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Tab_14$6,985,000 Alaska Municipal Bond Bank General Obligation and Refunding Bonds, 2016 Series Three (Insured Maturities due December 1, 2029 through December 1, 2037) (the "Obligations") NAM [s I '] J (.$ I [h' IJ :j ! [!I l! [.4 *Ic1I7i 11I I CORPORATIONiINSURANCEsP OLICYi This Certificate is furnished by Alaska Municipal Bond Bank, as issuer (the "Issuer") of its $6,985,000 Alaska Municipal Bond Bank, General Obligation and Refunding Bonds, 2016 Series Three (Insured Maturities due December 1, 2029 through December 1, 2037), dated November 3, 2016 (the "Obligations"), and The Bank of New York Mellon Trust Company, N.A., as trustee and paying agent for the Obligations (the "Paying Agent"), for the benefit of National Public Finance Guarantee Corporation ("National") in connection with the issuance of its financial guaranty No. NP1404500 (the "Policy"), guaranteeing the payment of the principal and interest on the Obligations when due. The Issuer and the Paying Agent hereby certify as follows The undersigned acknowledge receipt and review of National's "Payments Under the Policy/Required Document Provisions" with respect to the Policy, attached hereto as Schedule A. 2. The undersigned hereby agree, during the term of the Policy to abide by the terms, obligations and provisions required by Schedule A hereto IN WITNESS WHEREOF, we have executed this Certificate as of the 3rd day of November, 2016. rim as Issuer The Bank of New York Mellon Trust Company, N.A. JIS as Paying Agent By: Authorized Signatory fl SCHEDULE A PAYMENTS UNDER THE POLICY I REQUIRED DOCUMENT PROVISIONS $6,985,000 Alaska Municipal Bond Bank General Obligation and Refunding Bonds, 2016 Series Three (Insured Maturities due December 1, 2029 through December 1, 2037) (the "Obligations") A. In the event that on the second business day prior to the payment date on the Obligations, the Paying AgentITrustee has not received sufficient moneys to pay all principal of and interest on the Obligations due on the second following business day, the Paying AgenfiTrustee shall immediately notify National Public Finance Guarantee Corporation (the "Insurer") or its designee on the same business day by telephone and email, confirmed in writing by registered or certified mail, of the amount of the deficiency. B. If the deficiency is made up in whole or in part prior to or on the payment date, the Paying Agent/Trustee shall so notify the Insurer or its designee. C. In addition, if the Paying Agent/Trustee has received written notice that any holder of the Obligations (the "Bondholder") has been required to disgorge payments of principal or interest on the Obligations to a trustee in bankruptcy or creditors or others pursuant to a final judgment by a court of competent jurisdiction that such payment constitutes an avoidable preference to such Bondholder within the meaning of any applicable bankruptcy laws, then the Paying Agent/Trustee shall notify the Insurer or its designee of such fact by telephone, confirmed in writing by registered or certified mail. D. The Paying Agent/Trustee is hereby irrevocably designated, appointed, directed and authorized to act as attorney-in-fact for Bondholders as follows: 1. If and to the extent there is a deficiency in amounts required to pay interest on the Obligations, the Paying Agent/Trustee shall (a) execute and deliver to U.S. Bank Trust National Association, or its successors under the Policy (the "Insurance Paying Agent/Trustee"), in form satisfactory to the Insurance Paying Agent/Trustee, an instrument appointing the Insurer as agent for such Bondholders in any legal proceeding related to the payment of such interest and an assignment to the Insurer of the claims for interest to which such deficiency relates and which are paid by the Insurer, (b) receive as designee of the respective Bondholders (and not as Paying Agent/Trustee) in accordance with the tenor of the Policy payment from the Insurance Paying Agent/Trustee with respect to the claims for interest so assigned, and (c) disburse the same to such respective Bondholders; and ii 2. If and to the extent of a deficiency in amounts required to pay principal of the Obligations, the Paying Agent/Trustee shall (a) execute and deliver to the Insurance Paying Agent/Trustee in form satisfactory to the Insurance Paying Agent/Trustee an instrument appointing the Insurer as agent for such Bondholders