21-3283 - Series 2021 Capital Improvement Bond - Police Station - Sterling National Bank

Home Browse Search

diligently complete such curative action; provided further, however, that in no event shall the cure period exceed sixty (60) days; or (d) any representation or warranty made in writing by or on behalf of the City in this Resolution or the Series 2021 Bond shall prove to have been false or incorrect in any material respect on the date made or reaffirmed; or (e) the City admits in writing its inability to pay its debts generally as they become due, or files a petition in bankruptcy or makes an assignment for the benefit of its creditors, declares a financial emergency or consents to the appointment of a receiver or trustee for itself or shall file a petition or answer seeking reorganization or any arrangement under the federal bankruptcy laws or any other applicable law or statute of the United States of America or any state thereof or the involuntary appointment of a receiver or trustee for the City, where such event continues for at least sixty (60) days undismissed or undischarged. "Event of Taxability" means the occurrence after the date hereof of a final decree or judgment of any Federal court or a final action of the Internal Revenue Service determining that interest paid or payable on all or a portion of any Series 2021 Bond is or was includable in the gross income of the Owner for Federal income tax purposes; provided, that no such decree, judgment, or action will be considered final for this purpose, however, unless the City has been given written notice and, if it is so desired and is legally allowed, has been afforded the opportunity at the City's own expense to contest the same, either directly or in the name of the Owner, and until the conclusion of any appellate review, if sought. An Event of Taxability does not include and is not triggered by a change in law by Congress that causes the interest to be includable under the Owner's orncc inrnme For all purposes of this definition the effective date of any Event of Taxability will be the first date as of which interest is deemed includable in the gross income of the Owner of the Series 2021 Bond. "Finance Director" means the Finance Director of the City or his or her designee. "Interest Rate" shall mean a per annum rate equal to 2.19%, prior to the occurrence of an Event of Taxability, and after an Event of Taxability shall mean the Taxable Rate. "Mayor" means the Mayor of the City or his or her designee. "Non -Ad Valorem Revenues" means all revenues of the City not derived from ad valorem taxation and which are lawfully available to be used to pay debt service on amounts due under the Series 2021 Bond as the same shall become due, all as more particularly set forth in Section 8 hereof. "Owner" or "Bondholder" means the Person or Persons in whose name or names the Series 2021 Bond shall be registered on the books of the City kept for that purpose in accordance with the provisions of this Resolution. "Person" means natural persons, firms, trusts, estates, associations, corporations, partnerships and public bodies. "Purchaser" means Sterling National Bank and its successors and assigns. 3