1990-12-17 Resolution 27 - Laserfiche WebLink

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. public accountants, covering the operations of the Authority to the completion of construction, and showing the receipts and disbursements for such period, and the assets and liabilities of the Authority at the expiration of such period. Such financial statements and reports shall be available at all reasonable times for the inspection of any Bondholder or his authorized agent. If the Authority shall fail to obtain and furnish such audit and report, the Trustee may, in its discretion, procure such audit and report, and pay for the same from the Operation and Reserve Fund, unless there are not sufficient funds in said Fund, in which case all moneys paid by the Trustee for such audit and report, together with interest thereon at the highest rate of interest on any of the Bonds when sold, whether or not then outstanding, shall be repaid by the Authority upon demand, and shall constitute an additional indebtedness of the Authority secured by the lien of this Agreement, prior and paramount to the lien hereunder of said Bonds and premium and interest thereon. The Trustee, however, shall not be obligated to obtain such audit and report unless fully indemnified against the expense thereof and furnished with means therefor. (d) On or before the expiration of ninety (90) days after the end of each calendar year, file with the Trustee a certificate signed by its President or Vice President, and its Secretary-Treasurer, stating that all taxes then due on the Project . have been duly paid (unless the Authority shall, in good faith, contest any of said taxes, in which event the facts concerning such contest shall be set forth); .also stating that all insurance premiums required by the terms of the Agreement to be paid by the Authority upon the Project have been duly paid. The Authority further covenants that all books, documents and vouchers relating to the properties, business and affairs of the Authority shall at all times be open to the inspection of such accountants or other agents as the Trustee may from time to time designate. Sec. 5.08. In order to preserve the exclusion of interest on the Bonds from gross income for federal income tax purposes and as an inducement to purchasers of the Bonds, the Authority represents, covenants and agrees that, to the extent necessary: (a) No person or entity or any combination thereof, other than the Authority or a governmental unit (other than the federal government) will use proceeds of the Bonds or property financed by said proceeds other than as a member of the general public. No person or entity or any combination thereof, other than the Authority or a governmental unit (other than the federal government) will own property financed by Bond proceeds or will • -21-