Section 8.04. Pro Rata Application of Revenue Fund.

           Anything in this Resolution to the contrary notwithstanding, if at
any time the Revenues in the Revenue Fund shall not be sufficient to pay the
interest on or the principal of the Bonds and Parity Indebtedness as the same
shall become due and payable, such moneys, together with any moneys then
available or thereafter becoming available for such purpose, whether through
the exercise of the remedies provided for in this Article or otherwise, shall
be applied as follows:

           (a) If the principal of all the Bonds and Parity Indebtedness shall
not have become due and payable, all such moneys shall be applied:

                first:  to the payment to the persons entitled thereto of all
           installments of interest then due and payable in the order in which
           such  installments  become   due  and  payable   and,  if  the  amount
           available shall not be sufficient to pay in full any particular
           installment, then to the payment, ratably, according to the amounts
           due on such installment, to the persons entitled thereto, without
           any discrimination or preference except as to any difference in the
           respective  rates of interest specified    in the Bonds and in      the
           Parity Indebtedness;

                second:  to the payment of the principal of the Bonds and the
           Parity Indebtedness, ratably, to the persons entitled thereto,
           without preference or priority of any Bond over any other Bond.

           Whenever moneys are to be applied by the State Treasurer pursuant to
the provisions  of this Section, such moneys shall be applied by the State
Treasurer at such times, and from time to time, as the State Treasurer, in his
sole discretion, shall determine, having due regard to the amount of such
moneys  available  for  application  and  the  likelihood  of  additional  moneys
becoming available for such application in the future; the deposit of such
moneys with the Paying Agents, or otherwise setting aside such moneys, in trust
for the proper purpose shall constitute proper application by the State
Treasurer; and the State Treasurer shall incur no liability whatsoever to the
Board, to the Owners of Bonds or holders of Parity Indebtedness, or to any
other persons. for any delay in applying any such moneys, so long as the State
Treasurer  acts   with   reasonable   diligence,   having   due   regard   to  the
circumstances,  and  ultimately   applies   the  same  in  accordance  with   such
provisions of this Resolution as may be applicable at the time of application
by  the  State Treasurer.   Whenever the State Treasurer shall exercise       such
discretion in applying such moneys, he shall fix the date upon which such
application is   to  be made and upon such     date interest on the amounts of
principal to be paid on such date shall cease to accrue.      The State Treasurer
shall give such notice as he may deem appropriate of the fixing of any such
date and shall not be required to make payment to the Owner of any Bond or
holder  of any   Parity  Indebtedness  until such   Bond  or evidence   of Parity
Indebtedness shall be surrendered to the State Treasurer for appropriate
endorsement, or for cancellation if fully paid.



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