426

400

A special fund is hereby created in the Wachovia Bank and Trust Company, in the City of Raleigh, North Carolina, and designated "The University of North Carolina at Chapel Hill Dormitory System Bond and Interest Sinking Fund Account of 1963" (herein sometimes called the "Dormitory System Bond and Interest Sinking Fund Account of 1963"). Immediately following the issuance of the 1963 Series A bonds there shall be deposited to the credit of the Dormitory System Bond and Interest Sinking Fund Account of 1963 all moneys (including any investments) then remaining to the credit of the University of North Carolina Dormitory System Bond and Interest Sinking Fund Account established under the provisions of Section 503 of the resolution of the Board, as amended and supplemented, pursuant to which the 1956 bonds were issued, after making any payment therefrom on account of interest accrued on any 1956 bonds to the date of redemption as provided in Section 209 of this Resolution. Immediately following the issuance of the 1963 Series B bonds, the 1963 Series C bonds, the 1963 Series D bonds and the 1963 Series E bonds there shall be deposited to the credit of the Dormitory System Bond and Interest Sinking Fund Account of 1963 all moneys (including any investments) then remaining to the credit of the University of North Carolina Dormitory Revenue Bond and Interest Sinking Fund Account of 1960 established under the provisions of Section 503 of the resolution of the Board pursuant to which the I960 bonds were issued, after making any payment therefrom on account of interest accrued on any I960 bonds to the date of redemption as provided in Section 209 of this Resolution.

A special fund is hereby created in the Wachovia Bank and Trust Company, in the City of Raleigh, North Carolina, and designated "The University of North Carolina at Chapel Hill Dormitory System Repair and Replacement Reserve Account of 1963" (herein sometimes called the "Dormitory System Repair and Replacement Reserve Account of 1963"). Immediately following the issuance of the 1963 Series A bonds there shall be deposited to the credit of the Deormitory System Repair and Replacement Reserve Account of 1963 all moneys (including any investments) then held for the credit of the University of North Carolina Building Maintenance and Equipment Reserve Account established under the provisions of Section 503 and maintained under the provisions of Section 504 of the resolution of the Board, as amended and supplemented, pursuant to which the 1956 bonds were issued. Immediately following the issuance of the 1963 Series B bonds, the 1963 Series C bonds, the 1963 Series D bonds and the 1963 Series E bonds there shall be deposited to the credit of the Dormitory System Repair and Replacement Reserve Account of 1963 all moneys (including any investments) then held for the credit of the University of North Carolina Dormitory Repair and Replacement Reserve Account of I960 established under the provisions of Section 503 and maintained under the provisions of Section 504 of the resolution of the Board pursuant to which the I960 bonds were issued.

The Board covenants that, on or before the 15th day of April or the 15th day of October, as the case may be, next following the issuance of the 1963 Series A bonds, the 1963 Series B bonds, the 1963 Series C bonds, the 1963 Series D bonds and the 1963 Series E bonds, and on or before the 15th day of each April and October thereafter, it will withdraw from the Dormitory System Revenue Fund Account of 1963, after reserving in the Dormitory System Revenue Fund Account of 1963 for payment of the Current Expenses of the Dormitory System an amount equal to the reasonably estimated Current Expenses thereof during the next ensuing two (2) months, and deposit or cause to be deposited to the credit of the Dormitory System Bond and Interest Sinking Fund Account of 1963 all of the net revenues of the Dormitory System held for the credit of the Dormitory System Revenue Fund Account of 1963 on the last day of the month immediately preceding such deposit, until the amount held for the credit of the Dormitory System Bond and Interest Sinking Fund Account of 1963 shall be sufficient to pay the interest then or to become due and payable on the next interest payment date on all bonds outstanding under this Resolution and one-half (1/2) of the principal of the bonds then or to become due and payable within the next ensuing twelve (12) months' period and provide a debt service reserve of Four Hundred Thirty-five Thousand Dollars ($435,000), and thereafter on or before the 15th day of