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<br />ARTICLE XI <br /> <br />DISCHARGE AND DEFEASANCE <br /> <br />SectIOn 11 01 Defeasance of CertIficates <br /> <br />(a) Any Certificate and the mterest thereon shall be deemed to be paId, retued and no longer <br />outstandIng (a "Defeased CertIficate") wIthIn the meanIng of thIS Ordmance, except to the extent proVIded In <br />subsectIOns (c) and (e) of thIs SectIOn, when payment of the pnnclpal of such CertIficate, plus Interest thereon <br />to the due date or dates (whether such due date or dates be by reason of maturity, upon redemptIOn, or <br />otherwIse) eIther (i) shall have been made or caused to be made In accordance WIth the terms thereof (includIng <br />the gIVIng of any reqUired notIce of redemptIOn or the establishment of urevocable provlSlons for the givIng <br />of such notIce) or (ii) shall have been proVIded for on or before such due date by Irrevocably depOSItIng WIth <br />or makmg available to the Paymg Agent/RegIstrar or an eligible trust company or commerCIal bank for such <br />payment (1) lawful money of the Umted States of America sufficient to make such payment, (2) Defeasance <br />Secuntles, certIfied by an Independent public accountIng firm of natIOnal reputatIon to mature as to pnnclpal <br />and Interest In such alTlounts and at such tImes as will ensure the avaIlabIlity, WithOut reInvestlnent, of suffiCIent <br />money to proVide for such payment and when proper arrangements have been made by the CIty WIth the PaYIng <br />Agent/RegIstrar or an eligible trust company or commercIal bank for the payment of its services until all <br />Defeased Certificates shall have become due and payable or (3) any cOmbInatIOn of (1) and (2) At such tIme <br />as a CertIficate shall be deemed to be a Defeased Certificate hereunder, as aforesaId, such CertIficate and the <br />mterest thereon shall no longer be secured by, payable from, or entItled to the benefits of, the ad valorem taxes <br />or revenues herem leVIed and pledged as proVIded 10 thIS Ordmance, and such pnncIpal and interest shall be <br />payable solely from such money or Defeasance SecuntIes <br /> <br />(b) The deposIt under clause (Ii) of subsectIOn (a) shall be deemed a payment of a CertIficate as <br />aforesaId when proper notIce of redemptIOn of such CertIficates shall have been gIven or upon the establishment <br />of Irrevocable proVIsIons for the giVIng of such notIce, In accordance WIth thIS Ordmance Any money so <br />deposited WIth the Paymg Agent/RegIstrar or an eligible trust company or commercial bank as provided 10 thIs <br />SectIOn may at the dIscretIOn of the City Council also be Invested In Defeasance SecuritIes, matunng In the <br />alTlounts and at the tImes as hereInbefore set forth, and all Income from all Defeasance SecuntIes 10 possession <br />of the PaYIng Agent/RegIstrar or an eligible trust company or commercIal bank pursuant to this SectIOn which <br />IS not requued for the payment of such CertIficate and premIUm, If any, and interest thereon WIth respect to <br />whIch such money has been so deposIted, shall be remItted to the CIty Council. <br /> <br />(c) NotWIthstandIng any proVISIOn ofany other SectIOn of thIS OrdInance which may be contrary <br />to the proVISIOns of thIS SectIOn, all money or Defeasance SecuntIes set aSide and held 10 trust pursuant to the <br />proVISIOns of thIS SectIOn for the payment ofpnnclpal of the CertIficates and premIUm, If any, and mterest <br />thereon, shall be applied to and used solely for the payment of the partIcular CertIficates and premIUm, If any, <br />and Interest thereon, WIth respect to whIch such money or Defeasance SecuritIes have been so set aSIde in trust. <br />UntIl all Defeased CertIficates shall have become due and payable, the PaYIng Agent/RegIstrar shall perform <br />the servIces ofPaymg Agent/RegIstrar for such Defeased CertIficates the SalTle as if they had not been defeased, <br />and the CIty shall make proper arrangements to prOVIde and pay for such servIces as requued by thIS Onnance <br /> <br />(d) N otwlthstandmg anythIng elsewhere 10 thIS Ordinance, If money or Defeasance SecuntIes have <br />been depOSIted or set aside WIth the Paying Agent/RegIstrar or an eligible trust company or commercial bank <br />pursuant to thIS SectIOn for the payment of Certificates and such CertIficates shall not have In fact been <br /> <br />S an Marcos CTRCO 2007 A Ordinance <br /> <br />27 <br />