Arbitrage Certificate Clause Samples
An Arbitrage Certificate is a document used to certify compliance with federal tax regulations regarding arbitrage on tax-exempt bonds. It typically requires the issuer to confirm that bond proceeds have not been used to earn a higher yield than the interest paid on the bonds, except as permitted by law. By providing this certification, the issuer helps ensure the bonds maintain their tax-exempt status and avoids penalties or loss of tax benefits due to improper arbitrage activities.
Arbitrage Certificate. The authorized representative of Lessee who executes this Addendum hereby certifies that helshe is the duly qualified and acting representative of Lessee with the title set forth below his/her signature hereon; that Lessee has executed and delivered the Schedule and the Master Lease (collectively, the "Lease"); that Lessee is a political subdivision of the State identified in the Lease for purposes of the Code (defined below); and that in his/her official capacity as such officer he/she is responsible for executing and delivering, on behalf of the Lessee, the Lease and this Addendum. This paragraph of this Addendum (hereinafter, this paragraph shall be identified as the "Arbitrage Certificate") is being issued by Lessee as a "no arbitrage certificate" pursuant to Section 148 of the Internal Revenue Code of 1986, as amended (the "Code"j, and Treasury Regulations, Sections 1.148-0 through 1.148.11 (the "Regulations"). Lessee represents and warrants to Lessor that the following facts, estimates and circumstances are in existence on the date of this Arbitrage Certificate or are reasonably expect to occur hereafter.
(a) The Lease provides for the lease of the Equipment described in the Lease by Lessor to Lessee. Under the Lease, Lessee is required to make Rent Payments with respect to the Equipment, comprising principal and interest, on the dates and in the amounts stated in the Payment Schedule to the Lease.
Arbitrage Certificate. A certificate assuring compliance with federal arbitrage law, in form satisfactory to Special Counsel.
Arbitrage Certificate. The Agency has not been notified of any listing or proposed listing by the Internal Revenue Service to the effect that it is a bond issuer whose arbitrage certificates may not be relied upon.
Arbitrage Certificate. A non-arbitrage certificate executed by the Authority and the Town in form and substance satisfactory to Bond Counsel.