The City will establish routines for monitoring ongoing compliance that are consistent with discovering any noncompliance in a timely manner so that it may be corrected. While specific review processes are described in detail below, timing for such reviews will be as follows:
A. Private (Nonexempt) Use: All contracts, subleases or other arrangements providing special legal entitlement to the use of leased property will be reviewed before execution to ensure that they will not cause private use limits to be exceeded with respect to any lease.
B. Arbitrage Compliance: With respect to each lease, the City will ensure that it understands at the time of closing which funds and accounts may become subject to yield restriction investment rules and will keep a record of the dates upon which such rules will begin to apply.
C. Rebate Compliance: While rebate calculations may be performed more often, the City will ensure upon the fifth anniversary date of entering into the lease, every five (5) years thereafter, and upon termination of the lease, that either no rebate is owed or provision has been made for the payment of any rebate owed within sixty (60) days.
D. Change In Use/Ownership: Before executing any contract, sublease or other document that would materially change the use of the leased property or, to the extent applicable, selling any leased property, the City will: 1) confirm that such change will not require a remedial action to be taken with respect to any lease; 2) take a remedial action, if necessary; or 3) discuss with bond counsel whether a voluntary closing agreement with the Internal Revenue Service is appropriate. (2019 Compilation)