrentlyan"Obligated Person"withinthemeaningoftheRule. Section2.Definitions.In addition tothe definitions setforthintheResolutions, whichapplytoany capitalized termusedinthisDisclosureCertificateunlessotherwise defined inthisSection,the following capitalizedtermsshallhavethefollowing meanings: "AnnualReport"meansany Annual ReportprovidedbytheBorough pursuant to, andas described in,Section 3ofthisDisclosureCertificate. "Borough"means the Kodiak IslandBorough,Alaska. "FiscalYear"means thefiscal year oftheBorough(currentlythe12-monthperiod ending June30),assuchfiscal year maybechangedfromtimetotimeasrequiredby State lawandthe Borough's ordinances. "Issuer"means the Alaska Municipal BondBank. "MSRB"means the Municipal Securities RulemakingBoard. "Participating Underwriter"means anyoftheoriginalunderwritersoftheBonds requiredtocomplywiththeRulein connection withtheofferingoftheBonds. "Rule"meansRule 15c2-12(b)(5)adopted bytheSecuritiesandExchange Commission underthe Securities Exchange Act of1934,asamendedfromtimetotime. Section 3.ProvisionofAnnualReportsandFinancialStatements.Commencing withitsFiscalYearendingJune30,2014,andforsolongastheBoroughhas outstanding withthe Issuer an amount of bonds equaltoor greater thantenpercent (10%)ofallbonds outstanding undertheGeneralBondResolutionasofthelastdayof thefiscal year of the Issuer (currently June30),theBoroughwillprovidetotheMSRB, ina format asprescribedbytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,an AnnualReportfortheFiscalYear.The Annual Reportshallcontainorincorporateby reference thefollowingannual information andoperatingdata:(i)annualfinancial statements fortheBoroughpreparedin accordance withgenerallyacceptedaccounting principles applicable to governmental entities,assuchprinciplesmaybechangedfrom timetotime,and(ii)financial information generally of thetypeincludedinAppendixDof theOfficial Statement relatingtotheBonds. Anyorall of theseitems may beincorporatedbyspecificreference to documents availabletothepubliconthe internet websiteofMSRBorfiledwiththe Securities and Exchange Commission.TheBoroughshallclearlyidentifyeachsuch other document so incorporated byreference.TheAnnualReportmaybesubmittedas asingle document oras separate documents comprisingapackage,providedthat auditedfinancial statements oftheBoroughmaybesubmittedseparatelyfromthe remainder of theAnnualReport. (b)If not providedaspartoftheAnnualReport,thenpromptlyupon their publicrelease,theaudited financial statements oftheBoroughforeachFiscal Year,preparedin accordance with generally accepted accountingprinciplesapplicable to governmental entities,assuch principles may bechangedfromtimetotime. Section4.Filing Requirements.TheBoroughagreesanyfilingrequiredunder theterms of this Certificate shallbewiththeMSRB,inaformatprescribedbytheRule, andthatsuchfilingshallbemadein connection withCUSIPNos.01179P,011798and 01179R.Additional or alternate CUSIP number(s)maybeaddedfromtimetotimeby written noticefromthe Issuer totheBorough,andtheBoroughagreesthatifitshall receivefromthe Issuer CUSIP number(s)inadditiontothosesetforthinthisSection4, itshallmakeitsfilingsusingboththeCUSIPnumbershereinstatedand/orthe additional CUSIP number(s),ifany. Section5.Notice of FailuretoProvideInformation.TheBoroughshallprovidein a timely manner totheMSRBnoticeofanyfailuretosatisfytherequirementsof Section 3ofthis Disclosure Certificate. AMBB/General ObligationBonds,2014 Series One Authority Continuing Disclosure Certificate 1:\Docs\37421736\Cont Disc-Kodiak.Docx Page2 Section 6.Termination of Reporting Obligation.The Borough's obligations under this Disclosure Certificate shall terminate uponthelegal defeasance,prior redemption or payment infull of all of itsloan obligation withthe Issuer andas otherwise described in Section 3ofthis Disclosure Certificate. Section 7.Amendment;Waiver.Notwithstanding any other provision ofthis Disclosure Certificate,the Borough may amend this Disclosure Certificate,provided that the amendment meets eachofthe following conditions: (a)The amendment is made in connection witha change in circumstances that arises froma change inlegal requirements,change inlaw,or change inthe identity,nature or status of the Borough; (b)This Disclosure Certificate,as amended,would have complied with the requirements of theRuleasofthe date hereof,after takinginto account any amendments or interpretations of theRule,as well asany changes in circumstances; (c)The Borough obtains an opinion ofa nationally recognized bond counsel tothe effect that the amendment will not adversely affecttheIssuer's compliance withtheRuleorits continuing disclosure undertaking;and (d)The Borough notifies and provides the Issuer andtheMSRBwith copies of the opinions and amendments. Any such amendment may be adopted without the consent of any Beneficial Owner of any of the Bonds,notwithstanding any other provision ofthis Disclosure Certificate orthe Resolutions. The first Annual Report containing amended operating data or financial information pursuant toan amendment ofthis Disclosure Certificate shallexplain,in narrative form,the reasons for the amendment andits effect onthetypeof operating data and financial information being provided. Section 8.Filing Alternative.Any filing required under the terms of this Disclosure Certificate may be made solely by transmitting suchfilingtothe Electronic Municipal Market Access as provided at http://www.emma.msrb.org,orinsuch other manner as may be permitted from time to time bythe Securities Exchange Commission. Section 9.Default.Inthe event of a failure of the Borough to comply withany provision of this Disclosure Certificate,any Beneficial Owner maytakesuch actions as may be necessary and appropriate,including anactiontocompel specific performance, to cause the Borough to comply withits obligations under this Disclosure Certificate.No AMBB/General ObligationBonds,2014SeriesOne Authority Continuing Disclosure Certificate 1:\Docs\37421736\Cont Disc-KodiakDocx Page3 failuretocomplywithanyprovisionofthis Disclosure Certificateshallbedeemedan Event of Default under theResolutionsortheBonds,andthesolelegalremedyunder this Disclosure Certificate intheeventofany failure oftheBoroughtocomplywiththis Disclosure Certificate shallbeanactiontocompel specific performance. Section10.Beneficiaries.ThisDisclosure Certificate shallinuresolelytothe benefit oftheBorough,theIssuer,theTrustee,theParticipatingUnderwriterandthe Beneficial OwnersfromtimetotimeoftheBonds,andshallcreatenorightsinanyother personorentity. Section11.PriorCompliance.TheBoroughisin compliance withallofitsprior undertakings pursuant totheRule. DATEDthis20thdayofFebruary2014. KODIAK ISLANDBOROUGH,ALASKA By: AMBB/General Obligation Bonds,2014SeriesOne Authority Continuing Disclosure Certificate 1:\Docs\37421736\Cont Disc-Kodlak.Docx ;f~ih: KARLETON S7H:-:=O'-=R-=T:------- FinanceDirector Page4 CONTINUING DISCLOSURE CERTIFICATE TheCityofKetchikan,Alaska(the"City")executesanddeliversthisContinuing DisclosureCertificate(the"DisclosureCertificate")inconnectionwiththeissuanceof $45,275,000AlaskaMunicipalBondBankGeneralObligationBonds,2014SeriesTwo (the"Bonds").TheBondsarebeingissuedundertheGeneralBondResolutionofthe Issuerentitled"AResolutionCreatingAndEstablishingAnIssueOfBondsOfThe AlaskaMunicipalBondBank;ProvidingForTheIssuanceFromTimeToTimeOfSaid Bonds;ProvidingForThePayment Of Principal Of AndInterestOnSaidBonds;And ProvidingForTheRights Of TheHoldersThereof,"adoptedJuly13,2005,asamended August 19,2009(the"GeneralBondResolution"),andtheSeriesResolutionNo.2014- 02,adoptedonMay7,2014(the"SeriesResolution,"andtogetherwiththeGeneral BondResolution,the"Resolutions").TheCitycovenantsandagreesasfollows: Section1.PurposeoftheDisclosureCertificate.TheCityisexecutingand deliveringthisDisclosureCertificateforthebenefitoftheBeneficialOwnersofthe Bonds,andtoassisttheParticipatingPurchaserincomplyingwithSecuritiesand ExchangeCommission("SEC")Rule15c2-12(b)(5).TheCityiscurrentlyan"Obligated Person"withinthemeaningoftheRule. Section2.Definitions.Inadditiontothedefinitionssetforthinthe Resolutions,whichapplytoanycapitalizedtermusedinthisDisclosureCertificate unlessotherwisedefinedinthisSection,thefollowingcapitalizedtermsshallhavethe followingmeanings: "AnnualReport"meansanyAnnualReportprovidedbytheCitypursuantto,and asdescribedin,Section3ofthisDisclosureCertificate. "City"meanstheCityofKetchikan,Alaska. "FiscalYear"meansthefiscalyearoftheCity(currentlythe12-monthperiod endingDecember31)assuchfiscalyearmaybechangedfromtimetotimeasrequired byStatelawandtheCity'sordinances. "Issuer"meanstheAlaskaMunicipalBondBank. "MSRB"meanstheMunicipalSecuritiesRulemakingBoard. "ParticipatingPurchaser"meanstheoriginalpurchaseroftheBondsrequiredto complywiththeRuleinconnectionwiththeofferingoftheBonds. "Rule"meansRule15c2-12(b)(5)adoptedbytheSecuritiesandExchange CommissionundertheSecuritiesExchangeActof1934,asamendedfromtimetotime. Section3.ProvisionofAnnualReportsandFinancialStatements. CommencingwithitsFiscalYearendingDecember31,2014,andforsolongasthe CityhasoutstandingwiththeIssueranamountofbondsequaltoorgreaterthanten percent(10%)ofallbondsoutstandingundertheGeneralBondResolutionasofthe lastdayofthefiscalyearoftheIssuer(currentlyJune30),theCitywillprovidetothe MSRB,inaformatasprescribedbytheRule,thefollowing: (a)Notlaterthan210daysaftertheendofeachFiscalYear,anAnnual ReportfortheFiscalYear.TheAnnualReportshallcontainorincorporatebyreference thefollowingannualfinancialinformationandoperatingdata:(i)annualfinancial statementsfortheCity,preparedinaccordancewithgenerallyacceptedaccounting principlesapplicabletogovernmentalentities,assuchprinciplesmaybechangedfrom timetotimeand(ii)financialinformationgenerallyofthetypeincludedinAppendixDof theOfficialStatementrelatingtotheBonds. Anyoralloftheseitemsmaybeincorporatedbyspecificreferenceto documentsavailabletothepublicontheinternetwebsiteofMSRBorfiledwiththe SecuritiesandExchangeCommission.TheCityshallclearlyidentifyeachsuchother documentsoincorporatedbyreference.TheAnnualReportmaybesubmittedasa singledocumentorasseparatedocumentscomprisingapackage,providedthat auditedfinancialstatementsoftheCitymaybesubmittedseparatelyfromtheremainder oftheAnnualReport. (b)IfnotprovidedaspartoftheAnnualReport,thenpromptlyupontheir publicrelease,theauditedfinancialstatementsoftheCityforeachFiscalYear, preparedinaccordancewithgenerallyacceptedaccountingprinciplesapplicableto governmentalentities,assuchprinciplesmaybechangedfromtimetotime. Section4.FilingRequirements.TheCityagreesanyfilingrequiredunderthe termsofthisCertificateshallbewiththeMSRB,inaformatprescribedbytheRule,and thatsuchfilingshallbemadeinconnectionwithCUSIPNos.01179P,011798and 01179R.AdditionaloralternateCUSIPnumber(s)maybeaddedfromtimetotimeby writtennoticefromtheIssuertotheCity,andtheCityagreesthatifitshallreceivefrom theIssuerCUSIPnumber(s)inadditiontothosesetforthinthisSection4,itshallmake itsfilingsusingboththeCUSIPnumbershereinstatedand/ortheadditionalCUSIP number(s),ifany. Section5.NoticeofFailuretoProvideInformation.TheCityshallprovideina timelymannertotheMSRBnoticeofanyfailuretosatisfytherequirementsofSection3 ofthisDisclosureCertificate. Section6.TerminationofReportingObligation.TheCity'sobligationsunder thisDisclosureCertificateshallterminateuponthelegaldefeasance,priorredemption AMBB/General ObligationBonds,2014SeriesTwo Continuing Disclosure Certificate -Ketchikan 1:\Docs\37421737\Conl Disc -Kelchikan.Docx Page2 orpaymentinfullofitsloanobligationwiththeIssuerandasotherwisedescribedin Section3ofthisDisclosureCertificate. Section7.Amendment;Waiver.Notwithstandinganyotherprovisionofthis DisclosureCertificate,theCitymayamendthisDisclosureCertificate,providedthatthe amendmentmeetseachofthefollowingconditions: (a)Theamendmentismadeinconnectionwithachangeincircumstances thatarisesfromachangeinlegalrequirements,changeinlaw,orchangeintheidentity, natureorstatusoftheCity; (b)ThisDisclosureCertificate,asamended,wouldhavecompliedwiththe requirementsoftheRuleasofthedatehereof,aftertakingintoaccountany amendmentsorinterpretationsoftheRule,aswellasanychangesincircumstances; and (c)TheCityobtainsanopinionofnationallyrecognizedbondcounseltothe effectthattheamendmentwillnotadverselyaffecttheIssuer'scompliancewiththeRule oritscontinuingdisclosureundertaking;and (d)TheCitynotifiesandprovidestheIssuerandtheMSRBwiththecopiesof theopinionsandamendments. AnysuchamendmentmaybeadoptedwithouttheconsentofanyBeneficial OwnerofanyoftheBonds,notwithstandinganyotherprovisionofthisDisclosure CertificateortheResolutions. ThefirstAnnualReportcontainingamendedoperatingdataorfinancial informationpursuanttoan amendment ofthisDisclosureCertificateshallexplain,in narrativeform,thereasonsfortheamendmentanditseffectonthetypeofoperating dataandfinancialinformationbeing provided, Section8.Default.IntheeventofafailureoftheCitytocomplywithany provisionofthisDisclosureCertificate,anyBeneficialOwnermaytakesuchactionsas maybenecessaryandappropriate,includinganactiontocompelspecificperformance, tocausetheCitytocomplywithitsobligationsunderthisDisclosureCertificate.No failuretocomplywithanyprovisionofthisDisclosureCertificateshallbedeemedan EventofDefaultundertheResolutionsortheBonds,andthesolelegalremedyunder thisDisclosureCertificateintheeventofanyfailureoftheCitytocomplywiththis DisclosureCertificateshallbeanactiontocompelspecificperformance. Section9.Beneficiaries.ThisDisclosureCertificateshallinuresolelytothe benefitoftheCity,theIssuer,theTrustee,theParticipatingPurchaser,andthe AMBB/General ObligationBonds,2014SeriesTwo Continuing Disclosure Certificate -Ketchikan 1:\Docs\37421737\Conl Disc -Kelchikan.Docx Page3 BeneficialOwnersfromtimetotimeoftheBonds,andshallcreatenorightsinanyother personorentity. Section10.FilingAlternative.Anyfilingrequiredunderthetermsofthis DisclosureCertificatemaybemadesolelybytransmittingsuchfilingtotheElectronic MunicipalMarketAccessasprovidedathttp://www.emma.msrb.org,orinsuchother manner asmaybepermittedfromtimetotimebytheSecuritiesExchangeCommission. DATEDthis19thdayofJune2014. :~TIa?;;l~. ROBERTE.NEWELL,JR., FinanceDirector AMBB/General ObligationBonds,2014SeriesTwo Continuing Disclosure Certificate -Ketchikan 1:\Docs\37421737\Cont Disc -Ketchikan.Docx Page4 FEDERAL TAX CERTIFICATE $96,210,000AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree I,DEVENJ.MITCHELL,ExecutiveDirectoroftheAlaskaMunicipalBondBank (the"Issuer"),herebystatethat,asofthedatehereof,theIssuerreasonablyexpects thefollowingregardingtheamountanduseofthegrossproceedsoftheAlaska MunicipalBondBankGeneralObligationBonds,2015SeriesThree(the"2015Bonds"). I.PreliminaryMatters 1.PurposeofCertificate.Thiscertificateisprovidedpursuantto Section1.148-2(b)(2)oftheTreasuryRegulations(the"Regulations")for purposesofdemonstratingthetax-exemptstatusofthe2015Bondsunderthe relevantprovisionsoftheRegulationsandtheInternalRevenueCodeof1986, asamended(togetherwiththeRegulations,the"Code")andtoestablishthe factsandcircumstancesthatformthebasisfortheIssuer's expectations thatthe 2015Bondsarenot"arbitragebonds"withinthemeaningofCode. 2.OfficerofIssuer.IamanofficeroftheIssuerresponsiblefor issuingthe2015Bonds,assuch,IamfamiliarwiththefactshereincertifiedandI amdulyauthorizedtoexecuteanddeliverthisCertificateon behalf oftheIssuer. Tothebestofmyknowledge,informationandbelief,theexpectationsstated hereinarereasonable. 3.Definitions.Allcapitalizedtermsnototherwisedefinedhereinshall havethemeaningsprovidedintheresolutionoftheIssuerentitled,"AResolution CreatingandEstablishingAnIssueOfBondsOfTheAlaskaMunicipalBond Bank;ProvidingForTheIssuanceFromTimeToTimeOfSaidBonds;Providing ForThePaymentOfPrincipalOfAndInterestOnSaidBonds;AndProvidingFor TheRightsOfTheHoldersThereof,"adoptedJuly13,2005,asamended(the "GeneralResolution")andSeriesResolutionNo.2015-04(S)adoptedon August11,2015(the"SeriesResolution,"and together withtheGeneral Resolution,the"Resolutions").Anyothertermsshallhavethemeanings ascribedtotheminSections103and141through150oftheCode. II.AuthorizationandGovernmentalPurposeoftheIssue 1.AuthorizationandPurpose.The2015Bondsareauthorizedbythe Resolutions,andpursuanttothelawsoftheStateofAlaska,andarebeing issuedforthefollowingpurposes: AMBBIGeneral ObligationBonds,2015SeriesThree FederalTax Certificate I:\Docs\37421742\FederalTaxCertificate.Docx Page1 (a)tomakealoantotheUniversityofAlaska("University") pursuanttoaLoan Agreement datedasof September 1,2015(the "UniversityLoanAgreement")betweentheIssuerandUniversity.The Universityhasagreedandrepresentedthatitwillusesuchproceedsto financecapitalcostsincurredinconnectionwithitsnewCombinedHeat andPowerPlantandtopaycostsofissuanceofitsGeneralRevenue Bonds,2015SeriesU(the"UniversityBond").Asevidenceoftheloan, theUniversitywillissueitsUniversityBondandtheIssuerwillbethe registeredownerthereof. (b)tomakealoantotheCityofKingCove,Alaska("King Cove")pursuanttoaLoan Agreement datedasof September 1,2015(the "KingCoveLoanAgreement")betweentheIssuerandKingCove.King Covehasrepresentedthatitwillusesuchproceedstofinancecapital costsofahydroelectricfacilityandtopaycostsofissuanceofitsElectric UtilityRevenueBond,2015(the"KingCoveBond").Asevidenceofthe loan,KingCovewillissueitsKingCoveBondandtheIssuerwillbethe registeredownerthereof. (c)tomakealoantoHainesBorough,Alaska("Haines") pursuanttoaLoan Agreement datedasof September 1,2015(the "HainesLoanAgreement")betweentheIssuerandHaines.Haineshas representedthatitwillusesuchproceedstofinancecostsofeducational capitalimprovementsandtopaycostsofissuanceofitsGeneral ObligationBond,2015(the"HainesBond").Asevidenceoftheloan, HaineswillissueitsHainesBondandtheIssuerwillbetheregistered ownerthereof. (d)tomaketwoloanstoKodiakIslandBorough,Alaska ("Kodiak")pursuanttoaLoan Agreement datedasof September 1,2015 (the"KodiakLoanAgreement")betweentheIssuerandKodiak.Kodiak hasrepresentedthatitwillusesuchproceedstofinancecostsof educationalcapitalimprovementsandtopaycostsofissuanceofits GeneralObligationSchoolBond,2015SeriesAandGeneralObligation SchoolBond,2015SeriesB(together,the"KodiakBond").Asevidence oftheloan,KodiakwillissueitsKodiakBondandtheIssuerwillbethe registeredownerthereof. 2.General.Asofthedatehereof,theIssuerreasonablyexpectsthat the2015Bondswillnotmeeteithertheprivatebusinesstestsortheprivateloan financingtestasdescribedinSection1.141oftheRegulations. AMBB/General ObligationBonds,2015SeriesThree FederalTax Certificate 1:\Docs\37421742\Federal Tax Certificate.Docx Page2 3.TaxCovenant.TheIssuerhascovenantedintheGeneral Resolution, atSection919,thatitshallnotknowinglytakeorcauseanyactiontobetakenthat wouldcauseinterestonthe2015Bondstobecometaxableforfederalincometax purposes.TheIssuerrecognizesthat,infulfillmentoftheforegoingcovenant,it maynot,andherebyrepresentsthatitwillnot,takeanydeliberateaction subsequent tothedatehereofthatwillcausetheconditionsofeithertheprivate businesstestsortheloanfinancingtesttobemetwithregardtothe2015Bonds. 4.NoOverissuance.Thetotalamountoftheproceedsofthe2015 Bondswillnotexceedthetotalamountnecessaryforthegovernmentalpurposes oftheissue. III.SourcesandUsesofSaleProceedsofthe2015Bonds 1.SaleProceeds.Thetotalamountofsaleproceedsofthe2015 Bondsis$104,418,651.10(the"SaleProceeds").TheSaleProceedsreflectthe $96,210,000.00principalamountofthe2015Bonds,plus$8,208,651.10ofnet originalissuepremium.Thereisnodirectmonetarybenefit,suchasarebateof bondinsurancepremium,suretybondpremiumorletterofcreditfee,being receivedbytheIssuerinconnectionwiththeissuanceofthe2015Bonds. 2.AllocationofSaleProceeds.The2015SaleProceedswillbe allocatedasfollows: (a)$92,600,178.30willbeallocatedtoUniversitypursuantto thetermsoftheUniversityLoan Agreement inexchangefortheUniversity Bondonthedatehereof; (b)$1,094,324.52willbeallocatedtoKingCovepursuanttothe termsoftheKingCoveLoan Agreement inexchangefortheKingCove Bondonthedatehereof; (c)$1,305,028.90willbeallocatedtoHainespursuanttothe termsoftheHainesLoan Agreement inexchangefortheHainesBondon thedatehereof; (d)$9,037,609.41willbeallocatedtoKodiakpursuanttothe termsoftheKodiakLoan Agreement inexchangefortheKodiakBondon thedatehereof; (e)$342,521.48willbeallocatedtotheIssuer'scostsof issuanceassociatedwiththe2015Bonds,includingunderwriter's discount;and AMBB/General ObligationBonds,2015SeriesThree Federal Tax Certificate 1:\Docs\37421742\Federal Tax Certificate.Docx Page3 (f)$38,988.49willbeallocatedtopaymentofthedebtservice reservesuretybondpremium. 3.Pre-IssuanceAccruedInterest.TheIssuerwillnotreceiveaccrued interestonthe2015Bonds;the2015Bondsaredatedthedateofclosing. IV.ReplacementProceeds 1.2015BondsnotOutstandingLongerthanNecessary. TheUniversity,aGovernmentalUnit,willreceiveonthedate hereof,2015Bondproceedsintheamountof$92,600,178.30(consistingofthe loanamountof$86,085,000.00,plus$6,864,206.05ofnetoriginalissue premium,less$310,039.26forunderwriter'sdiscountand$38,988.49fordebt servicereservesuretybondpremium)whichamountwillbeusedasdescribed hereinat 11.1.(a).TheUniversityhascertifiedthatthetermoftheUniversityBond usedtofinancethisloanwillnotbeoutstandingforaperiodlongerthan120%of theaveragereasonablyexpectedeconomiclifeofthegovernmentalpurpose capitalprojectsfinancedbytheUniversity. KingCove,aGovernmentalUnit,willreceiveonthedatehereof, 2015Bondproceedsintheamountof$1,094,324.52(consistingoftheloan amountof$980,000.00,plus$117,819.85oforiginalissuepremium,less $3,495.33forunderwriter'sdiscount)whichamountwillbeusedasdescribed hereinat 11.1.(b).KingCovehascertifiedthatthetermoftheKingCoveBond usedtofinancethisloanwillnotbeoutstandingforaperiodlongerthan120%of theaveragereasonablyexpectedeconomiclifeofthe governmental purpose capitalimprovementsfinancedbyKingCove. Haines,aGovernmentalUnit,willreceiveonthedatehereof,2015 Bondproceedsintheamountof$1,305,028.90(consistingoftheloanamountof $1,155,000.00,plus$153,807.20oforiginalissuepremium,less$3,778.30for underwriter'sdiscount)whichamountwillbeusedasdescribedhereinat 11.1.(c). HaineshascertifiedthatthetermoftheHainesBondusedtofinancethisloan willnotbeoutstandingforaperiodlongerthan120%oftheaveragereasonably expectedeconomiclifeofthegovernmentalpurposecapitalprojectsfinancedby Haines. Kodiak,aGovernmentalUnit,willreceiveonthedatehereof,2015 Bondproceedsintheamountof$9,037,609.41(consistingoftheaggregateloan amountof$7,990,000.00,plus$1,072,818.00oforiginalissuepremium,less $25,208.59forunderwriter'sdiscount)whichamountwillbeusedasdescribed AMBB/General Obligation Bonds,2015SeriesThree FederalTax Certificate 1:\Docs\37421742\FederaJ TaxCertificate.Docx Page4 hereinat 11.1.(c).KodiakhascertifiedthatthetermoftheKodiakBondusedto financetheloanswillnotbeoutstandingforaperiodlongerthan120%ofthe averagereasonablyexpectedeconomiclifeofthegovernmentalpurposecapital projectsfinancedbyKodiak. 2.BonaFideDebtServiceFund.TheIssuerestablished,underthe Resolutions,afundthatisusedprimarilytoachieveapropermatchingof revenuesoftheIssuerwithprincipalandinterestpaymentsonthe2015Bonds withineachbondyear.TheIssuerwilldepleteamountsinthisfundallocableto the2015Bondsatleastonceeachbondyear,exceptforareasonablecarryover amountnotexceedingthegreaterof(i)theearningsonthefundforthe immediatelyprecedingbondyear;or(ii)one-twelfthoftheprincipalandinterest paymentsonthe2015Bondsfortheimmediatelyprecedingbondyear. 3.ReserveFund.UnderSection602(B)oftheGeneralResolution, the2005GeneralResolutionReserveFundisestablished(the"ReserveFund"). TheReserveFundisaparityreservefundwhichsecuresprincipalandinterest paymentsonallBonds,includingthe2015Bonds,issuedundertheGeneral Resolution.TheGeneralResolutionrequiresthattheReserveFundbefundedin anamountequaltotheleastof(i)MaximumAnnualDebtServicewithrespectto allBondsOutstandingundertheGeneralResolution;(ii)125%ofAverage AnnualDebtServicewithrespecttoallBondsOutstandingundertheGeneral Resolution;(iii)10%oftheinitialprincipalamountofeachSeriesofBondsthen OutstandingundertheGeneralResolution;or(iv)suchloweramountasmaybe requiredbylaw(the"ReserveRequirement"). AlaskaMunicipal Bond BankReserveFund.AsofJune 30,2015, amountsheldintheReserveFundarevalued(pursuanttothecalculationsofthe Trustee)at$53,507,125.63.(SeeExhibitAattachedhereto.)Onthedate hereof,theReserve Requirement (pursuanttothecalculationsoftheIssuer's FinancialAdvisor)isequalto$58,705,591.41.(SeeExhibitBattachedhereto.) Onthedateofissuanceofthe2015Bonds,asurety,withacoveragelimitof $5,198,465.78,willbeusedtosatisfytheReserveRequirement.2015Bond proceeds,intheamountof$38,988.49,willbeusedtopaythecostofsecuring thedebtservicereservesuretybond. Governmental UnitsReserveAccounts.Proceedsofthe2015 Bondswillbeusedtofundreserveaccountsfortwo(2)governmentalunits. Proceedsofthe2015willbeusedbythe(i)Universitytosatisfyitsreserve accountrequirement($2,792,918.75),and(ii)KingCovetosatisfyitsreserve accountrequirement($79,298.38). AMBB/General ObligationBonds,2015SeriesThree Federal Tax Certificate 1:\Docs\37421742\Federal Tax Certificate.Docx Page5 4.NoOtherReplacementProceeds.Otherthanamountsspecifically identifiedasreplacementproceedsofthe2015Bondsinthiscertificate,thereare noamounts(includingwithoutlimitationsinkingfunds,pledgedfundsandother replacementproceeds)that(i)areheldbyorderivedfromtheIssuer,the University,KingCove,Haines,KodiakoranyrelatedpartytotheIssuer,orthe StateofAlaska;and(ii)haveasufficientlydirectnexustothe2015Bondsorto thegovernmentalpurposeofthe2015Bondstoconcludethattheamounts wouldhavebeenusedforthatgovernmentalpurposeiftheproceedsofthe2015 Bondswerenotusedortobeusedforthatgovernmentalpurposes. V.YieldLimitationsonInvestmentsofGrossProceedsofthe2015Bonds 1.Investments Without YieldLimitation.Thefollowinggrossproceeds ofthe2015Bondsmaybeinvestedwithoutyieldlimitation: (a)Amountstobeallocatedtopayissuancecostsofthe2015 Bondsmaybeinvestedwithoutyieldlimitationforaperiodnottoexceed 30daysfromthedatehereof. (b)AmountstobeallocatedtotheUniversityLoan,theKing CoveLoan,theHainesLoanandtheKodiakLoanmaybeinvestedas providedinthefederaltaxcertificatesandloanagreementsofthe University,KingCove,HainesandKodiak,respectively,datedthedate hereofand September 1,2015,respectively. (c)AmountsintheDebtServiceFunddescribedhereinatIV.2 maybeinvestedwithoutyieldlimitationforaperiodnottoexceed13 monthsfromthedateoftheirdeposittherein. (d)AmountsintheReserveFunddescribedhereinatIV.3may beinvestedwithoutyieldlimitationsprovidedsuchamountdoesnot exceedtheReserveRequirement. 2.InvestmentsSubjecttoYieldLimitation.Grossproceedsofthe 2015Bondsthatcannotbeinvestedwithoutyieldlimitationunderthissectionwill beinvestedatayield,computedinthemannerdescribedinSectionVII,whichis notinexcessoftheyieldonthe2015Bondsplus.125%. VI.QualifiedGuarantee The2015Bondsarenotsecuredbymunicipalbondinsurance. AMBB/General ObligationBonds,2015SeriesThree FederalTax Certificate 1:\Docs\37421742\Federal Tax Certificate.Docx Page6 VII.ComputationofYield 1.ComputationofYieldon2015Bonds.The2015Bondsarea"fixed yieldissue"whosearbitrageyieldhasbeendeterminedusingtheassumptions setforthinSection1.148-4(b)oftheRegulations.Accordingly,theyieldforthe 2015Bondsisthediscountratethat,whenusedincomputingthepresentvalue asoftheissuedateofallunconditionallypayablepaymentsofprincipal,interest andfeesforqualifiedguaranteesontheissueandamountsreasonablyexpected tobepaidasfeesforqualifiedguaranteesontheissue,producesanamount equaltothepresentvalue,usingthesamediscountrate,oftheaggregateIssue Price(assetforthherein)ofthe2015Bondsasoftheissuedate. TheIssuePriceofthe2015Bondsistheinitialofferingpriceofthe2015 Bondstothepublic(excludingbondhouses,brokers,andotherintermediaries) atwhichpriceatleast10%foreachmaturityofthe2015Bondswassold,or reasonablyexpectedtobesold.TheIssuePriceforthe2015Bondsis $104,418,651.10,consistingof (i)theparamountofthe2015Bondsof $96,210,000.00,plusnetoriginalissuepremiumof$8,208,651.10. Theyieldonthe2015Bondshasbeendeterminedtobe3.698396 percent.SuchdeterminationastoyieldhasbeenmadebyWesternFinancial Group,LLC(theIssuer'sFinancialAdvisor)andhasbeenbasedonthe representationsmadetotheIssuerbyRBCCapitalMarkets,LLC,onbehalfof itself andasrepresentativeoftheunderwritersnamedinthebondpurchase contractdatedAugust26,2015,astotheofferingpricesatwhichatleast10%of eachmaturityofthe2015Bondsweresold,orreasonablyexpectedtobesold. 2.ComputationofYieldonInvestments.Theyieldonaninvestment allocatedtoanissueisthediscountratethat,whenusedincomputingthe presentvalueasofthedatethe investment isfirstallocatedtotheissueofall unconditionally payablereceiptsfromtheinvestment,producesanamountequal tothepresentvalueofall unconditionally payablepaymentsfortheinvestment. The frequency ofcompoundinginterestthatisusedtocalculateyieldson investmentsallocatedtothe2015Bondsisthesameasthatusedtocalculate theyieldonthe2015Bonds. VIII.ArbitrageRebate TheIssuerwillcalculateorcausetobecalculatedtheRebate Amount with respecttothe2015Bondsatleastonceeveryfiveyearsfromthedatehereof, andonthedatethelastofthe2015Bondsareredeemed,inaccordancewith Section1.148-3oftheRegulations.IndeterminingtheRebateAmount,the Issuerwillcalculate(i)theaggregateamountearnedonallacquirednonpurpose AMBB/General Obligation Bonds,2015SeriesThree FederalTax Certificate 1:\Docs\37421742\Federal Tax Certificate.Docx Page7 obligationsforthecomputationperiod;and(ii)theaggregateamountthatwould havebeenearnedonallacquirednonpurposeobligationsiftheyhadbeen investedforthecomputationperiodattheyieldonthe2015Bonds.TheIssuer willcalculatetheRebateAmountbycalculatingtheexcessof(i)over (ii)ofthe precedingsentenceandaddtothatanyincomeattributabletosuchexcess. AmountsearnedontheDebtServiceFundwillbeexcludedfromanycalculation oftheRebateAmount.PaymentsoftheRebateAmountwillbemadebythe IssuertotheUnitedStatesTreasuryinaccordancewithfederaltaxlaws. TheIssuerherebyagreestopayanyrebatedueontheRefundedBonds within60daysafterthedatetheRefundedBondsareretired. IX.HedgeBondRepresentations Atleast85%ofthespendableproceedsofthe2015Bondswillbeusedto carryoutthegovernmentalpurposesofthe2015Bondswithinthe three-year periodbeginningonthedatehereof.Notmorethan50%oftheproceedsofthe 2015Bondswillbeinvestedinnonpurposeinvestments(asdefinedinSection 148(f)(6)(A)oftheCode)havingasubstantiallyguaranteedyieldforfouryearsor more. X.Reimbursement Representations Noproceedsofthe2015BondswillbeappliedtoreimbursetheIssuerfor expenditurespaidbeforethedatehereof. XI.PooledFinancingRepresentations 1.TheIssuerreasonablyexpectsthat(a)asofthecloseofthe1-year periodbeginningonthedateofissuanceofthe2015Bondsatleast30%ofthe non-refundingnetproceedsofthe2015Bondswillhavebeenuseddirectlyor indirectlytomakeorfinanceloanstoultimateborrowers;and(b)asoftheclose ofthe3-yearperiodbeginningonthedatehereof,atleast95%ofthenon- refundingnetproceedsofthe2015Bonds(asofthecloseofsuchperiod)will havebeenuseddirectlyorindirectlytomakeorfinancetheloanstotheultimate borrowersdescribedinSection 11.1 (a),and(b)hereof.Forpurposesofthis paragraph,"netproceeds"meanstheproceedsofthe2015Bondsreducedby proceedsdepositedinareasonablyrequiredreserveorreplacementfundor accounts. 