04-08-13 Agenda & Packet - Laserfiche WebLink

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modifications and amendments. Notwithstanding anything contained in the foregoing provisions of this Ordinance, the rights and obligations of the City and of the owners of the 2013A Bonds, and the terms and provisions of the 2013A Bonds and this Ordinance, or any supplemental ordinance, may be modified or altered in any respect with the consent of the City and the consent of the owners of all the 2013A Bonds then outstanding. SECTION 23. Amendments Without Consent of Bondholders. Without notice to or consent of the owners of the 2013A Bonds, the City may, from time to time and at any time, adopt such ordinances supplemental hereto as shall not be inconsistent with the terms and provisions hereof (which supplemental ordinances shall thereafter form a part hereof), (a) to cure any ambiguity or formal defect or omission in this Ordinance or in any supplemental ordinance; or (b) to grant to or confer upon the owners of the 2013A Bonds any additional rights, remedies, powers, authority or security that may lawfully be granted to or conferred upon the owners of the 2013A Bonds; or (c) to procure a rating on the 2013A Bonds from a nationally recognized securities rating agency designated in such supplemental ordinance, if such supplemental ordinance will not adversely affect the owners of the 2013A Bonds; or (d) to make any other change which is not to the prejudice of the owners of the 2013A Bonds; or (e) to provide for the refunding or advance refunding of the 2013A Bonds. SECTION 24. Tax Matters. In order to preserve the exclusion of interest on the 2013A Bonds from gross income for federal income tax purposes and as an inducement to purchasers of the 2013A Bonds, the City represents, covenants and agrees that: (a) No person or entity, other than the City or another state or local governmental unit, will use proceeds of the 2013A Bonds or property financed by the 2013A Bond proceeds other than as a member of the general public. No person or entity other than the City or another state or local governmental unit will own property financed by 2013A Bond proceeds or will have actual or beneficial use of such property pursuant to a lease, a management or incentive payment contract, an arrangement such as take -or -pay or output contract, or any other type of arrangement that differentiates that person's or entity's use of such property from the use by the public at large. (b) No 2013A Bond proceeds will be loaned to any entity or person other than a state or local governmental unit. No 2013A Bond proceeds will be transferred, directly or indirectly, or deemed transferred to a non - governmental person in any manner that would in substance constitute a loan of the 2013A Bond proceeds. (c) The City will not take any action or fail to take any action with respect to the 2013A Bonds that would result in the loss of the exclusion from gross income for federal income tax purposes of interest on the 2013A Bonds pursuant to Section 103 of the Code, and -19-