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<br />Revenues to the payment of the Parity Bonds in the manner prescribed herein; and it has lawfully
<br />exercised such rights.
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<br />(d) LIENS. It will from time to time and before the same become delinquent pay and
<br />discharge all taxes, assessments and governmental charges, if any, which shall be lawfully imposed
<br />upon it or the System; it will pay all lawful claims for rents, royalties, labor, materials, and supplies
<br />which if unpaid might by law become a lien or charge thereon, the lien of which would be prior
<br />to or interfere with the liens hereof, so that the priority of the liens granted hereunder shall be
<br />fully preserved in the manner provided herein; and it will not create or suffer to be created any
<br />mechanic's, laborer's, materialman's or other lien or charge which might or could be prior to the
<br />liens hereof, or do or suffer any matter or thing whereby the liens hereof might or could be
<br />impaired; provided, however, that no such tax, assessment, or charge, and that no such claims which
<br />might be used as the basis of a mechanic's, laborer's, materialman's, or other lien or charge, shall
<br />be required to be paid so long as the validity of the same shall be contested in good faith by the
<br />City.
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<br />(e) OPERATION OF SYSTEM; NO FREE SERVICE. It shall continuously" and
<br />efficiently operate the System and maintain the System in good condition, repair, and working
<br />order, all at reasonable cost. No free service of the System shall be allowed, and should the City
<br />or any of its agencies or instrumentalities, lessees, or concessionaires make use of the services and
<br />facilities of the System, payment monthly of the standard retail price of the services provided shall
<br />be made by the City or any of its agencies or instrumentalities, lessees, or concessionaires out of
<br />funds from sources other than the revenues of the System, unless made from surplus Net
<br />Revenues.
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<br />(1) FURTHER ENCUMBRANCE. It shall not additionally encumber the Net Revenues
<br />in any manner, except as permitted in the Parity Bonds Ordinances in connection with Additional
<br />Bonds, unless said encumbrance is made junior and subordinate in all respects to the liens, pledges,
<br />covenants, and agreements of the Parity Bonds Ordinances; but the right of the City to issue
<br />revenue bonds payable from a subordinate lien on the surplus Net Revenues is specifically
<br />recognized and retained.
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<br />(g) SALE OR DISPOSAL OF PROPERTY. It shall not sell, convey, mortgage,
<br />encumber, lease, or in any manner transfer title to, or dedicate to other use, or otherwise dispose
<br />of the System, or any significant or substantial part thereof; provided, however, that whenever the
<br />City deems it necessary to dispose of any other property, machinery, fIXtures, or equipment, or
<br />dedicate such property to other use, it may do so either when it has made arrangements to replace
<br />the same or provide substitutes therefor, or it is determined by resolution of the City Council that
<br />no such replacement or substitute is necessary.
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<br />(h) INSURANCE. It agrees to maintain insurance on the System, for the benefit of the
<br />registered owner or owners of the Parity Bon~ of a kind and in an amount which usually would
<br />be carried by private companies engaged in a similar type of business in the same area.
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<br />(i) RECORDS AND AUDITS. It shall keep proper books and records and accounts,
<br />separate from all other records and accounts, in which complete and correct entries shall be made
<br />of all transactions relating to the System. Upon written request made not more than 60 days
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