80A - JOINT - LOAN AGMT AMCAL - Laserfiche WebLink

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The Partnership shall not make, or receive and retain, any distribution of assets or any income of any kind of the project except surplus cash and except on the following conditions: (1) All distributions shall be made only as of and after the end of a semiannual or annual fiscal period; (2) No distribution shall be made from borrowed funds, prior to the completion of the project or when there is any default under this Agreement or under the note or mortgage; (3) Any distribution of any funds of the project, which the party receiving such funds is not entitled to retain hereunder, shall be held in trust separate and apart from any other funds; and (4) There shall have been compliance with all outstanding notices of requirements for proper maintenance of the project. 7.1.2. "Income ", "gains ", "losses ", "deductions ", and "credits" are the Partnership's income, gains, losses, deductions and credits, respectively, as finally determined for federal income tax purposes; provided, however, that in making the allocations of such items for purposes of capital account adjustments, the adjustments required by Treasury Regulations Section 1,704- 1(b)(2)(iv)(g) shall be taken into account. 7.1.3. The "Accounting Period" of the Partnership will be each period commencing on the first day following the last day of the immediately preceding Accounting Period (which for the Partnership's first fiscal year shall be deemed to be the date of the commencement of the Partnership) and ending on December 31 (which shall also be the Partnership's fiscal year end). 7.1.4 "Minimum Gain" shall mean the taxable gain (whether taxable as capital gain or as ordinary income), which would be recognized by the Partnership if the nonrecourse debt of the Partnership were foreclosed upon and the Partnership's property securing such debt were transferred to the creditor in satisfaction thereof, but only to the extent of the excess of (a) t:he outstanding principal balance of such nonrecourse debt plus any accrued but unpaid interest thereon (whether or not added to principal) to the extent permitted by law, over (b) the adjusted basis of such property. 7.1.5. "Invested Capital" shall be the amount of capital contributed or deemed contributed to the Partnership by the Limited Partners pursuant to Paragraph 6.1 (entitled "Initial Capital). initial Le Agreement - Santa Ana 9.1.159.1,15 80A -103