Small Issuer Exception. If a Locality delivers to VPSA no later than the end of calendar year 20 (i) the opinion of nationally recognized bond counsel that the Local School Bond of such Locality purchased by VPSA with the proceeds of the VPSA Bonds will be treated as meeting the requirements of Sections 148 (f)(2) and (3) of the Code pursuant to Section 148 (f)(4)(D) of the Code and (ii) the Locality's covenant that it shall provide for the payment of or reimburse VPSA for its payment of the Locality Rebate Requirement in the event that the Local School Bond of such Locality fail to meet all the requirements of the Small Issuer Exception, then no rebate computation shall be made with respect to the proceeds of the VPSA Bonds applied to purchase such Local School Bond. Although the Local School Bond of a Locality may qualify for the Small Issuer Exception, custody, investment and disbursement of the proceeds of the VPSA Bonds applied to the purchase of the Locality's Local School Bond shall continue under the Proceeds Agreement, and the Investment Manager shall continue to provide an Investment Report for such Locality.
Small Issuer Exception. The Lessee will not be obligated to pay arbitrage rebate to the United States if (i) the Lessee is a governmental unit under the laws of its state with general taxing powers; (ii) the Lease is not a private activity bond as defined in Section 141 of the Code; (iii) 95% or more of the net proceeds of the Lease will be used for local governmental activities of the Lessee; and (iv) the aggregate face amount of all tax-exempt obligations (other than private activity bonds) issued by the Lessee and all subordinate entities thereof during the calendar year in which the Lease Commencement Date (as defined in the Lease) occurs does not exceed $5,000,000.
Small Issuer Exception. The Issue is exempt under Section 148(f)(4)(D) from the rebate requirement if all of the following requirements are satisfied:
(1) The Issuer is a Governmental Unit with general taxing powers within the meaning of Section 148(f)(4)(D), and
(2) No part of the Issue is a Private Activity Bond, and
(3) All of the Net Proceeds will be used for “local governmental activities” of the Issuer within the meaning of Section 148(f)(4)(D) and none of the Net Proceeds will be used for any Private Business Use, and
(4) The aggregate principal amount of all Tax-Exempt Obligations, including the Issue, issued or to be issued by the Issuer, its subordinate entities and entities that issue any such obligations on behalf of the Issuer, or on behalf of which the Issuer issues any such obligations, during the current calendar year does not, and is not reasonably expected to, exceed $5,000,000. The Tax-Exempt Obligations taken into account for this purpose exclude any Private Activity Bonds and any Current Refunding Portion and Current Refunding Issue to the extent that the amount of such Current Refunding Portion or Current Refunding Issue does not exceed the outstanding amount of the obligations refunded by such Current Refunding Portion or Current Refunding Issue. No entity has been or will be formed or availed of to avoid the purposes of Section 148(f)(4)(D)(i)(IV). If, but only if, all of the above requirements are satisfied, check here: [ ] and sign here:
