Gross Revenue Pledge

Gross Revenue Pledge

A provision in the indentures of some municipal bonds stating that the first priority of the revenue from the bond shall service debt or be set aside to pay the coupons to bondholders. The project a bond intends to finance is relegated to second place, and may be funded from other sources in addition to the bond. This places a difficulty on the issuer, but reduces the risk of default to bondholders. It also allows the bond to be issued at a lower interest rate, which is good for the issuer.
References in periodicals archive ?
The bonds are secured by a mortgage lien on The Buckingham's property, gross revenue pledge and series-specific debt service reserve funds.
The bonds are secured by a gross revenue pledge of the system's revenues.
The bonds are secured by a gross revenue pledge, mortgage liens on Christian Care's property, and debt service reserve funds.
The bonds are secured by a gross revenue pledge, a mortgage lien on certain property of the obligated group (OG), and a debt service reserve fund (DSRF) on the 2011 and 2013A bonds.
The bonds are secured by a gross revenue pledge, a mortgage security interest, and DSRFs.
The bonds are secured by a mortgage on GOG's facilities, a gross revenue pledge, and a debt service reserve fund.
The bonds are secured by a gross revenue pledge of the obligated group and a mortgage on the acute care hospital in Marshall, MI.
The bonds are secured by a gross revenue pledge, mortgage on the facility and a debt service reserve fund.
The series 2013 bonds are secured by a gross revenue pledge and a first mortgage lien on the facility.
The series 2016 bonds are secured by a gross revenue pledge and mortgage pledge of the obligated group (OG).
The bonds are secured by a gross revenue pledge, a mortgage, and a debt service reserve fund.
The bonds are secured by a gross revenue pledge of the LHS OG, which includes Lahey Medical Center and Lahey Clinic, LHS's employed physicians group.