Ordinance 3768 - Laserfiche WebLink

the Reserve Account may be withdrawn to pay the principal, premium if any, and interest on all of the outstanding bonds of any single issue or series payable out of the Bond Redemption Fund so long as the moneys remaining on deposit in the Reserve Account are at least equal to the maximum amount required in any calendar year there- after to pay the principal of and interest on all of the remaining outstanding bonds payable out of the Bond Redemption Fund. In the event there shall be a deficiency in the Bond Redemption Fund to meet maturing installments of either interest on or principal of and interest on the Bonds and any Parity Revenue Bonds, such deficiency shall be made up from the Reserve Account by the withdrawal of cash therefrom. Any deficiency created in the Reserve Account by reason of any such withdrawal shall then be made up from the money in the Sewer Revenue Fund first available there- for. All money in the Reserve Account may be kept in cash or invested in direct obligations of the United States having a guar- anteed redemption price prior to maturity or maturing not later than twelve years from date of purchase, and in no event maturing later than the last maturity of the Bonds or any Parity Revenue Bonds outstanding at the time of such purchase. Interest earned on and any profits made from the sale of any such investments shall be deposited in and become a part of the Bond Redemption Fund. Section 9. The corporate authorities of the city hereby declare, in fixing the amounts to be paid into the Bond Redemption Fund and the Reserve Account as hereinbefore provided, that they have exercised due regard to the normal expenses of maintenance and operation of the System, and have not obligated the city to set aside and pay into said Fund and Account a greater amount of the revenue of the System than in their judgment will be available -19-