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No portion of the proceeds of the Bonds shall be used directly or indirectly to acquire <br />higher yielding investments or to replace funds which were used directly or indirectly to acquire <br />higher yielding investments, except (1) for a reasonable temporary period until such proceeds are <br />needed for the purpose for which the Bonds were issued and (2) in addition to the above in an <br />amount not greater than the lesser of five percent of the proceeds of the Bonds or $100,000. To <br />this effect, any proceeds of the Bonds and any sums from time to time held in the Construction <br />Account or Debt Service Account (or any other City account which will be used to pay principal <br />or interest to become due on the bonds payable therefrom) in excess of amounts which under <br />then applicable federal arbitrage regulations may be invested without regard to yield shall not be <br />invested at a yield in excess of the applicable yield restrictions imposed by said arbitrage <br />regulations on such investments after taking into account any applicable "temporary periods" or <br />"minor portion" made available under the federal arbitrage regulations. Money in the Fund shall <br />not be invested in obligations or deposits issued by, guaranteed by or insured by the United <br />States or any agency or instrumentality thereof if and to the extent that such investment would <br />cause the Bonds to be "federally guaranteed" within the meaning of Section 149(b) of the <br />Internal Revenue Code of 1986, as amended (the "Code"). <br />16. SSRecial Assessments. It is hereby determined that no less than twenty percent of <br />the cost to the City of each Improvement financed by the Bonds within the meaning of <br />Minnesota Statutes, Section 475.58, Subdivision 1(3), shall be paid by special assessments to be <br />levied against every assessable lot, piece and parcel of land benefited by any of the <br />Improvements. The City hereby covenants and agrees that it will let all construction contracts <br />not heretofore let within one year after ordering each Improvement by the Bonds unless the <br />resolution ordering the Improvement specifies a different time limit for the letting of <br />construction contracts. The City hereby further covenants and agrees that it will do and perform <br />as soon as they may be done all acts and things necessary for the final and valid levy of the <br />special assessments, and in the event that any special assessment be at any time held invalid with <br />respect to any lot, piece or parcel of land due to any error, defect, or irregularity in any action or <br />proceedings taken or to be taken by the City, either in the making of the special assessments or in <br />the performance of any condition precedent thereto, the City will forthwith do all further acts and <br />take all further proceedings as may be required by law to make the special assessments valid and <br />binding liens upon the properties. The special assessments have heretofore been authorized. <br />Subject to such adjustments as are required by the conditions in existence at the time the special <br />