2.Thepaymentofunderwritingcostsassociatedwiththeissuanceof the2015Bondsisnotcontingent.Atleast95%ofthereasonablyexpected AMBB/General Obligation Bonds,2015 Series Three FederalTax Certificate 1:\Docs\37421742\Federal Tax Certificate.Docx Page8 underwritingcostsassociatedwiththe2015Bondswillbepaidnotlaterthanthe 180thdayafterthedatehereof. XII.GeneralRepresentations 1.OtherObligations.ExceptfortheIssuer's2015BBonds,thereare nootherobligationsoftheIssuerthataresoldat substantially thesametimeas the2015Bonds(within15daysofAugust26,2015),aresoldpursuanttoa commonplanoffinancing together withthe2015Bonds,andarereasonably expectedtobepaidoutofsubstantiallythesamesourceoffundsasthe2015 Bonds. 2.AbusiveTransactions.The2015Bondsarenotandwillnotbepart ofatransactionorseriesoftransactionsthatattempttocircumventtheprovisions ofSection148oftheCodeandtheregulations thereunder by(i)enablingthe Issuertoexploitthedifferencebetweentaxexemptandtaxableinterestratesto gainamaterialfinancialadvantage;or(ii)overburdeningthetaxexemptbond market.TheIssuerandtheGovernmentalUnithavecovenantedthattheywill makenouseorinvestoftheproceedsofthe2015Bondsinamannerthatwill causethe2015Bondstobe"arbitragebonds"subjecttofederalincometaxation undertheCode. DATEDthis16thdayofSeptember2015. AMBB/General Obligation Bonds,2015SeriesThree Federal Tax Certificate 1:\Docs\37421742\Federal Tax Certificale.Docx Page9 .."T1):, -CD~c.~!;l CDwi3~.....-(Jjit-f CD~D1::' .....>eCD ALASKAMUNICIPAL BONDBANKAUTllORITY~0 Ql AMBBA200SResolLltlon Reserve Fund "TlCD-Account784588 ~::1.0 AsofJune30,2015CD_.0-~~~Value Cost by Do. --i DI Q)lin100051 CM1 CuslpARCs#Prem/{Dlsc)CUSIP ,ete Description Purchased~rDg 980 1,114,132.60 83 134,132,60 31359MZCO 4,375%FNMA@4,375%1Dn:1712010oI::.410 459,883,2051,574,015,80 83 39,683,20 31359MZCO 4,375%FNMA@4.375%031OJ12011 ~mll:l 1280 1,291,225.00 51,291,225.00 89 41.225.00 31J7EACT4 2,500'10 FHLMC@2.5O%0712212011 _.>e 0 1780 1,748,974.6151,748,97461 so (1,02539)912828QR4 1.500%U,S,TreasNote@1.500%0712512011 ~:::T::J 1000 1,042,109.38 51,042,109.38 94 42,109.39 912828NPl 1.750%U.S,rreas Note@1.75%09129/2011 llJ _.Q.1500 1,527,800.63 S 1.527,890.63 99 27,890.63 912828RJ1 1,ClC(l%U,S.TreasNo1e@1.0%0911712012 ~~,"Cn 2500 2,473,535,16 $2,473.535.16 se (26,464.84)912628SJO 0.875%U.S.TreasNole @.875'1.1 03/1612012 0"1\)3780 J,n2,998,05 5J.772,998.05 97 22,998.05 912826SS0 0,875%U.S.trees Note@.675%O~f2012 g»O 1250 1,244,873,05 se (5,126.95)9128285Y7 0.625%U,S.TreesNole@.625%0511112012 1250 1,254,6B2.81 $2,499,755,86 se 4,882,81 912828SY7 0.625%U,S,'trees Nole@,625%12J0512012><.....1000 987.700.00 5 SB7,70000 437 (12,300,00)3135GOXL.2 0.650%FNMA@.65%0&00120130115001,499,23828 51,499,23828 436 (761.72)g12828VQJ 1375%U5 TreasNote@1.375%OMl712013 (I)'500 2,499,804.59 52,499,804.69 101 (195.31)912825UEB 0.750%U.S.TreasNote@,75%011"2412013 CD 1000 990,976,56 '"(9,023.44)912828SDJ 1,250'10 U.S.TreasNole@1.25%11f2{J12013 15·780 743,200,13 51,734,17969 47'(6,79687)91282BSDJ 1,250%U.S TleasNole@1.25%11/1212014 750 744,316.41 5 744,316,41 '"(5,683.59)912a28RT9 1.375%us TreesNote@1.375%1211912013en15001,496.367.19 476 (3,632.81)912828SNl 1.500'10 U,S,rreasfIIote@1.5%02l11f2014 ~1000 994,06250 476 (5,937.50)912828SNl 1.500%lJSTreasNote@1.5%0212612014 500 497,4€0.94 <76 (2,539,06)91282SSNl 1.500%U,S,trees Note@1,5%OJrU712014 0 '000 1,9n,343.7454,965,234.37 <7'(22,656.26)91282SSN1 1.5OO''\'u.s.rreee Nole@1.5%04lZl12014 1500 1.796,132,81 s 1,796,132,81 <7'(3,a.57.19)912328RE2 1.500%U.S.TreasNole@1.5%03l24J2014 1500 1,490,390,63 s 1,490,390.63 <SO (9,60937)912828T86 0750%U.S TreasNore@.7$%0&25f2014 2000 2,00:1,859,38 $2,00:1,859,38 ,,,85938 912828VG2 0500%U,STreesNote@.5%0612512014 1000 989,062.50 s 9ll9,1J62,SO '"(10,937.5O)912828JJ7 0,675%U.S.trees Nole@.875%0711412014 a»200,257.17 s 200,257,17 -e 257.17 912828WA4 0,625%U.STreesNole@.625%0611112014 .es 485,000.00 s 485,00:1,00 ee 0,00 535464460 5.300%U,S.TreaslNYSLGS 06lO1f2Q14 '500 2,506,054.70 $2,506,054,70 ,"6,054,70912828056 2.375%U,S,TreesNote@2.375%1111212014 '500 2,491,503.90 52,491,503,90 ""(8,496.10)912328F9Ei 2.00:1%U,S,trees Nole@2.00%11f12f2014 '000 1,990,S37,50 51,990,93750 ,,,(9,062,50)912828F62 1,500%US TreasNote@1.5%12A)412014 '000 2,00:1,00:1 0052,000,00100 '"000 3133EAQ43 1690%FFCB@1,69%02J0412015 esse 2,954,263,67 52,954,263.67 "3 4,263.67 91282a168 1.000%U.S.TreasNole@l,O%0312312015 1500 1,500,(00,00 s 1,500,00000 '"000 3134G6GX5 1.700%FHLMC@1.7%0311212015 3500 3,631,660,16 $3,631,660.16 ee 131.660.16 912828OTO 2,375%U.S.TreasNolc@2.375%0610912015 $52,397,10035 ~:ty :,~~~~::~)Accrued 1m T~~A~~;n~/~~l5S TotaJv~:eled TO=~~~~ed La::I~n=SI ::c 1G'1512015 5126,342.8258,932295 (117,410.53)5996,72207 0411512015 m 1G'15f2015 e 37,363.5053,828,135 (33,535.37)5426,347,635 1,423,069,90 0411512015 en 05l27f2016S 33,499,74 S 2,864,58 s (30,635.16)5 1,260.589,84 5 1,260,58984 0512712015 m 0613012016 s (81742)S S 81742 s 1,749,79203 S 1,749,79203 06I30I2015 ... 0713112015 S 41,164,81 57,291.675 (33,873,14)5 1,008,236.24 s 1,008,23824 0113112015 <- 0913012016 e 19.252795 3,750,00 5(15,50279)5 1,512,387,84 5 1,512,387,84 0313112015 0212812017 5 (17,563,62)s 7,291.67 s 24,875.49 s 2,49ll,410.65 5 2,498,410,65 0212812015 m 04J3{l120175 14,42251 55.468755 (8,953.76)53,764,0442953,764,04429 04I30I2015 0513112017 5 (3,147.78)S 651.04 S 3,798.82 S 1,246,671.87 0513112015 ." 0513112017 5 2,794.93 5651.045 (2,143.89)s 1,252,738,92 5 2,501,410.79 05/3112015 c: ~~~:~~(6i::~l ~~::.~;~::::~;1,;::~~'~~~1,::~~'~~:~~~~Z 1213112017 5i9626)s 5 96.28 5 2,499,900.97 5 2,499,900,97 06I30I2015 C 01131f2019 5 (2.797.22)5 5.208,33 58,005.555 998,982.11 01(3112015 0113112019 5(1,02020)S 3,900,255 4,926,45 e 748,12958 S 1,747,11169 0113112015 < 1113012018 5 (1,758.37)s &59.38 S2,617.75 s 746,934165 746,9Jtl16 0::v'3112015 » 0313112019 S (979.68)S5,625.005 6,604.68 51,502,97207 03f3112015 'CT rm 03J3112019 s (1,566.08)53,75000S 5,316,08 s 999,37856 0313112015 03131/2019 s (658,43)51,875.0052,533.43 s 499,994,37 0313112015 "<c:>< 0313112019 S (5,441.07)s 7,500.00 S 12,941.07 s 1,990,284.81 5 4,992,629.83 03f3112015 --I »:::I: =:~~;g:~~~l;9,000,00;1~:~~:~;::~~:~~'~~~:::~~'~:=i~...--I 0611512016 S 441.79 s 416675(25.12)s 2,000,63426 5 2,000,83426 0611512015 5.0 OJ 0113112018 5 (2,963,<l9)s 3,64583 S6,609.32 s 995,671.82 s 995,671,62 0113112015 :::;.--I ~~~~~115.4~~2,~~:~;2,~~~::;~~::,~~;::~~::~;;;~~;CD Z 08I15J2024 s 392.96 5 22,265.63 5 21.872.67 5 2,527,927.37 5 2,527,927.37 0211512015 ..!..»» ;~~~~~(1~~~l;~:::~~~:::~;~:~~:~~.~;~~::~~~=~;z ~~~::;3S5.80;1~:~:::~;1~:::~;i~~~:;:.~;~:~~:~:.~=~;c 03112120205 57,65000 5 7,650,00 e 1,507,6500051,507,65000 0311212015 0 06f.3{J12018 5 2,511.23 5 5 (2,511.23)S 3,629,148,93 S 3,629,148.93 0813012015 » rctatseccnes 764568 s 52,328.37726 552,328,377.26 h TotalMoreyMarkel 764568S1,178.7462851.178,74828 c: TotalMoreyMarkel 764571S0,095009 r- rear Cash 764571 $$» GrarJ:lTolal $53,507,12563 553,507,125.63 --I o Z "U III lC CD =f' --" Prepe!edbyBNYMtIlo:l 67 '" Goldman FSB#466(2005Reserve) Goldman FSB#466(Invt Earnings Accl-20OS) Valuationdale:O8IJW20fS EXHIBIT B RESERVE REQUIREMENT (by Issuer's Financial Advisor) Here isthe reserve calculation: Program Total Reserve Calculations Average Debt Service 125 %of Average 10%ofPar MADS Existing Reserve Value Reserve Requirement 2015 Three AMBB/General ObligationBonds,2015SeriesTwo FederalTaxCertificate-ExhibitB 1:\Docs\37421742\Federal Tax Certificate.Docx 46,964,473.13 58,705,591.41 107,986,000.00 97,034,138.35 53,507,125.63 5,198,465.78 PageB-1 CERTIFICATE OFTHE FINANCIAL ADVISOR I,LAWRENCEW.PIERCE,asfinancialadvisorfortheAlaskaMunicipalBond Bank(the"Bank")herebycertifywithrespecttotheBank'sGeneralObligationBonds, 2015SeriesThree(the"Bonds"),asfollows: 1.Ihavenoreasontobelievethatthefinancialinformationfoundin AppendixDofthePreliminaryOfficialStatementdated August 19,2015,andthefinal OfficialStatementdatedAugust26,2015,relatingtotheBondscontainsanuntrue statementofmaterialfactoromitstostateamaterialfactnecessarytomakethe statementstherein,inlightofthecircumstanceunderwhichtheyweremade,not misleadinginanymaterialrespects. 2.PaymentoftheBondsissecuredbyareservefund;basedonmy calculations(andaffirmedbytheTrustee)Ihavedeterminedthereservefund requirementtobe$58,705,591.41asofthedatehereof.Theamountofthereserve fundrequirementisareasonableamounttofacilitatemarketingoftheBondsatthe mostfavorableinterestratesavailable. 3.IhavecomputedtheyieldontheBondstobenotlessthan3.6984% basedontherepresentationsmadetotheBankbyRBCCapitalMarkets,LLC,on behalfofitselfandasrepresentativeoftheunderwritersnamedinthebondpurchase contractdatedAugust 26,2015,astotheofferingpricesatwhichatleast10%ofeach maturityoftheBondsweresold,orreasonablyexpectedtobesold.Forpurposesof thiscertificate,theterm"yield"meansthatyieldwhichiscomputedasdescribedin Section1.148-4ofthe Treasury Regulations. 4.IhavecomputedtheweightedaveragematurityoftheBondstobe 17.7084years.TheweightedaveragematurityoftheBondsisthesumoftheproducts oftheissuepriceandtheparamountofeachgroupofidenticalbondsandthenumber ofyearstomaturity(determinedseparatelyforeachgroupofidenticalbondsandtaking intoaccountmandatoryredemption,ifany)dividedbytheaggregatesaleproceedsof theBonds. DATEDthis16thdayofSeptember2015. WESTERNFINANCIALGROUP,LLC ~~=E=~~--- UNDERWRITER REPRESENTATIONS AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree ThiscertificateisbeingdeliveredbyRBCCapitalMarkets,LLC,onbehalfofitself andasrepresentativeoftheunderwritersnamedinthebondpurchasecontractdated August 26,2015(the"Underwriter")inconnectionwiththeissuancebytheAlaska MunicipalBondBank(the"BondBank")oftheBondBank'sGeneralObligationBonds, 2015SeriesThree(the"Bonds"). Eachcapitalizedtermusedherein,butnotdefinedherein,shallhavethe meaningspecifiedforsuchtermintheFederalTaxCertificate,datedthedatehereof, andrelatingtotheBonds. 1.Theundersignedisauthorizedtoexecutethiscertificateonbehalfofthe Underwriter,whichcertificationsarenotnecessarilybasedonpersonalknowledge,but mayinsteadbebasedoneitherdueinquirydeemedadequatebytheundersignedor institutionalknowledge(orboth)regardingthematterssetforthherein. 2.TheUnderwriterhasmadeabonafidepublicofferingoftheBondsatthe prices(orthepricescorrespondingtotheyields)setforthontheinsidecoverofthe OfficialStatement.OnthesaledateoftheBonds(August26,2015),atleast10%of eachmaturityoftheBonds,exceptassetforthinthefollowingparagraph,weresoldto thepublicatinitialofferingpricesnotgreaterthantherespectivepricescorresponding totheyieldsshownontheinsidecoveroftheOfficialStatement. InthecaseoftheBondsmaturingonOctober1,intheyears2016,2019,2024, 2025and2026,theUnderwriterherebyrepresentsthattheactualsalespriceofsuch BondsisconsistentwiththeUnderwriter'sreasonableexpectationsthatatleast10%of theBondsofthatmaturitywouldbesoldattherespectiveinitialofferingpriceasshown ontheinsidecoveroftheOfficialStatement. Theterm"public,"asusedherein,doesnotincludebondhouses,brokers, dealers,andsimilarpersonsororganizationsactinginthecapacityofunderwritersor wholesalers. 3.TheamountoftheReserveFundRequirement(asdefinedinthe2005 GeneralBondResolution,asamended)isareasonableamounttofacilitatemarketing oftheBondsatthemostfavorableinterestratesavailable. 4.ThestatementscontainedintheOfficialStatementundertheheading "Underwriting"aretrueandcorrectinallmaterialrespects. 5.Theserepresentationsareprovidedto (i)Wohlforth,Brecht&Cartledge ("Wohlforth")andtheAlaskaMunicipalBondBanktoprovidethemwithinformation concerningtheBonds;(ii)Wohlforthtoprovidethemwithinformationconcerningthe municipalbondoftheUniversityofAlaska;(iii)K&LGatesLLPtoprovidethemwith informationconcerningthemunicipalbondoftheHainesBorough;and(iv)Foster PepperPLLCandLevesqueLawGroupLLCtoprovidethemwithinformation concerningthemunicipalbondsoftheCityofKingCoveandtheKodiakIsland Borough,forpurposesofformulatingtheiropinionswithrespecttosuchmunicipal bonds;andarenottobeusedorrelieduponbyanyotherperson.TheUnderwriter expressesnoviewregardingthelegalsufficiencyorthecorrectnessofanylegal interpretation madebybondcounsel,nothinghereinrepresentsourinterpretationofany laws,andinparticular,regulationsundertheCode,andtheUnderwriterexpressesno viewregardingthelegalsufficiencyofanyrepresentationsmadeherein. DATEDthis16thdayof September 2015. RBCCAPITALMARKETS,LLC Byb~·~ AuthorizedSItory AMBB/General ObligationBonds,2015SeriesThree Underwriter Representations 1:\Docs\37421742\Underwriter Representations.Docx Page2 WOHLFaRTH I BRECHT I CARTLEDGE A PROFESSIONAL CORPORATION Julius J.Brecht Cynthia L.Cartledge William A.Earnhart Michael Gatti Nathaniel Parr Eric E.Wohlfarth BoardofDirectors AlaskaMunicipalBondBank P.O.Box110405 Juneau,Alaska99811 LadiesandGentlemen: ATTORNEYS AT LAW 900 WEST 5TH AVENUE,SUITE 600 ANCHORAGE,ALASKA 99501-2048 September16,2015 TELEPHONE 907.276.6401 FACSIMILE 907.276.5093 WEBSITE WWW.AKATTY.COM WehaveactedasBondCounselinconnectionwiththeissuancebytheAlaska MunicipalBondBank(the"Bank")ofitsGeneralObligationBonds,2015SeriesThree (the"Bonds").Wehaveexaminedthelawandsuchcertifiedproceedingsandother papersaswedeemnecessarytorenderthisopinion,includingtheopinionsofbond counseltotheGovernmentalUnitsconcerningthevalidityandenforceabilityofthe MunicipalBonds,theLoanAgreementssecuringtheLoansfinancedwiththeproceeds oftheBonds(assuchtermsaredefinedintheResolutionsreferredtobelow). TheBondsareissuedundertheAlaskaMunicipalBondBankAct,Chapter85of Title44oftheAlaskaStatutes,asamended(the"Act"),theGeneralObligationBond ResolutionoftheBankentitled"AResolutionCreatingAndEstablishingAnIssueOf Bonds Of TheAlaskaMunicipalBondBank;ProvidingForTheIssuanceFromTimeTo Time Of SaidBonds;ProvidingForThePaymentOfPrincipalOfAndInterestOnSaid Bonds,AndProvidingForTheRightsOfTheHoldersThereof,"adoptedJuly13,2005, asamended(the"GeneralBondResolution")andSeriesResolutionNo.2015-04(S), adoptedAugust11,2015(the"SeriesResolution,"andtogetherwiththeGeneralBond Resolution,the"Resolutions"). TheBondsaresubjecttoredemptionpriortomaturityasprovidedintheformof Bonds. InconnectionwiththeissuanceoftheBonds,wehavereviewedtheResolutions andthefederaltaxcertificateoftheBankdatedthedatehereof(the"TaxCertificate"),a CertificateofNoLitigationoftheAttorneyGeneral(counseltotheBank),certificatesof theBank,theTrusteeandothers,andsuchotherdocuments,opinionsandmattersto theextentwedeemednecessarytorendertheopinionssetforthherein. Theopinionsexpressedhereinarebasedonananalysisofexistinglaws, regulations,rulingsandcourtdecisionsandcovercertainmattersnotdirectlyaddressed BoardofDirectors AlaskaMunicipalBondBank September 16,2015 Page2 bysuchauthorities.Suchopinionsmaybeaffectedbyactionstakenoromittedor eventsoccurringafterthedatehereof.Wehavenotundertakentodetermine,orto informanyperson,whetheranysuchactionsoreventsaretakenordooccur.We disclaimanyobligationtoupdatethisletter.Wehaveassumedthegenuinenessofall documentsandsignaturespresentedtous(whetherasoriginalsorascopies)byany partiesotherthantheBankandthedueandlegalexecutionanddelivery thereof byany partiesotherthantheBank.Wehavenotundertakentoverifyindependently,andhave assumed,theaccuracyofthefactualmattersrepresented,warrantedorcertifiedinthe documentsreferredtointheprecedingparagraph.Furthermore,wehaveassumed compliancewiththecovenantsandagreementscontainedintheResolutions,theTax Certificate,andthetaxcertificatesofeachGovernmentalUnit,including(without limitation)covenantsandagreementscompliancewithwhichisnecessarytoassure thatfutureactions,omissionsoreventswillnotcauseinterestontheBondstobe includedingrossincomeforfederalincometaxpurposes.Wecallattentiontothefact thattherightsandobligationsundertheResolutions,theBonds,theLoanAgreements, andtheTaxCertificatemaybesubjecttobankruptcy,insolvency,reorganization, arrangement,fraudulentconveyance,moratoriumandotherlawsrelatingtooraffecting creditors'rightsgenerallyandsubjecttotheexerciseofindividualdiscretionin appropriatecasesandtotheapplicationofequitableprinciples.Weexpressnoopinion astotheundertakingbytheBanktoprovideongoingdisclosurepursuanttoSecurities andExchangeCommissionRule15c2-12. Astoquestionsoffactmaterialtoouropinion,wehaverelieduponvarious statementsandrepresentationsoftheBankcontainedintheResolutionsandinthe certifiedproceedingsandothercertificationsofpublicofficialsfurnishedtouswithout undertakingtoverifythesamebyindependentinvestigation. Subjecttotheforegoing,weareoftheopinionthat,underexistinglaw: 1)TheBankhastherightandpowertoadopttheResolutions. 2)TheResolutionshavebeendulyandlawfullyadoptedbytheBank,arein fullforceandeffectandarevalidandbindingupontheBankandenforceablein accordancewiththeirterms(subject,astoenforcementofremedies,toapplicable bankruptcy,reorganization,insolvency,moratorium,orotherlawsaffectingcreditors' rightsgenerallyfromtimetotimeineffect). 3)TheResolutionscreatethevalidpledgeand assignment whichthey purporttocreateoftheMunicipalBonds,subjecttotheapplication thereof tothe purposesandontheconditionspermittedbytheResolutions. 1:\Docs\37421742\Final Approving Opinion.docx BoardofDirectors AlaskaMunicipalBondBank September 16,2015 Page3 4)TheBondsarevalidandbindinggeneralobligationsoftheBank, enforceableinaccordancewiththeirtermsandthetermsoftheResolutions. 5)TheBondshavebeendulyandvalidlyauthorizedandissuedin accordancewiththeConstitutionandstatutesoftheStateofAlaska,includingtheAct asamendedtothedateofthisopinion,andinaccordancewiththeResolutions. 6)TheBondsarenotadebtorliability,nordotheyconstituteapledgeofthe faithandcredit,oftheStateofAlaska. 7)Underexistinglaws,regulations,rulingsandjudicialdecisions,intereston theBondsisexcludablefromthegrossincomeoftheowners thereof forfederalincome taxpurposesandisnotanitemoftaxpreferenceforpurposesofthefederalalternative minimumtaximposedonindividualsandcorporations.However,interestontheBonds istakenintoaccountindeterminingadjustedcurrentearningsforpurposesof computingthefederalalternativeminimumtaximposedoncertaincorporations.The opinionsetforthinthefirstsentenceofthisparagraphissubjecttotheconditionthatthe BankandtheGovernmentalUnitscomplywithallrequirementsoftheInternalRevenue Codeof1986,asamended,thatmustbecompliedwithinorderthatinterestonthe Bondsbe,orcontinuetobe,excludablefromgrossincomeoftheownersforfederal incometaxpurposes.TheBankandGovernmentalUnitshavecovenantedtocomply withapplicablerequirements.Failuretocomplywithcertainofsuchrequirementsmay causeinterestontheBondstobeincludedingrossincome thereof forfederalincome taxpurposestoberetroactivetothedateofissuanceoftheBonds. InexpressingouropinionastotheexclusionofinterestontheBondsfromthe grossincomeoftheownersasdescribedabove,wehavereliedon,andassumedtobe correct,therepresentations,covenants,andagreementsoftheBankandGovernmental UnitsintheLoanAgreements,taxcertificatesof,andbondcounselopinionsfor,the GovernmentalUnitsandinformationfurnishedbyandonbehalfoftheBankand GovernmentalUnitswithrespecttocertainmaterialfactsthataresolelywithintheir knowledgerelatingtotheproposeduseoftheproceedsoftheBondsorMunicipal Bonds. 8)Underexistinglaws,interestontheBondsisfreefromtaxationbythe StateofAlaskaexceptfortransfer,estateandinheritancetaxes. Exceptasexpresslystatedabove,weexpressnoopinionregardinganyother federalorstateincometaxconsequencesofacquiring,carrying,owningordisposingof theBonds.OwnersoftheBondsshouldconsulttheirtaxadvisorregardingthe applicabilityofanycollateraltaxconsequencesofowningtheBonds,whichmayinclude 1:\Docs\37421742\Final Approving Opinion.docx BoardofDirectors AlaskaMunicipalBondBank September 16,2015 Page4 originalissuediscount,originalissuepremium,purchaseatamarketdiscountorata premium,taxationuponsale,redemptionorotherdisposition,andvariouswithholding requirements. Wehavenotbeenengagednorhaveweundertakentoreviewtheaccuracy, completenessorsufficiencyofthepreliminaryofficialstatement,theofficialstatementor otherofferingmaterialrelatedtotheBonds(excepttotheextent,ifany,statedinthe officialstatementorasupplementalopiniondatedthedatehereof). Thisopinionisgivenasofthedatehereof,andweassumenoobligationto update,reviseorsupplementthisopinionorreflectanyfactsorcircumstancesthatmay hereaftercometoourattentionoranychangesinlawthatmayhereafteroccur. Sincerely, WOHLFaRTH,BRECHT &CARTLEDGE {7y--//,4-/ Cynthia L.Cartledge 1:\Docs\37421742\Final Approving Opinion.docx WOHLFaRTH I BRECHT I CARTLEDGE A PROFESSIONAL CORPORATION Julius J.Brecht Cynthia L.Cartledge William A.Earnhart Michael Gatti Nathaniel Parr Eric E.Wohlforth ATTORNEYS AT LAW 900 WEST 5TH AVENUE.SUITE 600 ANCHORAGE.ALASKA 99501-2048 September 16,2015 TELEPHONE 907.276.6401 FACSIMILE 907.276.5093 WEBSITE WWW.AKATTY.COM TheBankofNewYorkMellonTrustCompany,N.A. asTrustee/PayingAgent 100PineStreet,Suite3150 SanFrancisco,CA94111 RE:AlaskaMunicipalBondBankGeneralObligationBonds,2015Series Three LadiesandGentlemen: YouareactingastrusteeundertheGeneralBondResolutionoftheAlaska MunicipalBondBank(the"Bank"),adoptedJuly13,2005,asamended(the"General BondResolution").UndertheGeneralBondResolution,theBankhasauthorizedthe issuanceofits$96,210,000principalamountofGeneralObligationBonds,2015Series Three(the"Bonds")pursuanttoSeriesResolutionNo.2015-04(S),adoptedAugust11, 2015(the"SeriesResolution"and,togetherwiththeGeneralBondResolution,the "Resolutions").Alltermsnothereindefinedshallhavethemeaninggivensuchtermin theGeneralBondResolution. Weadviseyouassuchtrusteethatinouropinion:(i)theBankhad,andhas,the rightandpowerunderAS44.85,asamendedtothedatehereof,toexecuteanddeliver theResolutions,(ii)theResolutionshavebeendulyandlawfullyexecutedanddelivered bytheBank,areinfullforceandeffect,andarevalidandbindingupontheBankand enforceableinaccordancewiththeirrespectiveterms(subject,astoenforcementof remedies,toapplicablebankruptcy,reorganization,insolvency,moratorium,orother lawsaffectingcreditors'rightsgenerallyfromtimetotimeineffect),(iii)theResolutions createthevalidpledgeandassignmentswhichsuchResolutionspurporttocreateof theMunicipalBondssubjecttotheapplicationthereoftothepurposesandonthe conditionspermittedbytheGeneralBondResolution(subject,astoenforcementof remedies,toapplicablebankruptcy,reorganization,insolvency,moratorium,orother lawsaffectingcreditors'rightsgenerallyfromtimetotimeineffect);(iv)theBondsare validandbindinggeneralobligationsoftheBank,enforceableinaccordancewiththeir termsandthetermsoftheResolutions(subject,astoenforcementofremedies,to TheBankofNewYorkMellon Trust Company N.A. September 16,2015 Page2 applicablebankruptcy,reorganization,insolvency,moratorium,orotherlawsaffecting creditors'rightsgenerallyfromtimetotimeineffect),and(v)theBondshavebeenduly andvalidlyauthorizedandissuedinaccordancewiththeConstitutionandstatutesof theStateofAlaska,includingAS44.85asamendedtothedatehereof,andin accordancewiththeGeneralBondResolution. WefurtheradviseyouastrusteethatinouropiniontheSeriesResolutionhas beendulyandlawfullyadoptedbytheBankinaccordancewiththeprovisionsofthe GeneralBondResolution,isauthorizedorpermittedbytheGeneralBondResolution andisvalidandbindingupontheBankandenforceableinaccordancewithitsterms (subject,astoenforcementofremedies,toapplicablebankruptcy,reorganization, insolvency,moratorium,orotherlawsaffectingcreditor'srightsgenerallyfromtimeto timeineffect). Sincerely, ~.LF.ORTH'BREC~T.CARTLEDGE .-//9/'y_..( Cynthia L.Cartledge 1:\Docs\37421742\WBC Trust Opinon.docx WOHLFaRTH I BRECHT I CARTLEDGE A PROFESSIONAL CORPORA liON Julius J.Brecht Cynthia L.Cartledge William A.Earnhart Michael Gatti Nathaniel Parr Eric E.Wohlforth BoardofDirectors AlaskaMunicipalBondBank P.O.Box110405 Juneau,AK99811 ATTORNEYS AT LAW 900 WEST 5TH AVENUE.SUITE 600 ANCHORAGE,ALASKA 99501-2048 September16,2015 TELEPHONE 907.276.6401 FACSIMILE 907.276.5093 WEBSITE WWW.AKATTY.COM RBCCapitalMarkets,LLC TwoEmbarcaderoCenter,Suite1200 SanFrancisco,CA94111-3820 RE:AlaskaMunicipalBondBankGeneralObligationBonds,2015Series Three LadiesandGentlemen: WehaveactedasBondCounselinconnectionwiththeissuancebytheAlaska MunicipalBondBank(the"Bank")ofits$96,210,000GeneralObligationBonds,2015 SeriesThree(the"Bonds").Alltermsnothereindefinedshallhavethemeaningsset forthintheBondPurchaseContractbyandbetweentheBankandRBCCapital Markets,LLC,actingonbehalfofitselfandasrepresentativeoftheunderwritersnamed therein,anddatedAugust 26,2015. Theopinionsexpressedhereinarebasedonananalysisofexistinglaws, regulations,rulinqsandcourtdecisionsandcovercertainmattersnotdirectlyaddressed bysuchauthorities.Astoquestionsoffactmaterialtoouropinion,wehavereliedupon variousstatementsandrepresentationsoftheBankcontainedintheResolutionsandin thecertifiedproceedingsandothercertificationsofpublicofficialsfurnishedtous withoutundertakingtoverifythesamebyindependentinvestigation. Subjecttotheforegoing,weareoftheopinionthat,underexistinglaw: (A)TheBankisapublicbodycorporateandpoliticconstitutedasapublic corporationandaninstrumentalityoftheStatewithintheDepartmentofRevenuebut BoardofDirectors,AlaskaMunicipalBondBank RBCCapitalMarkets,LLC September 16,2015 Page2 havingalegalexistenceindependentofandseparatefromtheState,exercisingpublic andgovernmentalfunctionsandcreatedbytheAct. (B)TheBondResolution,theLoanAgreements,thePurchaseContractand theDisclosureCertificatehavebeendulyauthorized,executedanddeliveredbythe Bankand(assuminginthecaseoftheLoanAgreementsandthePurchaseContract thedueauthorization,executionanddelivery thereof bytheotherpartiesthereto) constitutelegal,validandbindingagreementsoftheBankenforceableagainsttheBank inaccordancewiththetermsofsuchagreementsexceptasenforcementmaybelimited byorrenderedineffectivebybankruptcy,insolvency,fraudulentconveyance, reorganization,moratoriumandothersimilarlawsaffectingcreditors'rightsgenerallyor theapplicationofequitableprinciplesandtheexerciseofjudicialdiscretionin appropriatecases. (C)TheBankhasdulyauthorizedthedistributionbytheUnderwritersofthe PreliminaryOfficialStatementandtheOfficialStatementtopotentialpurchasersofthe Bonds. (D)TheBondsarefullynegotiableforallpurposesofAS45.01-45.08,AS 45.12,AS45.14,andAS45.29,andholdersoftheBonds,byacceptingtheBonds,are conclusivelyconsideredtohaveagreedthatsuchBondsarefullynegotiableforall purposesofAS45.01-45.08,AS45.12,AS45.14,andAS45.29. (E)ThestatementscontainedinthePreliminaryOfficialStatementandOfficial Statementundertheheadings"DESCRIPTIONOFTHE2015SERIESTHREE BONDS,""SECURITY FORTHE2015SERIESTHREEBONDS,""SUMMARYOFTHE 2005GENERALBONDRESOLUTION,""TAXMATTERS,""CONTINUING DISCLOSUREUNDERTAKING"and"DEFINITIONS"andinAppendicesAandF, insofarassuchstatementspurporttosummarizecertainprovisionsoftheBond Resolution,theLoanAgreements,theDisclosureCertificate,andtheBonds(otherthan anyfinancialorstatisticaldatacontainedinsuchsections,aboutwhichnoopinionis expressed),certainStateandfederallawsandtaxmattersandtheapprovingopinionof BondCounsel,aretrueandcorrectinallmaterialrespects. (F)TheBondsareexemptfromregistrationpursuanttotheSecuritiesActof 1933,asamended,andtheBondResolutionsareexemptfromqualificationasan indenturepursuanttotheTrustIndentureActof1939,asamended. 1:\Docs\37421742\WBC Supplemental Opinion.docx BoardofDirectors,AlaskaMunicipalBondBank RBCCapitalMarkets,LLC September 16,2015 Page3 (G)TheUnderwritersareherebyauthorizedtorelyuponthefinalapproving opinionrenderedinconnectionwiththeissuanceoftheBondsanddatedthedate hereof. Sincerely, aFORTH~?!~;LEDGE Cynthia L.Cartledge 1:\Docs\37421742\WBC Supplemental Opinion.docx WOHLFaRTH I BRECHT I CARTLEDGE A PROFESSIONAL CORPORATION Julius J.Brecht Cynthia L.Cartledge William A.Earnhart Michael Galli Nathaniel Parr Eric E.Wohlforth ATTORNEYS AT LAW 900 WEST 5TH AVENUE.SUITE 600 ANCHORAGE.ALASKA 99501-2048 September16,2015 TELEPHONE 907.276.6401 FACSIMILE 907.276.5093 WEBSITE WWW.AKATTY.COM NationalPublicFinanceGuaranteeCorporation Purchase,NewYork RE:$96,210,000AlaskaMunicipalBondBankGeneralObligationBonds, 2015SeriesThree(the"Bonds") LadiesandGentlemen: Thiswillconfirmthatyoumayrelyuponourapprovinglegalopinionasbond counselofevendateherewithwithrespecttotheBondsasfullyandcompletelyasifthe samewereaddressedtoyou. WehaveexaminedtheFinancialGuarantyAgreement,datedSeptember16, 2015,betweenyouandtheAlaskaMunicipalBondBank(the"Issuer")andsuchother documentsaswehavedeemednecessarytogivetheopinionsetforthherein.From suchexaminationitisouropinion,asofthisdateandunderexistinglawsoftheStateof Alaska,thattheFinancialGuarantyAgreementconstitutesalegal,validandbinding obligationoftheIssuer,enforceableinaccordancewithitsrespectiveterms,exceptas enforcementmaybelimitedbybankruptcy,insolvency,reorganization,moratoriumor similarlaworbyequitableprincipalsrelatingtocreditors'rightsgenerally. Thisopinionisgivenasofthedatehereof,andweassumenoobligationto update,reviseorsupplementthisopinionorreflectanyfactsorcircumstancesthatmay hereaftercometoourattentionoranychangesinlawthatmayhereafteroccur. Sincerely, WOHLFORTH,BRECHT &CARTLEDGE (7(/.-//r Cynthia L.Cartledge 1:\Docs\37421742\WBC Reliance Opinion.Docx ATTORNEY GENERAL'S CERTIFICATE ASTO LITIGATION AND OTHER MATTERS I,MARJORIE L.VANDOR,ChiefAssistantAttorneyGeneral,onbehalfofCraig W.Richards, AttorneyGeneraloftheStateofAlaska,HEREBYCERTIFY,withrespecttotheAlaskaMunicipalBond Bank(the"Bank")GeneralObligationBonds,2015SeriesThree(the"Bonds")asfollows.Alltermsnot definedhereinshallhavethemeaningassetforthintheBank'sGeneralBondResolution,adopted July13,2005,asamended,andSeriesResolutionNo.2015-04(S),adoptedAugust11,2015(together, the"BondResolutions"). A.IamaproperlyappointedandqualifiedChiefAssistantAttorneyGeneraloftheStateof Alaska(the"State"),presentlyservinginthatcapacityandauthorizedtosignthisdocumentonbehalfof theStateAttorneyGeneral. B.Tothebestofmyknowledge,allapprovals,consentsandordersofanyState governmentalauthority,board,agencyorcommissionhavingjurisdictionthatwouldconstituteconditions precedenttotheperformancebytheBankofitsobligationsundertheBondResolutions,theBonds,the LoanAgreements,theBondPurchaseContractandtheContinuingDisclosureCertificate,andthatcan bereasonablyobtainedatthistimehavebeenobtained. LoanAgreementsshallmeantheloanagreementsbyandbetween: 1.theBankandtheUniversityofAlaska; 2.theBankandtheCityofKingCove,Alaska; 3.theBankandtheHainesBorough,Alaska;and 4.theBankandtheKodiakIslandBorough,Alaska; (collectively,the"LoanAgreements"). C.ThereisnoStatelitigationorproceedingpending,ortomyknowledge,afterdueinquiry, threatened,inanywayaffectingtheexistenceoftheBank,orthetitlesofitsofficerstotheirrespective offices,orseekingtorestrainortoenjointheauthorization,sale,ordeliveryoftheBonds,ortheright, powerandauthorityoftheBanktoissuetheBondsandtocollecttheMunicipalBondPaymentspledged topaytheprincipalofandinterestontheBonds,orthepledgethereof,orinanywaycontestingor affectingthevalidityorenforceabilityoftheBondResolutions,theBonds,theLoanAgreements,theBond PurchaseContractortheContinuingDisclosureCertificate,orcontestingthepowersoftheBankorits authoritywithrespecttotheBondResolutions,theBonds,theLoanAgreements,theBondPurchase ContractortheContinuingDisclosureCertificate. D.Basedonmyexamination,IhavenoreasontobelievethatthematerialinthePreliminary OfficialStatementorOfficialStatementunderthecaption"LITIGATION"relatingtotheBankcontainsany untruestatementofamaterialfactoromitstostateamaterialfactnecessarytomakethestatements therein,inlightofthecircumstancesunderwhichtheyweremade,notmisleadinginanymaterial respects. DATEDthis16thdayofSeptember2015. CRAIGW.RICHARDS, ATTORNEYGENERAL Page1 1:\Docs\37421742IAG Certificate 2015 Series Three.Docx ~F 0STER PEP PER me September16,2015 RBCCapitalMarkets,LLC SanFrancisco,California MerrillLynch,Pierce,Fenner &Smith Incorporated Seattle,Washington Goldman,Sachs &Co. Seattle,Washington Re:AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree LadiesandGentlemen: WehaveservedascounseltoRBCCapitalMarkets,LLC,actingon behalf of itself and asrepresentative of MerrillLynch,Pierce,Fenner &Smith Incorporated andGoldman,Sachs & Co.