Common use of Bonds Not Hedge Bonds Clause in Contracts

Bonds Not Hedge Bonds. (i) The District represents that none of the Bonds is or will become a “hedge bond” within the meaning of section 149(g) of the Code. (ii) Without limitation of paragraph (i) above: the District believes (upon appropriate investigation) (A) that on the date of issuance of the Bonds the District reasonably expected that at least 85% of the spendable proceeds of the Bonds will be expended within the three-year period commencing on such date of issuance, and (B) no more than 50% of the proceeds of the Bonds will be invested in Nonpurpose Investments having a substantially guaranteed yield for a period of four years or more.

Bonds Not Hedge Bonds. (i) The District represents that none of the Authority Bonds is or will cause the Authority Bonds to become a “hedge bond” within the meaning of section 149(g) of the Code. (ii) Without limitation of paragraph (i) above: the District believes (upon appropriate investigation) (A) that on the date of issuance of the Authority Bonds the District reasonably expected that at least 85% of the spendable proceeds of the Authority Bonds will be expended within the three-year period commencing on such date of issuance, and (B) no more than 50% of the proceeds of the Authority Bonds will be invested in Nonpurpose Investments having a substantially guaranteed yield for a period of four years or more.