6094 PROVIDING FOR BORROWING MONEY AND AUTHORIZING THE ISSUANCE OF $6,400,000 SURFACE WATER DRAINAGE SYSTEM BONDS, SERIES OF 1975

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, . ' - . 17 (1) The City expects to incur within six months of the delivery of the bonds herein authorized substantial binding obligations with respect to the improvements for v�ich the bonds herein authorized are proposed to be issued, and in an amount not less than 2-1/2� of the estimated total cost of the pxoposed ia�provements; (2) Oue� S5� of the spendable proceeds of the bonds herein authoriaed, including earn3ngs thereon, will be expended on or before June 30, 19'78, foY the purpose of paying the cost of making the necessary improvements as herein provided far, and such date being within three (3) years following the date of issue of the bonds herei.n authoYized; (3) Work on the canstruction of said i,aprovements as heYein provided for i� expected to proceed raith due diligence to co�pletian; (4) All of the principal proceeds of the t�onds herein authoriaed are needed for the puxpose of paying the cost of constructing the necessary improvements, as herein provided for, including expenses incidental thereto and to the issuance of the bonds herei.n authoYized; and (5) To the best of the knowledge and belief of th� Council, there a�re no facts, estimates or circumstances that would matexially change the conclusions and represen- tations set forth in this sect ion. The Council of said City ftirther covenants anc] agrees with I the purchaser and holders of the bonds herein authorized that so long as any of said bonds remain outstanding, the said City of Decatur and any of its officers will take no action in the investment of funds �ich may be to the credit of the F�nd hereinabove provided for in this section, �ich action would result in making the interest payable on any of said bonds herein authorized subject to federal income ta3ces by reason of said bonds being classifi.ed as "arbitrage bonds" within the