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defined in Chapter 133.01(GG), Ohio Revised Code. <br />Section 2. That the Director of Finance acting on behalf of the City is hereby authorized to <br />negotiate, enter into, execute, and deliver one or more Equipment Leases in the form <br />approved by the Director of Law. T'he Director of Finance is hereby authorized to negotiate, <br />enter into, execute, and deliver such other documents relating to the Equipment Leases <br />(including, but not I invited to, escrow agreements) as the Director of Finance deems necessary <br />and appropriate. All other related contracts and agreements necessary and incidental to the <br />Equipment Leases are hereby authorized. By a written insu•mnent signed by the Director of <br />Finance, the Director of Finance may designate specifically identified officers or employees <br />of the City to execute and deliver agreements and documents relating to the Equipment <br />Leases on behalf of the City. <br />Section 3. The aggregate original priucipatamountoftheEquipmentLeasesshallnotexceed <br />$3,500,000. The payments raider the Equipment Leases shall inctade interest at the rates <br />determined in accordance with KeyBank's proposal, but in no eveutto exceed an amoral rate <br />of 6%. The Equipment Leases shall be for the term or terms selected by the Director of <br />Finance, in accordmice with KeyBank's proposal, but in no event to exceed 10 years. The <br />Equipment Leases shall contain such options to purchase by the Ciry as set forth in <br />KeyBank's proposal and the Equipment Leases, and approved by the Director of Finance. <br />Section 4. The City's obligations uuder the Equipment Leases shall be subject to annual <br />appropriation or renewal by the City as set forth in each Equipment Lease and lire City's <br />obligations uuder the Equipmeut Leases shall not constihrte general obligations oftlre Ciry or <br />indebtedness under the Constitution or laws of the State. <br />Section S. This Com~cil intends that the interest component of the lease payment uuder the <br />Equipment Leases constitute tux-exempt interest for federal, state, and local tax purposes, to <br />the full extent permitted by federal and state law. <br />(a) In fiutherance ofthis intention, the City covenants that it will take those actions required <br />to maintain the tax-exempt status of that interest mtd will not take or permit to be taken <br />any actions that would adversely affect that tax-exempt status. Those action include <br />actions with respect to private activity use of the Leased Equipment, arbinrage and <br />arbitrage rebate, and infm'mation reporting. <br />(b) This Council designates the Equipmeut Leases as "qualified tax-exempt obligations" for <br />purposes of Section 26S(b)(3) of the huerual Revenue Code of 1986, as amended, <br />including as amended by the federal stinudus law-The American Recovery urd <br />Reinveshnent Act of 2009. <br />(c) This CouncilantieipatesthattheCitymaypaycertaincapitalexpendihuesiucomrection <br />with the Leased Property prior to the receipt of the lease purchase proceeds for the <br />Leased Property. This Council hereby declares the City's official intent to use the lease <br />purchase proceeds to reimburse itself for any such expenditures. This section of this <br />Ordinance is enacted for the purpose of establishing complimrce with the requirements <br />of Section L1S0-2 of the U.S. Treasury Regulations. This section of this Ordinance <br />does not bind the City to make any expenditure, incur' any indebtedness, m• proceed with <br />the purchase of the Leased Property. <br />Section 6. That the Clerk of Council is hereby directed to send certified copy of this <br />Ordinance to KeyBank, Mailcode: OH-Ol-27-1711, 127 Public Square, 17th Plom•, <br />Clevelmrd, OH 441 14, attn: Kevin P. Scott. <br />Section 7. AllfmmalactionsofthisCouncilrelatingtotheenachnentofthisOrdinancewere <br />