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7A Resolution 2009-036 Giving Preliminary Approval to the Proposed Issuance of Revenue Notes
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7A Resolution 2009-036 Giving Preliminary Approval to the Proposed Issuance of Revenue Notes
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11-30-09 Council Regular
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11-30-09 Council Regular
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�ollowing the p�blie hearin�, the.Council is,i-eqaesteri tn conszder the �nclosed.R�solution,; <br />whicii gives pr,e�ifriiriary approval fo the: issuance ot� the Notes fi�r the' purposes: described `�ierein. <br />1� ollowing:receipt af t��� approval :from D�EI.7; .the Council wil] be aslted at � fufui-e Cduncil meeting <br />to provide final appraval. to the issuanc� a� the Nates and agprove the farn�. o�' tl�e I�ofes and the <br />docurnents related to the.Notes. <br />If the Notes are autharized to be issued �y the Council, the I�Iotes 1�i11 be issued as cpnduit <br />revenu.e I?lotes secured solely by tlie revenues derjved .froxn tlae. Loan Agreen-�ent execu#eet �y the <br />Borrower.and from other. security �ro�ii�ed by t�ie Borrower. Th� Notes wiIl not eonstiiute a general <br />or ri-in'rai oEili�aiion. of the Ciry and �vill not be secuied. h}r ar payable froni any pioperry or assets of <br />th� City (other than the iin#erests af ti�e City in the Loan Agreement), and wil] not be secured by any <br />taxing.povver of:filie City..; The.1'�Totes ��i11 n�t be,subject to any de}�t limitation.in1posed on tlie City <br />anrl the is.suance of .ti�e Notes will not hav:e any �dv�rse impaet on the credit rat[ng o.f ihe Ci#y;. even <br />in the event th�t :t13e $onorver encouniers financial difficulf�es �r+ith respect tti #he facilities fo be <br />finaneed witli the �i�aceeds af tlle 1Votes. <br />Pursuant to the American Recovery and ReinvesfinenY Tax Act af. 20fi9, eao}i 501(c)(3) <br />orgatiization has the ahiliry. to designate. up to $30;ODp,ODO in tax-exempt bonds as "banfc qualified" <br />in tt�e calendar years. 2009 and �DIO. .Durix�g those same years, each municrpaiity has tli� Same <br />ability to..designate up to $30,QQQ;QO.O iri iax-exe�npt botids as "6ank qualified" Tl�us, tlte issuance <br />af.tlie Bonds will nat aclverseIy affect the ability of the Cityfo iss.ue banlc-qualifetl bonds ii� calendar <br />year 2009 or ?4I0 (if the issuance af tlie Bonds is deiayed ier�t[12D l Oj. <br />Flease cont�ct .me if you haue any questians:regarding the Notes or this fuiancing. <br />I{ENNEDY & GRAVEN,.CHt1RTERED <br />:�u1ie Ecidington. <br />���i �. <br />3�06�3,;� Ja�:aRzo�-� <br />
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