Ordinance 536-78 - Laserfiche WebLink

amounts expended for maintenance; renewals, replacements, and capital additions to the System. H. The City will not furnish or supply or permit the furnishing or supplying of any commodity, service or facility furnished by or in connection with the operation of the System, free of charge to any person, firm or corporation, public or private, so long as any Bonds are outstanding and unpaid. I . The City will not expend any of the revenues derived by it from the operation of the System or the proceeds of any indebted- ness payable from Revenue of the System for any extensions, betterments and improvements to the System which are not legally required or economically sound, and which will not properly and advantageously contribute to the conduct of the business of the System in an efficient manner. J. The City will not invest any of the proceeds of the Bonds in a manner that would cause the Bonds to be "arbitrage bonds" within the meaning of §103 (c) of the Internal Revenue Code and applicable regulations thereunder. Section 11. Issuance of Future Parity Bonds. The City hereby further covenants and agrees with the owners and holders of each of the Bonds for as long as any of the same remain out- standing as follows: The City will not issue any bonds having a greater or equal priority of lien upon the Revenue of the System to pay and secure the payment of the principal of and interest on such bonds than the priority of lien created on such bonds than the priority of lien created on such Revenue to pay and secure the payment of the principal of and interest on Parity Bonds except as follows: A. The City reserves the right to issue future Parity Bonds for the purposes of First, providing funds to acquire, construct, reconstruct, install, or replace any equipment, facilities, additions, -24-