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<br />Section 10. TRANSFER. That the Mayor and the City Clerk are hereby ordered to do any and <br />all things necessary to accomplish the transfer of monies to the Interest and Sinking Fund of this issue in <br />ample time to pay such items of principal and interest. <br /> <br />Section 11. DEFEASANCE OF CERTIFICATES OF OBLIGATION. (a) Any Certificate of <br />Obligation and the interest thereon shall be deemed to be paid, retired, and no longer outstanding (a "Defeased <br />Certificate of Obligation") within the meaning of this Ordinance, except to the extent provided in subsection <br />(d) of this Section, when payment of the principal of such Certificate of Obligation, plus interest thereon to <br />the due date (whether such due date be by reason of maturity or otherwise) either (i) shall have been made <br />or caused to be made in accordance with the terms thereof, or (ii) shall have been provided for on or before <br />such due date by irrevocably depositing with or making available to the Paying Agent/Registrar in accordance <br />with an escrow agreement or other instrument (the "Future Escrow Agreement") for such payment (1) lawful <br />money of the United States of America sufficient to make such payment or (2) Defeasance Securities that <br />mature as to principal and interest in such amounts and at such times as will insure the availability, without <br />reinvestment, of sufficient money to provide for such payment, and when proper arrangements have been <br />made by the Issuer with the Paying Agent/Registrar for the payment of its services until all Defeased <br />Certificates of Obligation shall have become due and payable. At such time as a Certificate of Obligation <br />shall be deemed to be a Defeased Certificate of Obligation hereunder, as aforesaid, such Certificate of <br />Obligation and the interest thereon shall no longer be secured by, payable from, or entitled to the benefits of, <br />the ad valorem taxes herein levied and pledged as provided in this Ordinance, and such principal and interest <br />shall be payable solely from such money or Defeasance Securities. Notwithstanding any other provision of <br />this Ordinance to the contrary, it is hereby provided that any determination not to redeem Defeased <br />Certificates of Obligation that is made in conjunction with the payment arrangements specified in subsection <br />ll(a)(i) or (ii) shall not be irrevocable, provided that: (1) in the proceedings providing for such payment <br />arrangements, the Issuer expressly reserves the right to call the Defeased Certificates of Obligation for <br />redemption; (2) gives notice of the reservation of that right to the owners of the Defeased Certificate of <br />Obligations immediately following the making of the payment arrangements; and (3) directs that notice of the <br />reservation be included in any redemption notices that it authorizes. <br /> <br />(b) Any moneys so deposited with the Paying Agent/Registrar may at the written direction of the <br />Issuer also be invested in Defeasance Securities, maturing in the amounts and times as hereinbefore set forth, <br />and all income from such Defeasance Securities received by the Paying Agent/Registrar that is not required <br />for the payment of the Certificates of Obligation and interest thereon, with respect to which such money has <br />been so deposited, shall be turned over to the Issuer, or deposited as directed in writing by the Issuer. Any <br />Future Escrow Agreement pursuant to which the money and/or Defeasance Securities are held for the <br />payment of Defeased Certificates of Obligation may contain provisions permitting the investment or <br />reinvestment of such moneys in Defeasance Securities or the substitution of other Defeasance Securities <br />upon the satisfaction of the requirements specified in subsection I 1 (a)(i) or (ii). All income from such <br />Defeasance Securities received by the Paying Agent/Registrar which is not required for the payment of the <br />Defeased Certificates of Obligation, with respect to which such money has been so deposited, shall be <br />remitted to the Issuer or deposited as directed in writing by the Issuer. <br /> <br />(c) The term "Defeasance Securities" means (i) direct, noncallable obligations of the United States <br />of America, including obligations that are unconditionally guaranteed by the United States of America, (ii) <br />noncallable obligations of an agency or instrumentality of the United States of America, including obligations <br />that are unconditionally guaranteed or insured by the agency or instrumentality and that, on the date of the <br /> <br />21 <br />