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less than the present value of expected interest savings as a result of the Insurance, determined by using the yield of the Bonds (including fees for the Insurance) as the discount rate in computing present value; and (iv) based on the experience of the Underwriter in assisting issuers to obtain municipal bond insurance, the fees for the Insurance do not exceed a reasonable, arm's-length charge for the transfer of credit risk represented by the Insurance and do not include any payment for any direct or indirect services other than the transfer of credit risk. (s) Yield of the Lease Payments. The Members will pay Lease Payments in the time and amount necessary to enable the Authority to pay debt service on the Bonds. Neither the Authority nor the Members intend that the interest component of Lease Payments will be exempt from gross income for purposes of federal income taxation. The composite yield of the Lease Payments will not exceed the yield of the Bonds by more than one-eighth of one percent (.125%), computed by (i) excluding costs and expenses paid, directly or indirectly, to purchase, carry, sell, and retire the Lease Agreements, (ii) excluding costs of issuing carrying and repaying the Bonds and the Underwriter's discount, (iii) assuming that Lease Payments are not paid until the Members ceases to receive the benefit of earnings on Lease Payments, and (iv) using the same redemption assumptions used to compute the yield of the Bonds. (t) Allocation of Issue Price. The issue price of the Bonds is allocated in accordance with the allocation of the principal amount of the Bonds to the respective Members. The principal amount of the Bonds is allocated among the respective Members in accordance with the principal components of the respective Lease Agreements as compared with the sum of the principal components of the Lease Agreements (which sum equals the principal amount of the Bonds). The principal amount of the Bonds and the percentage of the total principal amount of the Bond allocable to the respective Members is as follows: (i) The principal allocable to the City of Brea is $1,145,000 (being 4.13 percent of the total principal amount of the Bonds; (ii) The principal allocable to the City of Buena Park is $3,445,000 (being 12.43 percent of the total principal amount of the Bonds; (iii) The principal allocable to the City of Fullerton is$5,005,000 (being 18.05 percent of the total principal amount of the Bonds; (iv) The principal allocable to the City of Garden Grove is $3,410,000 (being 12.30 percent of the total principal amount of the Bonds; (v) The principal allocable to the City of Orange is $3,725,000 (being 13.44 percent of the total principal amount of the Bonds; (vi) The principal allocable to the City of Santa Ana is $6,655,000 (being 24.00 percent of the total principal amount of the Bonds; (vii) The principal allocable to the City of Seal Beach is $1,265,000 (being 4.56 percent of the total principal amount of the Bonds; 7