Ordinance 1358-87 - Laserfiche WebLink

realized on disposition of the investments and unrealized gain or loss on the investments as of the date of retirement of the Issue ( if the investments are retained after retirement of the Issue) , whether or not the recipient of that income is subject to federal income taxation and without taking into account any transaction costs incurred in acquiring , carrying , selling or redeeming those investments . For the purpose of determining gain or loss on Nonpurpose Investments , the adjusted basis (acquisition cost) of an investment or security shall be its fair market value at the time it became a Nonpurpose Investment . (e) Amounts Earned on Debt Service Fund. Amounts earned on a Bona Fide Debt Service Fund (i .e. , a fund used primarily to achieve a proper matching of revenues and debt service in each Bond Year) , and income attributable to those amounts which are allocated to the Bona Fide Debt Service Fund, shall not be taken into account if the gross earnings on the Bona Fide Debt Service Fund for the Bond Year are less than $100 , 000 . Such amounts shall be taken into account if they equal or exceed $100 , 000 for the Bond Year and may be taken into account with respect to a particular Issue if the City in the bond ordinance or a related document has made an irrevocable election on the Date of Issue to take those amounts into account . If more than one Bona Fide Debt Service Fund is created for a single Issue, all such funds shall be treated as a single Bona Fide Debt Service Fund for this purpose . A single Bona Fide Debt Service Fund created for two or more Issues shall be treated as a separate Bona Fide Debt - 8 -