Document:

EX-4.Q
                  INDENTURE OF TRUST DATED AS OF AUGUST, 1995

                             INDENTURE OF TRUST

                                   BETWEEN

                            TOOELE COUNTY, UTAH,
                                  AS ISSUER

                                     AND

                            WEST ONE BANK, UTAH,
                                 AS TRUSTEE

                       -------------------------------

                         Dated as of August 1, 1995

                       -------------------------------

                             Tooele County, Utah
                   Hazardous Waste Disposal Revenue Bonds
               (Laidlaw Inc./USPCI Clive Project) Series 1995

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                              TABLE OF CONTENTS

      (THIS TABLE OF CONTENTS IS NOT A PART OF THIS INDENTURE OF TRUST
                 AND IS FOR CONVENIENCE OF REFERENCE ONLY.)

<TABLE>
<S>                                                                                             <C>

ARTICLE I
DEFINITIONS ....................................................................................  5
         SECTION 101.        DEFINITIONS........................................................  5
         SECTION 102.        RULES OF CONSTRUCTION.............................................. 13

ARTICLE II

THE BONDS....................................................................................... 15

         SECTION 201.        AUTHORIZED AMOUNT OF BONDS......................................... 15
         SECTION 202.        ISSUANCE OF THE SERIES 1995 BONDS; CERTAIN
                             TERMS.............................................................. 15
         SECTION 203.        INTEREST ON THE BONDS.............................................. 16
         SECTION 204.        FORM OF BONDS AND TEMPORARY BONDS.................................. 17
         SECTION 205.        EXECUTION; SPECIAL LIMITED OBLIGATION.............................. 17
         SECTION 206.        AUTHENTICATION..................................................... 17
         SECTION 207.        DELIVERY OF THE SERIES 1995 BONDS.................................. 18
         SECTION 208.        ISSUANCE OF ADDITIONAL BONDS....................................... 19
         SECTION 209.        MUTILATED, LOST, STOLEN OR DESTROYED BONDS......................... 20
         SECTION 210.        BOND REGISTER; TRANSFER AND EXCHANGE OF
                             BONDS; PERSONS TREATED AS OWNERS................................... 21
         SECTION 211.        BOOK ENTRY PROVISIONS.............................................. 22
         SECTION 212.        CANCELLATION....................................................... 24

ARTICLE III

REDEMPTION OF BONDS............................................................................. 25
         SECTION 301.        OPTIONAL REDEMPTION OF SERIES 1995 BONDS........................... 25
         SECTION 302.        EXTRAORDINARY OPTIONAL REDEMPTION.................................. 25
         SECTION 303.        SPECIAL MANDATORY REDEMPTION....................................... 26
         SECTION 304.        NOTICE OF REDEMPTION............................................... 27
         SECTION 305.        BONDS PAYABLE ON REDEMPTION DATE................................... 28
         SECTION 306.        BONDS REDEEMED IN PART............................................. 28
         SECTION 307.        ELECTION TO REDEEM; NOTICE TO TRUSTEE AND
                             ISSUER............................................................. 29
         SECTION 308.        SELECTION OF BONDS TO BE REDEEMED.................................. 29
         SECTION 309.        DEPOSIT OF REDEMPTION PRICE........................................ 29

ARTICLE IV

FUNDS AND ACCOUNTS.............................................................................. 30
         SECTION 401.        ESTABLISHMENT OF FUNDS AND ACCOUNTS................................ 30
         SECTION 402.        DISPOSITION OF PROCEEDS OF SALE OF SERIES
                             1995 BONDS......................................................... 30

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         SECTION 403.        BOND FUND.......................................................... 30
         SECTION 404.        CONSTRUCTION FUND.................................................. 31
         SECTION 405.        REBATE FUND........................................................ 32

ARTICLE V

INVESTMENT OF MONEYS............................................................................ 34

ARTICLE VI

SATISFACTION OF THE INDENTURE................................................................... 35
         SECTION 601.        DISCHARGE OF INDENTURE............................................. 35
         SECTION 602.        BONDS DEEMED PAID.................................................. 35

