RES 06-059 - Laserfiche WebLink

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. . . guidelines relating to leases, management contracts and service contracts involving facilities financed with tax-exempt obligations. 15. The City shall comply with requirements necessary under the Code to establish and maintain the exclusion from gross income under Section 103 of the Code of the interest on the Certificate, including without limitation: (a) requirements relating to temporary periods for investments, (b) limitations on amounts invested at a yield greater than the yield on the Certificate, and (c) the rebate of excess investment earnings to the United. The City expects to satisfy the six-month expenditure exemption for gross proceeds of the Certificate as provided in Section 1.148-7(c) of the Regulations. The Mayor and or Administrator are hereby authorized and directed to make such elections as to arbitrage and rebate matters relating to the Certificate as they deem necessary, appropriate or desirable in connection with the Certificate, and all such elections shall be, and shall be deemed and treated as, elections of the City. 16. The City hereby designates the Certificate as a "qualified tax-exempt obligation" within the meaning of Section 265(b)(3) of the Code and further represents that: (a) the reasonably anticipated amount of tax-exempt obligations (other than private activity bonds, treating qualified 501 (c)(3) bonds as not being private activity bonds) which will be issued by the City (and all entities subordinate to, or treated as one issuer with, the City) during calendar year 2006 will not exceed $10,000,000; and (b) not more than $10,000,000 of obligations issued or to be issued by the City during calendar year 2006 have been designated for purposes of Section 265(b)(3) of the Code. The City shall use its best efforts to comply with any federal procedural requirements which may apply in order to effectuate the designation made by this paragraph. 17. When any obligation of the Certificate has been discharged as provided in this paragraph, ail pledges, covenants and other rights granted by this Resolution to the registered owner of the Certificate (with respect to the obligation thereof so defeased) shall, to the extent permitted by law, cease. The City may at any time discharge any or all of such obligation(s) with respect to the Certificate, subject to the provisions of law now or hereafter authorizing or regulating such action, by depositing irrevocably in escrow, with a suitable institution qualified by law as an escrow agent for this purpose, cash or securities which are backed by the full faith and credit of the United States of America, bearing interest payable at such times and at such rates and maturing on such dates and in such amounts as shall be required and sufficient, subject to sale and/or reinvestment in like securities, to pay said obligation(s), which may include any interest payment on such Certificate and/or principal amount due thereon at a stated maturity (or if irrevocable provision shall have been made for permitted prior redemption of such principal amount, at such earlier redemption date). 18. With respect to the Equipment, the City has complied and will continue to comply with the "Reimbursement Regulations" provided in United States Treasury Regulations Section 1.150-2. In particular, except where the following may not be required by said Regulations (e.g., with respect to certain "preliminary expenditures"), to the extent that any of the proceeds of the Certificate will be used to reimburse the City for a cost of the Equipment theretofore paid and