(collectively,the "Underwriters"),in connection withtheissuance of the above-referenced bonds(the "Bonds")bytheAlaskaMunicipalBondBank(the "Issuer").Unlessotherwise definedherein,capitalized termsusedhereinwillhavethemeaningor meanings setforthinthe BondPurchaseContractdatedAugust26,2015(the "Purchase Contract"),betweentheIssuer andtheUnderwriters. InourcapacityascounseltotheUnderwriters,wehave examined originals,orcopies certifiedorotherwiseidentifiedtooursatisfactionasbeingtruecopies of originals,of the followingdocuments:(i)thePurchaseContract;(ii)theBond Resolution;(iii)theMunicipal BondsissuedbytheUniversityofAlaska.HainesBorough,KodiakIslandBoroughandtheCity of KingCove;(iv)theLoan Agreements betweentheIssuerandthe University of Alaska,Haines Borough,KodiakIsland Borough andtheCity of KingCove;(v)the Issuer's OfficialStatement relatingtotheBondsdatedAugust26,2015(the "Official Statement");(vi)theDisclosure Certificate;and(vii)thevariouscertificatesandopinions provided onthedate hereof pursuantto thePurchaseContract(collectively,the "Documents"). Wehaveassumed:(i)eachpartytotheDocumentsvalidlyexistsandhasandhadall necessarylegalandcorporateauthoritytoexecute,deliverand perform the Documents towhich itisaparty;(ii)the execution andperformance of the Documents andsuchotherdocumentsas maybeexecutedinconnectiontherewithbyeachsuchpartywillnotviolateorbreachanylaw, regulationorcorporateorotherdocumentorinstrumenttowhichsuch person ispartyorby whichitisbound;(iii)theDocumentsarelegal,validandbinding obligations of eachsuchparty totheextent purported tobesuch,enforceable inaccordancewiththeir respective terms;(iv)the genuineness of allsignaturesontheDocuments;(v)the authenticity andcompleteness of all Documentssubmittedtousasoriginals;(vi)thelegal competence of allnaturalpersonswho TEL 206.447.4400 FAX 206.447.9700 1111 THIRD AVENUE,SUITE3400 SEATTLE,WASHINGTON 98101·3299 www.FOSTER.cOM SEATTLE WASHINGTON SPOKANE WASHINGTON RBCCapitalMarkets,LLC MerrillLynch,Pierce,Fenner &Smith Incorporated Goldman,Sachs &Co. September 16,2015 Page2 havesignedthe Documents;and(vii)the conformity tooriginal Documents of all Documents submittedtousascopies. Basedontheforegoingandinreliancethereon,weare ofthe opinion that(i)theofferand sale of theBondsbythe Underwriters areexemptfromthe registration requirements of the SecuritiesAct of 1933,asamended;(ii)theBond Resolution is exempt from qualification under theTrustIndentureAct of 1939,asamended;and(iii)the Disclosure Certificateandthe PurchaseContract together provideasuitablebasisforthe Underwriters to reasonably determine, pursuantto paragraph (b)(5)of Rule15c2-12,thattheIssuerhas undertaken,inawritten agreementorcontractforthebenefit of theholders of theBonds,to provide theannualfinancial information andnoticesrequiredby paragraph (b)(5)of Rule15c2-12.In deliveringthe foregoing opinions (i)and (ii),wehaverelieduponlegal opinions of Wohlforth,Brecht & Cartledge,bondcounsel,totheextentthatsuchopinionsaddressthe validity of theBondsand the governmental status of theIssuer. Inthecourse of our participation inthe preparation of the Official Statement ascounsel tothe Underwriters,wehave examined information madeavailabletous,including legalmatters andcertainrecords,documents and proceedings.Wealso participated in telephone conferences andattendedmeetingswith,amongothers,representatives of theIssueranditsfinancialadvisor, theUniversity of Alaska,HainesBorough,KodiakIsland Borough andtheCity of KingCove andtheirrespectivecounsel,bondcounsel,theTrustee,the Underwriters andothers,during which conferences andmeetingsthecontents of theOfficial Statement werediscussed. Without undertaking todetermine independently orassumingany responsibility forthe accuracy,completeness orfairness of the statements containedintheOfficialStatement,we adviseyouthat,duringthecourse of theactivitiesdescribedinthe foregoing paragraph,no information cametothe attention of theattorneysinourfirm providing legalservicestothe Underwriters in connection withtheissuanceoftheBondsthatcausedsuchattorneystobelieve thattheOfficial Statement (exceptanyfinancial,economicor statistical datacontainedinthe Official Statement,any information containedintheOfficial Statement relatingtoDTCor regardinghowinterestontheBondsis treated forfederalorstateincometaxpurposes,andthe information containedin Appendices A,C,D,EandGtotheOfficial Statement,astoall of whichweexpressno opinion orbelief),as of itsdateandas of thedatehereof,contained or containsanyuntrue statement of amaterialfactoromittedoromitstostateamaterialfact requiredtobestated therein ornecessarytomakethe statements therein,inthelight of the circumstances inwhichtheyweremade,notmisleading. Thisletterisfurnishedbyusascounseltothe Underwriters,issolelyforthebenefit of the Underwriters andisnottobeused,quoted,circulatedor otherwise referred toinanyother way,nortobedisclosedtoanyotherperson(otherthanasmaybe required bylaw)withoutour expresspriorwritten permission. 51469327.1 RBCCapitalMarkets,LLC MerrillLynch,Pierce,Fenner &Smith Incorporated Goldman,Sachs &Co. September 16,2015 Page3 Theopinionssetforthinthisletteraredeliveredas of thedatehereof,andweassumeno responsibility toadviseanyperson of changesinlegalorfactual matters thatmayoccur subsequenttothedatehereof. Webringtoyour attention thefactthattheforegoingopinionsare expressions of our professional judgment onthemattersexpressly addressed anddonot constitute guarantees of result. Verytrulyyours, FOSTER PEPPER PLLC 51469327.1 •.-STANDARD &POOR'S'~tI RATINGS SERVICES McGRAW HILL FINANCIAL August 18,2015 State of Alaska Department of Revenue P.O.Box110405 Juneau,AK 99811--0400 Attention:Mr.Deven Mitchell,Debt Manager One California Street,31stFloor San Francisco,CA 94111·5432 tel 415 371·5000 reference no.:1406426 Re:US$155,065,000 Alaska Municipal Bond Bank,(State ofAlaska),Alaska,General Obligation And Refunding Bonds,Series2015 THREE,dated:Date ofdelivery,due: October 01,2044 Dear Mr.Mitchell: Pursuant toyour request foraStandard &Poor's RatingsServices ("Ratings Services")ratingon the above-referenced obligations,RatingsServiceshasassignedarating of "AA +".Standard & Poor'sviewsthe outlook forthisratingasnegative.Acopy of the rationale supporting theratingis enclosed. Thisletter constitutes Ratings Services'permission foryouto disseminate the above-assigned ratingstointerestedpartiesin accordance with applicable lawsand regulations.However, permission forsuch dissemination (other thanto professional advisorsboundby appropriate confidentiality arrangements)willbecome effective only after wehavereleasedtheratingon standardandpoors.com.Any dissemination onanyWebsitebyyouoryouragentsshallincludethe full analysis fortherating,including anyupdates,whereapplicable. Tomaintaintherating,Standard &Poor's mustreceiveall relevant financialandother information,including notice of material changes tofinancialandother information provided tous andin relevant documents,assoonassuch information isavailable.Relevant financialandother information includes,butisnotlimitedto,information aboutdirectbankloansanddebtanddebt- like instruments issuedto,or entered intowith,financial institutions,insurance companies and/or otherentities,whether ornot disclosure of such information wouldbe required underS.E.C.Rule I5c2-12.You understand that Ratings Services reliesonyouandyouragentsand advisors forthe accuracy,timeliness and completeness of the information submitted in connection withtherating andthe continued flow of material information aspart of the surveillance process.Pleasesendall information via electronic delivery to:pubfin statelocalgovt@standardandpoors.com.If SECrule 17g-5is applicable,youmaypostsuch information onthe appropriate website.Forany informationnot available in electronic formatorpostedonthe applicable website, Pleasesendhardcopiesto: Standard &Poor's Ratings Services PF Ratings U.S.(7/18/14) Page12 Public Finance Department 55 Water Street New York,NY 10041-0003 The rating is subject tothe Terms and Conditions,if any,attached tothe Engagement Letter applicable tothe rating.Inthe absence of such Engagement Letter and Terms and Conditions,the rating is subject tothe attached Terms and Conditions.The applicable Terms and Conditions are incorporated herein by reference. Ratings Services is pleased tohavethe opportunity to provide its rating opinion.For more information please visit our website at www.standardandpoors.com.If you have any questions, please contact us.Thank youfor choosing Ratings Services. Sincerely yours, Standard &Poor's Ratings Services tw enclosures cc:Mr.Chip Pierce,Financial Advisor Western Financial Group,LLC PF Ratings U.S.(7/18/14) Fitch Ratings August25,2015 Mr.DevenJ.Mitchell Executive Director AlaskaMunicipalBondBank Authority 333 Willoughby Avenue,11thFI. P.O.Box110405 Juneau,AK99811 DearMr.Mitchell: 33 Whitehall Street NewYork,NY 10004 T2129080500 180075 FITCH www.fitchratings.com FitchRatingshasassignedoneormoreratingsand/or otherwise takenratingaction(s),asdetailedinthe attachedNoticeofRatingAction. Inissuingandmaintainingitsratings,Fitchreliesonfactualinformationitreceivesfromissuersand underwriters andfromothersourcesFitchbelievestobecredible.Fitchconductsareasonable investigationofthefactualinformationrelieduponbyitin accordance withitsratingsmethodology,and obtains reasonable verificationofthatinformationfrom independent sources,totheextentsuchsources areavailableforagivensecurityorinagiven jurisdiction. ThemannerofFitch'sfactualinvestigationandthescopeofthe third-party verificationitobtainswillvary dependingonthenatureoftheratedsecurityanditsissuer,therequirementsandpracticesinthe jurisdiction inwhichtheratedsecurityisofferedandsoldand/ortheissuerislocated,the availability and natureofrelevantpublicinformation,accesstothe management oftheissueranditsadvisers,the availability ofpre-existing third-partyverifications suchasauditreports,agreed-upon procedures letters, appraisals,actuarialreports,engineeringreports,legal opinions andotherreportsprovidedbythird parties,the availability of independent and competent third-party verificationsourceswithrespecttothe particular security orinthe particular jurisdiction oftheissuer,andavarietyofotherfactors. UsersofFitch'sratingsshouldunderstandthatneitheranenhancedfactualinvestigationnoranythird- partyverificationcanensurethatalloftheinformationFitchreliesoninconnectionwitharatingwillbe accurateandcomplete.Ultimately,theissuerandits advisers areresponsibleforthe accuracy ofthe informationtheyprovidetoFitchandtothemarketinoffering documents andotherreports.Inissuing itsratingsFitchmustrelyontheworkofexperts,including independent auditorswithrespecttofinancial statementsandattorneyswithrespecttolegalandtaxmatters.Further,ratingsare inherently forward- lookingandembody assumptions andpredictionsaboutfutureeventsthatbytheirnaturecannotbe verifiedasfacts.Asaresult,despiteanyverificationofcurrentfacts,ratingscanbeaffectedbyfuture eventsorconditionsthatwerenotanticipatedatthetimearatingwasissuedoraffirmed. Fitchseeksto continuously improveitsratingscriteriaand methodologies,and periodically updatesthe descriptions onitswebsiteofitscriteriaand methodologies forsecuritiesofagiventype.Thecriteriaand methodology usedtodeterminearatingactionarethoseineffectatthetimetheratingactionistaken, whichforpublicratingsisthedateoftherelatedratingaction commentary.Eachratingaction commentary providesinformationaboutthecriteriaand methodology usedtoarriveatthestatedrating, whichmaydifferfromthegeneralcriteriaand methodology forthe applicable securitytypepostedonthe websiteatagiventime.Forthisreason,youshouldalwaysconsulttheapplicableratingaction commentary forthemostaccurateinformationonthebasisofanygivenpublicrating. Ratingsarebasedonestablishedcriteriaand methodologies thatFitchiscontinuouslyevaluatingand updating.Therefore,ratingsarethecollectiveworkproductofFitchandnoindividual,orgroupof individuals,issolelyresponsibleforarating.AllFitchreportshavesharedauthorship.Individuals identifiedinaFitchreportwereinvolvedin,butarenotsolelyresponsiblefor,the opinions statedtherein. Theindividualsarenamedforcontactpurposesonly. Ratingsarenota recommendation orsuggestion,directly orindirectly,toyouoranyotherperson,tobuy, sell,makeorholdanyinvestment,loanor security ortoundertakeany investment strategy withrespectto anyinvestment,loanorsecurityoranyissuer.Ratingsdonot comment onthe adequacy ofmarketprice, the suitability ofanyinvestment,loanor security fora particular investor (including without limitation,any accountingand/or regulatory treatment),orthe tax-exempt natureor taxability ofpaymentsmadein respectofanyinvestment,loanorsecurity.Fitchisnotyouradvisor,norisFitchprovidingtoyouorany otherpartyanyfinancialadvice,oranylegal,auditing,accounting,appraisal,valuationoractuarial services.Aratingshouldnotbeviewedasa replacement forsuchadviceorservices. The assignment ofaratingbyFitchdoesnot constitute consent byFitchtotheuseofitsnameasan expert in connection withany registration statement or other filings under US,UKorany other relevant securities laws.Fitch does not consent tothe inclusion ofitsratingsinany offering document inany instance inwhichUS,UKoranyother relevant securities laws requires suchconsent.Fitchdoesnot consent tothe inclusion ofanywrittenletter communicating itsratingactioninany offering document. You understand thatFitchhasnot consented to,andwillnot consent to,beingnamedasan expert in connection withany registration statement orother filings under US,UKorany other relevant securities laws,including butnotlimitedtoSection7oftheU.S.Securities Actof1933.Fitchisnotan underwriter or seller asthosetermsaredefined under applicable securities lawsor other regulatory guidance,rulesor recommendations,including without limitation Sections 11and 12(a)(2)oftheU.S. Securities Actof1933,norhasFitch performed therolesortasks associated withan underwriter or seller under this engagement. Itis important thatyou promptly provide uswithall information thatmaybematerialtotheratingsso thatour ratings continue tobe appropriate.Ratings mayberaised,lowered,withdrawn,orplacedon Rating Watch dueto changes in,additions to,accuracy oforthe inadequacy of information orforany other reasonFitch deems sufficient. Nothing inthisletteris intended toorshouldbe construed as creating a fiduciaryrelationship between Fitchandyouor between usandanyuseroftheratings. Inthisletter,Fitch means FitchRatings,Inc.andany successor ininterest. Weare pleased tohavehadthe opportunity tobeof service toyou.ifwecanbeof further assistance, pleasefeelfreeto contact usatanytime. Jeff Schaub Managing Director,Operations U.S.Public Finance I Global Infrastructure &Project Finance JS/mb Enc:NoticeofRatingAction (DocID:199938) Bond Description NoticeofRating Action RatingType ~ Outlook! Rl!ting Wi!tM ~ Alaska Municipal BondBank Authority (AK)GO& rfdg bonds ser2015seriesThree LongTermNewRating AA+RO:Sta 19-Aug- 2015 Key:RO:RatingOutlook,RW:RatingWatch;Pas:Positive,Neg:Negative,Sta:Stable,Eva:Evolving (Doc10:199938)Page 1 of 1 ~FOSTER PEPPERPlLC August 19,2015 BLUE SKY MEMORANDUM $155,065,000' ALASKA MUNICIPAL BONDBANK GENERAL OBLIGATION AND REFUNDING BONDS,2015 SERIES THREE RBCCapitalMarkets,LLC MerrillLynch,Pierce,Fenner &Smith Incorporated Goldman,Sachs &Co. LadiesandGentlemen: This Memorandum relatestothe requirements of thesecuritiesor "Blue Sky"laws of the jurisdictions listedbelowwithrespecttotheoffering of the above-captioned bonds (the "Bonds")bypersonslicensedor registered ineach jurisdiction listedasabrokerordealer (orproperly exempted fromlicensingor registration requirements): •Tothegeneralpublicinthe jurisdictions listedin SECTION I:SALES TO THE GENERAL PUBLIC,and •To selected classes of personsor institutional investorsinthe jurisdictions listedin SECTION II:SALES TO SPECIFIED INSTITUTIONS AND DEALERS. This Memorandum isbaseduponan examination of Section18 of theSecuritiesAct of 1933,as amended,statements containedinthe Preliminary OfficialStatementfortheBonds,dated August19,2015,andthesecuritieslaws ofthe several jurisdictions andtherulesandregulations, where published,of the authorities administering suchlaws,allassetforthinunofficial compilations availabletousoruponinformal interpretive adviceor "no-action"lettersobtained fromcertainsecurities commissions ortheir representatives relatingtotheBondsorsimilar securities.It isnoted,however,thatthe securities laws of certain jurisdictions providethatthe burden of claiming an exemption isuponthepersonclaimingtheexemptionandthatinformal interpretiveadviceand "no-action"lettersarenot necessarily bindinguponacourt of law. *Preliminary,subjecttochange. Inpreparingthis Memorandum,wehaverelieduponour understanding ofthe following: •TheAlaskaMunicipalBondBank(the"BondBank")isaninstrumentality of theState of Alaska,isexercisingessentialgovernmentalfunctions,andisempoweredbythelaws ofthe State of Alaskatoissuegeneralobligationsecuritiestowhichthefullfaithandcredit ofthe BondBankarepledgedforthepunctualpayment ofthe principalandinterest. •Theproceeds of theBondsarebeingusedforthefollowingpurposes:(i)tomakefive loansto Governmental Unitsfornewmoneypurposes;(ii)torefundbondspreviously issuedbytheBondBank;and(iii)topayaportion of thecosts of issuance of theBonds. Theproceeds of the Bonds tobeusedfornewmoneypurposesinclude:(a)aloantothe University of Alaska topayaportion of thecosts of constructing anewCombinedHeat andPowerPlantatthe University's Fairbanks campus;(b)aloantoHainesBoroughfor mechanicalsystem upgrades and replacement of anairhandlingunitatHainesHigh School;(c)twoloanstothe Kodiak IslandBoroughforexpansion of KodiakHighSchool andforvariousrenewaland replacement projectsinBoroughschools;and(d)aloanto theCity of KingCovetopayaportion of thecoststoconstructa run-of-the-river hydroelectricfacility. •None ofthe BondBank,theGovernmentalUnitsoranyguarantor ofthe Bondsisindefault astoprincipalorinterestwithrespecttoanobligationissuedbytheBondBankorthe GovernmentalUnitsoranobligationguaranteedbyanyguarantororasuccessortosuch guarantor.TherearenodefaultswithrespecttothesecurityfortheBonds,andthereareno adjudicationsorpendingsuitsaffectingthevalidity of thesecurity. •The Governmental Units,astheborrowers of theBondproceeds,arepoliticalsubdivisions oftheState of Alaska. •TheBond Bank's financialstatementsarepreparedinaccordancewithgenerally accepted accounting principles. Weareattorneys admitted to practice intheState of Alaskaandwehaveobtainedneither opinions of counselin other jurisdictions norformalrulingsfromstateregulatorycommissions, departmentsorother administrative bodiesorofficials.Statements madeorconclusions expressed inthis Memorandum aresubjecttochangeuponexercise of broad discretionary powersvestedin administrative authorities authorizing them,amongotherthings,towithdraw exemptions,toimpose additional requirements,torefuse registrations ortoissuestoporders. Inviewoftheforegoing limitations,this Memorandum isfurnishedonlyforthegeneral information of the underwriters towhomitisaddressedandisnottoberelieduponasanopinion of counsel. ThisMemorandumdoesnot purport tocoverthe requirements underany of thelawsofthe jurisdictions enumerated hereinwithrespecttothe registration orlicensing of dealers,brokers,or sellers;theformor substance of advertising;orthelegality of investmentsintheBondsbyany institutionalinvestorwhichis subject tostatutoryorother restrictions astoitsinvestmentsorany resale of theBondsbyany person whomaypurchasetheminthepresentoffering. 2 SECTION I:SALES TO THE GENERAL PUBLIC It isassumedforthe purposes of SectionIthatoffersandsalestothegeneralpublicwillbemade onlybysellerswhoare registered orlicensed appropriately under(or properly exempted from) therelevant jurisdiction's registrationorlicensing requirements.Wehavenotinvestigated,nor havewebeen asked to investigate,the applicability of or exemption frombroker,dealerorseller licensingorregistration requirements.Wealsonotethatcertain jurisdictions mayrequirethat advertisingmaterialsrelatingtothesale of theBondsbefiledwiththelocalsecuritieslaw administrator.Wehavenot reviewed thoselawsin connection withthis Memorandum. A.Jurisdictions Where Action IsNot Required It isbelievedthatoffersandsales of theBondsmaybemadein any amount to anyone in the following jurisdictions without registering theBondsorcompletingnoticefilingswiththelocal securities administrator. AlabamaHawaii Massachusetts NewMexicoSouthDakota Alaska Idaho MichiganNewYorkTennessee Arizona Illinois Minnesota North Carolina Texas Arkansas Indiana Mississippi NorthDakotaUtah California Iowa MissouriOhio Vermont ColoradoKansas Montana Oklahoma Virginia Connecticut Kentucky Nebraska Oregon Washington Delaware Louisiana Nevada Pennsylvania West Virginia Dist.of Columbia Maine New Hampshire RhodeIsland Wisconsin Florida Maryland New JerseySouth Carolina Wyoming Georgia B.Jurisdictions Where Action Is Required It isbelievedthatoffersandsales of theBondsmaybemadeinthefollowingstates of theUnited States onlyafter certainfilingshavebeenmade,certainstatefeeshavebeenpaidorinformation sufficienttosupportaclaim of exemption hasbeenobtained: None The Bonds may not be offered or soldto the general public in the states listed in this section unless and until a notice filing or other required action is completed.However,certain transactional exemptions maybeavailableforsalestoinstitutionalinvestorsasdescribedin SectionII ofthis Memorandum. SECTION II:SALES TO SPECIFIED INSTITUTIONS AND DEALERS Even if any of the exemptions reviewedinSectionIweretobeappliedorinterpretednotto permitoffersandsalestobemadetothepublicgenerally,it isbelievedthatoffersandsales of 3 theBondsmaybemadeinanyamounttocertainspecific institutions ("Institutional Investors") inthefollowing jurisdictions subjecttoany qualifications noted. Thefollowinglist of transactional exemptions providesthename of each jurisdiction examined andadescription of those Institutional Investorstowhichoffersandsalesmaybemadewithout completing local registration ornoticefiling,and without waiting tocompleteanyactionthat mightbenecessarytoqualifytheBondsforoffersandsalestothegeneralpublic. Aswiththe exemptions described inSection I,itisassumedthatoffersandsalestoInstitutional Investorswillbemadeonlybysellerswhoare registered orlicensed appropriately under(or properly exemptedfrom)therelevant jurisdiction's registration orlicensing requirements.We havenotinvestigated,norhavewebeenaskedtoinvestigate,the applicability of orexemption frombroker,dealeror seller licensingorregistration requirements.The descriptions belowdo not constitute representations astothe suitability of the Bonds for purchase bythe institutions listed,orasto whether theissuerhas designated the bonds as "Bank Qualified."Nosuch assumption maybedrawn from the listings provided below. AlabamaToanybank,savingsinstitution,creditunion,trustcompany,insurancecompanyorinvestmentcompanyas definedintheInvestmentCompanyAct of 1940,pensionorprofit-sharingtrustorotherfinancialinstitution orinstitutionalbuyer,ortoadealer,whetherthe purchaser isactingfor itself orinsomefiduciarycapacity. Alaska Toabank,savings institution,trustcompany,insurancecompany,investmentcompaniesdefinedin15 U.S.c.80a-1through80a-64(InvestmentCompanyAct of 1940),pensionorprofit-sharingtrust,orother financialinstitutionorinstitutionalbuyer,ortoabroker-dealer,whetherthepurchaserisactingfor itself orin somefiduciarycapacity. ArizonaToabank,asavings institution,atrustcompany,aninsurancecompany,aninvestmentcompanyasdefined intheInvestmentCompanyActof1940,apensionor profit-sharing trustorother financial institutionor institutionalbuyeroradealerwhetherthepurchaserisactingfor itself orinafiduciarycapacity. ArkansasToabank,savingsinstitution,trustcompany,insurancecompany,investmentcompanyasdefinedinthe Investment CompanyActof1940,pensionor profit-sharing trust,orotherfinancialinstitutionorinstitutional buyer,ortoabroker-dealer,whetherthepurchaserisactingfor itself orinsomefiduciarycapacity.The ArkansasSecurities Commissioner maybyorder,uponpetitionbyanyperson,determine if thepetitioner maybedeemed,uponthebasis of knowledge,experience,volume,andnumberoftransactions,andother securitiesbackground,an"institutionalbuyer." CaliforniaToabank,savingsandloanassociation,trustcompany,insurancecompany,investmentcompanyregistered undertheInvestmentCompanyActof1940,pensionorprofit-sharingtrust(otherthanapensionor profit-sharingtrustoftheissuer,aself-employedindividualretirementplan,orindividualretirement account),orotherinstitutionalinvestororgovernmentalagencyorinstrumentalitythattheCalifornia Commissionerof Corporations maydesignatebyrule,whetherthepurchaserisactingforitselforastrustee, ortoanycorporationwithoutstandingsecuritiesregisteredunderSection12oftheSecuritiesExchangeAct of1934oranywhollyownedsubsidiaryofthecorporationthataftertheofferandsalewillowndirectlyor indirectly100%of theoutstandingcapitalstock of theissuer,providedthepurchaserrepresentsthatitis purchasingforitsownaccount (or forthetrustaccount)forinvestmentandnotwithaviewtoorforsalein connectionwithanydistributionofthesecurity. ColoradoTo(i)afinancialorinstitutionalinvestor,whichincludesany of thefollowing,whetheractingforitselfor othersinafiduciarycapacity:(a)adepositoryinstitution;(b)aninsurancecompany;(c)aseparateaccount of aninsurancecompany;(d)aninvestmentcompanyregisteredunderthefederalInvestmentCompanyActof 1940;(e)abusinessdevelopmentcompanyasdefinedinthefederalInvestmentCompanyAct of 1940;(f) anyprivatebusiness development companyasdefinedinthefederalInvestmentAdvisersActof1940;(g)an employeepension,profit-sharing,orbenefitplaniftheplanhastotalassetsinexcess of $5,000,000orits investmentdecisionsaremadebyanamedfiduciary,asdefinedinthefederalEmployeeRetirementIncome SecurityAct of 1974,thatisabroker-dealerregisteredunderthefederalSecuritiesExchangeAct of 1934,an investmentadviserregisteredorexemptfromregistrationunderthefederalInvestmentAdvisersActof1940, adepositoryinstitution,oraninsurancecompany;(h)anentity,butnotanindividual,asubstantialpartof whosebusinessactivitiesconsistofinvesting,purchasing,selling,ortradinginsecuritiesofmorethanone issuerandnotofitsownissueandthathastotalassetsinexcess of $5,000,000as of theendofitslatestfiscal 4 year:(i)asmall business investment companylicensedbythefederalSmallBusiness Administration under thefederalSmall Business Investment Actof1958;and G)anyother institutional buyeror(ii)toabroker dealer,whether the purchaser isactingfor itself orinsomefiduciarycapacity. Connecticut..Toanystatebankandtrust company,nationalbankingassociation,savingsbank.savingsandloan association,federalsavingsandloan association,federalsavingsbank,creditunion,federalcreditunion,trust company,insurance company,investment companyasdefinedinthe Investment Company Actof1940, pensionor profit-sharing trust,otherfinancial institution,or institutional buyer,or broker-dealer whether the purchaser isactingfor itself orinsomefiduciarycapacity. DelawareToabank,savings institution,trustcompany,insurancecompany,investment companyasdefinedinthe Investment Company Act of 1940,pensionor profit-sharing trust,orotherfinancialinstitutionorinstitutional buyer,ortoa broker-dealer,whether the purchaser isactingfor itself orinsomefiduciarycapacity. Dist.of Columbia...Toany of thefollowing,whether actingfor itself orinafiduciarycapacity:(i)adepositoryinstitution;(ii)an insurancecompany;(iii)a separate account of aninsurancecompany;(iv)an investment company registered underthe Investment Company Act of 1940;(v)abusiness development companyasdefinedinthe Investment CompanyAct of 1940;(vi)anemployeepension,profit-sharing,orbenefitplanif:(a)theplan hastotalassetsinexcess of $5,000,000,or(b)its investment decisions aremadebyanamedfiduciary,as definedinthe Employee Retirement IncomeSecurityAct of 1974,thatiseithera broker-dealer registered underthe Securities Exchange Act of 1934,an investment adviser registered orexemptfrom registration underthe Investment Advisers Act of 1940,adepository institution,oraninsurancecompany;(vii)a qualified institutional buyerasdefinedinSECRule144A,17C.F.R.§230.144A;(viii)a broker-dealer;(ix) anaccredited investor as defined inSECRule501(a),17C.F.R.