Orange County NC Website
Browse       Search
13. Resolutions as to Tax Matters - - The County will not take or omit to <br /> take any action the taking or omission of which will cause the Bonds to be " arbitrage <br /> bonds , " within the meaning of Section 148 of the " Code " ( as defined below) , or <br /> "private activity bonds " within the meaning of Code Section 141 , or otherwise cause <br /> interest on the Bonds to be includable in gross income for federal income tax <br /> purposes . Without limiting the generality of the foregoing, the County will comply <br /> with any Code provision that may require the County at any time to pay to the <br /> United States any part of the earnings derived from the investment of the proceeds <br /> of the Bonds , and the County will pay any such required rebate from its general <br /> funds . For this paragraph, " Code " means the United States Internal Revenue Code of <br /> 1986 , as amended, including applicable Treasury regulations . <br /> 14. Book-Entry System for Bond Registration - - The County will issue the <br /> Bonds by means of a book- entry system, with one bond certificate for each maturity <br /> immobilized at The Depository Trust Company, New York, New York ( " DTC " ) , and <br /> not available for distribution to the public . The book- entry system for registration <br /> will operate as described in the Official Statement . Therefore , so long as the book- <br /> entry system of registration with DTC is in effect, ( a) the County will make Bond <br /> payments only to DTC or its nominee as registered owner of the Bonds , (b ) the <br /> County will not be responsible or liable for any transfer of payments to parties other <br /> than DTC or for maintaining, supervising or reviewing the records maintained by <br /> DTC or any other person related to the Bonds , and ( c) the County will not send <br /> redemption notices ( or any other notices related to the Bonds ) to anyone other than <br /> DTC or its nominee . The Board, by resolution, may elect to discontinue the County' s <br /> book- entry system with DTC . The Board authorizes the Finance Officer to enter into <br /> any agreements that officer deems appropriate to put into place and carry out the <br /> book- entry system with DTC . <br /> 15. Finding as to Useful Life and Term of the Bonds - The Board finds <br /> and determines that the average weighted maximum useful life of the projects to be <br /> financed with the proceeds of the Bonds is at least twenty- five years , subject to <br /> ordinary maintenance for projects of this type , and therefore the term of the Bonds <br /> will be within that maximum useful life . <br /> 6 <br />