1991-03-08 Resolution 36 - Laserfiche WebLink

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_2_ , 2991 • ~r,aterials relating to the &onds, and we express nn opinion relating thereto. Based upon the Loregoing, we are of the opinion, under existing taw, xs follows: 1, Tha Issuer is duly created and validly existing as e separate body eorporate and politic and as an instrumentality of the City of 6outh Bend, Indiana, with the power to enter into the Trust Agreement and the Lease d~ceribad below, perform the agz~eerr.ents on its part contained therein and issue the Bonds. 2. The lease between the Itscucr, as leeeor, and tha South Bend Reflevelapment Commission (the ''Commission"), as lessee dated as of August 1, 1990, as restated rind,araended on Deoembcr 21, 1990, and as further amended by .the Addendum to Lease between the Is~uar and thg Commission on January Z9, 1991 (the lease as so amended shall be xeferred tc her.en as the '°Lease"), has been duly entered into in accardanaa with the px'btrfsions or Yndiana Code 35- 7-14 (the ''Act") and is a valid and binding. Lease. All taxable property in the City of south Band Redevalopmant District (the "District°') is subject to ad valorem taxation without limitation as to rate or amount to pay tho Lease rental. .The Cornmicaian is required by the Act and the lease annually to levy and apprapxiate an amount sufficient to pay the Lease rtntalm commencing With the . date the Project (as defined in the Lease) is campiete and ready far use or February 1, 1994, whichever is later. ;, The Issuer has Buly authorized, sold, executed and delivered tha Bonds and has duly authorized and executed the Trust Rgregmant. The $onds are the valid and binding obligations o2 the yseuer secured by tha Trust Agronmant. 4. The interESt an the fonds is axcludQd from grass income for federal income tax purposes, and the Bonds arQ not "private activity bonds" under Secticn 141 of the Internal Revenues Code of 1986, as aTnanded {the "Code"}; however, it should be noted that wit*, respect to corporations (as defined for federal income tax purposes), interest orf the Bonds is taken into account in dc~tarYairr;.ng adjusted current earnings for the purpose of computing the alternative minimum tax imposed on such corporations. Further, the difference between the initial public offering price of the Bands dues on August i, 2007 through and including August 1, 2012 (the "Discount- Bands") and the amounts payable on the Diacount Bonds at maturity. is original issue discount which, in our .opinion, constitutes interest that is excludable pursuant to section 103 of the Code from gross income for federal income tax purposes, conditioned upon camplzance with c8rtain covenants described herein. •