§230.501(a);(x)alimitedliabilitycompany withnetassets of atleast $500,000. Florida Toabank,trust company,savings institution,insurancecompany,dealer,investmentcompanyasdefinedby the Investment Company Act of 1940,orpensionor profit-sharing trust,orqualified institutional buyeras definedbyrule of the Florida Financial Services Commission in accordance withSecuritiesandExchange Commission Rule144A(17C.F.R.230.144(A)(a)),whetherany of suchentitiesisactinginitsindividualor fiduciarycapacity;provided thatsuchofferorsale of securitiesisnotforthedirectorindirectpromotion of anyschemeor enterprise withtheintent of violating orevadingany provision of theFloridaSecuritiesand Investor Protection Act. Georgia To(i)an institutional investor,whichincludesany of thefollowing,whether actingfor itself orforothersina fiduciarycapacity:(a)a depository institution or international banking institution;(b)aninsurancecompany; (c)aseparate account of an insurance company;(d)an investment companyasdefinedinthe Investment CompanyAct of 1940,etseq.;(e)a broker-dealer registered underthe Securities Exchange Act of 1934;(f) an employee pension,profit-sharing,or benefit plan if theplanhastotalassetsinexcess of $10,000,000orits investment decisions aremadebya named fiduciary,asdefinedinthe Employee Retirement IncomeSecurity Act of 1974,thatisa broker-dealer registered underthe Securities ExchangeAct of 1934,an investment adviser registered or exempt from registration underthe Investment AdvisersAct of 1940,aninvestment adviser registered under the Georgia Uniform Securities Act of 2008,adepositoryinstitution,oran insurance company;(g)aplan established and maintained byastate,apolitical subdivision of astate,oranagencyor instrumentality of astateora political subdivision of astateforthebenefit of itsemployees if theplanhas totalassetsinexcess of $10,000,000 orits investment decisionsaremadebyadulydesignatedpublicofficial orbyanamedfiduciary,asdefinedintheEmployee Retirement IncomeSecurityAct of 1974,thatisa broker-dealer registered underthe Securities ExchangeAct of 1934,an investment adviser registered or exemptfrom registration under the Investment AdvisersAct of 1940,an investment adviserregisteredunder the Georgia Uniform Securities Act of 2008,adepository institution,oraninsurancecompany;(h)atrustifit hastotalassetsinexcess of $10,000,000,itstrusteeisadepository institution,andits participants are exclusivelyplans of thetypes identified inclauses (f)or(g)above,regardless of thesize of theirassets, exceptatrustthat includes as participants self-directed individual retirement accountsorsimilar self-directed plans;(i)an organization thatisnotformedforthespecificpurpose of acquiring the securities offered,with totalassetsinexcess of $10,000,000,including an organization described in subsection 501(c)(3)of the InternalRevenueCode,a corporation,a Massachusetts trustorsimilar business trust,alimitedliability company,ora partnership;G)asmallbusiness investment companylicensedbytheSmallBusiness Administration underSection301(c)of theSmall Business Investment Act of 1958,withtotalassetsin excess of $10,000,000;(k)a private business development companyasdefinedinSection202(a)(22)of the Investment Advisers Act of 1940,withtotalassetsinexcess of $10,000,000;(1)afederalcovered investment adviseracting tor itsown account;(m)aqualified institutional buyerasdefinedinRule 144A(a)(I),other thanRule 144A(a)(I)(H),adoptedundertheSecuritiesActof1933;(n)amajorUnitedStatesinstitutional investorasdefinedinRule 15a-6(b)(4)(I),adoptedundertheSecurities Exchange Act of 1934;(0)another person,otherthanan individual,of institutional character withtotalassetsinexcess of $10.000,000 not organized forthe specific purpose of evading theGeorgiaUniform Securities Actof2008:or;(ii)afederal 5 covered investment adviser;or(iii)any other person exempted byruleor order issued under the Georgia Uniform Securities Act of 2008. Hawaii To(i)an institutional investor which includes any of the following,whether acting for itself orfor others ina fiduciary capacity:(a)a depository institution or international banking institution;(b)an insurance company; (c)a separate account of an insurance company;(d)an investment company asdefinedinthe Investment Company Act of 1940;(e)a broker-dealer registered under the Securities Exchange Act of 1934;(f)an employee pension,profit-sharing,or benefit planiftheplanhastotalassetsinexcess of $10,000,000 orits investment decisions aremadebya named fiduciary,as defined inthe EmployeeRetirement Income Security Act of 1974,thatisa broker-dealer registered under the Securities Exchange Act of 1934,an investment adviser registered or exempt from registration underthe Investment Advisers Act of 1940,an investment adviser registered under the Hawaii Uniform Securities Act (2002),a depository institution,oran insurance company;(g)aplan established and maintained byastate,a political subdivision ofastate,oran agency or instrumentality of astateora political subdivision of astateforthe benefit of its employees,if the plan has total assets in excess of $1 0,000,000 orits investment decisions aremadebyaduly designated public official orbyanamed fiduciary,as defined inthe EmployeeRetirement IncomeSecurity Act of 1974,that isa broker-dealer registered under the Securities Exchange Act of 1934,an investment adviser registered or exempt from registration under the Investment Advisers Act of 1940,an investment adviser registered under theHawaii Uniform Securities Act (2002),a depository institution,oran insurance company;(h)atrust,if it hastotalassetsin excess of $10,000,000,its trustee isa depository institution,andits participants are exclusively plans of thetypes identified in clause (f)or(g)above,regardless of thesize of their assets,except a trust that includes as participants self-directed individual retirement accounts or similar self-directed plans; (i)an organization described in Section 501(c)(3)of the Internal Revenue Code(26U.S.C.501 (c)(3», corporation,Massachusetts trustor similar business trust,limitedliability company,or partnership,not formedforthe specific purpose of acquiring the securities offered,withtotal assets in excess of $10,000,000; (j)a small business investment company licensed bytheSmall Business Administration under Section 301(c) of theSmall Business Investment Act of 1958(15 U.S.c.681(c»withtotalassetsin excess of $10,000,000; (k)a private business development company as defined in Section 202(a)(22)of the Investment Advisers Act of 1940(15 U.S.c.80b-2(a)(22»withtotalassetsinexcess of $10,000,000;(I)afederal covered investment adviser acting foritsown account;(m)a "qualified institutional buyer"as defined in Rule 144A(a)(I),other thanRule 144A(a)(I)(i)(H),adopted under the Securities Act of 1933(17C.F.R.230.I44A);(n)a major U.S. institutional investor as defined inRule 15a-6(b)(4)(i)adopted under the Securities Exchange Act of 1934(17 C.F.R.240.15a-6);(0)any other person,other thanan individual,of institutional character with total assetsin excess of $1 0,000,000,not organized forthe specific purpose of evading the Hawaii Uniform Securities Act (2002);or(p)any other person specified byrule adopted or order issued under the Hawaii Uniform Securities Act (2002);(ii)a federal covered investment advisor;or(iii)any other person expended byrule adopted or order issued under the Hawaii Uniform Securities Act(2002). Idaho To(i)an institutional investor which includes any of the following whether actingfor itself orfor others ina fiduciary capacity:(a)a depository institution,atrust company organized or chartered under thelaws of Idaho,oran international banking institution;(b)an insurance company;(c)a separate account of an insurance company;(d)an investment company as defined inthe Investment Company Act of 1940,ascited in section 30-14-103,IdahoCode;(e)a broker-dealer registered under the Securities Exchange Act of 1934, ascitedin section 30-14-103,Idaho Code;(f)an employee pension,profit-sharing,or benefit planiftheplan hastotalassetsin excess of $10,000,000 orits investment decisions aremadebyanamed fiduciary,as defined inthe Employee Retirement Income Security Act of 1974,thatisa broker-dealer registered under the Securities Exchange Act of 1934,an investment adviserregistered or exempt from registration under the Investment Advisers Act of 1940,an investment adviser registered under theIdaho Uniform Securities Act (2004),a depository institution,oran insurance company;(g)aplan established and maintained byastate,a political subdivision of astate,oran agency or instrumentality of astateora political subdivision of astate forthe benefit of its employees,ifthe plan hastotalassetsinexcess of $10,000,000 orits investment decisions are made byaduly designated public official orbya named fiduciary,as defined inthe Employee Retirement Income Security Act of 1974,that isa broker-dealer registered under the Securities Exchange Act of 1934,an investment adviser registered or exempt from registration under the Investment Advisers Act of 1940,an investment adviser registered under theIdaho Uniform Securities Act (2004),a depository institution,oran insurance company;(h)atrust,ifithastotal assets in excess of $10,000,000,its trustee isa depository institution,andits participants are exclusively plans of thetypes identified inclause (f)or(g) above,regardless of thesize of their assets,except atrustthat includes as participants self-directed individual retirement accounts or similar self-directed plans;(i)an organization described in section 501(c)(3)of the Internal Revenue Code(26 U.S.C.501(c)(3»,a corporation,a Massachusetts trustor similar business trust,a limited liability company,ora partnership,notformedforthe specific purpose of acquiring the securities offered,withtotalassetsin excess of $10,000,000;(j)asmall business investment company licensed bythe Small Business Administration under section 301(c)of theSmall Business Investment Act of 1958(15 U.S.c.681(c»withtotalassetsinexcess of $10,000,000;(k)a private business development company as defined in section 202(a)(22)of the investment advisers act of 1940(15 U.S.c.80b-2(a)(22»withtotalassets inexcess of$10,000,000;(I)afederal covered investment adviser actingforitsown account;(m)a "qualified 6 institutionalbuyer"asdefinedinrule 144A(a)(I),otherthanruleI 44A(a)(I )(i)(H),adoptedunderthe Securities Act of 1933(17CFR 230.144A);(n)amajorU.S.institutionalinvestorasdefinedinrule 15a-6(b)(4)(i)adoptedunderthe Securities Exchange Act of 1934(17CFR 240.15a-6);(0)anyotherperson, otherthanan individual,of institutional character withtotalassetsinexcess of $I 0,000,000 not organized for the specific purpose of evadingtheIdaho Uniform Securities Act (2004);or(p)anyotherperson specified by aruleadoptedoranorderissuedundertheIdahoUniform Securities Act(2004);(ii)afederalcovered investment advisor;or(iii)anyotherperson exempted byaruleadoptedoranorderundertheIdahoUniform SecuritiesAct(2004). Illinois Toanycorporatiou,bank,savingsbank,savings institution,savingsandloauassociation,trustcompany, insuraucecompany,buildingandloanassociation,dealer,pensionfund,pension trust,employees' profit-sharing trust,otherfinancialor institutional investor,government orpolitical subdivision or instrumentalitythereof,whether the purchaser isactingfor itself orinsomefiduciarycapacity;partnership or other association engaged asa substantial part of itsbusinessor operations in purchasing orholding securities;trustin respect of whichabankortrustcompanyistrusteeorco-trustee;entityin which atleast 90%oftheequityisownedbycertaininstitutionalor sophisticated personsas described inSections4(C), (H),or(S)of theIllinoisSecuritiesLaw of 1953;employeebenefitplanwithinthemeaning of TitleI of the federalERISAActif(i)investment decisions aremadebyaplanfiduciaryasdefinedinSection3(2I)of the federalERISAActandsuchplanfiduciaryiseitherabank,savingsandloan association,insurancecompany, registered investment advisor,oran investment advisor registered underthefederal1940 Investment AdvisersAct,(ii)theplanhastotalassetsinexcess of $5,000,000,or(iii)inthecase of a self-directed plan, investment decisionsaremadesolelybycertain institutional or sophisticated personsasdescribedinSections 4(C),(D),(H),or(S)of theIllinois Securities Law of 1953;plan established or maintained byandforthe benefit of the employees of anystateorpolitical subdivision oragencyor instrumentality thereof ifsuchplan hastotalassetsinexcess of $5,000,000;an organization describedinSection501(c)(3)of theInternal RevenueCode of 1986,Massachusetts or similar businesstrust,or partnership,ifsuch organization,trustor partnership hastotalassetsinexcess of $5,000,000. Indiana To(i)aninstitutionalinvestor,which includes any of thefollowing,whether actingfor itself orforothersina fiduciarycapacity:(a)adepository institution or international banking institution,(b)aninsurancecompany, (c)a separate account of an insurance company,(d)an investment companyasdefmedinthe Investment CompanyAct of 1940,(e)a broker-dealer registered undertheSecuritiesExchangeAct of 1934,(f)an employeepension,profit-sharing,or benefit plan if theplanhastotalassetsinexcess of $10,000,000 orits investment decisionsaremadebya named fiduciary,asdefinedinthe Employee Retirement IncomeSecurity Act of 1974,thatisa broker-dealer registered under theSecurities Exchange Act of 1934,an investment adviser registered or exempt from registration underthe Investment AdvisersAct of 1940,an investment adviser registered under theIndianaUniformSecuritiesAct,adepository institution,oraninsurance company,(g)aplan established and maintained byastate,apolitical subdivision of astate,oranagencyor instrumentality of astateora political subdivision of astateforthebenefit of its employees,if theplanhas totalassetsinexcess of $I 0,000,000 orits investment decisionsaremadebyaduly designated publicofficial orbyanamedfiduciary,asdefmedinthe Employee Retirement IncomeSecurity Act of 1974,thatisa broker-dealer registered underthe Securities Exchange Act of 1934,an investment adviser registered or exemptfrom registration underthe Investment Advisers Act of 1940,an investment adviser registered under the Indiana Uniform Securities Act,a depository institution,oraninsurancecompany,(h)atrust,ifithas totalassetsinexcess of $10,000,000,itstrusteeisa depository institution,andits participants are exclusively plans of thetypes identified inclause (f)or(g)above,regardless of thesize of theirassets,exceptatrustthat includesas participants self-directed individual retirement accountsor similar self-directed plans,(i)an organization described inSection 501(c)(3)of theInternalRevenueCode(26 U.S.c.50I(c)(3)),corporation, Massachusetts trustorsimilar business trust,limitedliabilitycompany,or partnership,notformedforthe specificpurpose of acquiring the securities offered,withtotalassetsinexcess of $10,000,000,OJ asmall business investment companylicensedbytheSmallBusiness Administration underSection301(c)of the Small Business Investment Act of 1958(15 U.S.c.681(c))withtotalassetsinexcess of $1O,OOO,OOO,(k)a private business development company,as defined inSection202(a)(22)of the Investment AdvisersAct of 1940(15 U.S.c.80b-2(a)(22))withtotalassetsinexcess of $10,000,000,(I)afederalcovered investment adviseractingforitsownaccount,(m)a qualified institutional buyer,asdefiuedinRule 144A(a)(I),other thanRule 144A(a)(I)(i)(H),adopted under the Securities Act of 1933 (17CFR230.I44A),(n)amajorU.S. institutional investor,asdefinedinRule15a-6(b)(4)(i)adoptedundertheSecuritiesExchangeAct of 1934 (17CFR 240.15a-6).(0)anyotherperson,otherthananindividual,ofinstitutional character withtotalassets inexcess of $10,000,000 not organized forthespecificpurpose of evadingthe Indiana Uniform Securities Act,or(p)anyotherperson specified byruleadoptedororderissuedunderthe Indiana Uniform Securities Act(ii)afederalcovered investment advisor;or(iii)anyotherpersonexemptedbyruleadoptedororder issuedunderthe Indiana Uniform Securities Act. Iowa To(i)an institutional investor,which includes any of thefollowing,whether actingfor itself orforothersina fiduciarycapacity:(a)a depository institution or international banking institution,(b)aninsurancecompany, (c)aseparate account of an insurance company;(d)an investment companyasdefinedinthe Investment 7 Company Act of 1940,(e)a broker-dealer registered under the Securities Exchange Act of 1934;(I)an employee pension,profit-sharing,or benefit plan if theplanhastotalassetsinexcess of $5,000,000 orits investment decisions are made bya named fiduciary,as defined inthe EmployeeRetirement Income Security Act of 1974,that isa broker-dealer registered under the Securities Exchange Act of 1934,an investment adviser registered or exempt from registration under the Investment Advisers Act of 1940,an investment adviser registered under theIowa Uniform Securities Act,a depository institution,oran insurance company, (g)aplan established and maintained byastate,a political subdivision ofastate,oranagencyor instrumentality of astateora political subdivision of astateforthe benefit of its employees,if theplanhas totalassetsinexcess of $5,000,000 orits investment decisions aremadebyaduly designated public official orbya named fiduciary,as defined inthe Employee Retirement Income Security Act of 1974,thatisa broker-dealer registered under the Securities Exchange Act of 1934,an investment adviser registered or exempt from registration under the Investment Advisers Act of 1940,an investment adviser registered under theIowa Uniform Securities Act,a depository institution,oran insurance company,(h)atrust,if ithastotal assetsin excess of $5,000,000,its trustee isa depository institution,andits participants are exclusively plans of thetypes identified inclause (I)or(g)above,regardless of thesize of their assets,except atrustthat includesas participants self-directed individual retirement accounts or similar self-directed plans,(i)an organization described in section 501(c)(3)of the Internal Revenue Code,26 U.S.c.Section 501(c)(3), corporation,Massachusetts trustor similar business trust,limited liability company,or partnership,not formedforthe specific purpose of acquiring the securities offered,withtotalassetsinexcess of $5,000,000, U)asmall business investment company licensed bytheSmall Business Administration under section 30I(c) of theSmall Business Investment Act of 1958,15 U.S.c.;Section 68l(c),withtotalassetsinexcess of $5,000,000,(k)aprivate business development company as defined in section 202(a)(22)of the Investment Advisers Act of 1940,15 U.S.c.Section 80b-2(a)(22),withtotalassetsin excess of$5,000,000,(I)afederal covered investment adviser acting foritsown account,(m)a qualified institutional buyeras defined inRule 144A(a)(I),other thanRule 144A(a)(I)(i)(H),adopted bythe Securities and Exchange Commission under the Securities Act of 1933,17C.F.R.Section 230.144A,(n)a major U.S.institutional investor asdefinedin Rule l5a-6(b)(4)(i)adoptedbythe Securities and Exchange Commission under the Securities Exchange Act of 1934,17C.F.R.Section 240.15a-6,(0)any other person,other thanan individual,of institutional character withtotalassetsin excess of $5,000,000 not organized forthe specific purpose of evading the Iowa Uniform Securities Actor(p)any other person specified byrule adopted or order issued under theIowa Uniform Securities Act;(ii)afederal covered investment adviser;or(iii)any other person exempted byruleadopted ororderissued under the Iowa Uniform Securities Act. Kansas To(i)an institutional investor,which includes any of the following,whether acting for itself orforothersina fiduciary capacity:(a)a depository institution or international banking institution,(b)an insurance company, (c)a separate account of an insurance company,(d)an investment company as defined inthe Investment CompanyAct of 1940;(e)a broker-dealer registered under the Securities Exchange Act of 1934,(I)an employee pension,profit-sharing,or benefit planiftheplanhastotalassetsinexcess of $10,000,000 orits investment decisions are made bya named fiduciary,as defined inthe EmployeeRetirement Income Security Act of 1974,that isa broker-dealer registered under the Securities Exchange Act of 1934,an investment adviser registered or exempt from registration under the Investment Advisers Act of 1940,an investment adviser registered under the Kansas Uniform Securities Act,a depository institution,oran insurance company,(g)aplan established and maintained byastate,a political subdivision ofastate,oranagencyor instrumentality of astateora political subdivision of astateforthe benefit of its employees,if theplanhas totalassetsin excess of $1 0,000,000 orits investment decisions aremadebyaduly designated public official orbyanamed fiduciary,as defined inthe Employee Retirement Income Security Act of 1974,thatisa broker-dealer registered under the Securities Exchange Act of 1934,an investment adviser registered or exempt from registration under the Investmeut Advisers Act of 1940,an investment adviser registered under theKansas Uniform Securities Act,a depository institution,oran insurance company,(h)atrust,ifithas totalassetsin excess of $10,000,000,its trustee isa depository institution,andits participants are exclusively plans of the types identified in clause (I)or(g)above,regardless of thesize of their assets,except atrust that includes as participants self-directed individual retirement accounts or similar self-directed plans,(i)an organization described in section 501(c)(3)of the Internal Revenue Code(26 U.S.c.section 501(c)(3)), corporation,Massachusetts trust or similar business trust,limited liability company,or partnership,not formedforthe specific purpose of acquiring the securities offered,with total assets in excess of $1 0,000,000, U)asmall business investment company licensed bytheSmall Business Administration under Section 30l(c) of thesmall business investment act of 1958(15 U.S.c.section 681(c))withtotalassetsinexcess of $10,000,000,(k)a private business development company as defined in section 202(a)(22)of the Investment Advisers Act of 1940(15 U.S.c.section 80b-2(a)(22))withtotalassetsinexcess of $10,000,000,(I)a federal covered investment adviser actingforitsown account,(m)a 'qualified institutional buyer as defined inRule 144A(a)(I),other thanRule 144A(a)(I)(i)(H),adopted under the Securities Act of 1933(17C.F.R. 230.l44A),(n)a major U.S.institutional investor as defined inrule 15a-6(b)(4)(i)adopted under the Securities Exchange Act of 1934(17C.F.R.240.l5a-6),(0)any other person,other thanan individual,of institutional character withtotalassetsinexcess of $10,000,000 not organized forthe specific purpose of evading the Kansas Uniform Securities Act,or(p)any other person specified byrule adopted ororderissued 8 undertheKansasUniformSecuritiesAct;(ii)afederalcoveredinvestmentadviser:or(iii)anyotherperson exemptedbyruleororderissuedundertheKansasUniformSecuritiesAct. KentuckyToabank,savingsinstitution,trustcompany,insurancecompany,investmentcompanyasdefinedinthe InvestmentCompanyAct of 1940,pensionorprofit-sharingtrust,orotherfinancialinstitutionorinstitutional buyer,ortoabroker-dealer,whetherthepurchaserisactingfor itself orinsomefiduciarycapacity. LouisianaToabank,savingsinstitution,trustcompany,insurancecompany,investmentcompanyasdefinedinthe InvestmentCompanyActof1940,asamended,realestateinvestmenttrust,smallbusinessinvestment corporation,pensionorprofit-sharingplanortrust,orotherfmancialinstitutionordealer,whetherthe purchaserisactingfor itself orinsomefiduciarycapacity. Maine_To(i)aninstitutionalinvestor,whichincludesanyofthefollowing,whetheractingfor itself orforothersina fiduciarycapacity:(a)adepositoryinstitutionorinternationalbankinginstitution,(b)aninsurancecompany, (c)aseparateaccountofaninsurancecompany,(d)aninvestmentcompanyasdefinedinthefederal InvestmentCompanyActof1940,(e)abroker-dealerregisteredunderthefederalSecuritiesExchangeActof 1934,(I)anemployeepension,profit-sharingorbenefitplan if theplanhastotalassetsinexcess of $10,000,000oritsinvestmentdecisionsaremadebyanamedfiduciary,asdefinedinthefederalEmployee RetirementIncomeSecurityActof1974,thatisabroker-dealerregisteredunderthefederalSecurities ExchangeActof1934,aninvestmentadviserregisteredorexemptfromregistrationunderthefederal InvestmentAdvisersAct of 1940,aninvestmentadviserregisteredundertheMainUniformSecuritiesAct,a depositoryinstitutionoraninsurancecompany,(g)aplanestablishedandmaintainedbyastate,apolitical subdivisionofastateoranagencyorinstrumentalityofastateorapoliticalsubdivisionofastateforthe benefitofitsemployees,if theplanhastotalassetsinexcessof$10,000,000oritsinvestmentdecisionsare madebyadulydesignatedpublicofficialorbyanamedfiduciary,asdefinedinthefederalEmployee RetirementIncomeSecurityActof1974,thatisabroker-dealerregisteredunderthefederalSecurities ExchangeAct of 1934,aninvestmentadviserregisteredorexemptfromregistrationunderthefederal InvestmentAdvisersAct of 1940,aninvestmentadviserregisteredundertheMainUniformSecuritiesAct,a depositoryinstitutionoraninsurancecompany,(h)atrust,ifithastotalassetsinexcess of $10,000,000,its trusteeisadepositoryinstitutionanditsparticipantsareexclusivelyplans of thetypesidentifiedinparagraph clause (I)or(g)above,regardless of thesize of theirassets,exceptatrustthatincludesasparticipants self-directedindividual retirement accountsorsimilarself-directedplans,(i)anorganizationdescribedin Section501(c)(3)of theInternalRevenueCode,26UnitedStatesCode,Section501(c)(3),acorporation,a Massachusettstrustorsimilarbusinesstrust,alimitedliabilitycompanyorpartnership,notformedforthe specificpurpose of acquiringthesecuritiesoffered,withtotalassetsinexcess of $10,000,000,0)asmall businessinvestmentcompanylicensedbytheUnitedStatesSmallBusinessAdministrationunderSection 301(c)ofthefederalSmallBusinessInvestmentAct of 1958,15UnitedStatesCode,Section681(c)with totalassetsinexcess of $5,000,000,(k)aprivatebusinessdevelopmentcompanyasdefinedinSection 202(a)(22)of thefederalInvestmentAdvisersActof1940,15UnitedStatesCode,Section80b-2(a)(22)with totalassetsinexcessof$5,000,000,(I)afederalcoveredinvestmentadviseractingforitsownaccount,(m)a qualifiedinstitutionalbuyerasdefinedin17CodeofFederalRegulations,230.144A(a)(I),exceptasdefined in17CodeofFederalRegulations 230.144A(a)(l)(i)(H),(n)amajorU.S.institutionalinvestorasdefinedin 17Code of FederalRegulations,240.15a-6(b)(4)(i),(0)anyotherperson.otherthananindividual,of institutionalcharacterwithtotalassetsinexcess of $10,000,000notorganizedforthespecificpurpose of evadingtheMaineUniformSecuritiesAct,or(p)anyotherpersonspecifiedbyruleadoptedororderissued undertheMaineUniformSecuritiesAct;(ii)afederalcoveredinvestmentadviser;or(iii)anyotherperson exemptedbyroutinetechnicalruleadoptedororderissuedundertheMaineUniformSecuritiesAct. MarylandToanyinvestmentcompanyasdefinedintheInvestmentCompanyAct of 1940,investmentadviserwith assetsunder management ofnotlessthan$1.000,000,broker-dealer,bank,trustcompany.savingsandloan association,insurancecompany,employeebenefitplanwithassetsofnotlessthan$1,000,000,or governmentalagencyorinstrumentalitywhetheractingfor itself orasatrusteeorfiduciarywithinvestment control,orotherinstitutionalinvestorasdesignatedbyruleororder of theSecuritiesCommissionerofthe MarylandDivision of Securities. MassachusettsToanybank,savingsinstitution,trustcompany,insurancecompany,investmentcompanyasdefmedinthe InvestmentCompanyActof1940,pensionorprofit-sharingtrust,otherfinancialinstitutionorinstitutional buyer,orbrokerdealer,whetherthepurchaserisactingfor itself orinsomefiduciarycapacity. MichiganTo(i)aninstitutionalinvestor,whichincludesanyofthefollowing,whetheractingfor itself orforothersina fiduciarycapacity(a)adepositoryinstitutionorinternationalbankinginstitution,(b)aninsurancecompany, (c)aseparateaccount of aninsurancecompany,(d)aninvestmentcompanyasdefinedintheInvestment CompanyActof1940,(e)abroker-dealerregisteredundertheSecuritiesExchangeAct of 1934,(I)an employeepension,profit-sharing orbenefitplaniftheplanhastotalassetsinexcess of $10,000,000orits investmentdecisionsaremadebyanamedfiduciary,asdefinedintheEmployeeRetirementIncomeSecurity Actof1974,thatisa broker-dealer registeredundertheSecuritiesExchangeAct of 1934,aninvestment 9 adviserregisteredorexemptfromregistrationundertheInvestroentAdvisersAct of 1940,aninvestroent adviserregisteredundertheMichiganUniformSecuritiesAct(2002),adepositoryinstitution,oraninsurance company,(g)aplanestablishedandmaintainedbyastate,apoliticalsubdivisionofastateforthebenefitof itsemployees,iftheplanhastotalassetsinexcess of $10,000,000oritsinvestmentdecisionsaremadebya dulydesignatedpublicofficialorbyanamedfiduciary,asdefinedintheEmployee Retirement Income SecurityAct of 1974,thatisabroker-dealerregisteredundertheSecuritiesExchangeActof1934,an investroentadvisorregisteredorexemptfromregistrationundertheInvestroentAdvisorsActof1940,an investroentadvisorregisteredundertheMichiganUniformSecuritiesAct(2002),adepositoryinstitution,or aninsurancecompany,(h)atrust,ifithastotalassetsinexcessof$10,000,000,itstrusteeisadepository institution,anditsparticipantsareexclusivelyplansofthetypesidentifiedinclause (I)or(g),regardless of thesizeoftheirassets,exceptatrustthatincludesasparticipantsself-directedindividualretirementaccounts orsimilarself-directedplans,(i)anorganizationdescribedinsection501(c)(3)of theInternalRevenueCode, acorporation,Massachusettsorsimilarbusinesstrust,limitedliabilitycompany,orpartnership,notformed forthespecificpurposeofacquiringthesecuritiesoffered,withtotalassetsinexcess of $10,000,000,(j)a smallbusinessinvestroentcompanylicensedbythesmallbusinessadministrationundersection301(c)ofthe SmallBusinessInvestroentAct of 1958,withtotalassetsinexcessof$10,000,000,(k)aprivatebusiness developmentcompanyasdefinedinsection202(a)(22)of theInvestroentAdvisersAct of 1940,withtotal assetsinexcessof$10,000,000,(I)afederalcoveredinvestroentadviseractingforitsownaccount,(m)a "qualifiedinstitutionalbuyer"asdefinedinrule 144A(a)(I),otherthanruleI 44A(a)(I)(i)(H),adoptedunder theSecuritiesActof1933,(n)a "major U.S.institutionalinvestor"asdefinedinrule15a-6(b)(4)(i)adopted undertheSecuritiesExchangeAct of 1934,(0)anyotherperson,otherthananindividual,ofinstitutional characterwithtotalassetsinexcessof$10,000,000notorganizedforthespecificpurpose of evadingthe MichiganUniformSecuritiesAct(2002),or(p)anyotherpersonspecifiedbyruleororderunderthe MichiganUniformSecuritiesAct(2002);(ii)afederalcoveredinvestroentadviser;or(iii)anyotherperson exemptedbyruleororderundertheMichiganUniformSecuritiesAct(2002). MinnesotaTo(i)aninstitutionalinvestor,whichincludesany of thefollowingwhetheractingfor itself orforothersina fiduciarycapacity(a)adepositoryinstitutionorinternationalbankinginstitution,(b)aninsurancecompany, (c)aseparateaccount of aninsurancecompany,(d)aninvestroentcompanyasdefinedintheInvestroent CompanyAct of 1940,(e)abroker-dealerregisteredundertheSecuritiesExchangeAct of 1934,(I)an employeepension,profit-sharing,orbenefitplan if theplanhastotalassetsinexcessof$10,000,000orits investroentdecisionsaremadebyanamedfiduciary,asdefinedintheEmployee Retirement IncomeSecurity Act of 1974,thatisa broker-dealer registeredundertheSecuritiesExchangeAct of 1934,aninvestroent adviserregisteredorexemptfromregistrationundertheInvestroentAdvisersAct of 1940,aninvestroent adviserregisteredundertheMinnesotaSecuritiesAct,adepositoryinstitution,oraninsurancecompany,(g) aplan established andmaintainedbyastate,apoliticalsubdivisionofastate,oranagencyorinstrumentality ofastateorapoliticalsubdivision of astateforthebenefitofitsemployees,if theplanhastotalassetsin excess of $10,000,000oritsinvestroentdecisionsaremadebyadulydesignatedpublicofficialorbya namedfiduciary,asdefinedintheEmployeeRetirementIncomeSecurityActof1974,thatisabroker-dealer registeredundertheSecuritiesExchangeActof1934,aninvestroentadviserregisteredorexemptfrom registrationundertheInvestroentAdvisersActof1940,aninvestroentadviserregisteredundertheMinnesota