in any legal proceeding relating to the payment of such principal and an assignment to the Insurer of any of the Obligation surrendered to the Insurance Paying Agent/Trustee of so much of the principal amount thereof as has not previously been paid or for which moneys are not held by the Paying Agent/Trustee and available for such payment (but such assignment shall be delivered only if payment from the Insurance Paying Agent/Trustee is received), (b) receive as designee of the respective Bondholders (and not as Paying Agent(Trustee) in accordance with the tenor of the Policy payment therefor from the Insurance Paying Agent/Trustee, and (c) disburse the same to such Bondholders. E. Payments with respect to claims for interest on and principal of Obligations disbursed by the Paying Agent/Trustee from proceeds of the Policy shall not be considered to discharge the obligation of the Issuer with respect to such Obligations, and the Insurer shall become the owner of such unpaid Obligation and claims for the interest in accordance with the tenor of the assignment made to it under the provisions of this subsection or otherwise. F. Irrespective of whether any such assignment is executed and delivered, the Issuer and the Paying Agent/Trustee hereby agree for the benefit of the Insurer that: 1. They recognize that to the extent the Insurer makes payments, directly or indirectly (as by paying through the Paying Agent/Trustee), on account of principal of or interest on the Obligations, the Insurer will be subrogated to the rights of such Bondholders to take all actions and enforce all rights of such Bondholders and to receive the amount of such principal and interest from the Issuer, with interest thereon as provided and solely from the sources stated in the authorizing document and the Obligations; and 2. They will accordingly pay to the Insurer the amount of such principal and interest (including principal and interest recovered under subparagraph (ii) of the first paragraph of the Policy, which principal and interest shall be deemed past due and not to have been paid), with interest thereon as provided in the authorizing document and the Obligation, but only from the sources and in the manner provided herein for the payment of principal of and interest on the Obligations to Bondholders, and will otherwise treat the Insurer as the owner of such rights to the amount of such principal and interest. C. With respect to any amendment for which Bondholder consent is a prerequisite, the Insurer's consent is also required and must be obtained. N H. The Insurer shall receive copies of all notices required to be delivered to Bondholders and any notices of Material Events, as defined by SEC Rule 15c2-12, as amended. All notices required to be given to the Insurer shall be in writing and shall be sent by registered or certified mail addressed to National Public Finance Guarantee Corporation, I Manhattanville Road, Suite 301, Purchase, New York 10577 Attention: Portfolio Surveillance Policy No. N P1404500, or electronically to NationalPortfolioSurveillanceNationalpfg.com- referencing Policy No. NP 1404500. 1. With respect to any advance refunding of the Obligations, the Issuer agrees to (i) make all applicable notice filings pursuant to the United States Securities Commissioners Rule 15c2-12; (ii) provide the insurer with verification by an independent firm acceptable to the Insurer of the sufficiency of the escrow to timely retire the refunded bonds; and, to the extent that such advance refunding is intended to discharge or defease the Issuers obligations under the authorizing document, (iii) an opinion of counsel stating that the Obligations have been legally defeased and that the escrow agreement establishing such defeasance operates to legally defease the Obligations within the meaning of the Authorizing Document. J. Permissible Investments for Indentured Funds must be limited to the following: 1. Direct obligations of the United States of America (including obligations issued or held in book-entry form on the books of the Department of the Treasury) or obligations the principal of and interest on which are unconditionally guaranteed by the United States of America. 