Laserfiche WebLink
restricted allocation of the cash on deposit therein and such <br />investments for the various purposes of such funds and accounts <br />as herein provided. The designation and establishment of the <br />various funds and accounts in and by this Instrument shall not be <br />construed to require the establishment of any completely <br />independent, self -balancing funds as such term is commonly <br />defined and used in governmental accounting, but rather is <br />intended solely to constitute an earmarki-9 of certain revenues <br />for certain purposes and to establish certain priorities for <br />application of such revenues as herein provided. The Issuer <br />shall separately account for Impact Fees in order to insure use <br />only for those purposes specified in subsections (C) and (E) of <br />this section. <br />Money on deposit to the credit of the Reserve Account <br />shall be invested by the depository bank, upon request, by the <br />Issuer, in direct obligations of, or obligations the principal of <br />and interest on which are guaranteed by, the United States of <br />America and which shall be subject to redemption at face value at <br />anytime at the option of such holder; and the money on deposit to <br />the credit of the Revenue Fund, Sinking Fund, Operation and <br />Maintenance Fund and Renewal and Replacement Fund may be so <br />invested in such obligations which shall mature not later than 15 <br />days prior to the date on which such money shall be needed for <br />the purposes of such funds. The securities so purchased as an <br />investment of funds shall be deemed at all times to be a part of <br />the account from which such funds were withdrawn, and any loss <br />resulting from such investment shall be charged to such account, <br />and any interest accruing on such investment or any other profit <br />realized therefrom shall be deposited to the Reserve Account <br />until there shall be on deposit to the credit of the Reserve <br />Account the maximum amount required by this Instrument, after <br />which such interest or profit shall be deposited in the Revenue <br />Fund. <br />(H) Transfer of Fund Balances. The amounts on deposit <br />in the Revenue Fund, Sinking Fund (including the Reserve Account <br />therein), and Operation and Maintenance Fund, created and esta- <br />blished by the resolutions authorizing the issuance of the Gifford <br />Bonds, shall be transferred to the corresponding funds and account <br />established by this Instrument. After defeasance of the lien of <br />the holders of the Notes on the security pledged to the payment of <br />the principal of and interest on the Notes, the amounts on deposit, <br />if any, in the Revenue Fund, Sinking Fund (including the Reserve <br />Account therein), and Operation and Maintenance Fund, created and <br />established by the resolution authorizing the issuance of the <br />Water Revenue Bonds, Series 1980 (South County Water System), <br />shall be transferred to the corresponding funds and account <br />established by this Instrument. <br />-13- <br />