Common use of Pollution Control Facilities Clause in Contracts

Pollution Control Facilities. The Owner Lessor covenants and agrees that it will not materially change (and will exercise all rights, powers, elections and options available to it and any Affiliate under the Project Agreements to prevent any such change to) the character or nature of the use of Pollution Control Facilities from the manner in which such facilities had been used prior to the Closing Date, unless such changed use would constitute a permissible use 39 47 or purpose for which tax-exempt bonds could be issued pursuant to the Tax Reform Act of 1986; provided, however, that the Owner Lessor makes no covenant with respect to any change in character or use by PPL Montana or any sublessee of PPL Montana or any other operator of the Pollution Control Facilities pursuant to the Project Agreements. In addition, the Owner Lessor covenants and agrees that it will not sell or otherwise transfer (other than to PPL Montana) any interest in such Pollution Control Facilities unless (i) the transferee covenants to satisfy the conditions set forth in this Section 8.8 or (ii) the transfer relates to personal property and is exclusively for cash, and the proceeds of which will be expended within six months of the date of receipt on facilities for which tax-exempt bonds could be issued pursuant to the Tax Reform Act of 1986. This Section 8.8 shall not, however, prevent the Owner Lessor or transferee from ceasing to use any Pollution Control Facilities that, in such Person's reasonable judgment, have become obsolete or otherwise uneconomical to continue to use.