ARTICLE VII

GENERAL COVENANTS............................................................................... 37
         SECTION 701.        PAYMENT OF PRINCIPAL, PREMIUM, IF ANY, AND
                             INTEREST; NO GENERAL OBLIGATION.................................... 37
         SECTION 702.        PERFORMANCE OF COVENANTS; LEGAL
                             AUTHORIZATION...................................................... 37
         SECTION 703.        FURTHER ASSURANCES................................................. 37
         SECTION 704.        IMMUNITIES AND LIMITATIONS OF
                             RESPONSIBILITY OF ISSUER........................................... 37
         SECTION 705.        RECORDING AND FILING............................................... 38
         SECTION 706.        BOOKS AND RECORDS.................................................. 38
         SECTION 707.        DEFENSE OF ISSUER'S RIGHTS......................................... 38
         SECTION 708.        ARBITRAGE; COMPLIANCE WITH PROCEEDS
                             CERTIFICATE........................................................ 39
         SECTION 709.        CONTINUING DISCLOSURE ..............................................39

ARTICLE VIII

EVENTS OF DEFAULT............................................................................... 40
         SECTION 801.        EVENTS OF DEFAULT.................................................. 40
         SECTION 802.        ACCELERATION....................................................... 41
         SECTION 803.        REMEDIES; RIGHTS OF BONDHOLDERS.................................... 41
         SECTION 804.        TRUSTEE MAY FILE PROOFS OF CLAIM................................... 42
         SECTION 805.        DIRECTION OF PROCEEDINGS BY BONDHOLDERS............................ 43
         SECTION 806.        APPOINTMENT OF RECEIVERS........................................... 43
         SECTION 807.        APPLICATION OF MONEYS.............................................. 43
         SECTION 808.        REMEDIES VESTED IN TRUSTEE......................................... 44
         SECTION 809.        RIGHTS AND REMEDIES OF BONDHOLDERS................................. 45
         SECTION 810.        TERMINATION OF PROCEEDINGS......................................... 45
         SECTION 811.        WAIVERS OF EVENTS OF DEFAULT....................................... 45
         SECTION 812.        NOTICE OF DEFAULT.................................................. 45
         SECTION 813.        DEMAND UNDER GUARANTY.............................................. 46
         SECTION 814.        LIMITATION OF LIABILITY............................................ 46

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ARTICLE IX

TRUSTEE......................................................................................... 47
         SECTION 901.        ACCEPTANCE OF TRUSTS............................................... 47
         SECTION 902.        COMPENSATION AND EXPENSES OF TRUSTEE............................... 49
         SECTION 903.        NOTICE TO BONDHOLDERS IF DEFAULT OCCURS............................ 50
         SECTION 904.        GOOD FAITH RELIANCE................................................ 50
         SECTION 905.        DEALINGS IN BONDS.................................................. 50
         SECTION 906.        INTERVENTION BY TRUSTEE............................................ 50
         SECTION 907.        SUCCESSOR TRUSTEE BY MERGER OR CONSOLIDATION....................... 51
         SECTION 908.        TRUSTEE REQUIRED; ELIGIBILITY...................................... 51
         SECTION 909.        RESIGNATION BY THE TRUSTEE......................................... 51
         SECTION 910.        REMOVAL OF THE TRUSTEE............................................. 51
         SECTION 911.        APPOINTMENT OF SUCCESSOR TRUSTEE BY THE
                             BONDHOLDERS; TEMPORARY TRUSTEE..................................... 51
         SECTION 912.        JUDICIAL APPOINTMENT OF SUCCESSOR TRUSTEE.......................... 52
         SECTION 913.        CONCERNING ANY SUCCESSOR TRUSTEES.................................. 52
         SECTION 914.        SUCCESSOR TRUSTEE AS TRUSTEE OF FUNDS.............................. 53

ARTICLE X

SUPPLEMENTAL INDENTURES......................................................................... 54
         SECTION 1001.       SUPPLEMENTAL INDENTURES NOT REQUIRING
                             CONSENT OF BONDHOLDERS............................................. 54
         SECTION 1002.       SUPPLEMENTAL INDENTURES REQUIRING CONSENT
                             OF BONDHOLDERS..................................................... 55

