Laserfiche WebLink
due on any date by depositing with the Registrar on or before that date a sum sufficient for the <br />payment thereof in full; or, if any Bond should not be paid when due, it may nevertheless be <br />discharged by depositing with the Registrar a sum sufficient for the payment thereof in full with <br />interest accrued from the due date to the date of such deposit. The City may also discharge its <br />obligations with respect to any prepayable Bonds called for redemption on any date when they are <br />prepayable according to their terms by depositing with the Registrar on or before that date an <br />amount equal to the principal, redemption premium, if any, and interest then due, provided that <br />notice of such redemption has been duly given as provided herein. The City may also at any time <br />discharge its obligations with respect to any Bonds, subject to the provisions of law now or <br />hereafter authorizing and regulating such action, by depositing irrevocably in escrow, with the <br />Registrar or with a bank or trust company qualified by law to act as an escrow agent for this <br />purpose, cash or securities which are authorized by law to be so deposited for such purpose, bearing <br />interest payable at such times and at such rates and maturing or callable at the holder's option on <br />such dates as shall be required to pay all principal and interest to become due thereon to maturity <br />or, if notice of redemption as herein required has been irrevocably provided for, to an earlier <br />designated redemption date. If such deposit is made more than ninety days before the maturity <br />date or specified redemption date of the Bonds to be discharged, the City must have received a <br />written opinion of Bond Counsel to the effect that such deposit does not adversely affect the <br />exemption of interest on any Bonds from federal income taxation and a written report of an <br />accountant or investment banking firm verifying that the deposit is sufficient to pay when due all <br />of the principal and interest on the Bonds to be discharged on and before their maturity dates or <br />earlier designated redemption date. <br />SECTION 8. TAX COVENANTS; ARBITRAGE MATTERS AND CONTINUING <br />DISCLOSURE. <br />8.01. General Tax Covenant. The City agrees with the registered owners from time to <br />time of the Bonds that it will not take, or permit to be taken by any of its officers, employees or <br />agents, any action that would cause interest on the Bonds to become includable in gross income of <br />the recipient under the Internal Revenue Code of 1986, as amended (the "Code") and applicable <br />Treasury Regulations (the "Regulations"), and agrees to take any and all actions within its powers <br />to ensure that the interest on the Bonds will not become includable in gross income of the recipient <br />under the Code and the Regulations. All proceeds of the Bonds deposited in the Construction Fund <br />will be expended solely for the payment of the costs of the Tax Abatement Project. The Project is <br />and will be owned and maintained by the City and available for use by members of the general <br />public on a substantially equal basis. The City shall not enter into any lease, management contract, <br />use agreement, capacity agreement or other agreement with any non -governmental person relating <br />to the use of the Project, or any portion thereof, or security for the payment of the Bonds which <br />might cause the Bonds to be considered "private activity bonds" or "private loan bonds" pursuant <br />to Section 141 of the Code. <br />8.02. Arbitrage Certification. The Mayor and City Manager being the officers of the City <br />charged with the responsibility for issuing the Bonds pursuant to this Resolution, are authorized <br />and directed to execute and deliver to the Purchaser a certificate in accordance with Section 148 <br />of the Code, and applicable Regulations, stating the facts, estimates and circumstances in existence <br />on the date of issue and delivery of the Bonds which make it reasonable to expect that the proceeds <br />11 <br />4837-9618-8312\5