Lehigh County General Purpose Authority Preliminary Official Statement Dated January 17, 2017
PRELIMINARY OFFICIAL STATEMENT DATED JANUARY 17, 2017 ® NEW ISSUE MOODY’S RATING: “A1” (See “RATING” herein) In the opinion of Stevens & Lee, P.C., Allentown, Pennsylvania, Bond Counsel, assuming continuing compliance by the Authority and the College with certain covenants to comply with provisions of the Internal Revenue Code of 1986, as amended (the “Code”), and all regulations applicable thereunder, interest on the Bonds is not includable in gross income under Section 103(a) of the Code, and interest on the Bonds is not an item of tax preference for purposes of the federal individual or corporate alternative minimum taxes; except as set forth under the heading “TAX MATTERS” in this Official Statement. Other provisions of the Code may affect the purchasers and holders of the Bonds. See “TAX MATTERS” herein for a brief description of these provisions. Under the laws of the Commonwealth of Pennsylvania, the Bonds and interest on the Bonds shall be free from taxation for state and local purposes within the Commonwealth of Pennsylvania, but this exemption does not extend to gift, estate, succession or inheritance taxes or any other taxes not levied directly on the Bonds or the interest thereon. Under the laws of the Commonwealth of Pennsylvania, profits, gains or income derived from the sale, exchange or other disposition of the Bonds are subject to state and local taxation within the Commonwealth of Pennsylvania. $19,700,000* LEHIGH COUNTY GENERAL PURPOSE AUTHORITY College Revenue Bonds (Muhlenberg College Project) Series of 2017 Dated: Date of Issuance Interest Payable: February 1 and August 1 Principal Due: February 1, as shown on inside cover First Interest Payment: August 1, 2017 The Lehigh County General Purpose Authority (the “Authority”) College Revenue Bonds (Muhlenberg College Project), Series of 2017 (the “Bonds”) will be issued under and secured by a Trust Indenture dated as of February 1, 2017 (the “Indenture”) by and between the Authority and The Bank of New York Mellon Trust Company, N.A., Philadelphia, Pennsylvania, as bond trustee (the “Trustee”).
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