47-93 Real Estate Acquisition Bonds $2,100,000

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maturity with provision, if requested by the original purchaser, that, in the event of default, the same shall bear interest at a rate not exceeding the maximum interest rate of eight per centum (8%) per annum until the principal sum is paid; shall be dated their date of issuance and shall mature one year from such date; shall be subject to redemption in whole or in part by the City at any time prior to maturity; and shall be payable as to both principal and interest at the offices of the Fiscal Officer of the City, or at banks or trust companies, as determined by the Fiscal Officer, without deduction for exchange, collection or service charge. "Fiscal Officer" as used in this ordinance means the City's Director of Finance, Assistant Director of Finance or Director of Public Works. Section 4. The Notes shall set forth the purpose for which they are issued; shall state .that they are issued pursuant to this ordinance; shall be issued in such numbers and denominations as may be requested by the original purchaser; and shall be executed by the Mayor and Fiscal Officer, provided that one of such signatures may be a facsimile signature. Section 5. The Notes shall be sold at not less than the par value thereof by the Fiscal Officer to the Treasury Investment Account of the City established hereby pursuant to general law at an interest rate not exceeding that specified in Section 3 of this ordinance. The Director of Law shall obtain the services of qualified bond counsel and his selection of Calfee, Halter & Griswold, Bond Attorneys, Cleveland, Ohio, is hereby confirmed, approved and ratified. The Fiscal Officer is hereby authorized and directed to deliver the Notes, when executed, to the original purchaser thereof upon payment of the purchase price. The proceeds of such sale shall be paid into the proper fund and used for the purpose for which the Notes are being issued under'the provisions. of this ordinance and to pay those costs set forth in Section 133.15(B), Ohio Revised Code, and any such costs which are future financing costs may be paid from the same sources from which the principal of and interest on the Notes are paid. Any premium and accrued interest shall be transferred to the Bond Retirement Fund to be applied to the payment of the principal of and interest on the Notes in the manner provided by law. The City covenants that it will restrict the use of the proceeds of the Notes in such manner and to such extent, if any, as may be necessary so that the Notes will not constitute arbitrage bonds under Section 148 of the Internal Revenue Code of 1986, as amended (the "Code"). The Fiscal Officer, or any other officer of the City having responsibility for the issuance of the Notes shall give an appropriate certificate of the City, for inclusion in the transcript of proceedings for the Notes, setting forth the reasonable expectations of the City regarding the amount and use of all the proceeds of the Notes, the facts, circumstances, and estimates on which they are based, and other facts, and circumstances relevant tO the tax treatment of interest on the Notes. The City covenants that it (a) will take or cause to be taken such actions which may be required of it for the interest on the Notes to be and remain excluded from gross income for federal income tax purposes, and (b) will not take or permit to be taken any actions which would adversely affect that exclusion, and that it, or persons acting for it, will, among other acts of compliance, (t) apply the proceeds of the Notes to the governmental purpose of the borrowing, (ii) restrict the yield on investment property acquired with those proceeds, (iii) make timely rebate payments tot he federal government, (iv) main- tain books and records and make calculations and reports, and (v) refrain from certain uses of proceeds, all in such manner and to the extent necessary to assure such exclusion of that interest under the Code. The Fiscal Officer and other appropriate officers are hereby authorized and directed to take any and all actions, make calculations and rebate payments, and make or give reports and certifications as may be appropriate to assure such exclusion of that 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 -2-