The district may at any time deposit with a trustee, a sum sufficient, with amounts
then on deposit, including the debt service reserve fund, to purchase direct or guaranteed
obligations of the United States of America which are adequate to pay the entire principal
amount of the bonds or notes of a series, together with the interest to maturity,
or to an applicable redemption date specified by the district to the trustee and any
applicable redemption premium; or the district may deposit direct or guaranteed obligations
of the United States of America in lieu of money for their purchase. The obligations are deemed adequate if the principal and interest payable on them
are sufficient to pay the previously mentioned sums when due. Upon any deposit of money and a request by the district, the trustee shall purchase
direct or guaranteed obligations of the United States of America. When adequate direct or guaranteed obligations of the United States of America are
held by the trustee pursuant to this section, the bond resolution or indenture shall
cease to be in effect with respect to such series of bonds or notes. The obligations and their proceeds shall be held in trust for the benefit of the
bondholders or noteholders, and the trustee shall, on behalf of the district, call
bonds or notes for redemption on the applicable redemption date. Any compensation or expenses of the trustee in carrying out this section shall be
paid by the district, and any surplus funds held by the trustee under this section
shall be remitted by the trustee to the district.
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