SecuritiesAct,adepositoryinstitution,oran insurance company,(h)atrust,if ithastotalassetsinexcess of $10,000,000,itstrusteeisadepositoryinstitution,anditsparticipantsareexclusivelyplansofthetypes identifiedinclause (I)or(g)above,regardless of thesize of theirassets,exceptatrustthatincludesas participantsself-directedindividualretirementaccountsorsimilarself-directedplans,(i)anorganization describedinSection501(c)(3)oftheInternalRevenueCode(26 U.S.c.Section 501(c)(3»,corporation, Massachusettstrustorsimilarbusinesstrust,limitedliabilitycompany,orpartnership,notformedforthe specificpurposeofacquiringthesecuritiesoffered,withtotalassetsinexcess of $10,000,000,(j)asmall businessinvestroentcompanylicensedbytheSmallBusinessAdministrationunderSection301(c)ofthe SmallBusinessInvestroentAct of 1958(15 U.S.c.Section681(c)withtotalassetsinexcessof$10,000,000, (k)aprivatebusinessdevelopmentcompanyasdefinedinSection202(a)(22)oftheInvestroentAdvisersAct of 1940(15 U.S.c.Section80b-2(a)(22»withtotalassetsinexcess of $10,000,000,(I)afederalcovered investroentadviseractingforitsownaccount,(m)a"qualifiedinstitutionalbuyer"asdefinedinRule 144A(a)(I),otherthanRule 144A(a)(I)(i)(H),adoptedundertheSecuritiesAct of 1933(17C.F.R. 230.144A),(n)a "major U.S.institutionalinvestor"asdefinedinRule15a-6(b)(4)(i)adoptedunderthe SecuritiesExchangeActof1934(17C.F.R.240.15a-6),(0)anyotherperson,otherthananindividual,of institutionalcharacterwithtotalassetsinexcess of $10,000,000notorganizedforthespecificpurpose of evadingthe Minnesota SecuritiesAct,or(p)anyotherpersonspecifiedbyruleadoptedororderissuedunder theMinnesotaSecuritiesAct;(ii)anaccreditedinvestor;(iii)afederalcoveredinvestroentadvisor;or(iv) anyotherpersonexemptedbyruleororderundertheMinnesotaSecuritiesAct. MississippiTo(i)aninstitutionalinvestor,whichincludesanyofthefollowing,whetheractingfor itself orforothersina fiduciarycapacity,(a)adepositoryinstitutionorinternationalbankinginstitution,(b)aninsurancecompany, (c)aseparateaccount of aninsurancecompany,(d)aninvestroentcompanyasdefinedintheInvestroent CompanyAct of 1940,(e)abroker-dealerregisteredundertheSecuritiesAct of 1934,(I)anemployee pension,profit-sharingorbenefitplaniftheplanhastotalassetsinexcess of $10,000,000oritsinvestroent 10 decisions aremadebyanamedfiduciary,asdefinedinthe Employee Retirement IncomeSecurityAct of 1974,thatisa broker-dealer registeredunderthe Securities Exchange Act of 1934,an investment adviser registeredorexemptfrom registration underthe Investment Advisers Act of 1940,an investment adviser registeredunderthe Mississippi SecuritiesAct of 2010,a depository institution,oraninsurancecompany, (g)aplan established and maintained byastate,apolitical subdivision of astate,oranagencyor instrumentality of astateorapolitical subdivision of astateforthebenefit of itsemployees,if theplanhas totalassetsinexcess of $10,000,000 orits investment decisionsaremadebyadulydesignatedpublicofficial orbyanamedfiduciary,asdefinedinthe Employee Retirement IncomeSecurityAct of 1974,thatisa broker-dealer registered underthe Securities Exchange Act of 1934,an investment adviserregisteredor exemptfrom registration underthe Investment Advisors Act of 1940,an investment adviser registered under the Mississippi Securities Act of 2010,oran insurance company,(h)atrust,ifithastotalassetsinexcess of $10,000,000,itstrusteeisa depository institution,andits participants areexclusivelyplans of thetypes identified inclause(f)or(g),regardless of thesize of theirassets,exceptatrustthatincludesasparticipants self-directed individual retirement accountsorsimilar self-directed plans,(i)an organization describedin Section501(c)(3)of theInternalRevenueCode,corporation,Massachusetts trustorsimilarbusinessestrust, limitedliabilitycompany,or partnership,notformedforthespecificpurpose of acquiring thesecurities offered,withtotalassetsinexcess of$10,000,000;(j)asmall business investment companylicensedbythe Small Business Administration undersection301(c)of theSmallBusiness Investment Act of 1958withtotal assetsinexcess of $10,000,000,(k)aprivate business development companyasdefinedinSection 202(a)(22)of the Investment Advisors of 10940withtotalassetsinexcess of $10,000,000;(1)afederal covered investment advisor actingforitsownaccount,(m)a "qualified institutional buyer"asdefinedin Rule 144A(a)(I),otherthanrule 144A(a)(I)(i)(H),adoptedunderthe Securities Act of 1933,(n)a "major U.S.institutional investor"asdefinedinRule 15a-6(b)(4)(i)adoptedunderthe Securities Act of 1934,(0) anyotherperson,otherthananindividual,of institutional character,withtotalassetsinexcess of $10,000,000 not organized forthespecific purpose of evadingthe Mississippi SecuritiesAct of 2010,or (P) anyotherperson specified byruleadoptedororderissuedunderthe Mississippi Securities Act of 2010;(ii)a federalcovered investment advisor;or(iii)anyotherperson specified byruleadoptedororderissuedunder the Mississippi Securities Actof201O. MissouriTo(i)an institutional investor,whichincludesany of thefollowing,whether actingfor itself orforothersina fiduciarycapacity:(a)a depository institution,atrustcompany organized orcharteredunderthelaws of Missouri,oran international banking institution,(b)aninsurancecompany,(c)aseparate account of an insurance company,(d)an investment companyas defined inthe Investment CompanyAct of 1940,(e)a broker-dealer registered underthe Securities Exchange Act of 1934,(f)anemployeepension,profit-sharing, orbenefitplaniftheplanhastotalassetsinexcess of $10,000,000 orits investment decisionsaremadebya namedfiduciary,as defmed inthe Employee Retirement Income SecurityAct of 1974,thatisa broker-dealer registered under the Securities Exchange Act of 1934,an investment adviserregisteredorexemptfrom registration underthe Investment AdvisersAct of 1940,an investment adviserregisteredundertheMissouri SecuritiesAct of 2003,a depository institution,oraninsurancecompany,(g)aplanestablishedand maintained byastate,a political subdivision of astate,oranagencyor instrumentality of astateorapolitical subdivision of astateforthebenefit of itsemployees,iftheplanhastotalassetsinexcess of $10,000,000or its investment decisions aremadebyaduly designated publicofficialorbyanamedfiduciary,asdefinedin the Employee Retirement Income SecurityAct of 1974,thatisa broker-dealer registered undertheSecurities Exchange Act of 1934,an investment adviser registered or exempt from registration underthe Investment AdvisersAct of 1940,an investment adviser registered undertheMissouriSecuritiesAct of 2003,a depository institution,oraninsurancecompany,(h)atrust,ifithastotalassetsinexcess of $10,000,000,its trusteeisa depository institution,andits participants are exclusively plans of thetypes identified inclause(f) or(g)above,regardless of thesize of theirassets,exceptatrustthatincludesasparticipants self-directed individual retirement accounts or similar self-directed plans,(i)an organization describedinSection 501(c)(3)of theInternalRevenueCode(26 U.S.c.Section 501(c)(3»,corporation,Massachusetts trustor similar business trust,limitedliabilitycompany,or partnership,notformedforthespecificpurpose of acquiring the securities offered,withtotalassetsinexcess of $10,000,000,(j)asmallbusiness investment companylicensedbytheSmallBusiness Administration underSection301(c)of theSmallBusiness Investment Act of 1958(15 V.S.c.Section681(c))withtotalassetsinexcess of $10,000,000,(k)aprivate business development company asdefinedin Section 202(a)(22)of the Investment AdvisersAct of 1940(15 U.S.c.Section 80b-2(a)(22»withtotalassetsinexcess of $10,000,000,(1)afederalcoveredinvestment adviseractingforitsownaccount,(m)aqualified institutional buyerasdefinedinRule 144A(a)(I),other thanRule 144A(a)(I)(H),adoptedunderthe Securities Act of 1933(17C.F.R.230.144A),(n)amajorU.S. institutional investor asdefinedinRule15a-6(b)(4)(i)adoptedunderthe Securities ExchangeAct of 1934(17 C.F.R.240.15a.6),(0)anyotherperson,otherthanan individual,of institutional character withtotalassetsin excess of $10,000,000 notorganizedforthespecific purpose of the Missouri SecuritiesAct of 2003,or(p) anyotherperson specified byrule adopted ororderissuedunderthe Missouri Securities Act of 2003;(ii)a federalcovered investment adviser;or(iii)anyotherperson exempted byruleororderissuedunderthe Missouri Securities Act of2003. 11 Montana Toabank,savings institution,trustcompany,insurancecompany,investment companyasdefinedinthe Investment Company Act of 1940,pensionor profit-sharing trust,orotherfinancialinstitutionorinstitutional buyerortoa broker-dealer,whether the purchaser isactingfor itself orinafiduciarycapacity. Nebraska Toabank,savings institution,trustcompany,insurance company,investment company,asdefinedinthe Investment Act of 1940,pension or profit-sharing trust,orotherfinancial institution orinstitutionalbuyer,to an individual accredited investor ((a)anydirector,executiveofficer,orgeneral partner of theissuer of the securities beingofferedorsold,oranydirector,executiveofficer,orgeneral partner of ageneral partner of thatissuer,(b)any manager of alimitedliabilitycompanythatistheissuer of thesecuritiesbeingofferedor sold,(c)anynaturalpersonwhoseindividualnetworth,or joint networthwiththat person's spouse,atthe time of hisorher purchase,exceeds$1,000,000,or(d)anynaturalpersonwhohadanindividualincomein excess of $200,000 ineach of thetwomostrecentyearsor joint incomewiththat person's spouseinexcess of $300,000 ineach of thoseyearsandhasa reasonable expectation of reachingthesameincomelevelinthe currentyear),ortoa broker-dealer,whether the purchaser isactingfor itself orinsomefiduciarycapacity. Nevada To(i)afinancialor institutional investor,whichincludesanyofthefollowing,whetheractingfor itself or othersinafiduciary capacity otherthanasanagent;(a)a depository institution,(b)aninsurancecompany, (c)aseparate account of aninsurancecompany,(d)an investment companyasdefinedinthe Investment CompanyAct of 1940,(e)an employee pension,profit-sharing,or benefit plan if theplanhastotalassetsin excess of $5,000,000 orits investment decisionsaremadebyanamedfiduciary,asdefinedinthe Employee Retirement IncomeSecurityAct of 1974,thatiseithera broker-dealer registeredunderthe Securities ExchangeAct of 1934,an investment adviserregisteredor exempt from registration underthe Investment AdvisersAct of 1940,a depository institution,oraninsurancecompany,and (f)anyotherinstitutionalbuyer; or(ii)toa broker-dealer. New Hampshire .....Toabank,savings institution,trustcompany,insurance company,investment companyasdefinedinthe Investment Company Act of 1940,pensionor profit-sharing trust,venturecapitalcompanywhichoperatesa small business investment company undertheSmallBusiness Investment Act of 1958,asamended,orother financial institution or institutional buyer,ortoa broker-dealer,whether the purchaser isactingfor itself orin somefiduciarycapacity. NewJerseyToanybank,savings institution,trustcompany,insurancecompany,investment companyasdefmedinthe Investment Company Act of 1940,pension or profit-sharing trust,otherfinancialinstitutionor institutional buyer,or registered broker-dealer whether the purchaser isactingfor itself orinsomefiduciarycapacity. NewMexicoTo(i)an institutional investor,whichincludesany of thefollowing,whether actingfor itself orforothersina fiduciarycapacity(a)a depository institution or international banking institution,(b)aninsurancecompany, (c)aseparate account of an insurance company,(d)an investment companyasdefinedinthefederal Investment Company Act of 1940,(e)a broker-dealer registered pursuant tothefederalSecurities Exchange Act of 1934,(f)an employee pension,profit-sharing orbenefitplan if theplanhastotalassetsinexcess of $10,000,000 orits investment decisionsaremadebyanamedfiduciary,as defined inthefederalEmployee Retirement IncomeSecurityAct of 1974,thatisa broker-dealer registered pursuant tothefederal Securities Act of 1934,an investment adviserregisteredor exempt from registration pursuant tothefederal Investment AdvisersAct of 1940,an investment adviser registered pursuant tothe New MexicoUniform Securities Act, a depository institution oran insurance company,(g)aplan established and maintained byastate,apolitical subdivision of astateoranagencyor instrumentality of astateorapolitical subdivision of astateforthe benefit of is employees,if theplanhastotalassetsinexcess of $10,000,000 oritsinvestmentdecisionsare madebyaduly designated publicofficialorbyanamedfiduciary,asdefinedinthefederal Employee Retirement IncomeSecurityAct of 1974,thatisa broker-dealer registered pursuant tothefederal Securities ExchangeAct of 1934,an investment adviser registered or exempt from registration pursuant tothefederal Investment Advisers Act of 1940,aninvestmentadviser registered pursuant totheNewMexicoUniform Securities Act,a depository institution oraninsurancecompany,(h)atrust,ifithastotalassetsinexcess of $10,000,000,itstrusteeisa depository institution andits participants areexclusivelyplans of thetypes identifiedinclause (f)or(g),regardless of thesize of theirassets,excepta trust thatincludesas participants self-directed individual retirement accountsorsimilar self-directed plans,(i)an organization describedin Section50I(c)(3)of the Internal RevenueCode of 1986,corporation,Massachusetts trustor similar business trust,limited liabilitycompanyor partnership,notformedforthespecificpurposeofacquiringthesecurities offered,withtotalassetsinexcess of $10,000,000,(j)asmall business investment companylicensedbythe small business administration pursuant toSection30I(c)of thefederalSmallBusiness Investment Act of 1958withtotalassetsinexcess of $10,000,000,(k)aprivatebusiness development companyasdefinedin Section 202(a)(22)of thefederal Investment AdvisersAct of 1940withtotalassetsinexcess of $10,000,000; (I)afederalcovered investment adviseractingforitsownaccount,(m)a "qualified institutionalbuyer"as definedinRuleI 44A(a)(i)(I),otherthanRule 144A(a)(l)(H),adopted pursuant tothefederalSecuritiesAct of 1933,(n)a "major U.S.institutional investor"asdefinedinRule 15a-6(b)(4)(i)adoptedpursuanttothe federal Securities Exchange Act of 1934,(0)anyotherperson,otherthananindividual,of institutional characterwithtotalassetsinexcess of $10,000,000 not organized forthespecificpurpose of evadingthe 12 New MexicoUniform Securities Act or(p)anyotherpersonspecifiedbyruleadoptedororderissued pursuant totheNewMexicoUniform Securities Act;(ii)afederalcovered investment advisor;or(iii)any otherperson exempted byruleadoptedororderissued pursuant tothe New MexicoUniformSecuritiesAct. NewYorkToanybank,corporation,savings institution,trustcompany,insurancecompany.investment companyas definedinthe Investment Company Act of 1940,pensionor profit-sharing trust,orotherfinancial institution or institutional buyer,registered broker-dealer,oranysyndicate,corporation orgroupformedforthespecific purpose of acquiring theBondsforresaletothepublicdirectlyorthrough syndicates orgroups. North Carolina Toanentitywhichhasanetworthinexcess of $1,000,000asdeterminedbygenerallyacceptedaccounting principles,bank,savings institution,trustcompany,insurancecompany,investment companyasdefinedin the Investment Company Act of 1940,pensionor profit-sharing trust,orotherfinancial institution or institutionalbuyer,ortoadealer,whether the purchaser isactingfor itself orinsomefiduciarycapacity. North Dakota To(i)aninstitutional investor,whichincludesany of thefollowing,whether actingfor itself orforothersina fiduciarycapacity:(a)a depository institution or international banking institution,(b)aninsurancecompany, (c)aseparate account of aninsurancecompany,(d)an investment companyasdefinedinthe Investment CompanyAct of 1940,(e)a broker-dealer underthe Securities Exchange Act of 1934,(f)anemployee pension,profit-sharing,orbenefitplan if theplanhastotalassetsinexcess of $10,000,000 oritsinvestment decisionsaremadebyanamedfiduciary,asdefinedinthe Employee Retirement IncomeSecurityAct of 1974,thatisa broker-dealer registered underthe Securities Exchange Act of 1934,an investment adviser registeredorexemptfrom registration underthe Investment Advisers Act of 1940,an investment adviser registeredundertheNorthDakotaSecuritiesAct of 1951,adepository institution,oraninsurancecompany, (g)aplan established and maintained byastate,apolitical subdivision of astate,oranagencyor instrumentality of astateorapolitical subdivision of astateforthebenefit of itsemployees,if theplanhas totalassetsinexcess of $10,000.000 orits investment decisionsaremadebyadulydesignatedpublicofficial orbyanamedfiduciary,asdefmedinthe Employee Retirement IncomeSecurity Act of1974,thatisa broker-dealer registered under theSecuritiesExchangeAct of 1934,an investment adviserregisteredor exemptfrom registration under the Investment AdvisersAct of 1940,an investment adviser registered under theNorth Dakota Securities Act of 1951,adepositoryinstitution,oran insurance company,(h)atrust,ifit hastotalassetsinexcess of ten million dollars,itstrusteeisadepository institution,andits participants are exclusivelyplans of thetypes identified in subdivision (f)or(g),regardless of thesize of theirassets,except atrustthat includes as participants self-directed individual retirement accounts or similar self-directed plans, (i)an organization described insection 501(c)(3)of theInternalRevenueCode,corporation,Massachusetts trustorsimilarbusinesstrust,limitedliabilitycompany,or partnership,notformedforspecificpurpose of acquiring the securities offered,withtotalassetsinexcess of $10,000,000,(j)asmallbusinessinvestment companylicensedbythesmallbusiness administration undersection301(c)of theSmallBusiness Investment Act of 1958withtotalassetsinexcess of $10,000,000,(k)aprivatebusiness development companyasdefmedinsection 202(a)(22)of the Investment Advisers Act of 1940withtotalassetsinexcess of $10,000,000,(I)afederalcovered investment adviseractingforitsownaccount,(m)aqualified institutionalbuyerasdefinedinrule 144A(a)(l),otherthanrule 144A(a)(I)(i)(H),adoptedunderthe SecuritiesAct of 1933,(n)amajorUnitedStatesinstitutionalinvestorasdefinedinrule15a-6(b)(4)(i) adoptedunderthe Securities Exchange Act of 1934,or (0)anyotherperson,otherthananindividual,of institutional character withtotalassetsinexcess of $10,000,000 not organized forthespecificpurpose of evadingtheNorthDakota Securities Act of 1951;(ii)afederalcovered investment advisor;or(iii)anyother person exempted byruleadoptedororderissuedbytheNorthDakota Securities Commissioner. Ohio To(i)theissuer,(ii)adealer,or(iii)an institutional investor,which includes any corporation,bank, insurancecompany,pension fundorpensionfundtrust,employees'profit-sharing fundor employees' profit-sharing trust any association engaged,asa substantial part of itsbusinessoroperations,inpurchasing orholding securities,oranytrustin respect of whichabankistrusteeorcotrustee,butwhichdoesnot includeanybusinessentityformedfortheprimarypurpose of evadingSections1707.01to1707.45ofthe OhioCode. Oklahoma To(i)an institutional investor,whichincludesany of thefollowing,whether actingfor itself orforothersina fiduciarycapacity:(a)a depository institution or international banking institution,(b)aninsurancecompany, (c)aseparate account of aninsurancecompany,(d)an investment companyasdefinedinthe Investment CompanyAct of 1940,(e)a broker-dealer registered undertheSecurities Exchange Act of 1934,(f)an employeepension,profit-sharing,orbenefitplan if theplanhastotalassetsinexcess of $10,000,000 orits investment decisionsaremadebyanamedfiduciary,asdefinedinthe Employee Retirement IncomeSecurity Act of 1974,thatisa broker-dealer registered underthe Securities Exchange Act of 1934,an investment adviser registered or exempt from registration undertile Investment AdvisersAct of 1940,an investment adviserregisteredunderthe Oklahoma Uniform Securities Act of 2004,a depository institution,oran insurancecompany,(g)aplan established and maintained byastate,apolitical subdivision of astate,oran agencyor instrumentality of astateora political subdivision of astateforthe benefit of its employees,if the planhastotalassetsinexcess of $10,000,000orits investment decisionsaremadebyadulydesignated 13 publicofficialorbyanamed fiduciary,as defined inthe Employee Retirement Income Security Act of 1974, thatisa broker-dealer registered under the Securities Exchange Act of 1934,an investment adviser registered or exempt from registration underthe Investment Advisers Act of 1940,an investment adviser registered underthe Oklahoma Uniform Securities Act of2004,a depository institution,oran insurance company,(h)a trust,ifithastotalassetsinexcess of $1 0,000,000,itstrusteeisa depository institution,andits participants are exclusively plans of thetypes identified in clause (I)or(g)above,regardless of thesize of their assets, exceptatrustthatincludesas participants self-directed individual retirement accounts or similar self-directed plans,(i)an organization described inSection 501(c)(3)of the Internal Revenue Code(26U.S.C.Section 501(c)(3)),corporation,Massachusetts trustor similar business trust,limitedliabilitycompany,or partnership,notformedforthe specific purpose of acquiring the securities offered,withtotalassetsinexcess of $10,000,000,(j)asmall business investment company licensed bytheSmall Business Administration under Section 301(c)of theSmall Business Investment Act of 1958(15 U.s.c.Section681(c))withtotal assetsinexcessof $10,000,000,(k)a private business development companyasdefinedinSection 202(a)(22)of the Investment Advisers Act of 1940(15 U.s.c.Section 80b-2(a)(22))withtotalassetsin excess of $10,000,000,(I)afederal covered investment adviser actingforitsown account,(m)aqualified institutional buyerasdefinedinRule 144A(a)(I),other thanRuleI 44A(a)(I)(i)(H),adoptedunderthe Securities Act of 1933(17C.F.R.230.144A),(n)amajorU.S.institutional investor asdefinedinRule 15a-6(b)(4)(i)adopted under the Securities Exchange Act of 1934(17C.F.R.240.15a-6),(0)anyother person,otherthananindividual,of institutional character withtotalassetsinexcess of $10,000,000.00 not organized forthe specific purpose of evading the Oklahoma Uniform Securities Act of2004,or(p)anyother person specified byrule adopted or order issued under the Oklahoma Uniform Securities Act of 2004;(ii)a federalcovered investment adviser;or(iii)any other person exempted byruleadoptedororderissuedunder the Oklahoma Uniform Securities Act of2004. Oregon Toanybank,savings institution,trust company,insurance company,investment company,pension or profit-sharing trust,otherfmancial institution or institutional buyer (including butnotlimitedtotheFederal National Mortgage Association,the Federal Home Loan Mortgage Corporation,theFederal Housing Administration,the United States.Department of Veterans Affairs,andthe Government National Mortgage Association),broker-dealer,mortgage broker or mortgage banker whether the purchaser isactingfor itself or inafiduciarycapacitywhenthe purchaser has discretionary authority tomake investment decisions. Pennsylvania Toan institutional investor,including anybank,insurance company,pension or profit-sharing plan (except a municipal pension planor system)ortrust,investment company,asdefinedinthe Investment CompanyAct of 1940,oranyperson,other thanan individual,whichcontrolsany of the foregoing,theFederal Government,stateoranyagencyor political subdivision thereof,except publicschooldistricts of Pennsylvania,oranyother person so designated by regulation of the Pennsylvania Securities Commission;or toa broker-dealer,whether thebuyerisactingfor itself orinsomefiduciarycapacity. Rhode Island To (i)afinancialor institutional investor which includes any of the following,whether actingfor itself or another inafiduciary capacity:(a)a depository institution,(b)an insurance company,(iii)a separate account of an insurance company,(d)an investment company as defmed inthe Investment Company Act of 1940,(e) an employee pension,profit-sharing or benefit plan if theplanhastotalassetsinexcess of $5,000,000,orif investment decisionsaremadebyaplan fiduciary,as defmed inthe Employee Retirement IncomeSecurity Act of 1974,whichis either a broker dealer registered under the Securities Exchange Act of 1934,an investment adviser registered or exempt from registration under the Investment Advisers Act of 1940,a depository institution,oran insurance company and (I)anyother institutional buyeror;(ii)abrokerdealer. South Carolina To(i)an institutional investor including any of thefollowing,whether actingfor itself orforothersina fiduciarycapacity:(a)a depository institution or international banking institution,(b)aninsurance company, (c)a separate account of an insurance company,(d)an investment companyasdefinedinthe Investment Company Act of 1940,(e)a broker-dealer registered underthe Securities Exchange Act of 1934,(I)an employee pension,profit-sharing,or benefit planiftheplanhastotalassetsinexcess of $10,000,000 orits investment decisionsaremadebya named fiduciary,as defined inthe Employee Retirement IncomeSecurity Act of 1974,thatisa broker-dealer registered under the Securities Exchange Act of 1934,an investment adviser registered or exempt from registration underthe Investment AdvisersAct of 1940,an investment adviser registered undertheSouth Carolina Uniform Securities Act of 2005,a depository institution,oran insurance company,(g)aplan established and maintained byastate,a political subdivision of astate,oran agencyor instrumentality of astateora political subdivision of astateforthe benefit of its employees,if the planhastotalassetsin excess of $10,000,000 orits investment decisions aremadebyaduly designated public official orbya named fiduciary,as defined inthe Employee Retirement Income Security Act of 1974, thatisa broker-dealer registered under the Securities Exchange Act of 1934,an investment adviser registered or exempt from registration underthe Investment Advisers Act of 1940,an investment adviser registered under theSouth Carolina Uniform Securities Act of 2005,a depository institution,oraninsurance company, (h)atrust,ifithastotalassetsinexcess of $10,000,000,itstrusteeisa depository institution,andits participants are exclusively plans of thetypes identified inclause (I)or(g)above,regardless of thesize of theirassets,except atrustthat includes as participants self-directed individual retirement accountsor similar 14 self-directedplans,(i)anorganizationdescribedinSection501(c)(3)oftheInternalRevenueCode(26 U,S,c.Section501(c)(3)),corporation,Massachusettstrustorsimilarbusinesstrust,limitedliability company,orpartnership,notformedforthespecificpurpose of acquiringthesecuritiesoffered,withtotal assetsinexcess of $10,000,000,0)asmallbusinessinvestmentcompanylicensedbytheSmallBusiness AdministrationunderSection301(c)oftheSmallBusinessInvestmentAct of 1958(15 U.S.c.Section 681(c))withtotalassetsinexcess of $10,000,000,(k)aprivatebusinessdevelopmentcompanyasdefinedin Section202(a)(22)oftheInvestmentAdvisersActof1940(15U.S.C.Section80b-2(a)(22))withtotalassets inexcess of$IO,OOO,OOO,(I)afederalcovered investment adviseractingforitsownaccount,(m)aqualified institutionalbuyerasdefinedinRuleI 44A(a)(I),otherthanRule 144A(a)(I)(i)(H),adoptedunderthe SecuritiesAct of 1933(17C.F.R.230.144A),(n)amajorU.S.institutionalinvestorasdefinedinRule 15a-6(b)(4)(i)adoptedundertheSecuritiesExchangeAct of 1934(17C.F.R.240.15a-6),(0)anyother person,otherthananindividual,ofinstitutionalcharacterwithtotalassetsinexcessof$10,000,000not organizedforthespecificpurposeofevadingtheSouthCarolinaUniformSecuritiesActof2005or(p)any otherpersonspecifiedbyruleadoptedororderissuedundertheSouthCarolinaUniformSecuritiesAct of 2005;(ii)afederalcoveredinvestmentadviser;or(iii)anyotherpersonexemptedbyruleororderunderthe SouthCarolinaUniformSecuritiesAct of2005. SouthDakotaTo(i)aninstitutionalinvestorincludinganyofthefollowing,whetheractingforitselforforothersina fiduciarycapacity:(a)adepositoryinstitutionorinternationalbankinginstitution,(b)aninsurancecompany, (c)aseparateaccount of aninsurancecompany,(d)aninvestmentcompanyasdefinedintheInvestment CompanyAct of 1940.(e)a broker-dealer registeredundertheSecuritiesExchangeAct of 1934,(f)an employeepension,profit-sharing,orbenefitplaniftheplanhastotalassetsinexcessof$10,000,00orits investmentdecisionsaremadebyanamedfiduciary,asdefinedintheEmployeeRetirementIncomeSecurity Actof1974,thatisa broker-dealer registeredundertheSecuritiesExchangeAct of 1934,aninvestment adviserregisteredorexemptfromregistrationundertheInvestmentAdvisersAct of 1940,aninvestment adviserregisteredundertheSouthDakotaUniformSecuritiesActof2002,adepositoryinstitution,oran insurancecompany,(g)aplanestablishedandmaintainedbyastate,apoliticalsubdivisionofastate,oran agencyorinstrumentality of astateora political subdivision of astateforthebenefit of itsemployees,if the planhastotalassetsinexcessof$10,000,000oritsinvestmentdecisionsaremadebyadulydesignated publicofficialorbyanamedfiduciary,asdefinedintheEmployeeRetirementIncomeSecurityActof1974, thatisabroker-dealerregisteredundertheSecuritiesExchangeActof1934,aninvestmentadviserregistered orexemptfromregistrationundertheInvestmentAdvisersActof1940,aninvestmentadviserregistered undertheSouthDakotaUniformSecuritiesAct of 2002,adepositoryinstitution,oraninsurancecompany, (h)a trust,if ithastotalassetsinexcess of $10,000,000,itstrusteeisadepositoryinstitution,andits participantsareexclusivelyplans of thetypesidentifiedinclause (f)or(g)above,regardless of thesize of theirassets,exceptatrustthatincludesas participants self-directedindividualretirementaccountsorsimilar self-directedplans,(i)anorganizationdescribedinSection501(c)(3)oftheInternalRevenueCode(26 U.S.C.Section501(c)(3)),corporation,Massachusetts trustorsimilarbusinesstrust,limitedliability company,orpartnership,notformedforthespecificpurposeofacquiringthesecuritiesoffered,withtotal assetsinexcess of $10,000,000,0)asmallbusinessinvestmentcompanylicensedbytheSmallBusiness AdministrationunderSection301(c)oftheSmallBusinessInvestmentAct of 1958(15U.S.C.Section 681(c))withtotalassetsinexcess of $10,000,000,(k)aprivatebusinessdevelopmentcompanyasdefinedin Section202(a)(22)oftheInvestmentAdvisersAct of 1940(15 U.S.c.Section80b-2(a)(22))withtotalassets inexcess of$IO,OOO,OOO,(I)afederalcovered investment adviseractingforitsownaccount,(m)aqualified institutionalbuyerasdefinedinRule 144A(a)(I),otherthanRule 144A(a)(I)(i)(H),adoptedunderthe SecuritiesAct of 1933(17C.F.R.230.144A),(n)amajorUnitedStateinstitutionalinvestorasdefinedin Rule15a-6(b)(4)(i)adoptedundertheSecuritiesExchangeActof1934(17C.F.R.240.15a-6),(0)anyother person,otherthananindividual,of institutionalcharacterwithtotalassetsinexcess of $10,000,000not organizedforthespecificpurposeofevadingtheSouthDakotaUniformSecuritiesActof2002,or(p)any otherpersonspecifiedbyruleadoptedororderissuedundertheSouthDakotaUniformSecuritiesActof 2002;(ii)afederalcoveredinvestmentadviser;or(iii)anyotherpersonexemptedbyruleororderunderthe SouthDakotaUniformSecuritiesAct of 2002. TennesseeTo(i)aninstitutionalinvestor,whichincludesabankunlessthebankisactingasabroker-dealerassuch termisdefinedintheTennesseeSecuritiesAct of 1980,trustcompany,insurancecompany,investment companyregisteredundertheInvestmentCompanyActof1940,asamended,aholdingcompanywhich controlsany of theforegoing,atrustorfundoverwhichanyoftheforegoinghasorsharesinvestment discretion,apensionorprofit-sharingplan,aninstitutionalbuyer(astheTennesseeCommissionerof CommerceandInsurancemayfurtherdefinebyrule),oranyotherpersonengagedasasubstantialpartofits businessininvestinginsecuritiesunlesssuchotherpersonisacertaintype of broker-dealer,ineachcase havinganetworthinexcess of $1,000,000;or(ii)abroker-dealer. Texas Toanybank,trustcompany,buildingandloanassociation,insurancecompany,suretyorguarantycompany, savingsinstitution,investmentcompanyasdefinedintheInvestmentCompanyAct of 1940,smallbusiness investmentcompanyasdefinedintheSmallBusinessInvestmentAct of 1958,ortoanyregistereddealer actuallyengagedinbuyingandsellingsecurities. 