Ordinance 1739-90 - Laserfiche WebLink

, Each payment of Rebatable Arbitrage will be made to the Internal Revenue Center, Philadelphia, Pennsylvania 19225 and will be accompanied by the appropriate IRS Form. D. Other Methodology. Notwithstanding this Section 9, payments of Rebatable Arbitrage will be made in accordance with instructions provided by bond counsel if necessary to maintain the Federal income tax exemption for interest payments made on the Bonds. SECTION 10. Tax Covenants. The City hereby covenants that it will not make any use of the proceeds of sale of the Bonds or any other funds of the City which may be deemed to be proceeds of such Bonds pursuant to Section 148 of the Internal Revenue Code of 1986 and the applicable regulations thereunder which would cause the Bonds to be "arbitrage bonds" within the meaning of said section and said regulations. The City will comply with the requirements of Section 148 of the Internal Revenue Code of 1986 and the applicable regulations thereunder throughout the term of the Bonds. The City hereby covenants that throughout the term of the Bonds it will not take any action or enter into any agreement that will cause the proceeds of the sale of the Bonds to be used in a manner that would cause any Bond to be classified as a "private activity bond" with the meaning of Section 141 of the Internal Revenue Code and the applicable regulations thereunder. Unless the City has received an opinion of nationally recognized bond counsel approving a specific action or agreement, the City will not permit entities other than governmental units to use in the aggregate more than 10 percent of the Projects on a basis other than as a member of the general public unless payments made by such users with respect to such uses do not exceed in the -16- KR112 90/09/17