Fund, or used to purchase Series R Bonds in the open market at a purchase price not exceeding
par plus accrued interest, as may be directed by the Board; provided, however, that if
proceedings are then pending or imminently contemplated for the establishment and/or
construction of one or more additional educational buildings, which are or will be financed by
the issuance of additional Series Bonds pursuant to the Basic Resolution, and which building or
buildings constitute or will constitute a part of the Consolidated Educational Buildings Project,
any such unexpended balance may be taken into account in determining the amount of Bonds to
be authorized therefor, or may otherwise be applied to the proper costs thereof, in which event
such unexpended balance may, upon authority of the Board, be transferred to the Series
Construction Account thereof, and provided further, that if the Board has made a contribution to
the Construction Account, any surplus to the extent of such contribution shall be transferred back
to the Board.

                                    (End of Article III)



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