Resolution 2010-058 - Laserfiche WebLink

Home Browse Search

8.02. ALb-it-ra-ge Certification. The Mayor and City Administrator being the officers of the City charged with the responsibility for issuing the Bonds pursuant to this Resolution, are authorized and directed to execute and deliver to the Purchaser a certificate in accordance with the provisions of Section 148 of the Code and applicable Regulations, stating that on the basis of facts, estimates and circumstances in existence on the date of issue and delivery of the Bonds, it is reasonably expected that the proceeds of the Bonds will not be used in a manner that would cause the Bonds to be "arbitrage bonds" within the meaning of the Code and the applicable Regulations. 8.03. The Bonds are hereby designated as "qualified tax - exempt obligations" for purposes of Section 265(b)(3) of the Code relating -tothe disallowance of interest expense for financial institutions, and the City hereby finds that the reasonably anticipated amount of tax-exempt governmental obligations which will be issued by the City and all subordinate entities during calendar year 2010 does not exceed $30,000,000. 8.04. Arbitrage Rebate Exemption. For purposes of complying with the requirements of Section 148(f)(4)(D) of the Code relating to,the exemption of certain small governmental units from the rebate_ requirements of the Code, the City represents that: (i) the City is a governmental unit with general taxing powers; (ii)- the Refunded Bonds qualified for the exception from arbitrage rebate provided by Section of the Code; (iii) the aggregate face amount of all tax-exempt bonds (other than private activity bonds) issued by the City in the calendar year in which the Bonds are to bel issued -is not reasonably expected to exceed, $5,000,000; (iv) the average maturity of the Bonds years) -does not exceed the remaining average maturity of the Refunded Bonds (_ years); and (v) no Bond has a maturity date which is later than 30 years after the date the Refunded Bonds were issued. Therefore, pursuant to the provisions of Section 148(f)(4)(D) of the Code.. the City shall not be required to comply with the arbitrage rebate requirements of paragraphs (2) and (3) of Section 148(f) of the Code. If notwithstanding the provisions of the immediately preceding paragraph, the arbitrage rebate provisions of Section 148(f) of the Code apply to the Bonds, the City hereby covenants and agrees to make the determinations, retain records and rebate to the United States the amounts at the times and in the manner required by said Section 148(f) and applicable Regulations. 8.05, Redemption of Refunded Bonds. The City Administrator is hereby directed to advise Northland Trust Services, Inc., as paying agent for the Refunded Bonds, to call the Refunded Bonds for redemption and prepayment on the Crossover Date and to give notice of redemption in accordance with the resolution authorizing the issuance of the Refunded Bonds. 14