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Ordinance 1774-91
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Ordinance 1774-91
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9/28/2017 9:46:26 AM
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Ordinances
Ordinance Number
1774-91
Date
3/15/1991
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for the preparation, execution and delivery of all documents, and <br /> the performance of all actions, transactions or undertakings, <br /> necessary or desireable for the completion of the transaction <br /> contemplated by this Ordinance and for the proper application and <br /> use of the Property and all funds of the City related thereto. <br /> Section 5. Lease Not an Arbitrage Bond. The City hereby <br /> certifies that on the basis of the facts, estimates and <br /> circumstances in existence on this date, it is not expected that <br /> the Property will be used in a manner that would cause the Lease <br /> or any certificates of participation therein to be "arbitrage <br /> bonds" under Section 148 of the United States Internal Revenue Code <br /> of 1986, as amended, and all regulations relating thereto. The <br /> City covenants that it will comply with said Section 148 and the <br /> regulations thereunder in effect from time to time, as long as the <br /> Lease remains outstanding. <br /> The City covenants that it will not take any action or permit <br /> any action to be taken that would cause the Lease authorized <br /> hereunder to constitute a private activity bond under Section 141 <br /> of the United States Internal Revenue Code of 1986, as amended. <br /> Section 6. Obligation of City under the Lease. The City <br /> hereby irrevocably covenants and agrees for as long as the Lease <br /> remains in effect and any Lease payments due thereunder are unpaid, <br /> that it will include in its budget and cause to be levied annually <br /> a tax upon all the property within the City subject to taxation in <br /> an amount which, with other moneys of the City which may be legally <br /> used and which the City applies for such purposes, will be <br /> sufficient to pay the principal and interest components of the <br /> -5- FWW068 91/03/06 <br />
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