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<br /> D -here has been created, established, and continuously maintained in a bank which
<br /> is a member of the Federal Deposit Insurance Corporation, pursuant to the Ordinance
<br /> authorizing the Outstanding Bonds, a separate account known as the "Water and Sewer System
<br /> Junior Lien Revenue Bond Interest and Sinking Fund", (,re "Water and Sewer System Junior
<br /> Lien Sand Fund"), Said Fund is hereby confirmed and srlall be used exclusively for the pur-
<br /> pose of paying principal and interest on the Ou~standing Bonds, the Certificates, and Addi-
<br /> tiona Bonds hereafter issued to be on a parity with the Outstanding Bonds and the Certifi-
<br /> Dates. -he City Dovenants and agrees that so much of the proceeds from the sale of the
<br /> Certificates as represents accrued interest thereon shall be deposited to the credit of
<br /> the Water and Sewer System Junior Lien Bond Fund concurrently with the receipt of such
<br /> proceeds.
<br /> Thereafter, and after providing for the payment of Current Expenses of the System, and
<br /> after making provision for the payment of the principal and interest on the Outstanding
<br /> Bonds, there shall be transferred from the Water and Sewer System Revenue Fund to the Water
<br /> and Sewer System Junior Lien Bond Fund on or before the 10th day of each month, not less
<br /> than one-fifth of the next maturing interest payment and one-tenth of the next maturing
<br /> principal payment with respect to the Certificates until the funds and/or investments in
<br /> the Water and Sewer System Junior Lien Bond Fund are sufficient to pay debt service require-
<br /> ments on the Outstanding Bonds and Certificates for the then current year, plus a debt
<br /> service reserve in the sum of $ , and thereafter, such sums as may be necessary
<br /> to pay when due and then current year's debt service and maintain a debt service reserve in
<br /> the amount of $
<br /> (c) There is hereby confirmed, and the City shall continue to maintain in a bank which
<br /> is a member of the Federal Deposit Insurance Corporation, so long as any of the Outstanding
<br /> Bonds, Cert ifi cates or Addi ti ona 1 Bonds are outs tandi ng, a "Water and Sewer System Repl ace-
<br /> ment and Repair Fund", into which the sum of $ , or such portion thereof
<br /> as is available, shall be deposited on or before the 10th day of each month from the net
<br /> revenues of the combined water and sewer system until the funds and/or investments therein
<br /> shall amount to $ Funds in said Water and Sewer System Replacement and
<br /> Repair Fund shall be used to pay for any extraordinary repairs or replacements to the System
<br /> for which funds are not otherwise available and to pay maturing principal or interest on the
<br /> Outstanding Bonds, Certificates and Additional Bonds when funds in the Water and Sewer System
<br /> Junior Lien Bond Fund are inadequate for such purposes. Whenever any funds are paid out
<br /> of said Water and Sewer System Replacement and Repair Fund, payments into the account shall
<br /> be resumed and continued until such time as the account has been restored to the level of
<br /> S
<br /> Subject to the foregoing, which are cumulative, any balance in the Water and Sewer
<br /> System Revenue Fund may be used for the purpose of paying the cost of unusual or extraordi-
<br /> nary maintenance, repairs and replacements, or for extensions and improvements which will
<br /> either enhance the revenue-producing capacity of the Water and Sewer System or provide a
<br /> higher degree of service, or for acquiring the Outstanding Bonds, Certificates or Additional
<br /> Bonds for cancellation, or for redeeming the Outstanding Bonds, Certificates or Additional
<br /> Bonds in inverse numerical and maturity order at not to exceed the redemption price, or for
<br /> any other lawful purpose.
<br /> Section 16, SECURITY FOR FUNDS. All funds created by this Ordinance shall be secured in
<br /> the manner and to the fullest extent permitted by law for the security of public funds,
<br /> and such funds shall be used solely for the purposes permitted by this Ordinance.
<br /> Section 17. INVESTMENT OF FUNDS. Funds on deposit to the credit of the accounts and funds
<br /> hereinabove established and maintained in conformity with the provisions of this Ordinance
<br /> shall be invested by the Depository Bank, upon the request of the City, in direct obligations
<br /> of, or obligations the principal of and the interest on which are guaranteed by, the United
<br /> States Government. The investments shall be valued in terms of current market value as
<br /> of June 30th and December 31st of each year. Any obligations in which money is so invested
<br /> shall be held subject to the same lien as the money which was used to purchase such obliga-
<br /> tions and shall be sold when so ordered by the City, and the City shall in all events
<br /> order such sale when necessary to prevent any default in connection with the Bonds, Certifi-
<br /> cates or Additional Bonds.
<br /> Sect ion 18. ADDITIONAL BONDS. The City reserves the right to issue, in one or more install-
<br /> ments, Additional Bonds or obligations ("Additional Bonds") payable from or secured by a first
<br /> lien on and pledge of the revenues of the System, and such Additional Bonds, when issued in
<br /> compliance with law and the terms and conditions hereinafter appearing, shall be equally and
<br /> ratably secured by and payable from a lien on and oledqe of the net revenues of the System,
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