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(k) The Borrower covenants and agrees that in the event additional Series of
parity bonds are issued in accordance with the provisions of Special
Conditions (i) and (j) above, it shall:

(1) Adjust the amounts of the semi-annual deposits into the "Housing
System of 1964 Bond and Interest Sinking Fund Account," established
in accordance with the provisions of Special Condition (e) above, in
the manner prescribed by said Condition.

(2) Increase the maximum amount to be deposited annually into the
"Housing System of 1964 Repair and Replacement Reserve Account"
to be established in accordance with the provisions of Special
Condition (f) above, so that the maximum amount to be accumulated
in said Reserve shall bear the same relationship to the total
value of the Housing System as enlarged by the addition thereto
of the facility or facilities constructed, acquired or improved
entirely, or in part, from the proceeds of such additional Series
of parity bonds, as does the presently provided maximum reserve
of $800,000 bear to the total value of the Housing System to be
established in accordance with the provisions of paragraphs (1)
through (6) of Special Condition (b) above, which value shall be
conclusively construed to be $19,000,000.

(3) Make such additional Series of parity bonds payable as to principal
on September 1 of each year in which principal falls due and payable
as to interest on March 1 and September 1 of each year.

(l) The Borrower covenants and agrees that, so long as any of the Bonds are
outstanding, it will not sell or otherwise dispose of any of the facilities
of the Housing System to be established in accordance with the provisions
of Special Condition (b) above, or any part thereof, and except as
provided for in Special Conditions (i) and (j) above, it will not create
or permit to be created, any charge or lien on the revenues of said
Housing System, or any other revenues, pledged as security, ranking
equal or prior to the lien of these Bonds.

Notwithstanding the foregoing provisions of this Condition, the Borrower
may at any time permanently abandon the use of, or sell at fair market
value, any of the Housing System facilities, provided that:

(1) It is in full compliance with all covenants and undertakings in
connection with all Bonds then outstanding and payable from the net
revenues of the Housing System and any other revenues pledged as
security;

(2) It will, in the event of sale, apply the proceeds to either the
redemption of outstanding Bonds in accordance with the provisions
governing repayment of Bonds in advance of maturity, or the
replacement of the facility so disposed of by another facility
the revenues of which shall be incorporated into the Housing
System as hereinbefore provided;

(3) It certifies, prior to any abandonment of use, that the facility to
be abandoned is no longer economically feasible of producing net
revenues; and

(4) It certifies that the estimated net revenues of the remaining
Housing System facilities and any other revenues pledged as security,
for the next succeeding fiscal year, plus the estimated net revenues
of the facility, if any, to be added to the Housing System satisfy
the earnings test provided for in Special Conditions (i) and (j)
above.

(5) That the certifications required by the provisions of the preceding
paragraphs (3) and (4) are made by the Chief Financial Officer of
the Borrower and approved by the President and governing body.