2. Bonds, debentures, notes or other evidence of indebtedness issued or guaranteed by any of the following federal agencies and provided such obligations are backed by the full faith and credit of the United States of America (stripped securities are only permitted if they have been stripped by the agency itself): (1) U.S. Export-Import Bank (Eximbank) i. Direct obligations or fully guaranteed certificates of beneficial ownership (2) Federal Financing Bank (3) Federal Housing Administration Debentures (FHA) (4) General Services Administration i. Participation certificates (5) General Services Administration L GNMA - guaranteed mortgage-backed bonds ii. GNMA - guaranteed pass-through obligations iii. not acceptable for certain cash-flow sensitive issues (6) Bonds or notes issued by any state or municipality whose underlying ratings from Moody's and S&P are in the highest rating categories assigned by such agencies. ii i. Project Notes ii. Local Authority Bonds iii. New Communities Debentures - U.S. government guaranteed debentures iv. U.S. Public Housing Notes and Bonds - U.S. government guaranteed public housing notes and bonds 3. Bonds, debentures, notes or other evidence of indebtedness issued or guaranteed by any of the following non-full faith and credit U.S. government agencies (stripped securities are only permitted if they have been stripped by the agency itself): (1) Federal Home Loan Bank System Senior debt obligations (2) Resolution Funding Corp. (REFCORP) obligations (3) Farm Credit System Consolidated system wide bonds and notes 4. Certificates of deposit secured at all times by collateral described in (A) and/or (B) above. Such certificates must be issued by commercial banks, savings and loan associations or mutual savings banks. The collateral must be held by a third party and the bondholders must have a perfected first security interest in the collateral. 5. Certificates of deposit, savings accounts, deposit accounts or money market deposits which are fully insured by FDIC, including BIF and SAIF. 6. Bonds or notes issued by any state or municipality whose underlying ratings from Moody's and S&P are in the highest rating categories assigned by such agencies. 7. Federal funds or bankers acceptances with a maximum term of one year of any bank which has an unsecured, uninsured and unguaranteed obligation rating of Prime - I or A3 or better by Moody's and A-I or A or better by S&P. 8. Repurchase Agreements for 30 days or less, subject to the following criteria: (1) Repos must be between the municipal entity and a dealer bank or securities firm i. Primary dealers on the Federal Reserve reporting dealer list which are rated A or better by Standard & Poor's Corporation and Moody's Investor Services, or ii. Banks rated "A" or above by Standard & Poors Corporation and Moody's Investor Services. K. Permissible Investments for Escrowed Funds must be limited to the following: 1. U.S. Treasury Certificates, Notes and Bonds (including State and Local Government Series - "SLGS"). 2. Direct obligations of the Treasury which have been stripped by the Treasury itself. 3. Resolution Funding Corp. (REFCORP) Only the interest component of REFCORP strips which have been stripped by request to the Federal Reserve Bank of New York in book entry form are acceptable. 4. Pre-refunded municipal bonds rated Aaa by both Moody's and AAA by S&P 5. Obligations issued by the following agencies which are backed by the full faith and credit of the United States: 1). U.S. Export-Import Bank (Eximbank) i. Direct obligations or fully guaranteed certificates of beneficial ownership 2) Federal Financing Bank 3) General Services Administration i. Participation certificates 4) U.S. Department of Housing and Urban Development (HUD) i. Project Notes ii. Local Authority Bonds iii. New Communities Debentures - U.S. government guaranteed debentures iv. U.S. Public Housing Notes and Bonds - U.S. government guaranteed public housing notes and bonds L. The Issuer agrees that the Insurer is explicitly recognized as being a third party beneficiary under the financing documents with the power to enforce any right, remedy, or claim conferred, given or granted under such financing documents. M. The Issuer agrees to reimburse the Insurer immediately and unconditionally upon demand, to the extent permitted by law, for all reasonable expenses, including attorneys' fees and expenses, incurred by the Insurer in connection with the enforcement by the Insurer of the Issuer's obligations, or the preservation or defense of any rights of the Insurer, under the authorizing document and any other document executed in connection with the issuance of the Obligations