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are outstanding in an amount sufficient to pay the debt charges on the Bonds when due, which tax
<br />shall not be less than the interest and sinking fund tax required by Section l 1 of Article XII of the
<br />Ohio Constitution. The tax shall be within the 11.1-mill limitation provided by the City Charter,
<br />shall be and is ordered computed, certified, levied and extended upon the tax duplicate and collected
<br />by the same officers, in the same manner and at the same time that taxes for general purposes for
<br />each of those years are certified, levied, extended and collected, and shall be placed before and in
<br />preference to all other items and for the full amount thereof. The proceeds of the tax levy shall be
<br />placed in the Bond Retirement Fund, whicb is irrevocably pledged for the payment of the debt
<br />charges on the Bonds when and as the same fall due.
<br />Section 8. Federal Tax Considerations. The City covenants that it will use, and will
<br />restrict the use and investment of the proceeds of tlie Bonds in such manner and to such extent as
<br />may be necessary so that (a) the Bonds will not (i) constitute private activity bonds, arbitrage bonds
<br />or hedge bonds under Sections 141, 148 or 149 of the Code or (ii) be treated other than as bonds to
<br />which Section 103 of the Code applies, and (b) the interest thereon will not be an item of tax
<br />preference under Section 57 ofthe Code.
<br />The City further covenants that (a) it will take or cause to be taken such actions that
<br />may be required of it for the interest on the Bonds to be and to remain excluded from gross income
<br />for federal income tax purposes, and (b) it will not take or authorize to be taken any actions that
<br />would adversely affect that exclusion, and (c) it, or persons acting for it, will, among other acts of
<br />compliance, (i) apply the proceeds of the Bonds to the governmental purpose of the borrowing, (u)
<br />restrict the yield on investment property acquired with those proceeds, (iu) make timely and
<br />adequate payments to the federal government, (iv) maintain books and records and make
<br />calculations and reports, and (v) refrain from certain uses of those proceeds, and, as applicable, of
<br />property financed with such proceeds, all in such manner and to the extent necessary to assure such
<br />exclusion of that interest under the Code.
<br />The Director of Finance, as the fiscal officer, or any other officer of the City having
<br />responsibility for issuance of the Bonds is hereby authorized (a) to make or effect any election,
<br />selection, designation, choice, consent, approval, or waiver on behalf of the City with respect to the
<br />Bonds as the City is permitted or required to make or give under the federal income tax laws,
<br />including, without limitation, any of the elections available under Section 148 of the Code, for the
<br />purpose of assuring, enhancing or protecting favorable tax treatment or status of the Bonds or
<br />interest thereon or assisting compliance with requirements far that purpose, reducing the burden or
<br />expense of such compliance, reducing the rebate amount or payments or penalties, or making
<br />payments of special amounts in lieu of making computations to determine, ar paying, excess
<br />earnings as rebate, or obviating those amounts or payments, as deterrnined by that officer, which
<br />action shall be in writing and signed by the officer, (b) to take any and all other actions, make or
<br />obtain calculations, make payments, and make or give reports, covenants and certifications of and
<br />on behalf of the City, as may be appropriate to assure the exclusion of interest from gross income
<br />and the intended tax status of the Bonds, and (c) to give one or more appropriate certificates of the
<br />City, for inclusion in the transcript of proceedings for the Bonds, setting forth the reasonable
<br />expectations of the City regarding the amount and use of all the proceeds of the Bonds, the facts,
<br />circumstances and estimates on which they are based, and other facts and circumstances relevant to
<br />the tax treatment or status of the Bonds and interest thereon.
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