28-88 Warren Rd Improvement BAN $110,000

Home Browse Search

facts and estimates on which they are based, all as of the date of delivery of and payment for the Notes. The City covenants that it will take all actions that may be required of the City for the interest on the Notes to be and remain excluded from gross income for federal income tax purposes, and will not take any actions which would adversely affect such exclusion, under the provisions of federal tax laws that apply to the Notes, including the provisions of the Code and applicable ,amendments thereto, and will, among other acts of compliance, apply the proceeds of the Notes, re- strict the yield on investments of, or on obligations acquired with, such proceeds, make timely rebate payments to the federal government, maintain books and records, and refrain from certain uses of proceeds, all in such manner and if and to the extent necessary for the interest on the Notes to be and remain excluded from gross income for federal income tax purposes; and the Director of Finance and other appropriate officers are hereby authorized and directed to take any and all such actions, make such rebate payments and make or give such reports and certifications as may be appropriate to assure such exclusion of the interest. Section 6. The Notes shall be the full general obligations of the City of Lakewood and the full faith, credit and revenue of said City are hereby pledged for the prompt payment of the same. The par value to be received from the sale of the bonds anticipated by the Notes and any excess funds resulting from the issuance of the Notes shall, to the extent necessary, be used only for the retirement of the Notes at matur- ity, together with the interest thereon, and is hereby pledged for such purpose. Section 7. During the year or years while the Notes run, there shall be levied on all the taxable property in the City of Lakewood, in addition to'all other taxes, a direct tax annually not less than that which would have been levied if bonds had been issued without the prior issue of the Notes. Said tax shall be and is hereby ordered computed, certified, levied and extended upon the tax duplicate and collected by the same officers, in the same manner and at the same time that taxes for general purposes of each of said years are certified, extended and collected. Said tax shall be placed before and in prefer- ence to all items and for the full amount thereof. The funds derived from said tax levies hereby required shall be placed in a separate and distinct fund which, together with the interest collected on the same shall be irrevocably pledged for the payment of the principal of and interest on the Notes or the bonds in anticipation of which they are issued, when and as the same falls due; provided, however, that in each year to the extent that revenues are available from other sources for the payment of the Notes and bonds and are appropriated for such pur- pose, the amount of such direct tax upon all of the taxable property in the City shall be reduced by the amount of such revenues so available and appropriated. Section 8. It is hereby determined and recited that all acts, conditions and things necessary to be done precedent to and in the issuing of the Notes in order to make them legal, valid and binding obligations of the City of Lakewood, will have been done and performed in regular and due form as required by law; and that no limitation of indebtedness or taxation, either statutory or constitutional, will have been exceeded in the issuance of said Notes. -3-