Q 0 $4,430,000 Alaska Municipal Bond Bank, General Obligation and Refunding Bonds, 2016 Series Four (AMT) (Insured Maturities due December 1, 2034 through December 1, 2035) (the "Obligations") CORPORATIO N iINS U RANCE Pz.i m This Certificate is furnished by Alaska Municipal Bond Bank, as issuer (the "Issuer") of its $4,430,000 Alaska Municipal Bond Bank, General Obligation and Refunding Bonds, 2016 Series Four (AMT) (Insured Maturities due December 1, 2034 through December 1, 2035), dated November 3, 2016 (the "Obligations"), and The Bank of New York Mellon Trust Company, N.A., as trustee and paying agent for the Obligations (the "Paying Agent"), for the benefit of National Public Finance Guarantee Corporation ("National") in connection with the issuance of its financial guaranty No. NP1404510 (the "Policy"), guaranteeing the payment of the principal and interest on the Obligations when due. The Issuer and the Paying Agent hereby certify as follows 1. The undersigned acknowledge receipt and review of National's "Payments Under the Policy/Required Document Provisions" with respect to the Policy, attached hereto as Schedule A. 2. The undersigned hereby agree, during the term of the Policy to abide by the terms, obligations and provisions required by Schedule A hereto IN WITNESS WHEREOF, we have executed this Certificate as of the 3rd day of November, 2016. Alaska Municipal Bond Bank The Bank of New York Mellon Trust as Issuer Company, N.A. LM- as Paying Agent is Authorized Signatory .1 til 1 T h SCHEDULE A PAYMENTS UNDER THE POLICY I REQUIRED DOCUMENT PROVISIONS $4,430,000 Alaska Municipal Bond Bank General Obligation and Refunding Bonds, 2016 Series Four (AMT) (Insured Maturities due December 1, 2034 through December 1, 2035) (the "Obligations") A. In the event that on the second business day prior to the payment date on the Obligations, the Paying Agent/Trustee has not received sufficient moneys to pay all principal of and interest on the Obligations due on the second following business day, the Paying Agent/Trustee shall immediately notify National Public Finance Guarantee Corporation (the "Insurer") or its designee on the same business day by telephone and email, confirmed in writing by registered or certified mail, of the amount of the deficiency. B. If the deficiency is made up in whole or in part prior to or on the payment date, the Paying Agent/Trustee shall so notify the Insurer or its designee. C. In addition, if the Paying Agent/Trustee has received written notice that any holder of the Obligations (the "Bondholder") has been required to disgorge payments of principal or interest on the Obligations to a trustee in bankruptcy or creditors or others pursuant to a final judgment by a court of competent jurisdiction that such payment constitutes an avoidable preference to such Bondholder within the meaning of any applicable bankruptcy laws, then the Paying Agent/Trustee shall notify the Insurer or its designee of such fact by telephone, confirmed in writing by registered or certified mail. D. The Paying Agent/Trustee is hereby irrevocably designated, appointed, directed and authorized to act as attorney-in-fact for Bondholders as follows: 1. If and to the extent there is a deficiency in amounts required to pay interest on the Obligations, the Paying Agent/Trustee shall (a) execute and deliver to U.S. Bank Trust National Association, or its successors under the Policy (the "Insurance Paying Agent/Trustee"), in form satisfactory to the Insurance Paying Agent/Trustee, an instrument appointing the Insurer as agent for such Bondholders in any legal proceeding related to the payment of such interest and an assignment to the Insurer of the claims for interest to which such deficiency relates and which are paid by the Insurer, (b) receive as designee of the respective Bondholders (and not as Paying Agent/Trustee) in accordance with the tenor of the Policy payment from the Insurance Paying Agent/Trustee with respect to the claims for interest so assigned, and (c) disburse the same to such respective Bondholders; and I '1 2. If and to the extent of a deficiency in amounts required to pay principal of the Obligations, the Paying AgentlTrustee shall (a) execute and deliver to the Insurance Paying Agenfflrustee in form satisfactory to the Insurance Paying Agent/Trustee an instrument appointing the Insurer as agent for such Bondholders in any legal proceeding relating to the payment of such