Ordinance 1201-85 - Laserfiche WebLink

• Section 2 . The Notes shall be printed or lithographed on good bond paper or may be in typewritten form in a form con- sistent with this ordinance and state law. The Notes shall be signed by the facsimile or manual signatures of the Mayor and City Clerk, and shall have the seal of the City affixed thereto or imprinted thereon. Section 3 . The Notes shall be negotiable instruments to the extent provided by RCW 62A. 8-102 and 62A. 8-105 . Section 4 . The City covenants that it will not take or permit to be taken on its behalf any action which would adversely affect the exemption from federal income taxation of the interest on the Notes and will take or require to be taken such acts as may reasonably be within its ability and as may from time to time be required under applicable law to continue the exemption from federal income taxation of the interest on the Notes . Without limiting the generality of the foregoing, and except to the extent the investment of any Note proceeds is limited to a yield required to comply with federal arbitrage regulations, the City will spend the proceeds of the Notes with due diligence to completion of the purpose specified herein and will not invest or make other use of the proceeds of the Notes or of its other money at any time during the term of the Notes, which if such use had been reasonably expected at the date that the Notes are issued, would have caused such Notes to be arbitrage obligations within the meaning of Section 103 (c) of the United States Internal Revenue Code of 1954 , as amended, and applicable regulations thereunder . The City further covenants that it has not been notified of any listing or proposed listing by the Internal Revenue Service to the effect that it is a bond issuer whose arbitrage certifi- cations may not be relied upon. - 3 -