11-14-01 2. LOAN AGREEMENT - Laserfiche WebLink

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in whole or in part by the Borrower or the Sole Member or otherwise have any common or pooled security for the payment of debt service thereon with the Series 2001 Tax-Exempt Bonds. (p) The Borrower will not take any action or omit to take any action with respect to the gross proceeds of the Series 2001 Tax-Exempt Bonds or with respect to any amounts expected to be used to pay the principal thereof or the principal thereon, which if taken or omitted,would cause any of the Series 2001 Tax-Exempt Bonds to be classified as an "arbitrage bond" within the meaning of Section 148 of the Code. (q) The Borrower will not,at any time prior to the final payment of all Series 2001 Tax- Exempt Bonds, direct or permit the Trustee to invest the gross proceeds of the Series 2001 Tax-Exempt Bonds in any investment property(nor will the Borrower use gross proceeds to replace any amounts so invested) if as a result of such investment the yield of all investments acquired with gross proceeds (or funds replaced thereby)exceeds the yield of the Series 2001 Tax-Exempt Bonds to stated maturity, except as otherwise permitted by the Arbitrage Certificate delivered in connection with the issuance of the Series 2001 Tax-Exempt Bonds. (r) The Borrower will immediately remit to the Trustee,at such time as required by the Trustee for deposit into the Rebate Fund,any amount required to be rebated to the Internal Revenue Service pursuant to the provisions of Section 148 of the Code and this Agreement. (s) The Series 2001 Tax-Exempt Bonds are not subject to any federal guaranty within the meaning of Section 149 of the Code,other than as specifically permitted under such Section. (t) The Borrower will provide to Bond Counsel for the Series 2001 Tax-Exempt Bonds all information required to satisfy the informational requirements set forth in Section 149(e)of the Code,including the information necessary to complete Form 8038 of the Internal Revenue Service. (u) The Borrower reasonably expects that at least 85%of the spendable proceeds of the Series 2001 Tax-Exempt Bonds will be used to carry out the governmental purpose of the issue within three years of the date the Series 2001 Tax-Exempt Bonds are issued. Not more than 50%of the proceeds of the Series 2001 Tax-Exempt Bonds will be invested in nonpurpose investments(as defined in Section 148(f)(6)(A)of the Code)having a substantially guaranteed yield for four years or more. (v) The Borrower will not enter into any "management agreement" (as defined in Revenue Procedure 97-13) in violation of such Revenue Procedure, except to the extent the Trustee receives an opinion of Bond Counsel to the effect that nonobservance of this representation will not cause interest on any Series 2001 Tax- Exempt Bonds to be included in gross income for federal income tax purposes. (w) Project Costs to be financed by the Series 2001 Tax-Exempt Bonds were paid or incurred no earlier than 60 days prior to the adoption of"official intent" or are -16-