ARTICLE XI

AMENDMENTS TO THE LOAN AGREEMENT................................................................ 58
         SECTION 1101.       AMENDMENTS, ETC. TO LOAN AGREEMENT NOT
                             REQUIRING CONSENT.................................................. 58
         SECTION 1102.       AMENDMENTS, ETC. TO LOAN AGREEMENT REQUIRING
                             CONSENT OF BONDHOLDERS............................................. 59

ARTICLE XII

MISCELLANEOUS................................................................................... 60
         SECTION 1201.       PARTIES IN INTEREST................................................ 60
         SECTION 1202.       SEVERABILITY....................................................... 60
         SECTION 1203.       DELIVERY OF NOTICES; DELIVERY OF BONDS............................. 60
         SECTION 1204.       COUNTERPARTS....................................................... 61
         SECTION 1205.       GOVERNING LAW...................................................... 61
         SECTION 1206.       IMMUNITY OF OFFICERS AND EMPLOYEES OF ISSUER....................... 61
         SECTION 1207.       BONDS OWNED BY THE ISSUER, THE GUARANTOR OR
                             THE COMPANY........................................................ 61
         SECTION 1208.       PLEDGE AND UNDERTAKING OF THE STATE................................ 62

EXHIBIT "A"                  FORM OF BOND...................................................... A-1
EXHIBIT "B"                  DTC LETTER OF REPRESENTATIONS..................................... B-1

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         THIS INDENTURE OF TRUST, dated as of August 1, 1995 (the "Indenture"),
between TOOELE COUNTY, UTAH (the "Issuer"), a duly organized and existing
political subdivision of the State of Utah, whose mailing address is 47 South
Main, Tooele, Utah 84074, and WEST ONE BANK, UTAH (the "Trustee"), a banking
institution duly established, existing and authorized to accept and execute
trusts of the character herein set out under and by virtue of the laws of the
State of Utah, whose principal corporate trust office, domicile and mailing
address is 107 South Main Street, Salt Lake City, Utah 84111, Attention:
Corporate Trust Department:

                                 WITNESSETH:

         WHEREAS, the Legislature of the State of Utah has enacted the Utah
Industrial Facilities and Development Act, Title 11, Chapter 17, Utah Code
Annotated 1953, as amended (the "Act"), for the purpose of achieving greater
industrial development in the State of Utah and protecting and promoting the
health, welfare and safety of the citizens of the State of Utah; and

         WHEREAS, the Act authorizes counties of the State of Utah to issue
revenue bonds for the purpose, among other things, of defraying the cost of
financing, acquiring, constructing, improving, equipping, furnishing or
maintaining any project or projects suitable for, among other things, industrial
purposes, for the reduction, abatement or prevention of pollution and for any
other business purpose, such project or projects to consist of any land,
interest in land, building, structure, facility, system, fixture, improvement,
appurtenance, machinery or equipment; and

         WHEREAS, the Issuer is a county of the State of Utah within the meaning
of the Act; and

         WHEREAS, USPCI Clive Incineration Facility, Inc., an Oklahoma
corporation (the "Company") has requested that the Issuer issue bonds to
finance, in part, the acquisition, construction and equipping of a hazardous
waste disposal and treatment facility for the reduction, abatement or prevention
of pollution and for certain other business purposes as more particularly
described herein (the "Project"); and

         WHEREAS, pursuant to the Act, in connection with the issuance of the
Series 1995 Bonds under the Act, the Issuer is entitled to provide for and enter
into agreements incident to the financing of the Project to accomplish the
purposes of the Act and the performance of the Issuer's obligations relative to
the Series 1995 Bonds, including but not limited to the specification of the
terms and conditions under which the Series 1995 Bonds may be issued, the
officer of the Issuer responsible for the issuance, execution and delivery of
the Series 1995 Bonds, the source of payment on the Series 1995 Bonds and all
other details necessary or appropriate for the issuance of the Series 1995 Bonds
not inconsistent with the Act, it being the intention of the Issuer that the
provisions of this Indenture are determined and established in compliance with
and in furtherance of the authority granted the Issuer under the Act to
accomplish the foregoing purposes; and

         WHEREAS, pursuant to and in accordance with the provisions of the Act,
by resolution duly adopted (the "Resolution"), and in furtherance of the intent
and

