Resolution 2006-015 - Laserfiche WebLink

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7.05. Qualified Tax - Exempt Obligations. The City Council hereby designates the Obligations as "qualified tax - exempt obligations" for purposes of Section 265(b)(3) of the Code relating to the disallowance of interest expense for financial institutions, and hereby finds that the reasonably anticipated. amount of tax- exempt obligations which are not private activity bonds (not treating qualified 501(c)(3) bonds under Section 145 of the Code as private activity bonds for the purpose of this representation) and are not excluded from this calculation by Section 265(b)(3)(C)(ii) of the Code which have been and will be issued by the City and all subordinate entities during calendar year 2006 does not exceed $10,000,000. 7.06. Continuing Disclosure. Rule 15c2 -12 under the Securities Exchange Act of 1934 (17 C.F.R. § 240.15c2 -12) (the Rule) that make it unlawful for an underwriter to participate in the primary offering of municipal securities in a principal amount of $1,000,000 or more unless, before submitting a bid or entering into a purchase contract for the Obligations, it has reasonably determined that the issuer or an obligated person has undertaken in writing for the benefit of the bondholders to provide certain disclosure information to prescribed information repositories on a continuing basis or unless and to the extent the offering is exempt. from the requirements of the Rule. The principal amount of the Obligations is less than $1,000,000. The City hereby represents that it has not issued within the six months before the date of issuance of the Obligations, and that it reasonably expects that it will not issue within six months after the date of issuance of the Obligations, other securities of the City of substantially the same security and providing financing for the same general purpose or purposes as the Obligations. Consequently, this City Council hereby finds that the Rule is inapplicable to the Obligations, because the aggregate principal amount of the Obligations and any other securities required to be integrated with the Obligations thereunder is less than $1,000,000. Therefore, the City is not required to enter into any undertaking to provide continuing disclosure with respect to the Obligations. 7.07. This resolution shall be in full force and effect from and after its passage. PASSED AND APPROVED this 7th day of February, 2006. THE CITY OF LAKE ELMO, 13 Dean Johnston,