15 Utah Toany of thefollowing whether thepurchaseisactingfor itself Drinafiduciarycapacity:(a)a depository institution;(b)atrustcompany;(c)aninsurancecompany;(d)aninvestmentcompanyasdefinedinthe Investment CompanyAct of 1940;(e)a pension or profit-sharing trust;(I)other financialor institutional investor;or (I)abrokerdealer. Vermont..To(i)aninstitutionalinvestor,including any of thefollowing,whetheractingfor itself Drforothersina fiduciarycapacity:(a)a depository institutionor international banking institution,(b)aninsurancecompany, (c)a separate account of aninsurancecompany,(d)an investment companyasdefinedinISU.S.C.§80a-1 etseq.,(e)a broker-dealer registered underIS U.S.c.§78aetseq.,(I)an employee pension,profit-sharing, or benefit planiftheplanhastotalassetsinexcess of $10,000,000 orits investment decisionsaremadebya namedfiduciary,asdefinedin29 U.S.c.§1001etseq.,thatisa broker-dealer registered underIS U.S.c.§ 78aetseq.,an investment adviserregisteredDr exempt from registration underIS U.S.c.§80a-1etseq.,an investment adviser registered underthe Vermont UniformSecuritiesAct(2002),a depository institution,Dr an insurance company,(g)aplan established and maintained byastate,a political subdivision of astate,or anagencyDr instrumentality of astateorapolitical subdivision of astateforthebenefit of itsemployees,if theplanhastotalassetsinexcess of $10,000,000 Drits investment decisionsaremadebyadulydesignated publicofficialDrbyanamedfiduciary,asdefinedin29 U.S.c.§1001etseq.,thatisa broker-dealer registered underIS U.S.c.§78aetseq.,an investment adviserregisteredorexemptfrom registration under IS U.S.c.§80a-1etseq.,an investment adviser registered underthe Vermont Uniform Securities Act(2002), a depository institution,oran insurance company,(h)atrust,ifithastotalassetsinexcess of $10,000,000,its trusteeisa depository institution,andits participants are exclusively plans of thetypes identified inclause (I) or(g)above,regardless of thesize of theirassets.exceptatrustthatincludesas participants self-directed individual retirement accountsDr similar self-directed plans,(i)an organization described in26 U.S.c.§SOl (c)(3),corporation,Massachusetts trustDr similar business trust,limitedliability company,or partnership, notformedforthe specific purpose of acquiring thesecuritiesoffered,withtotalassetsinexcess of $10,000,000,(j)asmall business investment companylicensedbytheSmallBusiness Administration under IS U.S.C.§681(c)withtotalassetsinexcessof $10,000,000,(k)aprivatebusiness development company asdefinedin15U.S.C.§80b-2(a)(22)withtotalassetsinexcess of $10,000,000 (I)afederalcovered investment adviseractingforitsownaccount,(m)aqualified institutional buyerasdefinedin17C.F.R. 230.144A (a)(I),otherthan subdivision 17C.F.R.230.144A(a)(I)(i)(H),(n)amajorU.S.institutional investor asdefinedin17C.F.R.240.15a-6 (b)(4)(i),(D)anyotherperson,otherthanan individual,of institutional character withtotalassetsinexcess of $10,000,000 not organized forthespecificpurpose of evadingthe Vermont Uniform Securities Act(2002),Dr(p)anyotherpersonspecifiedbyruleadoptedDr order issued under the Vermont UniformSecuritiesAct(2002);(ii)afederalcovered investment adviser;Dr (iii)anyotherpersonexemptedbyruleadoptedororderissuedunderthe Vermont Uniform Securities Act (2002). Virginia Toa corporation,investment companyorpensionor profit-sharing trustortoa broker-dealer. Washington Toanybank,savings institution,trustcompany,insurancecompany,investment company asdefinedinthe Investment Company Act of 1940,pensionor profit-sharing trust,otherfinancialinstitutionor institutional buyer,ortoa broker-dealer,whether the purchaser isactingfor itself orinsomefiduciarycapacity. WestVirginiaToabank,savings institution,trustcompany,insurancecompany,investment companyasdefinedinthe Investment CompanyAct of 1940 pension or profit-sharing trust,Drotherfinancialinstitutionor institutional buyer,Drtoa broker-dealer.whether the purchaser isactingfor itself orinsomefiduciarycapacity. Wisconsin T 0 (i)an institutional investor whichincludesany of thefollowing,whetheractingfor itself orforothersina fiduciarycapacity:(a)a depository institution Dr international bankinginstitution;(b)aninsurancecompany; (c)aseparate account of an insurance company;(d)an investment companyasdefinedinthe Investment CompanyAct of 1940;(e)a broker-dealer registered undertheSecurities Exchange Act of 1934;(I)an employee pension,profit-sharing,Drbenefitplaniftheplanhastotalassetsinexcess of $10,000,000 Drits investment decisionsaremadebyanamedfiduciary,asdefinedinthe Employee Retirement Income Security Act of 1974,thatisa broker-dealer registered undertheSecurities Exchange Act of 1934,an investment adviser registered Dr exempt from registration underthe Investment AdvisersAct of 1940,an investment adviser registered underthe Wisconsin Uniform Securities Law,adepository institution,Draninsurance company;(g)aplan established andmaintainedbyastate,apolitical subdivision of astate,DranagencyDr instrumentality of astateora political subdivision of astateforthebenefit of its employees,if theplanhas totalassetsinexcess of $10,000,000Drits investment decisionsaremadebyaduly designated publicofficial Drbyanamedfiduciary,asdefinedintheEmployee Retirement IncomeSecurityAct of 1974,thatisa broker-dealer registered underthe Securities Exchange Act of 1934,an investment adviser registered Dr exempt from registration under the Investment Advisers Act of 1940,aninvestmentadviser registered under theWisconsinUniform Securities Law,a depository institution,Draninsurancecompany(forpurposes of thisclause(g),"political subdivision of a state"doesnotincludeaschool district);(h)atrust,ifithastotal assetsinexcess of$IO,OOO,OOO,itstrusteeisadepositoryinstitution,andits participants are exclusively plans of thetypes identified inclause (I)or(g)above,regardless of thesize of theirassets,exceptatrustthat 16 includesas participants self-directed individual retirement accountsor similar self-directed plans;(i)an organization describedinSection501(c)(3)of theInternalRevenueCode(26 U.S.c.501(c)(3)),corporation, Massachusetts trustorsimilarbusiness trust limitedliabilitycompany,or partnership,notformedforthe specificpurpose of acquiring the securities offered,withtotalassetsinexcess of $10,000,000;(j)asmall business investment companylicensedbytheSmallBusiness Administration underSection301(c)of the SmallBusiness Investment Act of 1958(15 U.S.c.681(c))withtotalassetsinexcess of $10,000,000;(k)a privatebusiness development companyasdefinedinSection202(a)(22)of the Investment Advisers Act of 1940(15 U.S.c.80b-2(a)(22))withtotalassetsinexcess of $10,000,000;(I)afederalcovered investment adviseractingforitsownaccount;(m)a "qualified institutional buyer"asdefinedinRule 144A(a)(I),other thanRule 144A(a)(l)(i)(H),adoptedunderthe Securities Act of 1933(17C.F.R.230.144A);(n)amajorU.S. institutional investor asdefinedinRule15a-6(b)(4)(i)adoptedunderthe Securities Exchange Act of 1934(17 C.F.R.240.15a-6);(0)anyotherperson,otherthananindividual,of institutional character withtotalassetsin excess of $10,000,000,notorganizedforthespecificpurpose of evadingthe Wisconsin UniformSecurities Law;or(p)anyotherperson specified byruleadoptedororderissuedunderthe Wisconsin Uniform Securities Law;(ii)anaccreditedinvestor,asdefinedinRule501(a)adopted under the Securities Act of 1933 (17CFR230.501(a)),provided that prior tothesaletoan accredited investor described inRule 501(a)(5)or (6)adoptedundertheSecuritiesAct of 1933,thesellerfilesanyrequired consent toservice of processwith the administrator of theDivision of Securities intheState of Wisconsin Department of Financial Institutions; (iii)afederalcovered investment advisor;or(iv)anyotherpersonexpendedbyruleadoptedororderissued underthe Wisconsin UniformSecuritiesLaw. Wyoming Toabank,savings institution,trustcompany,insurancecompany,investment company asdefinedinthe Investment Company Act of 1940(15 U.S.c.80a-1to80a-52),pensionor profit-sharing trust,orother financial institution or institutional buyer,ortoa broker-dealer,whetherthe purchaser isactingfor itself orin somefiduciarycapacity. 17 Blanket Issuer Letter of Representations [To be Completed byIssuer] IIT.IISKlI Ml'INTCrpIlT.BOND BANK May 2,1995 [Date; Attention:C nderwritinz Department -Eligibility The Depository'Trust Company .::;.::;Water Street:.::;Oth Floor New York.\,Y 10041-0099 Ladies and Gentlemen: This letter setsforth our understanding with respect to all issues ~the "Securities")that Issuer shall request bemade eligible for deposit by The Depository Trust Company ("DTC)' To induce DTC to accept the Securities as eligiblefor deposit at DTC.andtoactin accordance with DTC'sRuleswith respect to the Securities.Issuer represents to DTC that Issuer will comply with the requirements stated inDTC's Operational Arrangements.as they maybe amended from time totime. Note: Schedule A contains statements that DTC believes accurately describeDTC.themethodofeffectingbook- entry transfersofsecuritiesdistributedthroughDTC.and certain relatedmatters. Received and Accepted: THE DEPOSITORY TRUST COMPANY 23 Very truly yours. AT.,ASKA MUNICIPAL BOND BANK ...L-, OMS No.1545-0720 Form8038-G (Rev.September 2011) Department oftheTreasury InternalRevenueService Information Return for Tax-Exempt Governmental Obligations ~UnderInternal Revenue Codesection 149(e) ~Seeseparateinstructions. Caution:If theissue price is under $100,000,useFormB03B-Ge. If Amended Return,checkhere ~0 2Issuer's employer identification number (EIN) AlaskaMunicipalBondBank 926001185 3aNameofperson(otherthanissuer)withwhomtheIRSmay communicate about thisreturn(see instructions)3bTelephonenumberof other personshownon3a 4 Number andstreet(orP.O.box if mailisnotdeliveredtostreetaddress) 333Willoughby,StateOfficeBuilding I Room/suite 5 Reportnumber (ForIRS Use Only) 13m\ 6City,town,orpostoffice,state,andZIPcode Juneau,Alaska 99801 7Dateofissue September16,2015 BNameofissue General ObligationBonds,2015 SeriesThree 9 CUSIPnumber 01179RNF6 10aNameand title of officer or other employee oftheissuerwhomtheIRSmaycallformore information (see instructions) 10bTelephone number of officer or other employeeshownon10a Deven J.Mitchell,ExecutiveDirector ..II Type of Issue (enter the issue price).Seethe instructions andattachscheduie. 11Education. 12Healthandhospital 13 Transportation 14Public safety. 15Environment(includingsewagebonds) 16Housing 17 Utilities 18Other.Describe ~loans to Governmental Units 907-465-3750 11 12 13 14 15 16 17 18 104,418,651 Form 8038-G (Rev.9-2011) f-I, ! ,~--------'-'--- years years N/A o 381,509 3.6984 % (e)Yield 104,418,651 104,037,142 N/A N/A (c)Statedredemption (d)Weighted priceat maturity average maturity(b)Issue price 10/01/2044 104,418,651 96,210,000 17.7084 ears Description of Obligations.Complete for the entire issue for which this form is being filed. Uses of Proceeds of Bond Issue (including underwriters'discount) If obliqations areTANsorRANs,checkonlybox19a If obligations areBANs,checkonlybox19b If obligations areintheformofaleaseorinstallmentsale,checkbox20 19 22Proceedsusedforaccruedinterest . 23Issuepriceofentireissue(enteramountfromline21,column(b)) 24Proceedsusedforbondissuancecosts(includingunderwriters'discount).24 342,521 25Proceedsusedforcreditenhancement.25 38,988 26Proceedsallocatedtoreasonablyrequiredreserveor replacement fund26 0 27Proceedsusedto currently refundpriorissues 27 0 28Proceedsusedtoadvancerefundpriorissues 28 0 29Total(addlines24through28). 30Nonrefunding proceeds oftheissue(subtractline29fromline23andenteramounthere) Description of Refunded Bonds.Complete this part only for refunding bonds. 31Entertheremainingweightedaveragematurityofthebondstobe currently refunded.~ 32Entertheremaining weighted averagematurityofthebondstobeadvancerefunded.~ 33Enterthelastdateonwhichtherefundedbondswillbecalled(MM/DDIYYYY)~ 34Enterthedaters)therefundedbondswereissued ~(MMlDDIYYYY) For Paperwork Reduction Act Notice,see separate instructions.Cat.No.63773S D andenterthefollowinginformation: D D Do D Page 2 o o ~ are remediated ~ ~ 35 37 104,037,142 1~ 36a ----+- 37 35Enterthe amount ofthestatevolumecapallocatedtotheissueundersection141(b)(5) 36aEnterthe amount ofgross proceeds investedortobeinvestedinaguaranteed investment contract (GIG)(see instructions) bEnterthefinal maturity dateoftheGIG ~_ cEnterthenameoftheGIG provider ~ Pooledfinancings:Entertheamountoftheproceedsofthisissuethataretobeusedtomakeloans to other governmental units. 38aIfthisissueisaloanmadefromthe proceeds ofanother tax-exempt issue,check box ~ bEnterthedateofthe master pool obligation ~_ cEntertheEINoftheissuerofthe master poolobligation ~_ dEnterthenameoftheissuerofthe master poolobligation ~==c-::-,--------,.,.,-------,-----,-----,-----:--,--- 39Iftheissuerhas designated theissue under section 265(b}(3)(B)(i)(III}(smallissuerexception),checkbox 40Iftheissuerhaselectedtopayapenaltyinlieuofarbitragerebate,check box. 41aIftheissuerhas identified ahedge,check here ~D andenterthe following information: bNameofhedge provider ~ cTypeofhedge ~_ dTermofhedge ~_--,----,--_ 42Iftheissuerhas superintegrated thehedge,checkbox 43Iftheissuerhas established written procedures toensurethatall nonqualified bondsofthisissue according tothe requirements under theGodeandRegulations(see instructions),checkbox. 44Iftheissuerhas established written procedures to monitor the requirements of section 148,check box. 45aIfsomeportionofthe proceeds wasusedtoreimburse expenditures,check here ~D andenterthe amount of reimbursement ..~ bEnterthedatetheofficialintentwas adopted ~ Form 8038-G (Rev.9-2011) Miscellaneous Signature and Consent Paid Preparer Use Only Firm's address ... September16,2015 Date WOHLFaRTH I BRECHT I CARTLEDGE A PROFESSIONAL CORPORATION Julius J.Brecht Cynthia L.Cartledge William A.Earnhart Michael Galli Nathaniel Parr Eric E.Wohlfarth ATTORNEYS AT LAW 900 WEST 5TH AVENUE,SUITE 600 ANCHORAGE,ALASKA 99501-2048 September 18,2015 TELEPHONE 907.276.6401 FACSIMILE 907.276.5093 WEBSITE WWW.AKATTY.COM CERTIFIED MAIL:70110110000022755651 RETURNRECEIPTREQUESTED InternalRevenueServiceCenter Ogden,Utah84201 Re:AlaskaMunicipalBondBank,GeneralObligationBonds,2015Series Three;OurFileNo.3742.1742 LadiesandGentlemen: EnclosedpleasefindForm8038-Ginthe above-referenced matter forfiling. Sincerely, :f4:r~HT &CARTLEDGE ShirleyRich,Legal Assistant Enclosures asstated 1:\Docs\37421742\L2 IRSRe 8038G.Docx SENDER:COMPLETE THIS SECTION COMPI.ETE THIS SECTIONON DEI.IVERY o Agent o Addressee OVes DNa C.DateofDelivery x A.Signature 3. ria Certified Mail 0 ExpressMail o Registered 0 ReturnReceiptforMerchandise o InsuredMail 0 C.O.D. II Completeitems1,2,and3.Also complete item4if Restricted Deliveryisdesired. II Printyournameandaddressonthereverse so that wecanreturnthecardtoyou. II Attachthiscardtothe back ofthemailpiece, oronthe front ifspacepermits. 1.ArticleAddressedto: TNterNflL-R,1:.VE:\'ll.l£ St;Rv ICe C E:N -rt:12. €-K)UtcJ... 4.RestrictedDelivery?(Extra Fee)0Ves 2.ArticleNumber (Transfer from service label)7011 01100000 2275 5651 PSForm 3811,February2004 DomesticReturnReceipt 102595-02·M-1540 WESTERN FINANCIAL GROUP REVISED FINAL Wire Instructions Memorandum Alaska Municipal Bond Bank $96,210,000 General Obligation and Refunding Bonds,2015 Series Three To:2015Series Three Working Group From:Chip Pierce,Western Financial Group,LLC Date:September 11,2015 The following arefinal wire instructions forthe closing ofthe above referenced financing.The closing will take place at8:00am(PacificTime)on September 16,2015,atthe Seattle officesof K&LGates:925 4th Avenue,Floor29.Pre-closing will take place at9:00am(pacificTime)on September 15,2015,atthe same location.Individuals from the borrowing communities that will be attending the pre-dosing in person should contact their bond counsel to confirm when they should arrive. There willbeone provider and one initial recipient of funds atclosing.The provider willbeRBC Capital Markets ("RBC"),the senior managing underwriter ofthe bonds.The initial recipient willbeTheBankof New York Mellon Trust Company ("BNY").BNYwill receive all funds relating tothe borrower project funds,borrower reserve funds,borrower capitalized interest funds,and costsof issuance.BNYwill then make subsequent wires tothe underlying borrowers related to their projects,costsof issuance and rounding amounts. Thetable below presents the calculation ofthe funds wired byRBCtoBNYon September 16, 2015: Par Amount of2015 Three Bonds Plus:Original Issue Premium Less:Underwriter's Discount TotalWire Amount $96,210,000.00 8,208,651.10 (342,521.48) $104,076,129.62 Onthe morning of September 16,2015,BNYwill receive $104,076,129.62 from RBCforthe2015 Series Three Bonds.BecausetheBondsare dated the date of delivery,there isno accrued interest associated with this issue. Phone:(503)719-6Il3 3300 NW 185thAve.,#270 Portland,OR97229 WesternFinancialGroup,LLC Alaska Municipal BondBank Revised FinalWire Instructions Memorandum General Obligation and Refunding Bonds -2015SeriesThree The following are wire instructions for funds wired toBNYbyRBC: THEBANKOFNEWYORKMELLON ABA#021000018 Account #6393758400 Account Name:AMBBGO2015-3Bond Proceeds The following table summarizes the allocation ofthe $104,076,129.62 totalcashheldbyBNYon September16th : Recipient Loantothe University of Alaska (includes borrower COl &rounding) University of Alaska Debt Service Reserve Fund University of Alaska Capitalized Interest Loanto Haines Borough (includes borrower COl &rounding) Kodiak Island Borough High School (includes borrower COl &rounding) Kodiak Island Borough Renewal &Rplcmt.(includes borrower COl &rounding) LoantotheCityofKingCove (includes borrower cor &rounding) CityofKingCove Debt Service Reserve Fund Surety Premium related toBondBank2005 Resolution Reserve Fund Total Debt ServiceReserve Deposits Amount $87,609,250.70 2,792,918.75 2,198,008.85 1,305,028.90 7,019,555.79 2,018,053.62 1,015,026.14 79,298.38 38,988.49 $104,076,129.62 AMBB Debt Service Reserves On September 16,2015,BNYwill wire $38,988.49to National Public Finance Guarantee Corporation tofulfilltheAMBB2005 Resolution debt service reserve fund requirement related to the2015 Three Bonds.The following are wire instructions related tothe2005 Resolution Reserve requirement: Bank Name:JP Morgan Chase Bank City &State:New York,NY Account #:304699020 ABA#:021-000-021 Policy Number:NP1401270 University of Alaska Debt Service Reserve On September 16,2015,BNYwill deposit $2,792,918.75tothe debt service reserve fund associated with the University's 2015Series Three loan. City of King Cove Debt Service Reserve On September 16,2015,BNYwill deposit $79,298.38tothe debt service reserve fund associated with theCityofKing Cove's 2015Series Three loan. Capitalized Interest Fund Deposit University of Alaska Debt Service Reserve On September 16,2015,BNYwill deposit $2,198,008.85tothe capitalized interest fund associated with the University's 2015Series Three loan. Page2 Alaska Municipal BondBank RevisedFinalWire Instructions Memorandum General Obligation and Refunding Bonds -2015Series Three Distribution of Borrower LoanProceeds University of Alaska On September 16,2015,BNYwill wire $87,609,250.70tothe University of Alaska.This amount represents the $87,500,000.00 associated with the University's combined heat and power plant project,$102,821.25ofcostsof issuance funds and the $6,429.45 rounding amount associated with itsloan.The following are wire instructions for funds that willbe wired from BNYtothe University ofAlaska: TheBankof New York Mellon ABA#:021000018 Account Number:6393468400 Account Name:UNIVOFAKGENREVBD15UPROCEEDS Kodiak Island Borough On September 16,2015,BNYwill wire $9,037,609.41to Kodiak Island Borough.This amount is comprised of$9,000,000for the high school and renewal and replacement projects,$36,000.00for KIB costs of issuance and $1,609.41 related to rounding amounts.The following are wire instructions for funds that will be wired from BNYto Kodiak Island Borough: Wells Fargo ABA#:121-000-248 Account Number 10502505 Attention:Jody (907)486-3127 Haines Borough On September 16,2015,BNYwill wire $1,305,028.90to the Haines Borough.This amount is comprised of$1,295,000for Haines Borough's vocational building and high school projects, $5,000.00forcostsof issuance and $5,028.90 rounding amount.The following are wire instructions for funds that will be wired from BNYto Haines Borough: First National Bank Alaska ABA:125-200-060 Checking Account Number:30025233 REF:Alaska Municipal BondBank Loan Cityof King Cove On September 16,2015,BNYwill wire $1,015,026.14totheCityofKingCove.This amount is comprised of$1,000,000.00for the City's hydroelectric project,$15,000for King Cove's costsof issuance and $26.14 related to rounding amounts.The following are wire instructions for funds that willbe wired from BNYto King Cove: Wells Fargo Bank,N.A. ABA#:121-000-248 City &State:Anchorage,AK Account #:003-7812408 Account Name:CityofKing Cove Page3 Alaska Municipal BondBank Revised FinalWire Instructions Memorandum General Obligation and Refunding Bonds-2015SeriesThree The table below present theCUSIP numbers associated with each maturity of the 2015 Series Thee Bonds: 2015 Series Three Bonds Due October 1,2016 October 1,2017 October 1,2018 October 1,2019 October 1,2020 October 1,2021 October 1,2022 October 1,2023 October 1,2024 October 1,2025 October 1,2026 October 1,2027 October 1,2028 October 1,2029 October 1,2030 October 1,2031 October 1,2032 October 1,2036 October 1,2039 October 1,2040 October 1,2044 ParAmount $375,000 390,000 1,960,000 2,050,000 2,175,000 2,300,000 2,415,000 2,540,000 2,670,000 2,805,000 2,715,000 2,855,000 3,000,000 3,160,000 3,300,000 3,455,000 3,645,000 16,045,000 12,950,000 4,745,000 20,660,000 Coupon 2.00% 2.00% 4.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 4.00% 5.25% 5.25% 5.25% 5.00% 4.00% 4.00% CUSIP Number 01179R MK6 ML4 MM2 MNO MP5 MQ3 MR1 MS9 MT7 MU4 MV2 MWO MX8 MY6 MZ3 NA7 NB5 NC3 NE9 NG4 NF6 If you have any questions related to this memo,please contact Chip Pierce at (503)719-6113. Thank you for your assistance. Page4 Sep4,201512:54pm Prepared byRBC Capital Markets TABLE OF CONTENTS Alaska Municipal Bond Bank General Obligation Bonds,2015Series Three Pricing Results 8-26-15 Revised Sources andUses9-4-15 Report AMBB 2015Series Three Sources andUses of Funds Bond Pricing ..... Bond Summary Statistics Bond Debt Service Breakdown Bond Maturity Table. Proof of Arbitrage Yield University of Alaska Loan Sources andUses of Funds Bond Pricing ..... Bond Summary Statistics Bond Debt Service Net Debt Service Bond Debt Service Haines Borough Loan Sources andUses of Funds Bond Pricing ..... Bond Summary Statistics Bond Debt Service Net Debt Service Bond Debt Service Kodiak Island Borough High SchoolLoan Sources andUses of Funds Bond Pricing ..... Bond Summary Statistics Bond Debt Service Net Debt Service Bond Debt Service Kodiak Island Borough Renewal and Replacement Loan Sources andUses of Funds Bond Pricing ..... Bond Summary Statistics Bond Debt Service Net Debt Service Bond Debt Service King Cove Loan Sources andUses of Funds Bond Pricing ..... Bond Summary Statistics Bond Debt Service Net Debt Service Bond Debt Service Page I 2 3 4 5 6 8 9 10 11 12 13 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 Sep 4,2015 12:54 pm Prepared by RBC Capital Markets SOURCES AND USES OF FUNDS Alaska Municipal Bond Bank General Obligation Bonds,2015 Series Three Pricing Results 8-26-15 Revised Sources and Uses 9-4-15 Page I DatedDate DeliveryDate 09/16/2015 09/16/2015 Sources: BondProceeds: ParAmount NetPremium/OlD Uses: ProjectFundDeposits: ProjectFundDeposit OtherFundDeposits: DebtServiceReserveFund CapitalizedInterest Cost ofIssuance: SuretyBondforBondBankReserve Borrower Costs of Issuance DeliveryDateExpenses: Underwriters Discount OtherUsesofFunds: AdditionalProceeds KodiakIsland Borough KodiakIsland Renewaland University of HainesBorough BoroughHigh Replacement AlaskaLoan Loan SchoolLoan Loan KingCoveLoan Total 86,085,000.00 1,155,000.00 6,210,000.00 1,780,000.00 980,000.00 96,210,000.00 6,864,206.05 153,807.20 829,890.90 242,927.10 117,819.858,208,651.10 92,949,206.05 1,308,807.20 7,039,890.90 2,022,927.10 1,097,819.85 104,418,651.10 KodiakIsland Borough KodiakIsland Renewaland University of HainesBorough BoroughHigh Replacement AlaskaLoan Loan SchoolLoan Loan KingCoveLoan Total 87,500,000.00 1,295,000.00 7,000,000.00 2,000,000.00 1,000,000.00 98,795,000.00 2,792,918.75 79,298.38 2,872,217.13 2,198,008.85 2,198,008.85 4,990,927.60 79,298.38 5,070,225.98 38,988.49 38,988.49 102,821.25 5,000.00 18,000.0018,000.0015,000.00158,821.25 141,809.74 5,000.00 18,000.0018,000.0015,000.00197,809.74 310,039.26 3,778.30 20,335.114,873.483,495.33 342,521.48 6,429.45 5,028.90 1,555.79 53.62 26.1413,093.90 92,949,206.05 1,308,807.20 7,039,890.90 2,022,927.10 1,097,819.85104,418,651.10 Sep4,201512:54pmPreparedbyRBCCapitalMarkets BONDPRICING AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 --------------------------------------------- Maturity Yieldto Bond Component Date Amount Rate Yield Price Maturity Serial Bonds: 10/0112016 375,000 2.000%0.600%101.451 10/01/2017 390,000 2.000%0.930%102.158 10/01/2018 1,960,000 4.000%1.220%108.275 10/01/2019 2,050,000 5.000%1.460%113.843 10/01/2020 2,175,000 5.000%1.780%115.460 10/01/2021 2,300,000 5.000%2.110%116.311 10/01120222,415,000 5.000%2.350%117.104 10/01/2023 2,540,000 5.000%2.520%117.949 10/0112024 2,670,000 5.000%2.690%118.429 10/0112025 2,805,000 5.000%2.820%118.124C 2.906% 10/0112026 2,715,000 5.000%3.000%116.487C 3.214% 10/0112027 2,855,000 5.000%3.110%115.499C 3.419% 10/01/2028 3,000,000 5.000%3.220%114.521C 3.595% 10/01/2029 3,160,000 5.000%3.290%113.904C 3.720% 10/01/2030 3,300,000 4.000%3.840%101.266C 3.888% 10/01/2031 3,455,000 5.250%3.360%115.318C 3.951% 10/0112032 3,645,000 5.250%3.410%114.877C 4.034% 41,810,000 Term Bond2036: 10/0112033 3,835,000 5.250%3.560%113.569C 4.266% 10/0112034 4,050,000 5.250%3.560%113.569C 4.266% 10/0112035 4,265,000 5.250%3.560%113.569C 4.266% 10/01/2036 3,895,000 5.250%3.560%113.569C 4.266% 16,045,000 TermBond 2039: 10/0112037 4,105,000 5.000%3.760%109.863C 4.335% 10/0112038 4,310,000 5.000%3.760%109.863C 4.335% 10/01/2039 4,535,000 5.000%3.760%109.863C 4.335% 12,950,000 SerialBond2040: 10/01/2040 4,745,000 4.000%4.240%96.317 TermBond 2044: 10/01/2041 4,860,000 4.000%4.290%95.208 10/0112042 5,055,000 4.000%4.290%95.208 10/0112043 5,265,000 4.000%4.290%95.208 10/01/2044 5,480,000 4.000%4.290%95.208 20,660,000 96,210,000 DatedDate 09/1612015 Delivery Date 09116/2015 First Coupon 04/0112016 Par Amount 96,210,000.00 Premium 8,208,651.10 Production 104,418,651.10 108.532014% Underwriter's Discount -342,521.48 -0.356014% PurchasePrice 104,076,129.62 108.176000% Accrued Interest Net Proceeds 104,076,129.62 Page2 Sep4,201512:54pm Prepared byRBC Capital Markets BOND SUMMARY STATISTICS Alaska Municipal Bond Bank General Obligation Bonds,2015 Series Three Pricing Results 8-26-15 Revised Sources andUses 9-4-15 Page3 Dated Date Delivery Date First Coupon Last Maturity Arbitrage Yield True Interest Cost (TIC) Net Interest Cost (NIC) All-In TIC Average Coupon Average Life (years) Weighted Average Maturity (years) Duration oflssue (years) Par Amount Bond Proceeds Total Interest Net Interest Total Debt Service Maximum Annual Debt Service Average Annual Debt Service 09116/2015 09116/2015 04/0112016 10/01/2044 3.698396% 4.001104% 4.183040% 4.017109% 4.633434% 18.153 17.708 12.129 96,210,000.00 104,418,651.1 0 80,922,865.1 0 73,056,735.48 177,132,865.10 6,476,312.50 6,099,266.52 Par Average Average Bond Component Value Price Coupon Life Serial Bonds 41,810,000.00 114.157 4.933%10.645 Term Bond 2036 16,045,000.00 113.569 5.250%19.554 Term Bond 2039 12,950,000.00 109.863 5.000%23.075 Serial Bond 2040 4,745,000.00 96.317 4.000%25.042 Term Bond 2044 20,660,000.00 95.208 4.000%27.592 96,210,000.00 18.153 rver r bp change 32,061.25 13,959.15 10,878.00 7,070.05 32,849.40 96,817.85 Par Value +Accrued Interest +Premium (Discount) -Underwriter's Discount -Cost oflssuance Expense -Other Amounts Target Value Target Date Yield TIC 96,210,000.00 8,208,651.1 0 -342,521.48 104,076,129.62 09116/2015 4.001104% All-In TIC 96,210,000.00 8,208,651.1 0 -342,521.48 -197,809.74 103,878,319.88 09116/2015 4.017109% Arbitrage Yield 96,210,000.00 8,208,651.1 0 104,418,651.10 09/16/2015 3.698396% Sep4,2015 12:54pmPreparedbyRBCCapitalMarkets Page4 BONDDEBTSERVICE BREAKDOWN Alaska MunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 --------------------------------------------- KodiakIsland Borough KodiakIslandRenewaland Period University ofHaines Borough BoroughHigh Replacement Ending AlaskaLoan Loan SchoolLoan LoanKingCoveLoan Total 06/30/2016 2,198,008.85 30,008.33 161,585.94 42,575 26,318.23 2,458,496.35 06/30/2017 4,057,862.50 90,050.00 491,362.50 222,150 48,587.50 4,910,012.50 06/3012018 4,057,862.50 94,300.00 492,412.50 224,200 48,587.50 4,917,362.50 06/30/2019 5,586,662.50 93,100.00 491,312.50 224,600 48,587.50 6,444,262.50 06/30/2020 5,589,587.50 91,300.00 491,837.50 222,500 48,587.50 6,443,812.50 06/30/2021 5,585,837.50 89,300.00 490,837.50 224,250 72,962.50 6,463,187.50 06/30/2022 5,587,837.50 92,175.00 494,212.50 225,500 76,587.50 6,476,312.50 06/30/2023 5,590,212.50 89,925.00 491,962.50 226,250 75,087.50 6,473,437.50 06/30/2024 5,587,837.50 92,550.00 494,087.50 226,500 73,587.50 6,474,562.50 