1995-06-01 - Laserfiche WebLink

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the purchase price of $4 , 433 , 431 plus accrued interest from July 1, 1995, to the date of delivery ("total sale proceeds") plus funds provided by the Commission. The Trustee shall disburse such funds as set forth in detail in a letter of delivery instructions and delivered to the Trustee as follows: (1) The Trustee shall deposit the amount of the accrued interest in the Bond Fund. (2) The Trustee shall deposit the amount necessary to refund Series 1991 A Bonds into a special trust account for the retirement of the Series 1991 A Bonds. (3) The Trustee shall deposit the sum of $450 , 000 into the Debt Service Reserve. (4) The Trustee shall pay such costs of issuance of the Series 1995 Bonds as shall be specified in the letter of delivery instructions. Section 9 . (a) The City covenants that it shall not take any action or suffer or permit any action to be taken or condition to exist which causes or may cause the interest payable on the Bonds to be subject to federal income taxation. Without limiting the generality of the foregoing, the City represents and covenants that the proceeds of the Bonds and System revenues will not be used directly or indirectly in such manner as to cause the Bonds to be treated as "arbitrage bonds" within the meaning of Section 148 of the Internal Revenue Code of 1986 , as amended (the "Code") . The City covenants to pay to the United States Treasury any arbitrage rebate due under Section 148 of the Code at the times required by Section 148 of the Code, if any be required. (b) The City shall assure that (1) not in excess of ten percent (10%) of the Net Proceeds of the Bonds is used for Private Business Use if, in addition, the payment of more than ten percent (10%) of the principal or ten percent (10%) of the interest due on the Bonds during the term thereof is, under the terms of the Bonds or any underlying arrangement, directly or indirectly secured by any interest in property used or to be used for a Private Business Use or in payments in respect of property used or to be used for a Private Business Use or is to be derived from payments, whether or not to the City, in respect of property or borrowed moneys used or to be used for a Private Business Use; and ( ii) that, in the event that both (A) in excess of five percent (5%) of the Net Proceeds of the Bonds are used for a Private Business Use, and (B) an amount in excess of five percent (5%) of the principal or five percent (5%) of the interest due on the Bonds during the term thereof is, under the terms of the Bonds or any underlying arrangement, directly or indirectly, secured by any interest in property used or to be used for a Private Business Use or in payments in respect of property used or to be used for a Private Business Use or is to be derived from payments, whether or not to the City, in respect of property fir► ;w�ey�batcas.on -11-