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Period. No deposit need be made into the Bond Principal and Interest <br />Account if the amount contained therein is at least equal to the aggregate <br />amount of principal and interest due and payable with respect to the Bonds <br />during the remainder of the Pledge Period. All money in the Bond <br />Principal and Interest Account shall be used and withdrawn solely for the <br />purpose of paying the interest on and the principal of the Bonds as it shall <br />become due and payable to the extent it is required therefor (including <br />accrued interest on any Bonds purchased or redeemed prior to maturity). <br />b. Debt Service Reserve Account. The Commission <br />has determined that it is necessary to maintain a reserve for the Bonds in <br />an amount equal to the maximum principal of and interest on the Bonds <br />due in any eighteen (18) month period (the "Reserve Requirement ") and <br />the Commission has further determined to satisfy the Reserve <br />Requirement by obtaining a Surety Bond (as defined herein) from Ambac <br />Assurance (defined herein). The Commission shall not be required to <br />make any other deposits into the Reserve Account other than to replenish <br />the Surety Bond as provided herein in the event that it is necessary for <br />there to be a draw on the Surety Bond to make a payment of principal and <br />interest on the Bonds when due. <br />As long as the Surety Bond shall be in full force and effect, <br />the Commission agrees to comply with the following provisions: <br />(a) In the event and to the extent that moneys on deposit in the Bond <br />Principal and Interest Account are insufficient to pay the amount of <br />principal and interest coming due on the Bonds, then upon the later <br />of: (i) one (1) day after receipt by the General Counsel of Ambac <br />Assurance of a demand for payment in the form attached to the <br />Surety Bond as Attachment 1 (the "Demand for Payment "), duly <br />executed by the Paying Agent certifying that payment due under <br />this Resolution has not been made to the Paying Agent; or (ii) the <br />payment date of the Bonds as specified in the Demand for Payment <br />presented by the Paying Agent to the General Counsel of Ambac <br />Assurance, Ambac Assurance will make a deposit of funds in an <br />account with the Paying Agent or its successor, in New York, New <br />York, sufficient for the payment to the Paying Agent, of amounts <br />which are then due to the Paying Agent under this Resolution (as <br />specified in the Demand for Payment) up to but not in excess of <br />the Surety Bond Coverage, as defined in the Surety Bond. <br />(b) The Paying Agent shall, after submitting to Ambac Assurance the <br />Demand for Payment as provided in (a) above, make available to <br />Ambac Assurance all records relating to the Funds and Accounts <br />maintained under this Resolution. <br />SBIMANI 137132v1 - 3 - <br />