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purposes of the Act, the Issuer has authorized the issuance of its Hazardous
Waste Disposal Revenue Bonds (Laidlaw Inc./USPCI Clive Project), Series 1995, in
an aggregate principal amount of $10,000,000 (the "Series 1995 Bonds") and the
execution and delivery of an indenture providing for the issuance of such Series
1995 Bonds and for their security; and

         WHEREAS, the Issuer will loan the proceeds of the Series 1995 Bonds to
the Company pursuant to a Loan Agreement, dated as of August 1, 1995 (the "Loan
Agreement"), by and between the Company and the Issuer, pursuant to which the
Company will covenant, among other things, to make payments at such times and in
such amounts so as to provide for payment of (i) the principal of, premium, if
any, and interest on the Series 1995 Bonds outstanding under this Indenture, and
(ii) all other amounts payable under this Indenture; and

         WHEREAS, Laidlaw Inc., a Canadian corporation (the "Guarantor") is the
indirect owner of the Company, and the Guarantor desires to execute and deliver
a Guaranty (the "Guaranty") whereby the Guarantor will guaranty payment of all
obligations of the Company with respect to the Series 1995 Bonds; and

         WHEREAS, the Issuer is authorized under the Act to issue its revenue
bonds for the aforesaid purposes and the Issuer has determined that the public
interest will be best served and that the purposes of the Act can be
advantageously achieved by the Issuer's issuance of the Series 1995 Bonds in
order to obtain funds to loan to the Company for the foregoing purposes; and

         WHEREAS, provision is made herein for the issuance of additional bonds
from time to time which will rank on a parity with the Series 1995 Bonds for the
purposes, upon the terms and subject to the conditions provided for herein; and

         WHEREAS, all things necessary to make the Series 1995 Bonds, when
authenticated by the Trustee and issued as in this Indenture provided, the
valid, binding and legal obligations of the Issuer according to the import
thereof, and to constitute this Indenture a valid assignment and pledge of the
payments and prepayments under the Loan Agreement to be applied to the payment
of the principal of, premium, if any, and interest on the Bonds (as hereinafter
defined) and to the payment of certain other amounts, and a valid assignment of
the right, title and interest of the Issuer under the Loan Agreement and amounts
payable to the Issuer under the Loan Agreement (except fees and expenses payable
to the Issuer and the Issuer's rights relating to indemnification and notice),
have been done and performed, and the creation, execution and delivery of this
Indenture, and the creation, execution and issuance of the Series 1995 Bonds,
subject to the terms hereof, have in all respects been duly authorized:

         NOW, THEREFORE, THIS INDENTURE WITNESSETH:

         That the Issuer, in consideration of the premises and the acceptance by
the Trustee of the trusts hereby created and of the purchase and acceptance of
the Bonds by the owners thereof, and of other good and lawful consideration, the
receipt of which is hereby acknowledged, and to secure the payment of the
principal of, premium, if any, and interest on the Bonds according to their
tenor and effect and the

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payment of certain other amounts and to secure the performance and observance by
the Issuer of all of the covenants and conditions herein or therein contained,
by these presents does hereby convey, assign, transfer, pledge, set over and
confirm and grant a security interest in, unto the Trustee, its successor or
successors and its or their assigns forever, with power of sale, all and
singular the property hereinafter described (said property being herein
sometimes referred to as the "Trust Estate"), to wit:

                               GRANTING CLAUSES

                                  DIVISION I

         All right, title and interest of the Issuer in and to the Loan
Agreement and the amounts payable to the Issuer under the Loan Agreement
(excluding the Issuer's rights relating to the payment of fees, the
reimbursement of expenses, indemnification and notice);

                                 DIVISION II

         The Bond Fund and the Construction Fund (as each such term is
hereinafter defined), including moneys and obligations therein, held by the
Trustee (except moneys or obligations deposited with or paid to the Trustee for
payment or redemption of Bonds that are deemed no longer to be outstanding
hereunder) pursuant to the terms of this Indenture;

                                 DIVISION III

         Any and all other property of every kind and nature from time to time
hereafter, by delivery or by writing of any kind, conveyed, pledged, assigned or
transferred as and for additional security hereunder by the Issuer or the
Company or by anyone on their behalf to the Trustee, subject to the terms
thereof, including without limitation debt service reserve or similar funds,
letters or lines of credit, bond insurance policies, guaranties, including the
Guaranty or other forms of credit enhancement or funds of the Company held by
the Trustee as security for the Bonds.

