designated Grant Anticipation Note, Series 20 ; shall be numbered serially from
1 upwards; shall be dated as of the date of issuance; shall be sold at not less than par value and accrued interest;
and shall bear interest at a rate or rates not to exceed per cent ( %) per annum, and in no event
shall the rate exceed the legal limit provided by law.
S
ection 2. The Notes shall mature not later than (designate either three/3
or seven/7 years) after the date of issuance.
Section 3. The Notes shall be subject to redemption at the option of the Local Government, in whole
or in part, at any time that the funds of the Agency Grant become available to the Local Government, at the
principal amount and accrued interest to the date of redemption without a premium.
Section 4. The principal amount of the Notes shall be secured solely by the pledge of funds to be
received pursuant to the Agency Grant, and the Local Government hereby pledges a portion or all of the
Agency Grant in an amount at least equal to the principal amount of the Notes, being Dollars
($______), to the payment of the principal amount of the Notes. The Local Government shall have no
authority to levy ad valorem taxes for the payment of the principal of the Notes.
Section 5. The interest on the Notes shall be direct general obligations of the Local Government and
the Local Government hereby pledges its taxing power as to all taxable property in the Local Government for
the purpose of providing funds for the payment of interest on the Notes. Provided, however, that the proceeds
of any capital outlay notes, or bond anticipation notes shall not be applied to any payment of the Notes.
Section 6. The Notes shall be executed in the name of the Local Government and bear the signature
of the chief executive office of the Local Government and the signature of the _________________________
(Recording Officer) and shall be payable as to principal and interest at the office of the
______________________ (Recording Officer) of the Local Government or the paying agent duly appointed
by the Local Government. Proceeds of the Notes shall be deposited with the ____________________
(Recording Officer) of the Local Government and shall be paid out for the purpose of providing funds in
anticipation of the Agency Grant pursuant to this Resolution and as required by law.
Section 7. The Notes will be issued in fully registered form and that at all times during which any
Note remains outstanding and unpaid, the Local Government or its agent shall keep or cause to be kept at its
office a note register for the registration, exchange or transfer of the Notes. The notes register, if held by an
agent of the Local Government, shall at all times be open for inspection by the Local Government or any duly
authorized officer of the Local Government. Each Note shall have the qualities and incidents of a negotiable
instrument and shall be transferable only upon the note register kept by the Local Government or its agent, by
the registered owner of the Note in person or by the registered owner’s attorney duly authorized in writing,
upon presentation and surrender to the Local Government or its agent together with a written instrument of
transfer satisfactory to the Local Government duly executed by the registered owner or the registered owner’s
duly authorized attorney. Upon the transfer of any such Note, the Local Government shall issue in the name
of the transferee a new registered not or notes of the same aggregate principal amount and maturity as the
surrendered Note. The Local Government shall not be obligated to make any such note transfer during the
fifteen (15) days next preceding an interest payment date on the Notes or, in the case of any redemption of the
Notes, during the forty-five (45) days next preceding the date of redemption.
Section 8. That, the Notes may be extended or renewed as permitted by law.
Section 9. The Notes shall be in substantially the form attached as Attachment 1 with only changes
as are necessary or appropriate to comply with the requirements of the purchaser thereof.