Common use of Compliance with Tax Law Clause in Contracts

Compliance with Tax Law. With respect to the Special Facilities, Lessee hereby covenants and agrees as follows: (a) Lessee shall comply or cause to be complied with all tax covenants with respect to the Special Facilities and the Bonds contained in Section 5.4 of the Trust Indenture; (b) Lessee shall continuously repair, preserve, replace or substitute, as needed, all Special Facilities, at its expense, to the extent necessary to maintain and/or extend the reasonably expected economic life of the Special Facilities to satisfy the tax covenant contained in Section 5.4(c) of the Trust Indenture. All property for which replacements or substitutions are made by Lessee as provided herein shall become Lessee's property (and such replacement or substituted property shall become the City's property); (c) Lessee hereby elects not to claim depreciation or an investment credit for federal income tax purposes with respect to any portion of the Special Facilities; Lessee will take all actions necessary to make this election binding on all its successors in interest under this Agreement; and this election shall be irrevocable.

Compliance with Tax Law. With respect to the Special Facilities, Lessee hereby covenants and agrees as follows: (a) Lessee shall comply or cause to be complied with all tax covenants with respect to the Special Facilities and the Bonds contained in Section 5.4 of the Trust Indenture; (b) Lessee shall continuously repair, preserve, replace or substitute, as needed, all Special Facilities, at its expense, to the extent necessary to maintain and/or extend the reasonably expected economic life of the Special Facilities to satisfy the tax covenant contained in Section 5.4(c) of the Trust Indenture. All property for which replacements or substitutions are made by Lessee as provided herein shall become Lessee's property (and such replacement or substituted property shall become the City's property); (c) Lessee hereby elects not to claim depreciation or an investment credit for federal income tax purposes with respect to any portion of the Special Facilities; Lessee will take all actions necessary to make this election binding on all its successors in interest under this Agreement; and this election shall be irrevocable.