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m FINANCING: If the proposed bond issue is approved and authorized at the September 30th election, the District will issue bonds that will be the general obligations.of the District, for the payment of which the full faith, credit and resources of the District will be pledged? provided, however, that so far as possible principal and interest will be paid from revenues. In the event that revenue from operations should prove in­sufficient to meet principal and interest payments, and to cover maintenance and de­preciation charges, the deficit would be supplied from tax revenues in the District. MATURITY: Based upon the best engineering and fiscal data currently avail­able, the District anticipates that the bonds will be set up to mature over a 30 year period, commencing in 1955 and running to I98I4.. Interest on total bonded debt would start to accrue as soon as the bonds are issued and sold, but the annual payments on principal through retirement of bonds is not scheduled until 1955* As now set up, the proposed bond maturity schedule calls for retirement of $200,000 annually in 1955* 1956 and 1957* Thereafter the amount would increase from #260,000 in 1958 up to a maximum of #1*05,000 in 1962. In 1963 $350,000 would be retired. After that the yearly retirement of principal would be fixed at $290,000. Final determination concerning the length of the maturity, and the amounts to be retired each year, as well as any callable features, must necessarily depend upon marketing conditions existing when the bonds are sold. In this connection, the District is given considerable latitude under the law, which provides tint bonds may carry a maximum of 6% interest rate, and may run for a maximum period of 1*0 years. u.