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Op**, 1*?
<br />`MLWI - 4 - "°
<br />The City further covenants (a) that it will take or cause to be taken
<br />siich actions that may be required of it for the interest on the Notes to be
<br />and remain excluded from gross income for federal income tax purposes, (b)
<br />that it will not take or authorize to be taken any actions that would
<br />adversely affect that exclusi.on, and (c) that it, or persons acting for it,
<br />will, among other acts of compliance, (i) apply the proceeds of the Notes to
<br />the governmental purposes of the borrowing, (ii) restrict the yield on invest-
<br />ment property, (iii) make timely and adequate payments to the federal govern-
<br />ment, (iv) maintain books and records arid make calculations and reports, and
<br />(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
<br />necessary to assure such exclusion of that interest under the Code.
<br />The Director of Finance, as the fiscal officer, or any other officer
<br />of the City having responsibility for issuance of the Notes is hereby autho-
<br />rized (a) to make or effect any election, selection, designation, choice,
<br />consent, approval, or waiver on behalf of the City with respect to the Alotes
<br />as tile City is permitted or required to make or give under the federal income
<br />tax laws, for the purpose of assuring, enhancing or protecting favorable tax
<br />treatment or status of the Notes or interest thereon or assisting compliance
<br />witti requirements for that purpose, reducing the burden or expense of such
<br />compliance, reducing the rebate amount or payments of penalties, or making
<br />payments of special amounts in lieu of making computations to determine, or
<br />paying, excess earnings as rebate, or obviating those amounts or payments, as
<br />determined by that officer, which action shall be in writing and signed by the
<br />officer, (b) to take any and all other actions, make or obtain calculations,
<br />make payments, and make or give reports, covenants and certifications of and
<br />on belialf of the City, as may be appropriate to assure the exclusion of
<br />interest from gross income and the intended tax status of the Notes, and (c)
<br />to give one or more appropriate certificates of the City, for inclusion in the
<br />transcript of proceedings for the Notes, setting forth the reasonable expecta-
<br />tions of the City regarding the amount and use of all the proceeds of the
<br />Alotes, the facts, circumstances and estimates on which they are based, and
<br />other facts and circumstances relevant to the tax treatment of the interest on
<br />and the tax status of the Notes.
<br />Each covenant made in this Section with respect to the Notes is also
<br />made with respect to all issues any portion of the debt service on which is
<br />paid from proceeds of the Notes (and, if different, the original issue and any
<br />re€unding issues in a series of refundings), to the extent such compliance is
<br />necessary to assure exclusion of interest on the Notes from gross income for
<br />federal income tax purposes, and the officers identified above are authorized
<br />to take actions with respect to those issues as they are authorized in this
<br />Section to take with respect to the NoCes.
<br />The City tiereby represenY.s that the 1989 Notes are treated as
<br />"qualified tax-exempt obligations" pursuant to Section 265(b)(3) of the Code.
<br />The City hereby covenants that it will redeem the 1989 Notes from proceeds of,
<br />and wiY.hin 90 days after issuance of, the Notes, and represents that all other
<br />condi.t.ions are met for treating the Notes as "qualified tax-exempt obliga-
<br />tions" and as not to be taken into account under subparagraph (D) of Section
<br />265(b)(3) of the Code, without necessity fvr further designation, by reason of
<br />subparagraph (D)(ii) of Section 265(b)(3) of the Code. Further, the City
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