06/30/2025 5,590,462.50 90,050.00 490,587.50 226,250 76,962.50 6,474,312.50 06/30/2026 5,587,837.50 92,425.00 491,462.50 225,500 75,212.506,472,437.50 06/30/2027 5,589,712.50 89,675.00 491,587.50 73,462.50 6,244,437.50 06/30/2028 5,585,837.50 91,800.00 490,962.50 76,587.50 6,245,187.50 06/3012029 5,585,962.50 93,675.00 489,587.50 74,587.50 6,243,812.50 06/30/2030 5,589,587.50 90,425.00 492,337.50 77,462.50 6,249,812.50 06/30/2031 5,585,912.50 92,400.00 491,062.50 75,437.50 6,244,812.50 06/30/2032 5,587,175.00 89,162.50 493,425.00 73,356.25 6,243,118.75 06/30/2033 5,588,100.00 90,356.25492,425.00 75,862.506,246,743.75 06/30/2034 5,585,493.75 91,287.50 490,375.00 73,237.50 6,240,393.75 06/30/2035 5,588,831.25 91,956.25492,143.75 75,481.256,248,412.50 06/30/2036 5,587,587.50 92,362.50 492,600.00 72,593.75 6,245,143.75 06/30/2037 5,586,368.75 74,575.00 5,660,943.75 06/30/2038 5,589,700.00 76,375.00 5,666,075.00 06/30/2039 5,587,575.00 73,125.00 5,660,700.00 06/30/2040 5,589,825.00 74,750.00 5,664,575.00 06/30/2041 5,589,800.00 76,500.00 5,666,300.00 06/30/2042 5,589,200.00 5,589,200.00 06/30/2043 5,585,900.00 5,585,900.00 06/30/2044 5,589,500.00 5,589,500.00 06/30/2045 5,589,600.00 5,589,600.00 161,191,677.60 1,858,283.33 9,998,167.19 2,290,275 1,794,461.98 177,132,865.10 Sep 4,2015 12:54pmPreparedbyRBCCapital Markets Page5 BOND MATURITY TABLE Alaska Municipal BondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 Revised SourcesandUses9-4-15 --------------------------------------------- KodiakIsland Borough KodiakIsland Renewaland Maturity University of Haines BoroughBorough High Replacement Date AlaskaLoan LoanSchoolLoan LoanKingCoveLoan Total 10/01/2016 35,000 195,000 145,000 375,000 10/0112017 40,000 200,000 150,000 390,000 10/0112018 1,560,000 40,000 205,000 155,000 1,960,000 10/0112019 1,635,000 40,000 215,000 160,000 2,050,000 10/01/2020 1,715,000 40,000 225,000 170,000 25,000 2,175,000 10/01/2021 1,805,000 45,000 240,000 180,000 30,000 2,300,000 10/0112022 1,900,000 45,000 250,000 190,000 30,000 2,415,000 10/0112023 1,995,000 50,000 265,000 200,000 30,000 2,540,000 10/0112024 2,100,000 50,000 275,000 210,000 35,000 2,670,000 10/0112025 2,205,000 55,000 290,000 220,000 35,000 2,805,000 10/0112026 2,320,000 55,000 305,000 35,000 2,715,000 10/0112027 2,435,000 60,000 320,000 40,000 2,855,000 10/0112028 2,560,000 65,000 335,000 40,000 3,000,000 10/0112029 2,695,000 65,000 355,000 45,000 3,160,000 10/0112030 2,815,000 70,000 370,000 45,000 3,300,000 10/0112031 2,950,000 70,000 390,000 45,000 3,455,000 10/01/2032 3,110,000 75,000 410,000 50,000 3,645,000 10/0112033 3,275,000 80,000 430,000 50,000 3,835,000 10/0112034 3,455,000 85,000 455,000 55,000 4,050,000 10/0112035 3,640,000 90,000 480,000 55,000 4,265,000 10/0112036 3,835,000 60,000 3,895,000 10/0112037 4,040,000 65,000 4,105,000 10/01/2038 4,245,000 65,000 4,310,000 10/0112039 4,465,000 70,000 4,535,000 10/0112040 4,670,000 75,000 4,745,000 10/0112041 4,860,000 4,860,000 10/01/2042 5,055,000 5,055,000 10/0112043 5,265,000 5,265,000 10/0112044 5,480,000 5,480,000 86,085,000 1,155,000 6,210,000 1,780,000 980,000 96,210,000 Sep4,201512:54pmPreparedbyRBCCapitalMarkets PROOFOF ARBITRAGE YIELD AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 PresentValue (009/16/2015 Dale DebtService Total @ 3,6983959369% 04/0112016 2,458,496.35 2,458,496.35 2,410,176.35 10/0112016 2,644,381.252,644,381.252,545,339.45 04/0112017 2,265,631,25 2,265,631.252,141,180.36 10/0112017 2,655,631,25 2,655,631.252,464,189.95 04/0112018 2,261,731.25 2,261,731.252,060,581.50 10/0112018 4,221,731.254,221,731.25 3,776,432.86 04JOllZOl9 2,222,531.25 2,222,531.251,952,007.35 10/0112019 4,272,531.25 4,272,531.25 3,684,352.77 04/01/2020 2,171,281.252,171,281.25 1,838,376.36 10/0112020 4,346,281.25 4,346,281,25 3,613,088.15 04/0112021 2,116,906.25 2,116,906.251,727,844.85 10/01/2021 4,416,906.25 4,416,906,25 3,539,677.42 04/0112022 2,059,406.25 2,059,406,25 1,620,428.67 10/0112022 4,474,406.25 4,474,406.253,456,731.85 04/01/2023 1,999,031.251,999,031.25 1,516,324.83 10/0112023 4,539,031.254,539,031.25 3,380,478.85 04/01/2024 1,935,531.251,935,531.25 1,415,329.72 10/0112024 4,605,531.254,605,531.25 3,306,583.98 04/0112025 52,498,781.2552,498,781.2537,007,643.53 10/0112025 574,100.00 574,100.00 397,349.02 04/0112026 574,100,00 574,100.00 390,134.66 10/0112026 574,100.00 574,100.00 383,051.28 04/0112027 574,100.00 574,100.00 376,096,51 10/01/2027 574,100.00 574,100.00 369,268.01 04/0112028 574,100.00 574,100.00 362,563,50 10/0112028 574,100.00 574,100.00 355,980.71 04/0112029 574,100.00 574,100.00 349,517.44 10/0112029 574,100.00 574,100.00 343,171.52 04/01/2030 574,100.00 574,100.00 336,940.82 10/01/2030 3,874,100.00 3,874,100.002,232,437.40 04/01/2031 508,100.00 508,100.00 287,474.97 10/01/2031 508,100.00 508,100.00 282,255.51 04/01/2032 508,100.00 508,100.00 277,130.81 10/01/2032 508,100.00 508,100.00 272,099.16 04/01/2033 508,100.00 508,100.00 267,158.87 10/0112033 508,100.00 508,100.00 262,308.27 04/01/2034 508,100.00 508,100.00 257,545.74 10/0112034 508,100.00 508,100.00 252,869.68 04/01/2035 508,100.00 508,100.00 248,278.51 10/0112035 508,100.00 508,100.00 243,770.71 04/0112036 508.100.00 508,100.00 239,344.75 10/0112036 508.100.00 508,100.00 234,999.15 04/0112037 508,100.00 508,100.00 230,732.45 10/0112037 508,100,00 508.100.00 226,543.22 04/0112038 508,100.00 508,100.00 222,430.05 10/0112038 508,100.00 508,100.00 218,391.56 04/0112039 508,100.00 508,100.00 214,426.39 10/0112039 508,100.00 508,100.00 210,533.21 04/0112040 508,100.00 508,100.00 206,710,72 10/01/2040 5,253,100.005,253,100.00 2,098,320.69 04/0112041 413,200.00 413,200.00 162,053.68 10/01/2041 5,273,200.00 5,273,200.00 2,030,557.12 04/0112042 316,000.00 316,000.00 119,473.18 10/01/2042 5,371,000.00 5,371,000.001,993,796.80 04/01/2043 214,900.00 214,900.00 78,325,75 10/0112043 5,479,900.005,479,900.00 1,961,025.08 04/0112044 109,600.00 109,600.00 38,509.11 10/01/2044 5,589,600.005,589,600.00 1,928,306,29 155,455,258.85155,455,258.85104,418,651.10 ProceedsSummary Page6 Deliverydale ParValue Premium(Discount) Targetforyieldcalculation 09/1612015 96,210,000.00 8,208,651.10 104,418,651.10 Sep4,201512:54pmPreparedbyRBCCapitalMarkets PROOFOF ARBITRAGE YIELD AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses 9-4-15 Assumed Call/Computation DatesforPremiumBonds PresentValue Bond Maturity C<>1'C<>11 1009/16(2015 Component Date Ra"YieldDalePrice @ 3.6983959369"10 SER 10/0112025 5.000%2.820%04/0112025 100.000 -217,140,65 SER 10/01/2026 5.000%3.000%04/0112025 100.000 -165,729.02 SER 10/0112027 5.000%3.110%04/0112025 100.000 -146,067,50 SER 10/0112028 5.000%3.220"10 04/0112025 100,000 -124,145.99 SER IO/Ol/2029 5.000%3.290"10 04/0112025 100,000 -111,269.91 SER 10/01/2031 5.250%3.360"10 04/01/2025 100.000 -101,600,47 SER 10/01/2032 5.250%3.410"10 04/0112025 100.000 -91,113.29 TERM2036 10/01/2033 5.250%3.560"10 04/0112025 100.000 -45,700.89 TERM2036 10/0112034 5,250010 3.560"10 0410112025 100.000 -48,263.00 TERM2036 10/01/2035 5.250%3.5600/0 04/0112025 100.000 .50,825,10 TERM2036 10/0112036 5.250%3.560%04/0112025 100.000 -46,415.90 TERM2039 10/0112037 5.000%3.760%04/0112025 100.000 21,337,80 TERM2039 10/0112038 5.000%3.760%04/0112025 100,000 22,403.39 TERM2039 10/0112039 5.000%3,760%04/0Il2025 100.000 23,572.95 Rejected Call/Computation DatesforPremiumBonds PresentValue Bond Maturity C<>11 C<>11 100911612015 Increase ComponentDale Ra"YieldDatePrice @ 3.6983959369%toNPV SER 10/01/2025 5.000%2.820%-204,505.91 12,634.74 SER 10/01/2026 5.000%3.000%-129,703.06 36,025.96 SER 10/0Il2027 5.000%3.110%.84,060.58 62,006.92 SER 10/01/2028 5.000%3.220%-34,553.52 89,592.47 SER 10/0Il2029 5.000%3.290%7,914.25 119,184.16 SER 10/01/2031 5.250%3.360%114,971.09 216,571.56 SER 10/01/2032 5,250%3.410%167,935.18 259,048.47 TERM2036 10/01/2033 5.250%3.560%257,853.96 303,554.85 TERM2036 10/01/2034 5.250%3.560010 303,873,08 352,136.08 TERM2036 10/0112035 5.250%3,560%352,047.32 402,872.42 TERM2036 10/0112036 5.250%3.560%349,716.26 396,132,16 TERM2039 10101/2037 5.000%3.760%395,603.22 374,265.42 TERM2039 10/0112038 5.000%3.760%439,694.77 417,291.38 TERM2039 10/01/2039 5.000%3.760%487,333.18 463,760.23 Page7 Sep4,201512:54pmPreparedbyRBCCapitalMarkets SOURCESANDUSESOFFUNDS University of AlaskaLoan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page8 DatedDate DeliveryDate Sources: BondProceeds: Par Amount NetPremium Uses: ProjectFundDeposits: ProjectFundDeposit OtherFundDeposits: DebtServiceReserveFund Capitalized Interest 0911612015 09/16/2015 86,085,000.00 6,864,206.05 92,949,206.05 87,500,000.00 2,792,918.75 2,198,008.85 4,990,927.60 Cost oflssuance: SuretyBondforBondBankReserve Borrower Costs oflssuance DeliveryDateExpenses: Underwriter's Discount OtherUses of Funds: AdditionalProceeds 38,988.49 102,821.25 141,809.74 310,039.26 6,429.45 92,949,206.05 Sep 4,2015 12:54 pm Prepared by RBC Capital Markets BOND PRICING University of Alaska Loan Alaska Municipal Bond Bank General Obligation Bonds,2015 Series Three Pricing Results 8-26-15 Revised Sources and Uses 9-4-15 --------------------------------------------- Maturity Yieldto BondComponent Date Amount RateYield Price Maturity SerialBonds: 1010112018 1,560,0004.000%1.220%108.275 1010112019 1,635,0005.000%1.460%113.843 1010112020 1,715,0005.000%1.780%115.460 10/01/2021 1,805,0005.000%2.110%116.311 10101/2022 1,900,000 5.000%2.350%117.104 1010112023 1,995,000 5.000%2.520%117.949 10101/2024 2,100,0005.000%2.690%118.429 1010112025 2,205,000 5.000%2.820%118.124C2.906% 10101/2026 2,320,000 5.000%3000%116.487C3.214% 1010112027 2,435,000 5.000%3.110%115.499C 3419% 10/0112028 2,560,0005.000%3.220%114.521C3.595% 1010112029 2,695,000 5.000%3.290%113.904C3.720% 10101/2030 2,815,000 4.000%3.840%101.266 C3.888% 10101/2031 2,950,0005.250%3.360%115.318C 3.951% 10101/2032 3,110,0005.250%3.410%114.877C 4.034% 33,800,000 TennBond2036: 1010112033 3,275,0005.250%3.560%113.569C 4.266% 10/01/2034 3,455,0005.250%3.560%113.569C 4.266% 1010112035 3,640,0005.250%3.560%113.569C 4.266% 1010112036 3,835,0005.250%3.560%113.569C 4.266% 14,205,000 TermBond2039: 10101/2037 4,040,0005.000%3.760%109.863C 4.335% 1010112038 4,245,0005.000%3.760%109.863C 4.335% 10101/2039 4,465,0005.000%3.760%109.863C 4.335% 12,750,000 SerialBond2040: 10101/2040 4,670,0004.000%4.240%96.317 TennBond2044: 10101/2041 4,860,000 4.000%4.290%95.208 10101/2042 5,055,000 4.000%4.290%95.208 1010112043 5,265,000 4.000%4.290%95.208 1010112044 5,480,000 4.000%4.290%95.208 20,660,000 86,085,000 DatedDate 09116/2015 DeliveryDate 09116/2015 FirstCoupon 04/0112016 ParAmount 86,085,000.00 Premium 6,864,206.05 Production 92,949,206.05107.973754% Underwriter's Discount -310,039.26 -0.360155% Purchase Price 92,639,166.79107.613599% AccruedInterest NetProceeds 92,639,166.79 Page 9 Sep4,201512:54pmPreparedbyRBCCapitalMarkets BONDSUMMARYSTATISTICS University of AlaskaLoan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page10 DatedDate DeliveryDate FirstCoupon LastMaturity ArbitrageYield TrueInterestCost(TIC) NetInterestCost(NIC) All-InTIC AverageCoupon AverageLife(years) WeightedAverageMaturity(years) Duration oflssue (years) Par Amount BondProceeds TotalInterest NetInterest TotalDebtService MaximumAnnualDebtService AverageAnnualDebtService 09116/2015 0911612015 04/0112016 10101/2044 3.698396% 4.040801% 4.205658% 4.053302% 4.607752% 18.935 18.471 12.507 86,085,000.00 92,949,206.05 75,106,677.60 68,552,510.81 161,191,677.60 5,590,462.50 5,550,359.06 Par AverageAverage Bond Component Value Price CouponLife SerialBonds 33,800,000.00 114.323 4.941%10.955 TermBond2036 14,205,000.00 113.569 5.250%19.607 TermBond2039 12,750,000.00 109.863 5.000%23.075 SerialBond2040 4,670,000.00 96.317 4.000%25.042 TermBond2044 20,660,000.00 95.208 4.000%27.592 86,085,000.00 18.935 PVofl bp change 26,429.65 12,358.35 10,710.00 6,958.30 32,849.40 89,305.70 ParValue +Accrued Interest +Premium(Discount) -Underwriter's Discount -Cost oflssuance Expense -Other Amounts TargetValue TargetDate Yield TIC 86,085,000.00 6,864,206.05 -310,039.26 92,639,166.79 09/16/2015 4.040801% All-In TIC 86,085,000.00 6,864,206.05 -310,039.26 -141,809.74 92,497,357.05 09116/2015 4.053302% Arbitrage Yield 86,085,000.00 6,864,206.05 92,949,206.05 09116/2015 3.698396% Sep 4,2015 12:54pmPreparedbyRBCCapitalMarkets BONDDEBTSERVICE University of AlaskaLoan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page II DatedDate DeliveryDate 09II6120I5 09II6/2015 Period Ending PrincipalCouponInterest DebtService 06/30/2016 2,I98,008.852,I98,008.85 06/30/2017 4,057,862.50 4,057,862.50 06/30/2018 4,057,862.50 4,057,862.50 06/30/2019 1,560,0004.000%4,026,662.50 5,586,662.50 06/30/2020 1,635,0005.000%3,954,587.50 5,589,587.50 06/30/2021 1,715,000 5.000%3,870,837.50 5,585,837.50 06/30/2022 1,805,000 5.000%3,782,837.50 5,587,837.50 06/30/2023 1,900,000 5.000%3,690,212.50 5,590,2I2.50 06/30/2024 1,995,0005.000%3,592,837.50 5,587,837.50 06/30/2025 2,100,0005.000%3,490,462.50 5,590,462.50 06/30/2026 2,205,000 5.000%3,382,837.50 5,587,837.50 06/30/2027 2,320,000 5.000%3,269,712.50 5,589,712.50 06/30/2028 2,435,000 5.000%3,150,837.50 5,585,837.50 06/30/2029 2,560,000 5.000%3,025,962.50 5,585,962.50 06/30/2030 2,695,0005.000%2,894,587.50 5,589,587.50 06/30/2031 2,815,000 4.000%2,770,9I2.50 5,585,912.50 06/30/2032 2,950,0005.250%2,637,175.00 5,587,175.00 06/30/2033 3,110,000 5.250%2,478,100.00 5,588,100.00 06/3012034 3,275,000 5.250%2,310,493.75 5,585,493.75 06/30/2035 3,455,000 5.250%2,133,831.25 5,588,831.25 06/30/2036 3,640,000 5.250%1,947,587.50 5,587,587.50 06/30/2037 3,835,000 5.250%1,751,368.755,586,368.75 06/30/2038 4,040,0005.000%1,549,700.00 5,589,700.00 06/3012039 4,245,0005.000%1,342,575.00 5,587,575.00 06/3012040 4,465,0005.000%1,124,825.00 5,589,825.00 06/30/2041 4,670,000 4.000%919,800.00 5,589,800.00 06/30/2042 4,860,000 4.000%729,200.00 5,589,200.00 06/30/2043 5,055,000 4.000%530,900.00 5,585,900.00 06/3012044 5,265,0004.000%324,500.00 5,589,500.00 06/30/2045 5,480,000 4.000%109,600.00 5,589,600.00 86,085,000 75,106,677.60 161,191,677.60 Sep 4,201512:54pmPreparedbyRBCCapitalMarkets Page12 NETDEBTSERVICE University of AlaskaLoan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 --------------------------------------------- Period TotalDebtService Capitalized Net Ending DebtServiceReserveFund Interest DebtService 06/30/2016 2,198,008.85 2,198,008.85 06/30/2017 4,057,862.50 4,057,862.50 06/30/2018 4,057,862.50 4,057,862.50 06/30/2019 5,586,662.50 5,586,662.50 06/30/2020 5,589,587.50 5,589,587.50 06/30/2021 5,585,837.50 5,585,837.50 06/30/2022 5,587,837.50 5,587,837.50 06/30/2023 5,590,212.50 5,590,212.50 06/30/2024 5,587,837.50 5,587,837.50 06/30/2025 5,590,462.50 5,590,462.50 06/30/2026 5,587,837.50 5,587,837.50 06/30/2027 5,589,712.50 5,589,712.50 06/30/2028 5,585,837.50 5,585,837.50 06/30/2029 5,585,962.50 5,585,962.50 06/30/2030 5,589,587.50 5,589,587.50 06/30/2031 5,585,912.50 5,585,912.50 06/30/2032 5,587,175.00 5,587,175.00 06/30/2033 5,588,100.00 5,588,100.00 06/30/2034 5,585,493.75 5,585,493.75 06/30/2035 5,588,831.25 5,588,831.25 06/30/2036 5,587,587.50 5,587,587.50 06/30/2037 5,586,368.75 5,586,368.75 06/30/2038 5,589,700.00 5,589,700.00 06/30/2039 5,587,575.00 5,587,575.00 06/30/2040 5,589,825.00 5,589,825.00 06/30/2041 5,589,800.00 5,589,800.00 06/30/2042 5,589,200.00 5,589,200.00 06/30/2043 5,585,900.00 5,585,900.00 06/30/2044 5,589,500.00 5,589,500.00 06/30/2045 5,589,600.00 2,792,918.75 2,796,681.25 161,191,677.60 2,792,918.752,198,008.85 156,200,750.00 Sep4,201512:54pmPreparedbyRBCCapitalMarkets BONDDEBTSERVICE University of AlaskaLoan AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page13 1,560,000 4.000% 1,635,000 5.000% 1,715,000 5.000% 1,805,000 5.000% 1,900,000 5.000% 1,995,000 5.000% 2,100,000 5.000% 2,205,000 5.000% 2,320,000 5.000% 2,435,000 5,000% 2,560,000 5.000% 2,695,000 5.000% 2,815,000 4.000% 2,950,000 5,250% 3,110,000 5.250% 3,275,000 5.250% 3,455,000 5.250% 3,640,000 5.250"10 3,835,000 5,250% 4,040,000 5.000% 4,245,000 5.000% 4,465,000 5.000% 4,670,000 4.000"10 Period Ending; 04/01/2016 06/30/2016 10/01/2016 04/01/2017 06/3012017 10/0112017 04/0112018 06/30/2018 10/01/2018 04/01/2019 06/30/2019 10/01/2019 04/01/2020 06/30/2020 10/01/2020 04/0112021 06/]0/2021 10/01/2021 04/01/2022 06/30/2022 10/01/2022 04/01/2023 06/]0/2023 10/01/2023 04/01/2024 06/30/2024 10/0112024 04/0112025 06/]0/2025 10/01/2025 04/01/2026 06/30/2026 \0/01/2026 04/01/2027 06/30/2027 10/01/2027 04/0112028 06/3012028 10/0112028 04/0112029 06/30/2029 10/01/2029 04/0112030 06/3012030 10/0112030 04/01/2031 06/30/2031 10/01/2031 04/0112032 0613012032 10/0112032 04/01/2033 06/30/2033 10/0112033 04/01/2034 06/30/2034 10/0112034 04/01/2035 06/30/2035 10/0112035 04/0112036 0613012036 10/0112036 04/0112037 06/]012037 10/01/2037 04/0112038 06/30/2038 10/0112038 04/0112039 06130/2039 10/0112039 04/01/2040 0613012040 10/0112040 04/01/2041 06/]012041 Principal DatedDate DeliveryDate Coupon 09/16/2015 0911612015 Annual Interest DebtService Debt Service 2,198,008.85 2,198,008.85 2,198,008.85 2,028,931.252,028,931.25 2,028,931.25 2,028,931,25 4,057,862.50 2,028,931.25 2,028,931.25 2,028,931.25 2,028,931.25 4,057,862.50 2,028,931.25 3,588,931.25 1,997,731.251,997,731.25 5,586,662.50 1,997,731.25 3,632,731.25 1,956,856.251,956,856.25 5,589,587.50 1,956,856.25 3,671,856,25 1,913,981.251,913,981.25 5,585,837.50 1,913,981.25 3,718,981.25 1,868,856.25 1,868,856.25 5,587,837.50 1,868,856,25 3,768,856.25 1,821,356,25 1,821,356.25 5,590,212.50 1,821,356,25 3,816,356.25 \,771,481.25 1,771,481.25 5,587,837.50 1,771,481.25 3,871,481.25 1,718,981.25 1,718,981.25 5,590,462.50 1,718,981.25 3,923,981.25 1,663,856.25 1,663,856.25 5,587,837.50 1,663,856.25 3,983,856.25 1,605,856.25 1,605,856.25 5,589,712.50 1,605,856.25 4,040,856.25 1,544,981.251,544,981.25 5,585,837,50 1,544,981.25 4,104,981.25 1,480,981.25 1,480,981.25 5,585,962.50 1,480,981.25 4,175,981.25 1,413,606.25 1,413,606.25 5,589,587.50 1,413,606.25 4,228,606.25 1,357,306.25 1,357,306.25 5,585,912.50 1,357,306.25 4,307,306.25 1,279,868.75 1,279,868.75 5,587,175.00 1,279,868.75 4,389,868.75 1,198,231.25 1,198,231.25 5,588,100,00 1,198,231.25 4,473,231.25 1,112,262,50 1,112,262,50 5,585,493.75 1,112,262.50 4,567,262.50 1,021,568.75 1,021,568.75 5,588,831.25 1,021,568.75 4,661,568.75 926,018.75 926,018.75 5,587,587.50 926,018.75 4,761,018.75 825,350.00 825,350.00 5,586,368.75 825,350.00 4,865,350.00 724,350.00 724,350.00 5,589,700.00 724,350.00 4,969,350.00 618,225.00618,225.00 5,587,575.00 618,225.00 5,083,225.00 506,600.00 506,600.00 5,589,825.00 506,600.00 5,176,600.00 413,200.00 413,200.00 5,589,800.00 Sep 4,2015 12:54pmPreparedbyRBCCapitalMarkets BONDDEBTSERVICE University of AlaskaLoan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Period Annual Ending Principal Coupon InterestDebt ServiceDebtService 10/0112041 4,860,000 4.000%413,200,00 5,273,200.00 04/01/2042 316,000.00 J 16,000.00 06/3012042 5,589,200.00 10/0112042 5,055,000 4.000%316,000.005,371,000.00 04/01/2043 214,900.00214,900.00 06/)012043 5,585,900,00 10/0112043 5,265,000 4.000%214,900,005,479,900,00 04/0112044 109,600.00 109,600.00 06/30/2044 5,589,500.00 10/0112044 5,480,000 4.000%109,600.00 5,589,600_00 0613012045 5,589,600.00 86,085,000 75,106,677.60 161,191,677.60 161,191,677,60 Page14 Sep4,2015 12:54pmPreparedbyRBCCapitalMarkets SOURCESANDUSESOFFUNDS HainesBoroughLoan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses 9-4-15 Page 15 DatedDate DeliveryDate Sources: BondProceeds: ParAmount Premium Uses: ProjectFundDeposits: ProjectFund Deposit Cost of Issuance: BorrowerCosts ofIssuance DeliveryDateExpenses: Underwriter's Discount OtherUses of Funds: Additional Proceeds 0911612015 09/l6/2015 1,155,000.00 153,807.20 1,308,807.20 1,295,000.00 5,000.00 3,778.30 5,028.90 1,308,807.20 Sep4,201512:54pmPreparedbyRBCCapitalMarkets BONDPRICING HainesBoroughLoan AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Maturity Bond Component Date Amount Rate Yield SerialBonds: 1010112016 35,000 2.000%0.600% 1010112017 40,000 2.000%0.930% 10/0112018 40,0004.000%1.220% 10/0112019 40,0005.000%1.460% 10101/2020 40,0005.000%1.780% 10/0112021 45,0005.000%2.110% 10/0112022 45,0005.000%2.350% 10/0112023 50,0005.000%2.520% 10/0112024 50,0005.000%2.690% 1010112025 55,0005.000%2.820% 10101/2026 55,0005.000%3.000% 10/0112027 60,000 5.000%3.110% 10/0112028 65,0005.000%3.220% 10/0112029 65,0005.000%3.290% 1010112030 70,000 4.000%3.840% 1010112031 70,0005.250%3.360% 10/0112032 75,000 5.250%3.410% 900,000 TermBond2036: 10101/2033 80,0005.250%3.560% 10/0112034 85,0005.250%3.560% 10/0112035 90,0005.250%3.560% 10/0112036 5.250%3.560% 255,000 1,155,000 Price 101.451 102.158 108.275 113.843 115.460 116.311 117.104 117.949 118.429 118.124C 116.487C 115.499C 114.521C 113.904C 101.266C 115.318C 114.877C 113.569C 113.569C 113.569C 113.569C Yieldto Maturity 2.906% 3.214% 3.419% 3.595% 3.720% 3.888% 3.951% 4.034% 4.266% 4.266% 4.266% 4.266% Page16 DatedDate 09/16/2015 DeliveryDate 09/1612015 FirstCoupon 04/0112016 ParAmount 1,155,000.00 Premium 153,807.20 Production 1,308,807.20 113.316641% Underwriter's Discount -3,778.30 -0.327126% PurchasePrice 1,305,028.90 112.989515% AccruedInterest NetProceeds 1,305,028.90 Sep4,201512:54pmPreparedbyRBCCapitalMarkets BOND SUMMARY STATISTICS Haines Borough Loan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page17 DatedDate DeliveryDate FirstCoupon LastMaturity Arbitrage Yield TrueInterestCost(TIC) NetInterestCost(N1C) All-InTIC Average Coupon Average Life(years) Weighted AverageMaturity(years) Duration of Issue(years) Par Amount Bond Proceeds Total Interest NetInterest TotalDebtService MaximumAnnualDebtService AverageAnnualDebtService 09/16/2015 09/16/2015 04/0112016 10/0112035 3.698396% 3.618640% 3.949525% 3.660907% 5.020539% 12.128 12.168 9.254 1,155,000.00 1,308,807.20 703,283.33 553,254.43 1,858,283.33 94,300.00 92,721.00 Par Average Average Bond Component Value Price CouponLife SerialBonds 900,000.00 113.245 4.898%10.158 TermBond2036 255,000.00 113.569 5.250%19.081 1,155,000.00 12.128 PVof 1bp change 655.90 221.85 877.75 ParValue +Accrued Interest +Premium (Discount) -Underwriter's Discount -Cost ofissuance Expense -Other Amounts Target Value Target Date Yield TIC 1,155,000.00 153,807.20 -3,778.30 1,305,028.90 09/16/2015 3.618640% All-In TIC 1,155,000.00 153,807.20 -3,778.30 -5,000.00 1,300,028.90 09/16/2015 3.660907% Arbitrage Yield 1,155,000.00 153,807.20 1,308,807.20 09/16/2015 3.698396% Sep4,201512:54pmPreparedbyRBCCapitalMarkets BONDDEBTSERVICE HainesBoroughLoan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page18 DatedDate DeliveryDate 0911612015 09116/2015 Period Ending PrincipalCouponInterestDebtService 06/30/2016 30,008.3330,008.33 06/30/2017 35,000 2.000%55,050.00 90,050.00 06/3012018 40,0002.000%54,300.00 94,300.00 06/30/2019 40,000 4.000%53,100.0093,100.00 06/30/2020 40,0005.000%51,300.0091,300.00 06/30/2021 40,0005.000%49,300.0089,300.00 06/30/2022 45,000 5.000%47,175.00 92,175.00 06/30/2023 45,000 5.000%44,925.00 89,925.00 06/30/2024 50,0005.000%42,550.00 92,550.00 06/30/2025 50,0005.000%40,050.0090,050.00 06/30/2026 55,0005.000%37,425.0092,425.00 06/30/2027 55,000 5.000%34,675.00 89,675.00 06/30/2028 60,000 5.000%31,800.00 91,800.00 06/30/2029 65,000 5.000%28,675.00 93,675.00 06/30/2030 65,0005.000%25,425.00 90,425.00 06/3012031 70,0004.000%22,400.00 92,400.00 06/30/2032 70,0005.250%19,162.5089,162.50 06/30/2033 75,0005.250%15,356.2590,356.25 06/30/2034 80,0005.250%11,287.50 91,287.50 06/30/2035 85,000 5.250%6,956.25 91,956.25 06/30/2036 90,0005.250%2,362.50 92,362.50 1,155,000 703,283.331,858,283.33 Sep4,2015 12:54pmPreparedbyRBCCapitalMarkets NETDEBTSERVICE HainesBoroughLoan AlaskaMunicipalBondBank General Obligation Bonds,2015 SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Period Total Net Ending DebtServiceDebtService 06/30/2016 30,008.3330,008.33 06/30/2017 90,050.00 90,050.00 06/30/2018 94,300.00 94,300.00 06/3012019 93,100.00 93,100.00 06/30/2020 91,300.00 91,300.00 06/30/2021 89,300.00 89,300.00 06/3012022 92,175.0092,175.00 06/30/2023 89,925.00 89,925.00 06/30/2024 92,550.00 92,550.00 06/3012025 90,050.00 90,050.00 06/3012026 92,425.00 92,425.00 06/30/2027 89,675.00 89,675.00 06/30/2028 91,800.00 91,800.00 06/30/2029 93,675.00 93,675.00 06/30/2030 90,425.00 90,425.00 06/30/2031 92,400.00 92,400.00 06/30/2032 89,162.50 89,162.50 06/30/2033 90,356.25 90,356.25 06/30/2034 91,287.50 91,287.50 06/30/2035 91,956.25 91,956.25 06/30/2036 92,362.50 92,362.50 1,858,283.331,858,283.33 Page 19 Sep4,201512:54pmPrepared by RBCCapitalMarkets Page20 BONDDEBTSERVICE HainesBoroughLoan AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 --------------------------------------------- DatedDate 09/16/2015 DeliveryDate 09/16/2015 Period Annual Ending Principal Coupon Interest DebtService Debt Service 04/0112016 30,008.33 30,008.33 06/30/2016 30,008.33 10/01/2016 35,000 2.000%27,700.00 62,700.00 04/01/2017 27,350.0027,350.00 06/30/2017 90,050.00 10/01/2017 40,000 2.000%27,350.00 67,350.00 04/0112018 26,950.00 26,950.00 06/30/2018 94,300.00 10/0112018 40,000 4.000%26,950.00 66,950.00 04/0112019 26,150.00 26,150.00 06/30/2019 93,100.00 10/01/2019 40,000 5.000%26,150.00 66,150.00 04/01/2020 25,150.0025,150.00 06/3012020 91,300.00 10/0112020 40,000 5.000%25,150.00 65,150.00 04/0112021 24,150.00 24,150.00 06/30/2021 89,300.00 10/0112021 45,000 5.000%24,150.00 69,150.00 04/0112022 23,025.00 23,025.00 06/30/2022 92,175.00 10/0112022 45,000 5.000%23,025.00 68,025.00 04/01/2023 21,900.0021,900.00 06/30/2023 89,925.00 10/01/2023 50,000 5.000%21,900.00 71,900.00 04/01/2024 20,650.00 20,650.00 06/30/2024 92,550.00 10/0112024 50,000 5.000%20,650.00 70,650.00 04/0112025 19,400.00 19,400.00 06/30/2025 90,050.00 10/0112025 55,000 5.000%19,400.00 74,400.00 04/0112026 18,025.00 18,025.00 06/30/2026 92,425.00 10/01/2026 55,000 5.000%18,025.00 73,025.00 04/01/2027 16,650.00 16,650.00 06/30/2027 89,675.00 10/0112027 60,000 5.000%16,650.00 76,650.00 04/0112028 15,150.00 15,150.00 06/30/2028 91,800.00 10/0112028 65,000 5.000%15,150.00 80,150.00 04/01/2029 13,525.0013,525.00 06/30/2029 93,675.00 10/01/2029 65,000 5.000%13,525.00 78,525.00 04/01/2030 11,900.00 11,900.00 06/30/2030 90,425.00 10/0112030 70,000 4.000%11,900.00 81,900.00 04/0112031 10,500.00 10,500.00 06/30/2031 92,400.00 10/0112031 70,000 5.250%10,500.00 80,500.00 04/01/2032 8,662.508,662.50 06/30/2032 89,162.50 10/01/2032 75,000 5.250%8,662.50 83,662.50 04/0112033 6,693.75 6,693.75 06/30/2033 90,356.25 10/0112033 80,000 5.250%6,693.75 86,693.75 04/01/2034 4,593.754,593.75 06/30/2034 91,287.50 10/01/2034 85,000 5.250%4,593.75 89,593.75 04/01/2035 2,362.50 2,362.50 06/3012035 91,956.25 10/0112035 90,000 5.250%2,362.50 92,362.50 06/3012036 92,362.50 1,155,000 703,283.33 1,858,283.33 1,858,283.33 Sep4,201512:54pmPreparedbyRBCCapitalMarkets SOURCESANDUSESOFFUNDS KodiakIslandBoroughHighSchoolLoan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page21 DatedDate DeliveryDate Sources: BondProceeds: Par Amount Premium Uses: ProjectFundDeposits: ProjectFundDeposit Cost oflssuance: Borrower Costs oflssuance DeliveryDateExpenses: Underwriter's Discount OtherUses of Funds: Additional Proceeds 09116/2015 09116/2015 6,210,000.00 829,890.90 7,039,890.90 7,000,000.00 18,000.00 20,335.11 1,555.79 7,039,890.90 Sep4,201512:54pmPreparedbyRBCCapital Markets BONDPRICING Kodiak Island Borough HighSchoolLoan Alaska MunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Maturity Bond Component Date Amount RateYield SerialBonds: 10/0112016 195,000 2.000%0.600% 10/0112017 200,000 2.000%0.930% 10/0112018 205,000 4.000%1.220% 10/01/2019 215,000 5.000%1.460% 10/0112020 225,000 5.000%1.780% 10/0112021 240,000 5.000%2.110% 10/0112022 250,000 5.000%2.350% 10/0112023 265,000 5.000%2.520% 10/0112024 275,000 5.000%2.690% 10/0112025 290,000 5.000%2.820% 10/0112026 305,000 5.000%3.000% 10/0112027 320,000 5.000%3.110% 10/0112028 335,000 5.000%3.220% 10/0112029 355,000 5.000%3.290% 10/01/2030 370,000 4.000%3.840% 10/0112031 390,000 5.250%3.360% 10/01/2032 410,000 5.250%3.410% 4,845,000 TermBond2036: 10/0112033 430,000 5.250%3.560% 10/0112034 455,000 5.250%3.560% 10/0112035 480,000 5.250%3.560% 10/0112036 5.250%3.560% 1,365,000 6,210,000 Price 101.451 102.158 108.275 113.843 115.460 116.311 117.104 117.949 118.429 118.124C 116.487C 115.499C 114.521C 113.904C 101.266C 115.318C 114.877C 113.569C 113.569C 113.569C 113.569C Yieldto Maturity 2.906% 3.214% 3.419% 3.595% 3.720% 3.888% 3.951% 4.034% 4.266% 4.266% 4.266% 4.266% Page22 Dated Date 09/1612015 Delivery Date 09/16/2015 FirstCoupon 04/0112016 Par Amount 6,210,000.00 Premium 829,890.90 Production 7,039,890.90 113.363783% Underwriter's Discount -20,335.11 -0.327457% Purchase Price 7,019,555.79 113.036325% Accrued Interest Net Proceeds 7,019,555.79 Sep4,201512:54pmPreparedbyRBCCapitalMarkets BONDSUMMARYSTATISTICS KodiakIslandBoroughHighSchoolLoan AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page23 DatedDate DeliveryDate FirstCoupon LastMaturity ArbitrageYield TrueInterestCost(TIC) NetInterestCost(NIC) All-InTIC AverageCoupon AverageLife(years) WeightedAverageMaturity(years) Duration oflssue (years) ParAmount BondProceeds TotalInterest NetInterest TotalDebtService MaximumAnnualDebtService AverageAnnualDebtService 09/16/2015 09/16/2015 04/0112016 10/0112035 3.698396% 3.618864% 3.950217% 3.647102% 5.023845% 12.142 12.181 9.262 6,210,000.00 7,039,890.90 3,788,167.19 2,978,611.40 9,998,167.19 494,212.50 498,869.05 Par Average Average Bond Component ValuePrice CouponLife SerialBonds 4,845,000.00 113.3064.905%10.188 TermBond2036 1,365,000.00113.5695.250%19.078 6,210,000.00 12.142 PVof Ibp change 3,539.00 1,187.55 4,726.55 ParValue +AccruedInterest +Premium(Discount) -Underwriter's Discount -Cost oflssuance Expense -OtherAmounts TargetValue TargetDate Yield TIC 6,210,000.00 829,890.90 -20,335.11 7,019,555.79 09/16/2015 3.618864% All-In TIC 6,210,000.00 829,890.90 -20,335.11 -18,000.00 7,001,555.79 09/16/2015 3.647102% Arbitrage Yield 6,210,000.00 829,890.90 7,039,890.90 09/16/2015 3.698396% Sep4,201512:54pmPreparedbyRBCCapitalMarkets BONDDEBTSERVICE KodiakIslandBoroughHighSchoolLoan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page24 DatedDate DeliveryDate 09/16/2015 0911612015 Period Ending PrincipalCouponInterestDebtService 06/30/2016 161,585.94 161,585.94 06/30/2017 195,000 2.000%296,362.50491,362.50 06/3012018 200,000 2.000%292,412.50 492,412.50 06/30/2019 205,000 4.000%286,312.50491,312.50 06/30/2020 215,000 5.000%276,837.50 491,837.50 06/30/2021 225,000 5.000%265,837.50 490,837.50 06/30/2022 240,000 5.000%254,212.50 494,212.50 06/3012023 250,000 5.000%241,962.50 491,962.50 06/30/2024 265,0005.000%229,087.50 494,087.50 06/30/2025 