Ordinance 1233-86 - Laserfiche WebLink

Deposit Date Deposit Amount November 15, 1986 $2 , 000 , 000 December 15, 1986 2 , 000 , 000 The full faith, credit and resources of the City are pledged irrevocably for the payment of the principal of and interest on the Notes . Section 6 . The principal amount of the Notes shall not exceed the City' s maximum anticipated cumulative cash flow deficit in the General Government and Police Pension Funds (as that concept is defined in Section 1 . 103-14 (c) of the Regula- tions to the Internal Revenue Code of 1954 , as amended) to be financed in 1986 from the City' s sales , excise and general ad valorem property taxes and other revenues to be collected in 1986 . The City covenants that it will spend the principal proceeds of the Notes with due diligence and will make no use of the proceeds of the Notes or other funds of the City at any time during the term of the Notes which will cause the Notes to be arbitrage obligations within the meaning of Section 103 (c) of the United States Internal Revenue Code of 1954 , as amended, and the applicable regulations promulgated thereunder . In addition, if future federal laws or regulations require the payment of any federal tax or rebate or the observing of any other requirement to maintain the exemption from federal income taxation of the interest on the Notes , the City shall make any such payment and observe any such requirement . If the City fails or reasonably expects to be unable to comply with any applicable requirements or restrictions imposed on the City with respect to the Notes under any future federal law or regulations promulgated thereunder, including but not limited to requirements relating to the timing of expenditures of Note proceeds , restrictions on investment of Note proceeds pending their expenditure for the purposes of the issue, and calculating - 4 -