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04-24-2024 Council Packet
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04-24-2024 Council Packet
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132435584v2 <br /> <br /> <br /> 12 <br /> <br />(f) The weighted average maturity of the Note will not exceed the estimated <br />economic life of the Facility by more than twenty percent (20%), all within the meaning <br />of Section 147(b) of the Code. <br />(g) While the Note remains outstanding, no portion of the proceeds of the <br />Note will be used to provide any airplane, skybox or other private luxury box, any facility <br />primarily used for gambling, or a store, the principal business of which is the sale of <br />alcoholic beverages for consumption off premises. <br />(h) Not more than 2% of the proceeds of the Note will be used to finance <br />Issuance Expenses. <br />(i) The Borrower agrees it will not use the proceeds of the Note in such a <br />manner as to cause the Note to be “arbitrage bonds” within the meaning of Section 148 of <br />the Code and applicable Treasury Regulations. The Borrower shall: <br />(i) maintain records identifying all “gross proceeds” and “replacement <br />proceeds” (as defined in Section 148(f)(6)(B) of the Code attributable to the Note, <br />the yield at which such gross proceeds are invested, any arbitrage profit derived <br />therefrom (earnings in excess of the yield on the Note) and any earnings derived <br />from the investment of such arbitrage profit; <br />(ii) make, or cause to be made as of the end of each fifth bond year, <br />the annual determinations of the amount, if any, of excess arbitrage required to be <br />paid to the United States, unless the Borrower obtains an Opinion of Bond <br />Counsel to the effect that such calculations need not be made (the “Rebate <br />Amount”); <br />(iii) pay, or cause to be paid, to the United States at least once every <br />fifth bond year the amount, if any, which is required to be paid to the United <br />States, including the last installment which shall be made no later than 60 days <br />after the day on which the Note is paid in full; <br />(iv) not invest, or permit to be invested, “gross proceeds” of the Note in <br />any acquired non-purpose obligations so as to deflect arbitrage otherwise payable <br />to the United States as a “prohibited payment” to a third party; and <br />(v) if applicable, retain all records of the determination of the <br />foregoing amounts until six (6) years after the Note has been fully paid. <br />Unless the Opinion of Bond Counsel described in (ii) above is provided, the <br />Borrower agrees that, in order to comply with this paragraph (i), it shall determine the <br />Rebate Amount within 30 days after each fifth year of the anniversary of the Closing and <br />upon payment in full of the Note; upon request, the Borrower shall furnish the Lender a <br />certificate showing how such calculation was made. <br />(j) The Borrower has not leased, sold, assigned, granted or conveyed and will <br />not lease, sell, assign, grant or convey all or any portion of the Facility or any interest
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