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Money in the Retirement Fund may be invested in any authorized investments, provided that the maturity or maturities thereof shall not be later than the date or dates on which money must be available in the Retirement Fund for call or retirement of bonds. If after all of the outstanding bonds have been redeemed and cancelled or paid and cancelled there are any moneys remaining in the Retirement Fund said money shall be transferred to the Revenue Fund; provided, however, that if said moneys are part of the proceeds of refunding bonds said moneys shall be transferred to the fund or account created for the payment of the principal of such refunding bonds. Under this resolution and in the event any subsequent resolution provides for the issuance of term bonds, the minimum term bond payments to be placed in the Retirement Fund for term bonds of this series and for any outstanding term bonds shall rank on a parity with the minimum term bond payments to be placed in the Retirement Fund for the redemption of the terms bonds of Series B. (e) Reserve Fund. From any available funds of the City including the Water Utility Fund there shall be immediately placed in the Reserve Fund an amount, which together with the amount therein, shall be an amount equal to the maximum amount of annual debt service as defined herein, and thereafter there shall be maintained in said fund an amount equal to said maximum amount of annual debt service. The Reserve Fund may be invested in any authorized investments, provided that the maturity of said investment shall not be later than twelve years from the date thereof. Upon the sale of any parity bonds there shall be immediately placed in the Reserve Fund from any available funds of the city including the Water Utility Fund an amount which will make the Reserve Fund equal to the maximum amount of annual debt service and thereafter there shall be maintained in said Reserve Fund an amount at least equal to said maximum amount of annual debt service. Moneys in the Reserve Fund shall be used solely for the purpose of paying the principal of and interest on the outstanding bonds and for the redemption of the outstanding term bonds (in- cluding premiums thereon) in the principal amounts provided herein in the event that the moneys in the Interest Fund or the Retirement Fund are insufficient therefor and for that purpose the Director of Finance shall withdraw and transfer moneys from the Reserve Fund to the appropriate fund as the case may be. Whenever moneys are withdrawn from the Reserve Fund for the pur- poses provided in this section an equal amount of money shall be placed in the Reserve Fund from the first available moneys in the Revenue Fund. At least annually an amount in the Reserve Fund in excess of the maximum amount of annual debt service shall be transferred to the Revenue Fund. Money in the Reserve Fund may be used to pay the principal and/or interest on the last maturity of the outstanding bonds. (f) Water Utility Fund. All moneys remaining in the Revenue Fund on or before the last business day of each month, after setting aside and transferring all the sums required to be set aside and transferred by the preceding paragraphs of this section, shall be transferred to the Water Utility Fund. The necessary and reasonable maintenance and operation costs of the enterprise shall be paid from this fund and shall be separately accounted for as maintenance and operation expenses. (g) Surplus. After the above transfers and uses have been made and all other covenants of the city contained herein have been duly performed moneys in the Water Utility Fund are surplus and may be (i) used for extensions and betterments of the water system; (ii) invested in any securities in which the city may invest funds subject to its control; (iii) transferred to the Retirement Fund to be used for the redemption of any of said bonds which are subject to call and redemption prior to maturity or to the purchase from time to time in the open market 9