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(c) The Vat Revenues of the Iitility System for either the fisc,l ye`,;r or
tvrelve month neriod next nreceedirr the d..te of the p, ssaCa of an 0rdipc,,nee
authorizing the issu,nce of the Additiontj -Sands Are certified -by A Certified
Public Ircountont to hA've teen at lest equal to .on Arid one-half times the
gvwr,fe ,rmtr.,l principal and interest requirements on all bonds then out-
st,ndinf-. ,f;,inst the Utility System and the bonds then to be issued;
(d) A competent independent enf;ineer certifies in writinE that in his
opinion the -aver,f-e annu*1 net e�rning throuf-hout the life of the bonds then
outstgndirrg . f;winst them Utility`ystem ,nd the bonds then to be issued -.shallbe
equ,l to at least one and one-half. times the averAf;e annual principal and inter-
est requirements on all bonds than outstanding against the Utility S,ttem and the
bonds then to be issued; u
(e) Tlr Ordinance ,.utlicrrizing the issu,rrce of tl,e Additionwl Bonds shall
provide (i) for an -identical FW," OF FUNDS as prescribed -be -Section 13 of this
Ordinances; (ii) that all revenues denosited in the special funds and Recounts
ere,ted qrd e.tablished by this Ordin,nce shall be commingled; and (tii) for
wnproprigte additional or -larf;er p.,Trnts to he made- into said snecigl funds ,nd
accounts and for a-)propri,te additional or �,rf;er amounts bo bei ;iccumulAted in
s,id special funds ,nd accounts for All ponds then outst,nd*inf; aC inst the
Utility System and then proposed Additiono,l Bonds, in full accord with V e pro-
visions of this Ordinance.
�_Sectionl6. 11,inten,nce and 2per,tion. The City hereby covenants and agrees
to rutnt,in the f,cilities-of then Utility System in good condition And --operate
the same in an efficient manner-,,nd „t ,-'reasonable--cost. So long as any Bonds
..re outstanding, the City covenants and Agrees to maintain insurance for the
benefit of the- holder or holders cif such Donds of the kinds And in the ,mounts
which are usuall�r carried by priv,te companies operating siil;,r properties, -nd
that during strcli time all policies of insurance sh,ll be maintained in force and
kept current gs to premium TS,yrents. All moneys received from losses under such
insurance policies other th„n public liability policies, ,re hereby pled`.ed as
security for such Bonds until and unless the proceeds are paid out in making
good -the loss or d,r re in respect of vrttich such proceeds ares receiverd, arither by
replacing the property destroyed or repAi`rtng the property damaged, and adecru,te
provision for kinking; food such loss or d,mage rpde within ninety (90) days after
the date of loss. The p,;mlent -of premiums for All insurance policies required
under the provisions hereof sha11 be considered As maintenance and operation
expense.
Sectirm 177. Records and Accounts. The City hereby covenants and 4frreas that so
longi as nt(ly Bonds, or any interest thereon, remain outstanding amd unpaid, it
will keep and maintain 'a proper and complete system of records and wccoulpts --
pertaining to the aperation of tle Utility -System, sen,rate gad .,part from All
ether rQcards and a.cdounts, in which complete and correct entries sh,ll be rade of
all tr,ns,ctions relating-to--s-id Syc;tem ,s provided in Article 1113, Revised Civil
Statutes trf Texas, 1925, Rs amended, and that the holder of ;;ny of the Bore -s, --or
any duty authorized Arent or--,pents of such holders, shad have -the right at all
reasonable tines to insnect aII such records, accounts, and d,t, relating thereto,
;nd to i±rsnect the System and A-11 properties comprising s,rer The Oity Further
agrees-th„t vrithin sisty (60) dQ.,rs--follvroinf" tY.e close of--e,ch fise,l year, it will
cause ,n audit of such books and accounts to be mane by an independent firm of
Certified Public 1ccount,nts, shovring they receipts and disbursements -`for Account
of --the Utility Systrem frrr the fiscal ,e,r, and each sneh ;-udit, in Adt-lition to
whatever otl-.er ratters m,y be thought proper by the %ccoutAnt, sY:all particularlly
include tf*e following, s -
(a) detailed statement of the tncorre- and expenditures for account of the
1Jtili+y System for such fiscal year. -
(b) A b,,,l„nce sheet as of +he and of such fisc, year.
(c) The rccount.nts comm-rts reg.,rdirg the manner irr which the City has
carrJred nut the reo_uirenents of this Ordinance and hsi recm-nend,tions
for any changes or imnroverients in tl.e oper,tion, records and accounts
of t'ie Utility System.
(d) A list of the insurance policies in force at the and of the fise,l ye,r
on the Utility System pronerties, setting out ,s to e„ch policy the ,mo-
unt trlrereof, the risk., covered, the n,roe of the insurer, and the policy's
expiration date.
(e) A list of the securities 1,rhich have boen on deposit as security for the
none-► in the Bond Fund,-the"ireserve Fund, and the Contingency Fund,
throughout the--fiscalire.,r; lit of the securities, if any; in--Ohich the
Reserve Fund nand the ContinElency Fund have beeninvested, and a"state-
ment of t Ir m nner in which monet in the Utility Pevenue Fund h, s been
secured in such fiscal year. -
(f) The -.number of metered ,ndunnatered customers cfrnnected with the v,rious --
den,rtments of the Utility System, showing; totals as of the end of the year.