Resolution - #92-01-006 - 01/14/1992

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transcripts as may be required to show the facts within their knowledge or as shown by the books and records in their custody and under their control, relating to the validity and marketability of the Bonds and such instruments, including any heretofore furnished, may be deemed representations of the City as to the facts stated therein. 6.02. The Mayor and City Administrator are authorized and directed to certify that they have examined the Official Statement prepared and circulated in connection with the issuance and sale of the Bonds and that to the best of their knowledge and belief the Official Statement is a complete and accurate representation of the facts and representations made therein as of the date of the Official Statement. Section 7. Tax Covenant. 7.01. The City covenants and affi-ees with the holders from time to time of the Bonds that it will not take or permit to be taken by any of its officer~, employees or agents any action wkich would cause the interest on the Bonds to become subject to taxation under the Internal Revenue Code of 1986, as amended (the Code), and the Treasury Regulations promulgated thereunder, in effect at the time of such actions, and that it will take or cause its officers, employees or agents to take, all affirmative action within its power that may be necessary to ensure that such interest will not become subject to taxation under the Code and applicable Treasury Regulations, as presently existing or as hereafter amended and made applicable to the Bonds. 7.02. (a) The City will comply with requirements necessary under the Code to establish and maintain the exclusion from gross income of the interest on the Bonds under Section 103 of the Code, including without limitation requirements ~elating to temporary periods for investments, limitations on amounts invested at a yield greater than the yield on the Bonds, and the rebate of excess investment earnings to the United States ff the Bonds (together with other obligations reasonably expected to be issued in calendar year 1992) exceed the small-issuer exception amount of $5,000,000. (b) For purposes of qualifying for the small issuer exception to the federal arbitrage rebate requirements, the City finds, determines and declares that the aggregate face amount of ali tax-exempt bonds (other th,n private activity bonds) issued by the City (and all subordln-te entities of the City) during the calendar year in which the Bonds are issued is not reasonably expected to exceed $5,000,000, within the mea~ning of Section 148(f)(4)(C) of the Code, th,t the aggregate face amount of all tax-exempt bonds (other than private activity bonds) issued by the City in 1984 did not exceed $5,000,000, and that the weighted average maturity of the Bonds is not longer than the remaining weighted average maturity of the Refunded Bonds. 7.03. The City further covenants not to use the proceeds of the Bonds or to cause or permit them or any of them to be used, in such a n~nner as to cause the Bonds to be "private activity bonds" within the meaning of Sections 103 and 141 through 150 of the Code. 7.04. In order to qualify the Bonds as "quslified tax-exempt obligations" within the meoning of Section 265(b)(3) of the Code, the City m~lces the following factual statements and representations: ~27511 RA125-32