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"0 or principal due on the Bonds and any Additional Bonds if and to the extent that such interest or principal cannot be paid in full from the Revenue Bond Account, after making the transfer from the Operation and Maintenance Account. When and if the balance in the Reserve Account is more than the Reserve Requirement, the excess may be used only (i) for transfer to the Revenue Bond Account and (ii) for the redemption and prepayment of Bonds. Interest earnings on funds in the Reserve Account may be transferred to the Revenue Bond Account. The funds in the Reserve Account may be invested only in securities authorized by State law for investment of municipal funds. It is determined that the Reserve Account is reasonably required in order to market the Bonds and provide adequate security therefor. Moneys in the Reserve Account may be used only for payment of debt service on the Bonds or additional parity bonds, except that such moneys may be used for payment of a final installment maturity, or for such payment if the Bonds are defeased. Money in the Reserve Account may be used only (i) for transfer to the Revenue Bond Account and (ii) for the redemption and prepayment of Bonds. 4.02. The City may issue additional bonds to complete or improve the Project or refund the Bonds either (i) pursuant to the Act or (ii) pursuant to any law authorizing the issuance of such obligations. Any such additional obligations payable solely from the revenues of the Project may be issued on a parity with the Bonds. Additional bonds may be issued if all the following conditions are met: (a) For two complete fiscal years of the City inunediately preceding the issuance of the Additional Bonds, the amount of Net Revenues (i.e., Gross Revenues less operation and maintenance expenses of the Facility) deposited in the Golf Course Fund (i) were sufficient to pay when due all principal and interest due on the Bonds and all costs and expenses payable from the Operations and Maintenance Account in such fiscal years; and (ii) Net Revenues for the two preceding fiscal years were not less than 125% of the maximum principal and interest to become due on all outstanding bonds payable from the Revenue Bond Account and all Additional Bonds to be issued, but excluding any bonds to be refunded by such Additional Bonds; provided that for purposes of this clause (ii) the net revenues for any fiscal year may be increased to reflect any increase in the rates and charges that have been put into effect prior to the issuance of any Additional Bonds but were not in effect for all or part of the last complete fiscal year. (b) The bonds mature on November 1 and are not made subject to redemption on a date prior to any outstanding bonds payable from the Revenue Bond Account or, if the bonds are refunding bonds, on a date prior to the date on which the refunded bonds were subject to redemption. (c) In the case of refunding bonds, if an escrow fund is to be established, the City obtains a report of an independent certified public accountant that the moneys and securities on hand in the escrow account are sufficient to pay the principal, premium, if any, and interest on the refunded bonds on their stated maturity dates or any date on which any of the refunded bonds have been called for redemption and DlK-165146 NE136-152