275,0005.000%215,587.50 490,587.50 06/30/2026 290,000 5.000%201,462.50 491,462.50 06/30/2027 305,000 5.000%186,587.50 491,587.50 06/30/2028 320,0005.000%170,962.50 490,962.50 06/30/2029 335,0005.000%154,587.50489,587.50 06/30/2030 355,000 5.000%137,337.50492,337.50 06/30/2031 370,000 4.000%121,062.50491,062.50 06/30/2032 390,000 5.250%103,425.00 493,425.00 06/3012033 410,000 5.250%82,425.00 492,425.00 06/30/2034 430,000 5.250%60,375.00490,375.00 06/30/2035 455,000 5.250%37,143.75492,143.75 06/30/2036 480,000 5.250%12,600.00492,600.00 6,210,000 3,788,167.19 9,998,167.19 Sep4,201512:54pmPreparedbyRBCCapital Markets NETDEBTSERVICE Kodiak Island Borough HighSchoolLoan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Period Total Net Ending DebtServiceDebtService 06/30/2016 161,585.94 161,585.94 06/3012017 491,362.50 491,362.50 06/3012018 492,412.50 492,412.50 06/3012019 491,312.50491,312.50 06/3012020 491,837.50491,837.50 06/3012021 490,837.50 490,837.50 06/30/2022 494,212.50 494,212.50 06/3012023 491,962.50 491,962.50 06/30/2024 494,087.50 494,087.50 06/3012025 490,587.50490,587.50 06/3012026 491,462.50491,462.50 06/3012027 491,587.50 491,587.50 06/30/2028 490,962.50 490,962.50 06/30/2029 489,587.50 489,587.50 06/30/2030 492,337.50492,337.50 06/30/2031 491,062.50491,062.50 06/30/2032 493,425.00493,425.00 06/30/2033 492,425.00 492,425.00 06/30/2034 490,375.00 490,375.00 06/30/2035 492,143.75 492,143.75 06/30/2036 492,600.00492,600.00 9,998,167.19 9,998,167.19 Page25 Sep4,201512:54pmPreparedbyRBCCapitalMarkets Page26 BONDDEBTSERVICE KodiakIslandBoroughHighSchoolLoan AlaskaMunicipalBond Bank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 ---------------------------_._--._------_._-- DatedDate 09/16/2015 DeliveryDate 09/1612015 Period Annual Ending Principal Coupon Interest DebtService Debt Service 04/01/2016 161,585.94 161,585.94 06/30/2016 161,585.94 10/01/2016 195,000 2.000%149,156.25344,156.25 04/0112017 147,206.25147,206.25 06/30/2017 491,362.50 10/0112017 200,000 2.000%147,206.25 347,206.25 04/0112018 145,206.25145,206.25 06/30/2018 492,412.5.0 10/01/2018 205,000 4.000%145,206.25 350,206.25 04/01/2019 141,106.25141,106.25 06/30/2019 491,312.50 10/0112019 215,000 5.000%141,106.25356,106.25 04/0112020 135,731.25135,731.25 06/30/2020 491,837.50 10/0112020 225,000 5.000%135,731.25 360,731.25 04/0112021 130,106.25130,106.25 06/30/2021 490,837.50 10/01/2021 240,000 5.000%130,106.25 370,106.25 04/01/2022 124,106.25 124,106.25 06/30/2022 494,212.50 10/01/2022 250,000 5.000%124,106.25 374,106.25 04/0112023 117,856.25117,856.25 06/3012023 491,962.50 10/0112023 265,000 5.000%117,856.25382,856.25 04/01/2024 111,231.25 111,231.25 06/30/2024 494,087.50 10/01/2024 275,000 5.000%111,231.25 386,231.25 04/01/2025 104,356.25 104,356.25 06/30/2025 490,587.50 10/0112025 290,000 5.000%104,356.25 394,356.25 04/01/2026 97,106.2597,106.25 06/30/2026 491,462.50 10/0112026 305,000 5.000%97,106.25402,106.25 04/0112027 89,481.2589,481.25 06/30/2027 491,587.50 10/01/2027 320,000 5.000%89,481.25 409,481.25 04/01/2028 81,481.25 81,481.25 06/30/2028 490,962.50 10/01/2028 335,000 5.000%81,481.25416,481.25 04/0112029 73,106.2573,106.25 06/30/2029 489,587.50 10/01/2029 355,000 5.000%73,106.25428,106.25 04/01/2030 64,231.25 64,231.25 06/30/2030 492,337.50 10/01/2030 370,000 4.000%64,231.25434,231.25 04/01/2031 56,831.25 56,831.25 06/30/2031 491,062.50 10/0112031 390,000 5.250%56,831.25446,831.25 04/0112032 46,593.7546,593.75 06/3012032 493,425.00 10/0112032 410,000 5.250%46,593.75456,593.75 04/01/2033 35,831.2535,831.25 06/30/2033 492,425.00 10/01/2033 430,000 5,250%35,831.25 465,831.25 04/0112034 24,543.75 24,543.75 06/30/2034 490,375.00 10/0112034 455,000 5.250%24,543.75479,543.75 04/01/2035 12,600.00 12,600.00 06/3012035 492,143.75 10/01/2035 480,000 5.250%12,600.00 492,600.00 06/30/2036 492,600.00 6,210,000 3,788,167.19 9,998,167.19 9,998,167.19 Sep 4,2015 12:54pmPreparedbyRBCCapitalMarkets SOURCESANDUSESOFFUNDS KodiakIslandBoroughRenewaland Replacement Loan AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page27 DatedDate DeliveryDate Sources: BondProceeds: ParAmount Premium Uses: ProjectFundDeposits: ProjectFundDeposit Cost oflssuance: BorrowerCosts oflssuance DeliveryDateExpenses: Underwriter's Discount OtherUses of Funds: AdditionalProceeds 09/16/2015 09/1612015 1,780,000.00 242,927.10 2,022,927.10 2,000,000.00 18,000.00 4,873.48 53.62 2,022,927.10 Sep4,201512:54pmPreparedbyRBCCapitalMarkets BONDPRICING KodiakIslandBoroughRenewaland Replacement Loan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page28 BondComponent SerialBonds: Maturity Date 10/01/2016 10/0112017 1010112018 10/0112019 1010112020 10/0112021 1010112022 1010112023 10/0112024 10/0112025 DatedDate Delivery Date FirstCoupon Par Amount Premium Yieldto AmountRateYieldPriceMaturity 145,000 2.000%0.600%101.451 150,0002.000%0.930%102.158 155,000 4.000%1.220%108.275 160,0005.000%1.460%113.843 170,0005.000%1.780%115.460 180,000 5.000%2.110%116.311 190,0005.000%2.350%117.104 200,0005.000%2.520%117.949 210,0005.000%2.690%118.429 220,0005.000%2.820%118.124C2.906% 1,780,000 0911612015 09116/2015 04/0112016 1,780,000.00 242,927.10 Production Underwriter's Discount Purchase Price AccruedInterest NetProceeds 2,022,927.10 -4,873.48 2,018,053.62 2,018,053.62 113.647590% -0.273791% 113.373799% Sep4,201512:54pmPreparedbyRBCCapitalMarkets BONDSUMMARYSTATISTICS KodiakIslandBoroughRenewaland Replacement Loan AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page29 DatedDate DeliveryDate FirstCoupon LastMaturity Arbitrage Yield True Interest Cost(TIC) NetInterestCost(NIC) All-InTIC Average Coupon Average Life(years) WeightedAverageMaturity(years) Duration oflssue (years) Par Amount Bond Proceeds Total Interest NetInterest TotalDebtService MaximumAnnualDebtService AverageAnnualDebtService 09/16/2015 09/16/2015 04/01/2016 10/0112025 3.698396% 2.352013% 2.574400% 2.522923% 4.825676% 5.941 6.075 5.313 1,780,000.00 2,022,927.10 510,275.00 272,221.38 2,290,275.00 226,500.00 228,077.18 Bond Component SerialBonds Par Value 1,780,000.00 1,780,000.00 Price 113.648 TIC Average Coupon 4.826% All-In TIC Average Life 5.941 5.941 Pvof'lbp change 1,035.95 1,035.95 Arbitrage Yield ParValue +AccruedInterest +Premium(Discount) -Underwriter's Discount -Cost oflssuance Expense -OtherAmounts TargetValue TargetDate Yield 1,780,000.00 242,927.10 -4,873.48 2,018,053.62 09/16/2015 2.352013% 1,780,000.00 242,927.10 -4,873.48 -18,000.00 2,000,053.62 09/16/2015 2.522923% 1,780,000.00 242,927.10 2,022,927.10 09/16/2015 3.698396% Sep4,2015 12:54 pmPreparedbyRBCCapitalMarkets BONDDEBTSERVICE KodiakIslandBoroughRenewaland Replacement Loan AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 DatedDate 09/16/2015 DeliveryDate 0911612015 Period Debt Ending PrincipalCouponInterest Service 06/3012016 42,57542,575 06/30/2017 145,000 2.000%77,150 222,150 06/30/2018 150,000 2.000%74,200224,200 06/30/2019 155,0004.000%69,600224,600 06/30/2020 160,0005.000%62,500222,500 06/30/2021 170,0005.000%54,250 224,250 06/30/2022 180,0005.000%45,500 225,500 06/30/2023 190,0005.000%36,250 226,250 06/30/2024 200,000 5.000%26,500 226,500 06/30/2025 210,0005.000%16,250226,250 06/30/2026 220,0005.000%5,500225,500 1,780,000 510,275 2,290,275 Page30 Sep4,201512:54pmPreparedbyRBCCapitalMarkets NETDEBTSERVICE KodiakIslandBoroughRenewaland Replacement Loan Alaska MunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Period Total Net EndingDebtServiceDebtService 06/30/2016 42,57542,575 06/30/2017 222,150222,150 06/30/2018 224,200224,200 06/30/2019 224,600224,600 06/30/2020 222,500 222,500 06/30/2021 224,250 224,250 06/30/2022 225,500225,500 06/30/2023 226,250226,250 06/30/2024 226,500 226,500 06/30/2025 226,250 226,250 06/30/2026 225,500 225,500 2,290,2752,290,275 Page31 Sep4,201512:54pm Prepared byRBCCapitalMarkets Page32 BONDDEBTSERVICE KodiakIslandBoroughRenewaland Replacement Loan Alaska Municipal BondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 ._-----------------------------------_.._---- DatedDate 09/16/2015 DeliveryDate 09/16/2015 Annual Period DebtDebt Ending PrincipalCouponInterestService Service 04/0112016 42,575 42,575 06/30/2016 42,575 10/0112016 145,000 2.000%39,300184,300 04/0112017 37,85037,850 06/30/2017 222,150 10/0112017 150,000 2.000%37,850 187,850 04/0112018 36,35036,350 06/3012018 224,200 10/01/2018 155,000 4.000%36,350191,350 04/0112019 33,25033,250 06/30/2019 224,600 10/0112019 160,000 5.000%33,250 193,250 04/0112020 29,25029,250 06/30/2020 222,500 10/01/2020 170,000 5.000%29,250199,250 04/0112021 25,00025,000 06/30/2021 224,250 10/0112021 180,000 5.000%25,000205,000 04/0112022 20,50020,500 06/30/2022 225,500 10/0112022 190,000 5.000%20,500210,500 04/0112023 15,75015,750 06/30/2023 226,250 10/0112023 200,000 5.000%15,750215,750 04/01/2024 10,75010,750 06/30/2024 226,500 10/01/2024 210,000 5.000%10,750220,750 04/0112025 5,500 5,500 06/30/2025 226,250 10/0112025 220,000 5.000%5,500225,500 06/30/2026 225,500 1,780,000 510,2752,290,275 2,290,275 Sep 4,2015 12:54pmPreparedbyRBCCapitalMarkets SOURCESANDUSESOFFUNDS KingCoveLoan AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page33 DatedDate DeliveryDate Sources: BondProceeds: ParAmount NetPremium Uses: ProjectFundDeposits: ProjectFundDeposit OtherFundDeposits: DebtServiceReserveFund Cost of Issuance: Borrower Costs oflssuance DeliveryDateExpenses: Underwriter's Discount OtherUses of Funds: AdditionalProceeds 09/16/2015 09/16/2015 980,000.00 117,819.85 1,097,819.85 1,000,000.00 79,298.38 15,000.00 3,495.33 26.14 1,097,819.85 Sep 4,2015 12:54pmPreparedbyRBCCapitalMarkets BONDPRICING KingCoveLoan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Maturity Bond Component Date Amount RateYield SerialBonds: 10/0112020 25,000 5.000%1.780% 10/0112021 30,000 5.000%2.110% 10/0112022 30,000 5.000%2.350% 10/0112023 30,000 5.000%2.520% 10/0112024 35,0005.000%2.690% 1010112025 35,0005.000%2.820% 1010112026 35,000 5.000%3.000% 1010112027 40,000 5.000%3.110% 10/0112028 40,000 5.000%3.220% 10/0112029 45,000 5.000%3.290% 10/0112030 45,000 4.000%3.840% 10/0112031 45,000 5.250%3.360% 10/0112032 50,000 5.250%3.410% 485,000 TermBond2036: 10/0112033 50,0005.250%3.560% 10/0112034 55,0005.250%3.560% 10/0112035 55,000 5.250%3.560% 10/0112036 60,000 5.250%3.560% 220,000 TerrnBond2039: 10/0112037 65,0005.000%3.760% 10/0112038 65,0005.000%3.760% 1010112039 70,000 5.000%3.760% 200,000 SerialBond2040: 10/0112040 75,000 4.000%4.240% 980,000 Price 115.460 116.311 117.104 117.949 118.429 118.124C 116.487C 115.499C 114.521C 113.904C 101.266C 115.318C 114.877C 113.569C 113.569C 113.569C 113.569C 109.863C 109.863C 109.863C 96.317 Yieldto Maturity 2.906% 3.214% 3.419% 3.595% 3.720% 3.888% 3.951% 4.034% 4.266% 4.266% 4.266% 4.266% 4.335% 4.335% 4.335% Page34 DatedDate 09/16/2015 DeliveryDate 09/16/2015 FirstCoupon 04/0112016 Par Amount 980,000.00 Premium 117,819.85 Production 1,097,819.85 112.022434% Underwriter's Discount -3,495.33 -0.356666% Purchase Price 1,094,324.52 II 1.665767% AccruedInterest NetProceeds 1,094,324.52 Sep4,201512:54pmPreparedbyRBCCapitalMarkets BONDSUMMARYSTATISTICS KingCoveLoan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page35 DatedDate DeliveryDate FirstCoupon LastMaturity ArbitrageYield TrueInterestCost(TIC) NetInterestCost(NIC) All-InTIC AverageCoupon AverageLife(years) Weighted AverageMaturity(years) Duration oflssue (years) Par Amount Bond Proceeds Total Interest NetInterest TotalDebtService MaximumAnnualDebtService AverageAnnualDebtService 09116/2015 0911612015 04/0112016 10101/2040 3.698396% 3.958303% 4.241758% 4.079281% 4.934389% 16.843 16.647 11.666 980,000.00 1,097,819.85 814,461.98 700,137.46 1,794,461.98 77,462.50 71,659.05 Par Average Average Bond Component Value Price CouponLife SerialBonds 485,000.00 114.6404.950%11.753 TermBond2036 220,000.00 113.569 5.250%19.610 TermBond2039 200,000.00 109.8635.000%23.067 SerialBond2040 75,000.00 96.317 4.000%25.042 980,000.00 16.843 PVof Ibp change 400.75 191.40 168.00 111.75 871.90 ParValue +Accrued Interest +Premium(Discount) -Underwriter's Discount -Cost of Issuance Expense -Other Amounts TargetValue TargetDate Yield TIC 980,000.00 117,819.85 -3,495.33 1,094,324.52 09116/2015 3.958303% All-In TIC 980,000.00 117,819.85 -3,495.33 -15,000.00 1,079,324.52 09116/2015 4.079281% Arbitrage Yield 980,000.00 117,819.85 1,097,819.85 09116/2015 3.698396% Sep4,201512:54pmPreparedbyRBCCapitalMarkets BONDDEBTSERVICE KingCoveLoan AlaskaMunicipalBondBank GeneralObligationBonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page36 Period Ending DatedDate DeliveryDate Principal 09/16/2015 09/16/2015 Coupon Interest DebtService 06/30/2016 06/30/2017 06/3012018 06/3012019 06/30/2020 06/30/2021 06/3012022 06/30/2023 06/30/2024 06/30/2025 06/30/2026 06/30/2027 06/30/2028 06/30/2029 06/30/2030 06/30/2031 06/30/2032 06/30/2033 06/30/2034 06/30/2035 06/30/2036 06/30/2037 06/30/2038 06/30/2039 06/30/2040 06/3012041 25,000 30,000 30,000 30,000 35,000 35,000 35,000 40,000 40,000 45,000 45,000 45,000 50,000 50,000 55,000 55,000 60,000 65,000 65,000 70,000 75,000 980,000 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 4.000% 5.250% 5.250% 5.250% 5.250% 5.250% 5.250% 5.000% 5.000% 5.000% 4.000% 26,318.23 48,587.50 48,587.50 48,587.50 48,587.50 47,962.50 46,587.50 45,087.50 43,587.50 41,962.50 40,212.50 38,462.50 36,587.50 34,587.50 32,462.50 30,437.50 28,356.25 25,862.50 23,237.50 20,481.25 17,593.75 14,575.00 11,375.00 8,125.00 4,750.00 1,500.00 814,461.98 26,318.23 48,587.50 48,587.50 48,587.50 48,587.50 72,962.50 76,587.50 75,087.50 73,587.50 76,962.50 75,212.50 73,462.50 76,587.50 74,587.50 77,462.50 75,437.50 73,356.25 75,862.50 73,237.50 75,481.25 72,593.75 74,575.00 76,375.00 73,125.00 74,750.00 76,500.00 1,794,461.98 Sep 4,201512:54pmPreparedbyRBCCapitalMarkets NETDEBTSERVICE KingCoveLoan AlaskaMunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 Page37 Period Ending 06/30/2016 06/30/2017 06/30/2018 06/30/2019 06/30/2020 06/3012021 06/30/2022 06/30/2023 06/30/2024 06/30/2025 06/30/2026 06/30/2027 06/30/2028 06/30/2029 06/3012030 06/3012031 06/30/2032 06/30/2033 06/30/2034 06/30/2035 06/30/2036 06/30/2037 06/30/2038 06/30/2039 06/3012040 06/30/2041 Total DebtService 26,318.23 48,587.50 48,587.50 48,587.50 48,587.50 72,962.50 76,587.50 75,087.50 73,587.50 76,962.50 75,212.50 73,462.50 76,587.50 74,587.50 77,462.50 75,437.50 73,356.25 75,862.50 73,237.50 75,481.25 72,593.75 74,575.00 76,375.00 73,125.00 74,750.00 76,500.00 1,794,461.98 DebtService ReserveFund 79,298.38 79,298.38 Net DebtService 26,318.23 48,587.50 48,587.50 48,587.50 48,587.50 72,962.50 76,587.50 75,087.50 73,587.50 76,962.50 75,212.50 73,462.50 76,587.50 74,587.50 77,462.50 75,437.50 73,356.25 75,862.50 73,237.50 75,481.25 72,593.75 74,575.00 76,375.00 73,125.00 74,750.00 -2,798.38 1,715,163.60 Sep4,2015 12:54pmPreparedbyRBCCapitalMarkets Page38 BONDDEBTSERVICE KingCoveLoan Alaska MunicipalBondBank General Obligation Bonds,2015SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-15 --------------------------------------------- DatedDale 09/1612015 DeliveryDale09/16/2015 Period Annual EndingPrincipal Coupon InterestDebtService DebtService 04!Oll2016 26,318.23 26,318.23 06/3012016 26,318.23 10/01/2016 24,293.75 24,293.75 04/01/2017 24,293.7524,293.75 06/30/2017 48,587.50 10/01/2017 24,293.75 24,293_75 04/0112018 24,293.75 24,293.75 06/3012018 48,587.50 10/01/2018 24,293.75 24,293.75 04/0112019 24,293.75 24,293.75 06/30/2019 48,587.50 10/01/2019 24,293.7524,293.75 0410112020 24,293.75 24,293,75 06/30/2020 48,587,50 10{0112020 25,000 5.000%24,293.75 49,293,75 0410112021 23,668.75 23,668.75 06/30/2021 72,962_50 10/01/2021 30,000 5.000%23,668.75 53,668.75 04/0112022 22,918.75 22,918.75 06/30/2022 76,587.50 10/01/2022 30,000 5.000%22,918.75 52,918.75 04/01/2023 22,168.75 22,168.75 06/30/2023 75,087.50 10/01/2023 30.000 5.000%22,168.75 52,168.75 04/01/2024 21,418.75 21,418.75 06130/2024 73,587.50 10/0112024 35,000 5.000%21,418.75 56,418.75 04/01/2025 20,543.75 20,543.75 06/30/2025 76,962.50 10/01/2025 35,000 5.000%20,543.75 55,543.75 04/01/2026 19,668.75 19,668.75 0613012026 75,212.50 10/0112026 35,000 5.000%19,668.75 54,668.75 04/01/2027 18,793.75 18,793.75 0613012027 73,462,50 10/0112027 40,000 5.000%18,793.75 58,793.75 04/0112028 17,793.75 17,793.75 06/3012028 76,587.50 10/0112028 40,000 5.000%,17,793.75 57,793.75 04/01/2029 16,793.75 16,793.75 06/3012029 74,587.50 10/0112029 45,000 5.000%16,793.75 61,793.75 04/01/2030 15,668.75 15,668.75 0613012030 77,462.50 10/01/2030 45,000 4.000%15,668.75 60,668.75 04/0112031 14,768.75 14,768.75 06/3012031 75,437.50 10/0112031 45,000 5.250"10 14,768,75 59,768.75 04/0112032 13,587.50 13,587.50 06/30/2032 73,356.25 10/0112032 50,000 5.250%13,587.50 63,587.50 04/0112033 12,275.0012,275.00 0613012033 75,862.50 10/01/2033 50,000 5.250%12,275.00 62.275.00 04/0112034 10,962.50 10,962.50 06/3012034 73,237.50 10/0112034 55,000 5.250"10 10,962.50 65,962.50 04/01/2035 9,518.75 9,518.75 06/3012035 75,481.25 10/0112035 55,000 5.250%9,518.75 64,518.75 04/0112036 8,075.008,075.00 0613012036 72,593.75 10/0112036 60,000 5.250%8,075.00 68,075.00 04/0112037 6,500,00 6,500.00 06130/2037 74,575.00 10/0112037 65,000 5,000%6,500.00 71,500.00 04/0112038 4,875.00 4,875.00 06/3012038 76,375.00 10/0112038 65,000 5.000%4,875.00 69,875.00 04/0112039 3,250.00 3,250.00 0613012039 73.125.00 10/0112039 70,000 5.000%3,250.00 73,250.00 Sep4,201512:54pmPreparedbyRBCCapitalMarkets BONDDEBTSERVICE KingCoveLoan Alaska MunicipalBondBank General Obligation Bonds,20I5SeriesThree PricingResults8-26-15 RevisedSourcesandUses9-4-I5 Period Annual Ending Principal Coupon Interest Debt Service DebtService 04/01/2040 1,500.00 1,500.00 06130/2040 74,750.00 10/0112040 75,000 4.000%1,500.00 76,500.00 0613012041 76,500.00 980,000 814,461.98 1,794,461.98 1,794,461.98 Page39 Aug28,20158:50amPreparedbyRBCCapitalMarkets TABLEOFCONTENTS AlaskaMunicipalBondBank General Obligation andRefundingBonds,2015SeriesThree PricingResults8-26-15 Report AMBB2015SeriesThree Form8038Statistics University of AlaskaLoan Form8038Statistics HainesBoroughLoan Form8038Statistics KodiakIslandBoroughHighSchoolLoan Form8038Statistics . KodiakIslandBoroughRenewaland Replacement Loan Form8038Statistics ..... KingCoveLoan Form8038Statistics Page 2 3 4 5 6 Aug 28,2015 8:50 am Prepared by RBC Capital Markets Page I FORM 8038 STATISTICS Alaska Municipal Bond Bank General Obligation and Refunding Bonds,2015 Series Three Pricing Results 8-26-15 --------------._...---------------_.--------- DatedDate 09116/2015 DeliveryDate 0911612015 Redemption BondComponent Date Principal Coupon Price IssuePrice atMaturity SerialBonds: 10/01/2016375,000.002.000%101.451380,441.25375,000.00 10/01/2017390,000.002.000%102.158398,416.20390,000.00 10/01/20181,960,000.004.000%108.2752,122,190.00 1,960,000.00 10/01/20192,050,000.005.000%113.8432,333,781.502,050,000.00 10/01/20202,175,000.005.000%115.4602,511,255.002,175,000.00 10/01/20212,300,000.005.000%116.3112,675,153.00 2,300,000.00 10/01/20222,415,000.005.000%117.1042,828,061.602,415,000.00 10101/2023 2,540,000.005.000%117.9492,995,904.602,540,000.00 10/01/20242,670,000.00 5.000%118.4293,162,054.30 2,670,000.00 10/01/20252,805,000.005.000%118.1243,313,378.202,805,000.00 1010112026 2,715,000.005.000%116.4873,162,622.052,715,000.00 10/01/20272,855,000.005.000%115.4993,297,496.452,855,000.00 10/01/20283,000,000.005.000%114.5213,435,630.003,000,000.00 10/0112029 3,160,000.005.000%113.9043,599,366.403,160,000.00 10/01/20303,300,000.004.000%101.2663,341,778.003,300,000.00 10/01/20313,455,000.005.250%115.3183,984,236.903,455,000.00 10/01/20323,645,000.005.250%114.8774,187,266.653,645,000.00 TermBond2036: 10/01/20333,835,000.005.250%113.5694,355,371.153,835,000.00 10/01/20344,050,000.005.250%113.5694,599,544.50 4,050,000.00 10/01/20354,265,000.005.250%113.5694,843,717.85 4,265,000.00 10101/2036 3,895,000.005.250%113.5694,423,512.553,895,000.00 TermBond2039: 1010112037 4,105,000.005.000%109863 4,509,876.15 4,105,000.00 10/01/20384,310,000.005.000%109.8634,735,095.304,310,000.00 10/01/20394,535,000.005.000%109.8634,982,287.05 4,535,000.00 SerialBond2040: 10/01/20404,745,000.004.000%96.3174,570,241.654,745,000.00 TermBond2044: 10/01/20414,860,000.00 4.000%95.2084,627,108.804,860,000.00 10/01/20425,055,000.004.000%95.2084,812,764.405,055,000.00 10/01/20435,265,000.00 4.000%95.2085,012,701.205,265,000.00 10/01/20445,480,000.004.000%95.2085,217,398.405,480,000.00 96,210,000.00 104,418,651.1096,210,000.00 Stated Maturity Interest Issue Redemption Date Rate Price atMaturity FinalMaturity 10/01/2044 4.000%5,217,398.40 5,480,000.00 Entire Issue 104,418,651.1096,210,000.00 Proceeds usedfor accrued interest Proceeds usedforbondissuancecosts(including underwriters'discount) Proceeds usedfor credit enhancement Proceeds allocated to reasonably required reserve or replacement fund Weighted Average MaturityYield 17.70843.6984% 0.00 540,331.22 0.00 2,872,693.75 Aug 28,2015 8:50 am Prepared by RBC Capital Markets Page 2 FORM 8038 STATISTICS University of Alaska Loan Alaska Municipal Bond Bank General Obligation and Refunding Bonds,2015 Series Three Pricing Results 8-26-15 ------------------------------------------_.- DatedDate 09/16/2015 DeliveryDate 0911 6/2015 Redemption BondComponent Date Principal Coupon Price IssuePrice atMaturity SerialBonds: 10101/2018 1,560,000.004.000%108.2751,689,090.001,560,000.00 10/01/2019 1,635,000.005.000%113.843 1,861,333.051,635,000.00 1010112020 1,715,000.00 5.000%115.4601,980,139.001,715,000.00 10101/2021 1,805,000.005.000%116.311 2,099,413.551,805,000.00 1010112022 1,900,000.005.000%117.104 2,224,976.00 1,900,000.00 1010112023 1,995,000.005.000%117.949 2,353,082.55 1,995,000.00 10101/2024 2,100,000.00 5.000%118.4292,487,009.00 2,100,000.00 1010112025 2,205,000.005.000%118.124 2,604,634.202,205,000.00 10101/2026 2,320,000.00 5.000%I16.487 2,702,498.402,320,000.00 10/0112027 2,435,000.005.000%115.4992,812,400.65 2,435,000.00 1010112028 2,560,000.00 5.000%114.5212,931,737.60 2,560,000.00 1010112029 2,695,000.00 5.000%113.9043,069,712.80 2,695,000.00 1010112030 2,815,000.00 4.000%101.266 2,850,637.902,815,000.00 1010112031 2,950,000.00 5.250%115.318 3,401,881.00 2,950,000.00 1010112032 3,110,000.00 5.250%114.877 3,572,674.70 3,110,000.00 TermBond2036: 1010112033 3,275,000.005.250%113.569 3,719,384.75 3,275,000.00 10/0112034 3,455,000.00 5.250%113.5693,923,808.95 3,455,000.00 1010112035 3,640,000.005.250%113.569 4,133,911.60 3,640,000.00 10/0112036 3,835,000.00 5.250%113.569 4,355,371.15 3,835,000.00 TermBond2039: 10101/2037 4,040,000.00 5.000%109.863 4,438,465.204,040,000.00 10101/2038 4,245,000.00 5.000%109.863 4,663,684.35 4,245,000.00 1010112039 4,465,000.00 5.000%109.863 4,905,382.954,465,000.00 SerialBond2040: 10/01/2040 4,670,000.00 4.000%96.317 4,498,003.90 4,670,000.00 TermBond2044: 1010112041 4,860,000.004.000%95.208 4,627,108.804,860,000.00 10/01/2042 5,055,000.004.000%95.208 4,812,764.40 5,055,000.00 1010112043 5,265,000.004.000%95.2085,012,701.20 5,265,000.00 1010112044 5,480,000.004.000%95.2085,217,398.405,480,000.00 86,085,000.00 92,949,206.05 86,085,000.00 Stated Maturity Interest Issue Redemption Date Rate Price atMaturity FinalMaturity 10/0112044 4.000%5,217,398.405,480,000.00 Entire Issue 92,949,206.05 86,085,000.00 Proceeds usedfor accrued interest Proceedsusedforbondissuancecosts(including underwriters'discount) Proceedsusedforcreditenhancement Proceedsallocatedto reasonably required reserveor replacement fund Weighted Average MaturityYield 18.47083.6984% 0.00 451,849.00 0.00 2,795,231.25 Aug28,20158:50amPreparedbyRBCCapitalMarkets FORM8038 STATISTICS HainesBoroughLoan AlaskaMunicipalBondBank General Obligation and Refunding Bonds,2015SeriesThree PricingResults8-26-15 Page3 DatedDate Delivery Date 09116/2015 0911 6/2015 Redemption Bond Component Date PrincipalCouponPrice IssuePriceat Maturity SerialBonds: 10/01/2016 35,000.00 2.000%101.45135,507.85 35,000.00 10/01/2017 40,000.00 2.000%102.158 40,863.20 40,000.00 10/01/2018 40,000.00 4.000%108.275 43,310.00 40,000.00 10/01/2019 40,000.00 5.000%113.843 45,537.20 40,000.00 10/01/2020 40,000.00 5.000%115.460 46,184.00 40,000.00 10/01/2021 45,000.00 5.000%116.31152,339.95 45,000.00 10/01/2022 45,000.00 5.000%117.104 52,696.80 45,000.00 10/01/2023 50,000.00 5.000%II7.949 58,974.50 50,000.00 10/01/2024 50,000.00 5.000%118.429 59,214.50 50,000.00 10/0112025 55,000.00 5.000%118.124 64,968.20 55,000.00 10/01/2026 55,000.00 5.000%116.487 64,067.85 55,000.00 10/01/2027 60,000.00 5.000%115.499 69,299.40 60,000.00 10/0112028 65,000.00 5.000%114.52174,438.65 65,000.00 10/01/2029 65,000.00 5.000%113.904 74,037.60 65,000.00 10/01/2030 70,000.00 4.000%101.266 70,886.20 70,000.00 10/01/2031 70,000.00 5.250%115.318 80,722.60 70,000.00 10/01/2032 75,000.00 5.250%114.87786,157.75 75,000.00 TermBond2036: 10/01/2033 80,000.00 5.250%113.569 90,855.20 80,000.00 10/01/2034 85,000.00 5.250%\13.569 96,533.65 85,000.00 10/01/2035 90,000.00 5.250%\13.569 102,212.10 90,000.00 1,155,000.00 1,308,807.201,155,000.00 Stated Weighted Maturity Interest Issue Redemption Average Date Rate Price at MaturityMaturity Yield FinalMaturity 10/01/2035 5.250%102,212.10 90,000.00 EntireIssue 1,308,807.20 1,155,000.00 12.1683 3.6984% Proceeds usedforaccrued interest 0.00 Proceeds usedforbondissuancecosts (including underwriters'discount)8,778.30 Proceedsusedforcredit enhancement 0.00 Proceeds allocated to reasonably requiredreserveor replacement fund 0.00 Aug28,20158:50amPreparedbyRBCCapitalMarkets FORM8038 STATISTICS KodiakIslandBoroughHighSchoolLoan AlaskaMunicipalBondBank General Obligation andRefundingBonds,2015SeriesThree PricingResults8-26-15 Page4 DatedDate DeliveryDate 09/16/2015 09/16/2015 Redemption Bond Component Date PrincipalCouponPriceIssuePriceatMaturity SerialBonds: 10/0112016195,000.00 2.000%101.451 197,829.45 195,000.00 10/01/2017 200,000.00 2.000%102.158 204,316.00 200,000.00 10/0112018 205,000.00 4.000%108.275 221,963.75 205,000.00 10/0112019 215,000.00 5.000%113.843 244,762.45 215,000.00 10/0112020 225,000.00 5.000%115.460 259,785.00 225,000.00 10/0112021 240,000.00 5.000%116.311 279,146.40 240,000.00 10/0112022 250,000.00 5.000%117.104 292,760.00 250,000.00 10/0112023 265,000.00 5.000%117.949 312,564.85 265,000.00 10/0112024 275,000.00 5.000%118.429 325,679.75 275,000.00 10/0112025 290,000.00 5.000%118.124 342,559.60 290,000.00 10/0112026 305,000.00 5.000%116.487 355,285.35305,000.00 10/0112027 320,000.00 5.000%115.499 369,596.80 320,000.00 10/0112028 335,000.00 5.000%114.521 383,645.35335,000.00 10/0112029 355,000.00 5.000%113.904 404,359.20 355,000.00 10/0112030 370,000.00 4.000%101.266 374,684.20 370,000.00 10/0112031 390,000.00 5.250%115.318 449,740.20 390,000.00 10/0112032 410,000.00 5.250%114.877 470,995.70 410,000.00 TermBond2036: 10/0112033 430,000.00 5.250%113.569 488,346.70 430,000.00 10/0112034 455,000.00 5.250%113.569 516,738.95 455,000.00 10/0112035 480,000.00 5.250%113.569 545,131.20 480,000.00 6,210,000.00 7,039,890.906,210,000.00 Stated Weighted Maturity Interest Issue Redemption Average Date Rate Priceat MaturityMaturity Yield Final Maturity 10/01/2035 5.250%545,131.20 480,000.00 EntireIssue 7,039,890.90 6,210,000.00 12.1807 3.6984% Proceeds usedfor accrued interest 0.00 Proceeds usedforbondissuancecosts (including underwriters'discount)38,335.11 Proceeds usedforcredit enhancement 0.00 Proceeds allocated to reasonably requiredreserveor replacement fund 0.00 Aug28,20158:50amPreparedbyRBCCapitalMarkets FORM8038 STATISTICS KodiakIsland Borough Renewal and Replacement Loan AlaskaMunicipalBondBank General Obligation and Refunding Bonds,20I5SeriesThree PricingResults8-26-I5 Page5 DatedDate DeliveryDate 09/16/2015 09/1612015 Redemption Bond Component Date PrincipalCouponPriceIssuePriceatMaturity SerialBonds: 10101/2016 145,000.00 2.000%101.451 147,103.95 145,000.00 10/01/2017 150,000.00 2.000%102.158 153,237.00 150,000.00 10/0112018 155,000.00 4.000%108.275167,826.25155,000.00 10/01/2019 160,000.00 5.000%113.843 182,148.80 160,000.00 10/0112020 170,000.00 5.000%115.460 196,282.00 170,000.00 10/0112021 180,000.00 5.000%116.3II 209,359.80 180,000.00 10/0112022 190,000.00 5.000%117.104 222,497.60 190,000.00 10/0112023 200,000.00 5.000%117.949 235,898.00 200,000.00 10/0112024 210,000.00 5.000%118.429 248,700.90 210,000.00 10/0112025 220,000.00 5.000%118.124 259,872.80 220,000.00 1,780,000.00 2,022,927.10 1,780,000.00 StatedWeighted Maturity Interest Issue Redemption Average Date Rate Price at MaturityMaturity Yield FinalMaturity 10/0112025 5.000%259,872.80220,000.00 EntireIssue 2,022,927.10 1,780,000.00 6.0750 3.6984% Proceeds usedforaccrued interest 0.00 Proceedsusedforbondissuancecosts (including underwriters'discount)22,873.48 Proceeds usedforcredit enhancement 0.00 Proceedsallocatedto reasonably requiredreserveor replacement fund 0.00 Aug28,20158:50amPreparedbyRBCCapitalMarkets FORM8038STATISTICS KingCoveLoan AlaskaMunicipalBondBank General Obligation andRefundingBonds,2015SeriesThree PricingResults8-26-15 Page6 DatedDate DeliveryDate 09116/2015 09116/2015 Redemption Bond Component Date Principal CouponPriceIssuePriceatMaturity SerialBonds: 10/0112020 25,000.005.000%115.46028,865.0025,000.00 10/0112021 30,000.00 5.000%116.31134,893.3030,000.00 10/0112022 30,000.00 5.000%117.104 35,131.20 30,000.00 10/0112023 30,000.00 5.000%117.94935,384.70 30,000.00 1010112024 35,000.00 5.000%118.429 41,450.15 35,000.00 10/0112025 35,000.00 5.000%118.12441,343.4035,000.00 1010112026 35,000.005.000%116.48740,770.4535,000.00 10/0112027 40,000.005.000%115.49946,199.6040,000.00 10/0112028 40,000.005.000%114.52145,808.4040,000.00 10/0112029 45,000.00 5.000%113.904 51,256.80 45,000.00 10/0112030 45,000.00 4.000%101.26645,569.70 45,000.00 10/0112031 45,000.005.250%115.31851,893.1045,000.00 10/0112032 50,000.00 5.250%114.877 57,438.5050,000.00 TermBond2036: 1010112033 50,000.005.250%113.56956,784.5050,000.00 10101/2034 55,000.005.250%113.569 62,462.95 55,000.00 10/0112035 55,000.00 5.250%113.56962,462.95 55,000.00 10101/2036 60,000.005.250%113.56968,141.4060,000.00 TermBond2039: 1010112037 65,000.00 5.000%109.86371,410.9565,000.00 10/0112038 65,000.00 5.000%109.863 71,410.95 65,000.00 10101/2039 70,000.00 5.000%109.86376,904.1070,000.00 SerialBond2040: 10/0112040 75,000.00 4.000%96.31772,237.7575,000.00 980,000.00 1,097,819.85 980,000.00 StatedWeighted MaturityInterest IssueRedemption Average Date Rate PriceatMaturity Maturity Yield FinalMaturity 1010112040 4.000%72,237.75 75,000.00 EntireIssue 1,097,819.85980,000.00 16.6470 3.6984% Proceeds usedforaccruedinterest 0.00 Proceedsusedforbondissuancecosts(including underwriters'discount)18,495.33 Proceeds usedforcredit enhancement 0.00 Proceeds allocatedtoreasonablyrequiredreserveor replacement fund 77,462.50