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such year shall be deemed to mature in such year. The amount of the Bond Service Requirement for any Bond Year shall be reduced by the amount deposited into the Sinking Fund and/or the Bond Amortization Account, from legally available funds, for payment of the principal of, interest on and/or Amortization Installments for the Bonds. I. 'Bond Year' shall mean the annual period ending on a principal maturity date or an Amortization Installment due date for the Bonds. J. 'Cost of operation and Maintenance' of the Project shall mean the current expenses, paid or accrued, of operation, maintenance and repair of the Project, as calculated in accor- dance with sound accounting practice, but shall not include payments in lieu of taxes, any reserve for renewals and replacements, extraordinary repairs or any allowance for depreciation. K. 'Federal Securities' shall mean, collectively, any of the following to the extent the same are sufficient for defeasance under state law (1) direct obligations of (including obligations issued or held in book entry form on the books of the Department of the Treasury of the United States of America), or obligations the principal of and interest on which are uncon- ditionally guaranteed by the United States of America; (2) bonds, debentures or notes or other evidence of indebtedness payable in cash issued by any one or a combination of any of the following federal agencies whose obligations represent the full faith and credit of the United States of America: Export Import Bank of the United States, Federal Financing Bank, Farmer's Home Administration, Federal Housing Administration, Maritime Administration, Public Housing Authority and Government National Mortgage Association; (3) certificates of deposit with commercial banks, savings and loan associations and mutual savings banks properly secured at all times by collateral security described in (1) and (2) above; and (4) the following investments fully -4-