principal and an assignment to the Insurer of any of the Obligation surrendered to the Insurance Paying Agent/Trustee of so much of the principal amount thereof as has not previously been paid or for which moneys are not held by the Paying Agent[Irustee and available for such payment (but such assignment shall be delivered only if payment from the Insurance Paying Agent(Trustee is received), (b) receive as designee of the respective Bondholders (and not as Paying Agent/Trustee) in accordance with the tenor of the Policy payment therefor from the Insurance Paying Agent/Trustee, and (c) disburse the same to such Bondholders. E. Payments with respect to claims for interest on and principal of Obligations disbursed by the Paying Agent/Trustee from proceeds of the Policy shall not be considered to discharge the obligation of the Issuer with respect to such Obligations, and the Insurer shall become the owner of such unpaid Obligation and claims for the interest in accordance with the tenor of the assignment made to it under the provisions of this subsection or otherwise. F. Irrespective of whether any such assignment is executed and delivered, the Issuer and the Paying Agent/Trustee hereby agree for the benefit of the Insurer that: 1. They recognize that to the extent the Insurer makes payments, directly or indirectly (as by paying through the Paying Agent(Trustee), on account of principal of or interest on the Obligations, the Insurer will be subrogated to the rights of such Bondholders to take all actions and enforce all rights of such Bondholders and to receive the amount of such principal and interest from the Issuer, with interest thereon as provided and solely from the sources stated in the authorizing document and the Obligations; and 2. They will accordingly pay to the Insurer the amount of such principal and interest (including principal and interest recovered under subparagraph (ii) of the first paragraph of the Policy, which principal and interest shall be deemed past due and not to have been paid), with interest thereon as provided in the authorizing document and the Obligation, but only from the sources and in the manner provided herein for the payment of principal of and interest on the Obligations to Bondholders, and will otherwise treat the Insurer as the owner of such rights to the amount of such principal and interest. G. With respect to any amendment for which Bondholder consent is a prerequisite, the Insurer's consent is also required and must be obtained. H H. The Insurer shall receive copies of all notices required to be delivered to Bondholders and any notices of Material Events, as defined by SEC Rule 15c2-12, as amended. All notices required to be given to the Insurer shall be in writing and shall be sent by registered or certified mail addressed to National Public Finance Guarantee Corporation, 1 Manhaftanville Road, Suite 301, Purchase, New York 10577 Attention: Portfolio Surveillance Policy No. N P1404510, or electronically to National PortfolioSurveillanceNationalpfg .com- referencing Policy No. NP1404510. 1. With respect to any advance refunding of the Obligations, the Issuer agrees to (i) make all applicable notice filings pursuant to the United States Securities Commissioners Rule 15c2-12; (ii) provide the insurer with verification by an independent firm acceptable to the Insurer of the sufficiency of the escrow to timely retire the refunded bonds; and, to the extent that such advance refunding is intended to discharge or defease the Issuers obligations under the authorizing document, (iii) an opinion of counsel stating that the Obligations have been legally defeased and that the escrow agreement establishing such defeasance operates to legally defease the Obligations within the meaning of the Authorizing Document. J. Permissible Investments for Indentured Funds must be limited to the following: 1. Direct obligations of the United States of America (including obligations issued or held in book-entry form on the books of the Department of the Treasury) or obligations the principal of and interest on which are unconditionally guaranteed by the United States of America. 