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<br />-39- <br />Successor Agency periodic cash transaction statements which shall include detail for all <br />investment transactions made by the Trustee hereunder. <br /> <br />All moneys held by the Trustee shall be held in trust, but need not be segregated from <br />other funds unless specifically required by this Indenture. Except as specifically provided in this <br />Indenture, the Trustee shall not be liable to pay interest on any moneys received by it, but shall <br />be liable only to account to the Successor Agency for earnings derived from funds that have been <br />invested. <br /> <br />The Successor Agency covenants that all investments of amounts deposited in any fund <br />or account created by or pursuant to this Indenture, or otherwise containing gross proceeds of <br />the Bonds (within the meaning of section 148 of the Code) shall be acquired, disposed of, and <br />valued (as of the date that valuation is required by this Indenture or the Code) at Fair Market <br />Value. The Trustee has no duty in connection with the determination of Fair Market Value other <br />than to follow the investment directions of the Successor Agency in any Written Certificate or <br />Written Request of the Successor Agency. <br /> <br />For purposes of this Section 6.07, the term “Fair Market Value” shall mean the price at <br />which a willing buyer would purchase the investment from a willing seller in a bona fide, arm’s <br />length transaction (determined as of the date the contract to purchase or sell the investment <br />becomes binding) if the investment is traded on an established securities market (within the <br />meaning of Section 1273 of the Code) and, otherwise, the term “Fair Market Value” means the <br />acquisition price in a bona fide arm’s length transaction (as referenced above) if (i) the investment <br />is a certificate of deposit that is acquired in accordance with applicable regulations under the <br />Code, (ii) the investment is an agreement with specifically negotiated withdrawal or reinvestment <br />provisions and a specifically negotiated interest rate (for example, a guaranteed investment <br />contract, a forward supply contract or other investment agreement) that is acquired in accordance <br />with applicable regulations under the Code, or (iii) the investment is a United States Treasury <br />Security -- State and Local Government Series which is acquired in accordance with applicable <br />regulations of the United States Bureau of Public Debt. <br /> <br />Section 6.08. Accounting Records and Financial Statements. The Trustee shall at all <br />times keep, or cause to be kept, proper books of record and account, prepared in accordance <br />with industry standards, in which accurate entries shall be made of all transactions of the Trustee <br />relating to the proceeds of the Bonds made by it and all funds and accounts held by the Trustee <br />established pursuant to this Indenture. Such books of record and account shall be available for <br />inspection by the Successor Agency upon reasonable prior notice, at reasonable hours and under <br />reasonable circumstances. The Trustee shall furnish to the Successor Agency, at least monthly, <br />an accounting of all transactions in the form of its customary statements relating to the proceeds <br />of the Bonds and all funds and accounts held by the Trustee pursuant to this Indenture. <br /> <br />Section 6.09. Appointment of Co-Trustee or Agent. It is the purpose of this Indenture that <br />there shall be no violation of any law of any jurisdiction (including particularly the law of the State) <br />denying or restricting the right of banking corporations or associations to transact business as <br />Trustee in such jurisdiction. It is recognized that in the case of litigation under this Indenture, and <br />in particular in case of the enforcement of the rights of the Trustee on default, or in the case the <br />Trustee deems that by reason of any present or future law of any jurisdiction it may not exercise <br />any of the powers, rights or remedies herein granted to the Trustee or hold title to the properties, <br />in trust, as herein granted, or take any other action which may be desirable or necessary in <br />connection therewith, it may be necessary that the Trustee appoint an additional individual or <br />465