21-3230 - Bond Issuance - Series 2021

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is hereby authorized to be issued under and secured by the Bond Ordinance, the Bond Resolution and this Series 2021 Resolution, in the principal amount of $6,000,000 for the purpose of providing funds to pay the costs of the Series 2021 Project and to pay the costs of issuing the Series 2021 Bond. The Series 2021 Bond shall be substantially in the form set forth herein and is hereby approved, with such changes therein as shall be approved by any of the authorized officers executing the same, with such execution to constitute conclusive evidence of such officer's approval and the City's approval of any changes therein from the form set forth herein. The City shall pay interest upon the unpaid principal balance of the Series 2021 Bond at the Interest Rate, subject to adjustment as provided herein. Interest shall be due and payable semi- annually on each February 1 and August 1 commencing February 1, 2022 and shall be calculated based upon a 365 actual day basis. Principal of and interest on the Series 2021 Bond shall be payable from, and secured by, the Ad Valorem Taxes. The Series 2021 Bond is not subject to optional prepayment by the City. In any case in which interest is due or the maturity date of the Series 2021 Bond shall be other than a Business Day, then payment of interest or principal need not be made on such date but may be made on the next succeeding Business Day, with the same force and effect as if made on the due date, and no interest on such payment shall accrue for the period after such due date if payment is made on such next succeeding Business Day. Except as otherwise provided herein, upon the occurrence of an Event of Taxability and for as long as this Series 2021 Bond remains outstanding, the Interest Rate on this Series 2021 Bond shall be converted to the Taxable Rate and this adjustment shall survive payment on this Series 2021 Bond until such time as the federal statute of limitations under which the interest on the Series 2021 Bond could be declared taxable under the Code shall have expired. In addition, if the interest payable on the Series 2021 Bond becomes taxable due to any act or omission of the City, the interest rate payable on the Series 2021 Bond will increase retroactively from the date on which interest on the Series 2021 Bond is first includable in gross income of the owner thereof (which may be as early as the issuance date) to a taxable equivalent rate and pay the Bank penalties on overdue interest and additions to tax, if any. In addition, upon an Event of Taxability, the City shall, immediately upon demand, pay to the Purchaser (or prior holders, if applicable) (i) an additional amount equal to the difference between (A) the amount of interest actually paid on the Series 2021 Bond during the Taxable Period and (B) the amount of interest that would have been paid during the Taxable Period had the Series 2021 Bond borne interest at the Taxable Rate, and (ii) an amount equal to any interest, penalties and additions to tax (as referred to in Subchapter A of Chapter 68 of the Code) owed by the Purchaser as a result of the Event of Taxability (the "Additional Amount"). The Owner shall promptly notify the City in writing of any adjustments pursuant hereto. Such adjustments shall become effective as of the effective date of the event causing such adjustment. Adjustments pursuant hereto may be retroactive. The Owner shall provide to the City in writing the Additional Amount, if any, due to such Owner as a result of an adjustment pursuant hereto. Notwithstanding any provision hereto the contrary, in no event shall the interest rate on the Series 2021 Bond exceed the maximum rate permitted by law. 5