1989 040 Ordinance - Laserfiche WebLink

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ORDINANCE N0. 89- 40 PAGE FOUR responsibility for the issuance of the Notes shall give an appropriate certif- icate of the Village, for inclusion in the transcript of proceedings for the Notes, setting forth the reasonable expectations of the Village 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 the interest on the Notes. The Village further covenants that it (a) will take or cause to be taken such actions that 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 authorize to be taken any actions that would adversely affect that exclusion, and that it, or persons acting for it, will, among other acts of compliance, (i) apply the proceeds of the Notes to the govern- mental purpose of the borrowing, (ii) restrict the yield on investment proper- ty acquired with those proceeds, (iii) make timely rebate payments to the federal government, (iv) maintain books and records and make calculations and reports, and (v) refrain from certain uses of those proceeds, all in such manner and to the extent necessary to assure such exclusion of that interest under the Code. The Director of Finance and other appropriate officers are authorized and directed to take any and all actions, make calculations and rebate payments, and make or give reports and certifications, as may be appro- priate to assure such exclusion of that interest. The Village hereUy represents that the Village's $450,000 Water P9ain Construction Notes, dated November 15, 1988, and maturing on November 15, 1989 (the Refunded Obligations) were designated as "qualified tax-exempt obliga- tions" pursuant to Section 265(b)(3) of the Code. The Village hereby cove- nants that it will redeem the Refunded Obligations from proceeds of, and with- in 90 days after issuance of, the Notes and represents that all other condi- tions are met for treating the Notes as "qualified tax-exempt obligations" and as not to be taken into account under subparagraph (D) of Section 265(b)(3) of the Code, without necessity for further designation, by reason of subparagraph (D)(ii) of Section 265(b)(3) of the Code. Further, the Village represents and covenants that, during any time or in any manner as might affect the treatment of the Notes as "qualified tax-exempt obligations", it has not formed or par- ticipated in the formation of, or benefited from or availed itself of., any entity in order to avoid the purposes of subparagraph (C) or (D) of Section 265(b)(3) of the Code, and will not form, participate in the formation of, or benefit from or avail itself of, any such entity. The Village further repre- sents that the Notes are not being issued as part of a direct or indirect composite issue that combines issues or lots of tax-exempt obligations of different issuers. Section 11. The Clerk of the Council is directed to forward a certi- fied copy of this ordinance to the County Auditor. Section 12. This Council determines that all acts and conditions iiecessary to be done or performed by the Village or to have been met precedent to and in the issuing of the Notes in order to make them legal, valid and binding general obligations of the Village have been performed and have been met, or will at the time of delivery of the Notes have been performed and have