1985-61 CRA - Laserfiche WebLink

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. . I . . Certified Public Accountant appointed by the Agency, and will furnish a copy of the statement or statements to the Fiscal Agent, and any rating agency which maintains a rating on the Bonds, and, upon written request, to any Bondholder. Covenant 7. Eminent Domain Proceeds. The.Agency covenants and agrees that if all or any part of the. . Redevelopment Project Area should be taken from it wi~hout its consent, by eminent domain proceedings or other proceedings authorized by law, for any public or other use under which the property will be tax exempt, it shall take all steps necessary to adjust accordingly the base roll of the Project Area. Covenant 8. Disposition of Property. The Agency covenants and agrees that it will not dispose of more than ten percent (10%) of the land area within the Site (except property shown in the Redevelopment Plan in effect on the date this Resolution is adopted as planned for public use, or property to be used for public streets, public off street parking, sewage facilities, parks, easements or right-of-way for public utilities, or other similar uses) to public bodies or other persons or entities whose property is tax exempt, unless such disposition will not result in the security of the Bonds or the rights of Bondholders being substantially impaired, as shown by an Opinion of Counsel, based upon the certificate or opinion of an Independent Financial Consultant appointed by the Agency. Covenant 9. Protection of Security and Rights of Bondholders; No Arbitrage. The Agency covenants and agrees to preserve and protect the security of the Bonds and the rights of the Bondholders and to contest by court action or otherwise (a) the assertion by any officer of any government unit or any other person whatsoever against the Agency that (i) the Law is unconstitutional or (ii) that the Pledged Revenues pledged hereunder cannot be paid to the Agency for the debt service on the Bonds, or (b) any other action affecting the validity of the Bonds or diluting the security therefor, or (c) any assertion by the United States of America or any department or agency thereof or any other person that the interest received by the Bondholders is taxable under federal income tax laws by reason of any action of the Agency. The Agency covenants and agrees to take no action which, in the Opinion of Counsel, would result in (a) the Pledged Revenues being withheld unless the withholding is being contested in good faith, and (b) the interest received by the Bondholders becoming taxable under federal income tax laws. The Agency covenants and agrees that it will make no use of the proceeds of the Bonds at any time during the term thereof which will cause the Bonds to be "arbitrage bonds" within the meaning of Section 103(c) or "consumer loan bonds" within the meaning of Section 103(0) of the United States Internal Revenue Code of 1954, as amended, 12-28-85 0063k/2281/05 -31-