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loss or damage thereto in amounts and against such risks as are customarily insured against in connection with similar facilities and undertakings as the System. In the event of loss, the proceeds of such insurance shall be applied solely toward the reconstruction, replacement or repair of the System, and in such event the City will, with reasonable promptness, cause to be commenced and completed the reconstruction, replacement and repair work. Section 19. There shall be a statutory mortgage lien upon the water facilities which are part of the System (including all extensions, improvements and betterments now or hereafter existing) which shall exist in favor of the owner of the bond, and such water facilities shall remain subject to such statutory mortgage lien until payment in full of the principal of and interest on the bond, provided, however, that such statutory mortgage lien shall be interpreted according to the decision of the Supreme Court of the State in City of Harrison v. Braswell, supra. Section 20. The City is hereby authorized to accept the forgiveness of the principal of the bond under the terms of the Agreement. By accepting the forgiveness of the principal, the City is a sub-recipient of a one-time federal grant of funds to the Commission under ARRA. As a sub-recipient, the City is responsible for complying with the specific requirements of ARRA and the conditions of the one-time federal grant of ARRA funds to the Commission. If the City fails to satisfy any ARRA requirements or ARRA grant conditions, the City may be required to refund advances of the purchase price of the Bond. Specific ARRA requirements include but are not limited to: • ARRA Section 1512 Reporting Requirements; ARRA Section 1553 Whistleblower Protections; ARRA Section 1605 Buy American Requirements; ARRA Section 1606 Wage Rate Requirements; and ARRA Sections 902, 1514 and 1515 General Accountability Office and Inspector General Access and Review Requirements. Section 21. Other than as set forth in Section 20 hereof and in the Agreement, all rights of the Bondholder and the Commission under this Ordinance shall cease when all advances have been made against the purchase price of the bond under the Agreement and the principal amount has been forgiven in accordance with Section 20 hereof and the Agreement. Section 22. The provisions of this Ordinance are hereby declared to be separable, and if any provision shall for any reason be held illegal or invalid, it shall not affect the validity of the remainder of this Ordinance. Section 23. Reference in this Ordinance to 'Bondholder" shall include the original Bondholder or any registered assign thereof. 11