2001-049-ORD AUTHORIZING ISSUANCE, SALE AND DELIVERY OF COP TAX ADN REVENUE REFUNDING BONDS SERIES 2001

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(d) to refrain from taking any action which would otherwise result in the Bonds being treated as "private activity bonds" within the meaning of Section 141(b) of the Code; (e) to refrain from taking any action that would result in the Bonds being "federally guaranteed" within the meaning of Section 149(b) of the Code; (I) to refrain from using any portion of the proceeds of the Bonds, directly or indirectly, to acquire or to replace funds which were used, directly or indirectly, to acquire investment propeny (as defmed in Section 148(b)(2) of the Code) which produces a materially higher yield over the term of the Bonds, other than investment propeny acquired with - (I) proceeds of the Bonds invested for a reasonable temporary period of 3 years or less or, in the case of a refunding bond, for a period 000 days or less until such proceeds are needed for the purpose for which the Bonds are issued, (2) amounts invested in a bona fide debt service fund, within the meaning of Section 1.148- I (b) of the Treasury Regulations, and (3) amounts deposiled in any reasonably required reserve or replacement fund to the extenl such amounts do nol exceed 10 percent of the proceeds of the Bonds; (g) to otherwise restrict the use ofthe proceeds of the Bonds or amounls trealed as proceeds of the Bonds, as may be necessary, so that the Bonds do not otherwise contravene the requirements of Section 148 of Ihe Code (relating to arbitrage) and, to the exlent applicable, Section 149(d) of the Code (relating to advance refundings); and (h) to pay to the United States of America at least once during each five-year period (beginning on the date of delivery of the Bonds) an amounl that is at least equal to 90 percent of the "Excess Earnings," within the meaning of Section 148(1) of the Code and to pay 10 the Uniled States of America, not later than 60 days after the Bonds have been paid in full, 100 percent of the amount then required to be paid as a result of Excess Earnings under Section 148(1) of the Code. The Issuer understands that the term "proceeds" includes "disposition proceeds" as defmed in the Treasury Regulations and, in the case of refunding bonds, transferred proceeds (if any) and proceeds of the Refunded Bonds expended prior to the date of issuance of the Bonds. It is the understanding of the Issuer that the covenants contained herein are intended to assure compliance with the Code and any regulations or rulings promulgated by the U.S. Department of the Treasury pursuant thereto. In the event thaI regulations or rulings are hereafter promulgated which modify or expand provisions of the Code, as applicable to the Bonds, the Issuer will not be required to comply with any covenanl contained herein to the exlent that such failure 10 comply, in the opinion of nationally-recognized bond counsel, will not adversely affecl the exemption from federal income taxation of interesl on the Bonds under Section 103 of the Code. In the event that regulalions or rulings are hereafter promulgated which impose additional requirements which are applicable to the Bonds, the Issuer agrees to comply with the additional requirements to the exlent necessary, in Ihe opinion of nationally-recognized bond counsel, to preserve the exemption from federal income taxation of interest on the Bonds under Section 103 of the Code. In furtherance of such intention, the Issuer hereby authorizes and direcls the Mayor of the Issuer to execute any documents, certificales or reports required by 21