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<br />sh!,Jj be paid into the Bond Retirement Fund to be applied to the payment oÚhe principal and
<br />interest of the Notes in the manner provided by law,
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<br />The City covenants that it wiU restrict the use of the proceeds of the Notes in such
<br />manner and to such extent, if any, as may be necessary so that the Notes will not constitute
<br />arbitrage bonds under Section 148 of the Internal Revenue Code of 1986, as amended (the
<br />"Gode"). The: Fiscal Officer, as the fiscal officer, or any other officer of the City having
<br />responsibility for the issuance of the Notes shaJj give an appropriate celtificate of the City, for
<br />inclusion in the transcript of proceedings for the Notes, setting forth the reasonable expectations
<br />of the City regarding the amount and use of all the proceeds of the Notes, the facts,
<br />circumstances, and estimates on which they are based, and other facts and circwnstances relevant
<br />to the tax treatment of interest on the Notes
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<br />The City covenants that it (a) will take or cause to be taken such actions which
<br />m~y be required of it for the interest on the Notes to be and remain excluded from gross income
<br />fOt:, federal income tax purposes, and (b) will not take or permit to be taken any, actions which
<br />would adversely affect that exclusion, and that it, or persons acting for it, will, ¡among other acts
<br />of compliance, (i) apply the proceeds of the Notes to the governmental purpose of,the borrowing,
<br />(ii) restrict the yield on investment property acquired with those proceeds, (ììì) make timely
<br />rebate payments to the federal government, (iv) maintain books and records and make
<br />calculations and reports, and (v) refrain from certain uses of proceeds, all in such manner and to
<br />the extent necessary to assure such exclusion of that interest under the Code. Tht1. Fiscal Officer
<br />and other appropriate officers are hereby authorized and directed to take any apd all actions,
<br />make calculations and rebate payments, and make or give reports and certific.atiöns as may be
<br />appropriate to assure such exclusion of that interest. r
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<br />Section 7. The Notes shall be the fu11 general obligations' qf the City of
<br />Lakewood and the full faith and credit of said City are hereby pledged for the prompt payment of
<br />the same, The par value to be received from the sale of the bonds anticipated by the Notes and
<br />any excess funds resulting from the issuance of the Notes shall, to the extent n~cessary, be used
<br />only for the retirement of the Notes at maturity, together with the interest thereon; and is hereby
<br />pledged for such purpose,
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<br />J Section 8. During the year or years while the Notes run, there shall be levied on
<br />alk the taxable property in the City of Lakewood, in addition to all other taxes, a direct tax
<br />annuaHy not less than that which would have been levied if bonds had been issued without the
<br />prior issue of the Notes, Said tax shalj be and js hereby ordered computed, certified, levied and
<br />extended upon the tax duplicate and collected by the same officers, in the sariJ.e manner and at
<br />the same time that taxes for general purposes of each of said years are certified, extended and
<br />conected. Said tax shall be placed before and in preference to an items and for the fun amonnt
<br />thëreof. The funds derived from said tax levies hereby required shall be placed' in a separate and
<br />distinct fund which, together with the interest collected on the same shall be irr~vöcably pledged
<br />for the payment of the principal of and interest on the Notes or the bonds in antibpation of which
<br />they are issued, when and as the same falls due; provided, however, that in each year to the
<br />ext~nt that revenues are available from other sources for the payment of the Notes ¡and bonds and
<br />ar¢appropriated for such purpose, the amount of such direct tax upon a11 of the taxable property
<br />in the City shall be reduced by the amount of such revenues so available and appropriated.
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<br />Section 9, It is hereby determined and recited that a11 acts, conditions and things
<br />neçessary to be done precedent to and in the issuing of the Notes in order to make them legal,
<br />valid and bjnding obHgations of the City of Lakewood, wiH have been done and perfonned in
<br />regular and due fonn as required by law; and that no limitation of indebtedness or taxation, either
<br />statutory or constitutional, will have been exceeded in the issuance of said Notes.
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<br />Section 10, The Clerk of Council is hereby directed to forward a cèrtified copy of
<br />this ordinance to the County Auditor
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<br />Section 11 It is found and determined that aU fonnaj action¡ <if this Councn
<br />concerning and relating to the passage of this ordinance were passed in an open meeting of this
<br />Ccíimcil, and that all such deliberations of this CounCil and any of its committees that resulted in
<br />such fonnal action, were in meetings open to the public, in compHance wjth all legal
<br />requirements including the City's Charter and Codified Ordinances,
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<br />{KLF3008.DOC;1}
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