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<br />the best irrterest of the City, to combine the issue of Notes wrth one or more other note issues of the
<br />City itrto a consolidated note issue pursuazrt to Section 133.30(B) of the Revised Code; provided
<br />that, if the aggregate principal amount of the consolidated issue is $1,040,000 or more, no note of
<br />that issue sha11 be issued in a denomination less than $100,000 or be exchangeable for other notes in
<br />denominations less than $100,000.
<br />Section 7. The proceeds from the sale of the Notes, except any premium and accrued
<br />irrterest, sha11 be paid irrto the proper fund or funds and those proceeds are appropriated and sha11 be
<br />used for the purpose for which the Notes are being issued. The expenditure of those proceeds for
<br />the putpose set farth in Section 1, including, without limitation, for financing costs as defined in
<br />Section 133.01 of the Revised Code, is hereby authorized and approved. Any portion of those
<br />proceeds representing premium and accrued itrterest shall be paid 'urto the Bond Retirement Fund.
<br />Section 8. The par value to be received from the sale of the Bonds ar of any renewal notes
<br />and any excess funds resulting from the issuance of the Notes sha11, to the extent necessary, be used
<br />to pay the delrt charges on the Notes at maturity and are pledged for that purpose.
<br />Section 9. During the year or years in which the Notes are outstanding, there sha11 be levied
<br />on a11 the taxable property in the City, in addition to all other taxes, the same tax that would have
<br />been levied if the Bonds had been issued without the prior issuance of the Notes. The tax shall be
<br />within the 11.1-mill limitation provided by the Charter of the City, sha11 be and is ordered
<br />computed, certified, levied and extended upon the taX duplicate and collected by the same officers,
<br />in the same manner, and at the same time that taxes for general purposes for each of those years are
<br />certified, levied, eartended and collected, and sha11 be placed before and in preference to all other
<br />items and for the full amount thereof. The proceeds of the tax levy shall be placed in the Bond
<br />Retiremerrt Fund, which is irrevocably pledged for the paymem of the debt charges on the Notes or
<br />the Bonds when and as the same fall due.
<br />Section 10. The City covena.nts that it will use, and will restrict the use and investment of,
<br />the proceeds of the Notes in such manner and to such exterrt as may be necessary so that (a) the
<br />Notes will not (i) constitute private activity bonds, arbitrage bonds or hedge bonds under Section
<br />141, 148 or 149 of the Irnernal Revenue Code of 1986, as amended (the Code), or (ii) be treated
<br />other than as bonds to which Section 103(a) of the Code applies, and (b) the interest on the Notes
<br />will not be an item of tax preference under Section 57 of the Code.
<br />The City further covenants tha.t (a) it will take or cause to be taken such actions that may be
<br />required of it for the interest on the Notes to be and remain excluded from gross income for federal
<br />income tax purposes, (b) it will not take or authorize to be taken any actions that would adversely
<br />affect that exclusion, and (c) it, or persons acting for it, will, among other acts of compliance, (i)
<br />apply the proceeds of the Notes to the governmental pwposes of the borrowing, (ii) restrict the yield
<br />on investmetrt property, (iii) make timely and adequate paymerrts to the federal government, (iv)
<br />maintain books and records and make calculations and reports, and (v) refrain from certain uses of
<br />those proceeds and, as applicable, of property financed with such proceeds, a11 in such manner and
<br />to the extent necessary to assure such exclusion of tha.t interest under the Code.
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