                              EXCEPTED PROPERTY

         There is, however, expressly excepted and excluded from the lien and
operation of this Indenture amounts to be transferred pursuant to this Indenture
to, or held by the Trustee in, the Rebate Fund established hereunder;

         TO HAVE AND TO HOLD, all and singular, the properties and the rights
and privileges hereby conveyed, assigned and pledged by the Issuer or intended
so to be, unto the Trustee and its successors and assigns forever, in trust,
nevertheless, with power of sale for the equal and pro rata benefit and security
of each and every owner of the Bonds issued and to be issued hereunder, without
preference, priority or distinction as to participation in the lien, benefit and
protection hereof of one Bond over or from the others, by reason of priority in
the issue or negotiation or maturity thereof, or for any other reason
whatsoever, except as herein otherwise expressly provided, so that each and all
of such Bonds shall have the same right, lien and privilege under this Indenture
and shall be equally secured hereby with the same effect as if the same had

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all been made, issued and negotiated simultaneously with the delivery hereof and
were expressed to mature on one and the same date;

         PROVIDED, NEVERTHELESS, and these presents are upon the express
condition that if the Issuer or its successors or assigns shall well and truly
pay or cause to be paid the principal of the Bonds, with interest according to
the provisions set forth in the Bonds, or shall provide for the payment or
redemption of the Bonds by depositing or causing to be deposited with the
Trustee the entire amount of funds or securities required for payment or
redemption thereof when and as authorized by the provisions hereof, or shall
provide, as permitted hereby, for the payment thereof in accordance with Article
VI hereof, and shall also pay or cause to be paid all other sums payable
hereunder by the Issuer, then these presents and the estate and rights hereby
granted shall cease, determine and become void, and thereupon the Trustee, on
payment of its lawful charges and disbursements then unpaid, on demand of the
Issuer and upon the payment of the costs and expenses thereof, shall duly
execute, acknowledge and deliver to the Issuer and the Company such instruments
of satisfaction or release as may be necessary or proper to discharge this
Indenture, including, if appropriate, any required discharge of record, and if
necessary shall grant, reassign and deliver to the Issuer, its successors or
assigns, all and singular the property, rights, privileges and interests by it
hereby granted, conveyed and assigned, and all substitutes therefor, or any part
thereof, not previously disposed of or released as herein provided; otherwise
this Indenture shall be and remain in full force and effect.

         AND IT IS HEREBY COVENANTED, DECLARED AND AGREED by and between the
parties hereto that all Bonds are to be issued, authenticated and delivered, and
that all the Trust Estate is to be held and applied, subject to the further
covenants, conditions, releases, uses and trusts hereinafter set forth, and the
Issuer, for itself and its successors, does hereby covenant and agree to and
with the Trustee and its respective successors in said trust, for the benefit of
those who shall hold the Bonds, or any of them, as follows:

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                                  ARTICLE I

                                 DEFINITIONS

         SECTION 101. DEFINITIONS. To the extent not defined herein, capitalized
terms used in this Indenture shall have the same meanings as set forth in the
Loan Agreement. In addition to the capitalized words and terms used herein and
defined in the Loan Agreement or elsewhere in this Indenture, the following
words and terms as used in this Indenture shall have the following meanings
unless the context or use indicates another or different meaning or intent:

         "ACT" means the Utah Industrial Facilities and Development Act, Title
11, Chapter 17, Utah Code Annotated 1953, as amended.

         "ACT OF BANKRUPTCY OF GUARANTOR" means that the Guarantor has become
insolvent or has failed to pay its debts generally as such debts become due or
has admitted in writing its inability to pay any of its indebtedness or has
consented to or has petitioned or applied to any authority for the appointment
of a receiver, liquidator, trustee, or similar official for itself or for all or
any substantial part of its properties or assets or that any such trustee,
receiver, liquidator, or similar official has otherwise been appointed or that
bankruptcy, insolvency, reorganization, arrangement, or liquidation proceedings
(or similar proceedings) have been instituted by or against the Guarantor, and,
in the case such proceedings are instituted against the Guarantor, such
proceedings continue undismissed in excess of 90 days.