2. Bonds, debentures, notes or other evidence of indebtedness issued or guaranteed by any of the following federal agencies and provided such obligations are backed by the full faith and credit of the United States of America (stripped securities are only permitted if they have been stripped by the agency itself): (1) U.S. Export-Import Bank (Eximbank) i. Direct obligations or fully guaranteed certificates of beneficial ownership (2) Federal Financing Bank (3) Federal Housing Administration Debentures (FHA) (4) General Services Administration i. Participation certificates (5) General Services Administration L GNMA - guaranteed mortgage-backed bonds ii. GNMA - guaranteed pass-through obligations iii. not acceptable for certain cash-flow sensitive issues (6) Bonds or notes issued by any state or municipality whose underlying ratings from Moody's and S&P are in the highest rating categories assigned by such agencies. P 0 ri 4 P N I S I P L '1 1 I. Project Notes ii. Local Authority Bonds iii. New Communities Debentures - U.S. government guaranteed debentures iv. U.S. Public Housing Notes and Bonds - U.S. government guaranteed public housing notes and bonds 3. Bonds, debentures, notes or other evidence of indebtedness issued or guaranteed by any of the following non-full faith and credit U.S. government agencies (stripped securities are only permitted if they have been stripped by the agency itself): (1) Federal Home Loan Bank System Senior debt obligations (2) Resolution Funding Corp. (REFCORP) obligations (3) Farm Credit System Consolidated system wide bonds and notes 4. Certificates of deposit secured at all times by collateral described in (A) and/or (B) above. Such certificates must be issued by commercial banks, savings and loan associations or mutual savings banks. The collateral must be held by a third party and the bondholders must have a perfected first security interest in the collateral. 5. Certificates of deposit, savings accounts, deposit accounts or money market deposits which are fully insured by FDIC, including BIF and SAIF. 6. Bonds or notes issued by any state or municipality whose underlying ratings from Moody's and S&P are in the highest rating categories assigned by such agencies. 7. Federal funds or bankers acceptances with a maximum term of one year of any bank which has an unsecured, uninsured and unguaranteed obligation rating of Prime - I or A3 or better by Moody's and A-I or or better by S&P. 8. Repurchase Agreements for 30 days or less, subject to the following criteria: (I) Repos must be between the municipal entity and a dealer bank or securities firm i. Primary dealers on the Federal Reserve reporting dealer list which are rated A or better by Standard & Poors Corporation and Moody's Investor Services, or ii. Banks rated "A" or above by Standard & Poors Corporation and Moody's Investor Services. K. Permissible Investments for Escrowed Funds must be limited to the following: L I F t I C r I 1. U.S. Treasury Certificates, Notes and Bonds (including State and Local Government Series - "SLGS"). 2. Direct obligations of the Treasury which have been stripped by the Treasury itself. 3. Resolution Funding Corp. (REFCORP) Only the interest component of REFCORP strips which have been stripped by request to the Federal Reserve Bank of New York in book entry form are acceptable. 4. Pre-refunded municipal bonds rated Aaa by both Moody's and AAA by S&P 5. Obligations issued by the following agencies which are backed by the full faith and credit of the United States: 1). U.S. Export-Import Bank (Eximbank) i. Direct obligations or fully guaranteed certificates of beneficial ownership 2) Federal Financing Bank 3) General Services Administration i. Participation certificates 4) U.S. Department of Housing and Urban Development (HUD) i. Project Notes ii. Local Authority Bonds iii. New Communities Debentures - U.S. government guaranteed debentures iv. U.S. Public Housing Notes and Bonds - U.S. government guaranteed public housing notes and bonds L. The Issuer agrees that the Insurer is explicitly recognized as being a third party beneficiary under the financing documents with the power to enforce any right, remedy, or claim conferred, given or granted under such financing documents. M. The Issuer agrees to reimburse the Insurer immediately and unconditionally upon demand, to the extent permitted by law, for all reasonable expenses, including attorneys' fees and expenses, incurred by the Insurer in connection with the enforcement by the Insurer of the Issuer's obligations, or the preservation or defense of any rights of the Insurer, under the authorizing document and any other document executed in connection with the issuance of the Obligations OHSUSA:766010090.3