Ord 1997-031 - Laserfiche WebLink

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I I - SectlOn 10 06 Other Representatlons and Covenants (a) The Clty will faIthfully perform at all tlmes any and all covenants, undertakmgs, stlpulatlOns, and provIslOns contamed m thlS Ordmance and ill each Bond, and the CIty WIll, at the tlmes and m the manner prescribed by thIs Ordmance, deposlt or cause to be deposlted the amounts of money speclfied by tills Ordillance (b) The Clty IS duly authonzed under the laws ofthe State of Texas to lssue the Bonds, all actlOn on 115 part for the creatlOn and lssuance of the Bonds has been duly and effectlVely taken, and the Bonds m the hands of the Owners thereof are and will be vahd and enforcea ble oblIgatlons of the Clty ill accordance WIth thCIr terms. SectlOn 1007. Federal Tax Matters (a) The Clty hereby represents that the proceeds of the Bonds are needed at thlS tlme to for the purposes speclfied m SectlOn 3 0 I hereof, that It lS not reasonably expected that the proceeds of the Bonds or money deposlted m the Interest and Smkmg Fund Wlll be used or mvested m a manner that would cause the Bonds to be or become "arbltrage bonds," wlthm the meanmg of SectlOn 148 of the Code, and that, except for the Interest and Smkmg Fund, no other funds or accounts have been establIshed or pledged to the payment of the Bonds (b) The City will not take any actlon or fall to take any actlOn wlth respect to the mvestment of the proceeds of the Bonds or any other funds of the CIty, mcluding amounts recelved from the mvestment of any of the foregolllg, ifsuch actlon or macbon, based upon the facts, estuoates, and cucumstances known on the Closmg Date, would result m constltutmg the Bonds "arbltrage bonds," wlthm the meamng of SectlOn 148 of the Code, and the Clty Wlll not take any deliberate actlOn motlvated by arbltrage that would have such result. (c) The City will not take any acbon or fail to take any actIon whlch actlon, or mactlon, would result m the Bonds belllg treated as "pnvate actlVlty bonds" wItilln the meanmg of SectlOn 141 (a) of the Code. (d) The CIty w1l1 comply wlth the prOVISlons of SectlOn I48(f) of the Code (relatmg to paymg certam excess earnmgs of mvestment proceeds of the Bonds to the Umted States) and the regulatlOns promulgated thereunder Tills covenant mcludes the mamtenance of records regardmg mvestrnents acqUlred WIth the proceeds by or on behalf of the Clty adequate to calculate the City's rebate lIabllIty (e) The Clty w1l1 not take any actlOn or fail to take any actIon WhICh actlOn, or mactlOn, would result m the Bonds bemg treated as "federally guaranteed" wIthm the meanmg of SectlOn 149(b) of the Code (f) Proper officers of the Clty charged Wlth the responsibllIty of lssmng the Bonds are hereby duected to make, execute and delIver certIficatIOns as to facts, estlmates and CIrcumstances m eXIstence as of the CIosmg Date and stating whether there are any facts, estuoates or circumstances that would matenaUy change the City'S clUTent expectatIons (g) The covenants and representatlOns made or reqUlred by thIS SectlOn are for the benefit of the Owners and may be rehed upon by the Owners and Bond Counsel for the CIty (h) The Bonds are hereby dcslgnated "qualIfied tax-exempt obhgatIOns" for the purposes of sectlOn 265(b)(3) of the Code. In thIs regard, neither the Clty nor any of its subordmate entitles, lf any, reasonably expect to Issue m excess of $1 0,000,000 aggregate amount of tax-exempt obhgatIOns [other than obhgatIons not taken R:\S A.""I'MAR\ wv.'ss. 97\DOCS\ORDNCE 28