2016/10/19 Council Agenda Packet

(c) No Designation under Section 265(b) of the Code. The Bonds are not "qualified tax exempt obligations" for investment by financial institutions under Section 265(b) of the Code. (d) Modification of Tax Covenants. The covenants of this section are specified solely to assure the continued exemption from regular income taxation of the interest on the Bonds. To that end, the provisions of this section may be modified or eliminated without any requirement for formal amendment thereof upon receipt of an opinion of the City's bond counsel that such modification or elimination will not adversely affect the tax exemption of interest on any Bonds. Section 11. Form of Bonds. The Bonds shall be in substantially the following form: UNITED STATES OF AMERICA NO. $ STATE OF WASHINGTON CITY OF EVERETT WATER AND SEWER REVENUE REFUNDING BOND, 2016 Interest Rate: Maturity Date: CUSIP No. Registered Owner: CEDE& Co. Principal Amount: AND NO/DOLLARS THE CITY OF EVERETT, a municipal corporation organized and existing under and by virtue of the laws of the State of Washington (the "City"), promises to pay to the Registered Owner identified above, or registered assigns, on the Maturity Date identified above, solely from the special fund of the City known as the "Fund 401 — Public Works-Utilities — Bond Redemption Subaccount" (the "Revenue Bond Fund")the Principal Amount indicated above and to pay interest thereon from the Revenue Bond Fund from , 2016, or the most recent date to which interest has been paid or duly provided for or until payment of this bond at the Interest Rate set forth above, payable on June 1, 2017, and semiannually thereafter on the first days of each June and December. • -*2 P.120287 CM1/1/20287 BN9 10/11/16