Ordinance 1963-93 - Laserfiche WebLink

(2) an opinion from bond counsel that such transfer (i) is permitted under Section 10 of Ordinance No. 1433-88 of the City, and (ii) shall not cause interest on any of the 1993 Bonds or Refunded 1988 Bonds to become subject to federal income tax. The City reserves the right to substitute other securities for the Acquired Obligations in the event it may do so pursuant to Section 148 of the federal Internal Revenue Code of 1986 and applicable regulations thereunder, upon compliance with the following conditions: (1) The securities to be substituted are direct obligations of, or obligations the principal of and interest on which are unconditionally guaranteed by, the United States of America. (2) The City obtains a verification by a certified public accounting firm which shall be satisfactory to bond counsel and the City that such securities bear such interest and mature at such times and in such amounts as to fully replace the Acquired Obligations for which they are substituted, and to provide, together with Acquired Obligations and cash remaining, for the payment of the amounts specified in items (a) and (b) above. (3) The City obtains an opinion from bond counsel that such substitution (i) is permitted under Section 10 of Ordinance No. 1433-88 of the City, and (ii) shall not cause interest on any of the 1993 Bonds or Refunded 1988 Bonds to become subject to federal income tax. B. Disposition of 1993 Bond Proceeds and Interfund Transfers. The proceeds of the 1993 Bonds shall be deposited as follows: (1) There shall be deposited with the Refunding Trustee and credited to the 1993 Advance Refunding Fund an amount sufficient, together with the amounts stated in paragraphs 12.B.(i) and (ii) below, and any necessary beginning cash balance, to provide for the purchase of the Acquired Obligations for the advance refunding and defeasance of the Refunded 1988 Bonds (in accordance with this ordinance, the Escrow -32- Fww01EDOc 93/10/26