Section 64125 Of Division 3. California Transportation Financing Authority From California Government Code >> Division 3. >> Title 6.7.
64125
. Each lease agreement, note, mortgage, or other instrument
evidencing the obligations of a project sponsor shall provide that
the rents or principal, interest, and other charges payable by the
project sponsor shall be sufficient at all times, (a) to pay the
principal of, sinking fund payments, if any, the premium, if any, and
the interest on outstanding bonds issued in respect of such project
as the same shall become due and payable, (b) to create and maintain
reserves which may, but need not, be required or provided for in the
resolution relating to the bonds, and (c) to pay its share of the
administrative costs and expenses of the authority. The issuer shall
pledge the revenues derived, and to be derived, from a project or
from a project sponsor for the purposes specified in (a), (b), and
(c) of the preceding sentence and additional bonds may be issued
which may rank on a parity with other bonds relating to the project
to the extent and on the terms and conditions provided in the bond
resolution.