1988-06-17 Resolution 6 - Laserfiche WebLink

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Notwithstanding any provision of this Section, if the Authority shall provide to the Trustee an opinion of nationally . recognized Bond counsel to the effect that any action required under this Section is no longer required, or to the effect that some further action is required, to maintain the exclusion from gross income of the interest on the Bonds pursuant to Section 103 of the Code, the Authority may rely conclusively on such opinion - in complying with the provisions hereof. Sec. 5.09. The Authority covenants that it will not guarantee, endorse or otherwise become surety for or upon the indebtedness of others except by endorsement of negotiable instruments for deposit or collection in the ordinary course of business, and that it will not sell its accounts receivable. Sec. 5.10. The Authority covenants that it will not acquire any property, real or personal, subject to wn existing mortgage or other encumbrance, except as permitted by Sec. 5.11. Sec. 5.11. The Authority covenants that it will not incur any indebtedness other than the Bonds secured by this Agreement unless either the building referred. to in the Lease cannot be completed without unreasonable delay which would threaten a default in the payment of principal or interest on the Bonds without such additional indebtedness, and such additional indebtedness is payable only from the Operation and Reserve Fund (to the extent that such Fund is not needed to pay necessary incidental expenses of the Authority) and from property and • income of the Authority remaining or received after all Bonds authorized herein have become due and payable and sufficient funds have been provided to pay all principal and interest due on such Bonds and all fees of the Trustee then due and payable, or such additional indebtedness is payable solely from income of the Authority other than the rental payments provided for in the Lease as long as any of the Bonds are outstanding. This section shall not be. construed to prohibit the issuance of refunding Bonds and the pledging of lease rentals to be received after the redemption of the Bonds. Sec. 5.12. The Authority covenants that the proceeds of the Bonds shall be used for the following purposes: (First) The payment of the balance, if any, of the purchase price of the real estate herein specifically described; (Second) The payment of the cost of construction of a parking garage building on said real estate in accordance with the provisions of Sec. 5.13 hereof.. The cost of erection shall include but not be limited to the items set forth in Sec. 3.01 hereof. i. (Third) Any balance in excess of one hundred fifty percent (150%) of the amount of any disputed claims of contractors and work to be repaired remaining after the completion of such building in accordance -23-