         "ADDITIONAL BONDS" means the parity bonds authorized to be issued by
the Issuer pursuant to the terms and conditions of this Indenture in addition to
the Series 1995 Bonds.

         "AFFILIATE" means, with respect to the Company, any other Person which,
directly or indirectly, through one or more intermediaries, controls or is
controlled by, or is under common control with, the Company. For the purposes of
this definition, the term "control" means the possession, directly or
indirectly, of the power to direct or cause the direction of the management and
policies of the Company, whether through the ownership of voting securities, by
contract or otherwise; and the terms "controlling" and "controlled" have
meanings correlative to the foregoing.

         "AUTHORIZED COMPANY REPRESENTATIVE" means the person or persons at the
time and from time to time designated, by written certificate furnished to the
Issuer and the Trustee, as the person or persons authorized to act on behalf of
the Company. Such certificate shall contain the specimen signature of such
person or persons, shall be signed on behalf of the Company by the President,
any Vice President, a Treasurer or any Assistant Treasurer of the Company and
may designate alternate Authorized Company Representatives. The Authorized
Company Representative may, but need not, be an employee of the Company.

         "AUTHORIZED DENOMINATIONS" means $5,000 and any integral multiple
thereof.

         "AUTHORIZED GUARANTOR REPRESENTATIVE" means the person or persons at
the time and from time to time designated, by written certificate furnished to
the Issuer and the

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Trustee, as the person or persons authorized to act on behalf of the Guarantor.
Such certificate shall contain the specimen signature of such person or persons,
shall be signed on behalf of the Guarantor by the President, any Executive Vice
President or Senior Vice President or the Treasurer of the Guarantor and may
designate alternate Authorized Guarantor Representatives. The Authorized
Guarantor Representative may, but need not, be an employee of the Guarantor.

         "AUTHORIZED ISSUER REPRESENTATIVE" means the person or persons at the
time and from time to time designated, by written certificate furnished to the
Company and the Trustee, as the person or persons authorized to act on behalf of
the Issuer. Such certificate shall contain the specimen signature of such person
or persons, shall be signed on behalf of the Issuer by the Chairman of the
Governing Body and may designate alternate Authorized Issuer Representatives.
The Authorized Issuer Representative may, but need not, be an employee of the
Issuer.

         "BANKRUPTCY CODE" means Title 11 of the United States Code, as now or
hereafter constituted.

         "BOND COUNSEL" means the firm of Ballard Spahr Andrews & Ingersoll, or
any other law firm having a national reputation in the field of municipal law
whose opinions are generally accepted by purchasers of municipal bonds and
appointed by resolution of the Issuer.

         "BOND FUND" means the trust fund so designated which is created and
established with the Trustee pursuant to Section 401 hereof.

         "BONDHOLDER", "HOLDER", "OWNER" or "OWNER OF THE BONDS" means the
registered owner of any Bond.

         "BOND PURCHASE CONTRACT" means a bond purchase contract between the
Issuer and BA Securities, Inc., providing for its purchase from time to time of
Series 1995 Bonds.

         "BOND REGISTER" means the registration books of the Issuer kept by the
Trustee to evidence the registration, transfer and exchange of Bonds.

         "BOND RESOLUTION" means the resolution of the Governing Body adopted
August 1, 1995 authorizing the issuance and sale of the Series 1995 Bonds.

         "BONDS" means the Series 1995 Bonds and any Additional Bonds,
collectively.

         "BUSINESS DAY" means any day other than (a) a Saturday, (b) a Sunday,
(c) a day on which (i) the Principal Office of the Trustee, or (ii) banking
institutions located in the City of New York, New York, are authorized or
required by law or executive order to be closed, or (d) a day on which the New
York Stock Exchange is closed.

         "CHAIRMAN" means the duly elected Chairman or Vice Chairman of the
Governing Body or any successor to the principal functions thereof or any other
member of the Governing Body temporarily designated by the Issuer to serve pro
tempore as Chairman.

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<PAGE>

         "CODE" means the Internal Revenue Code of 1986, as amended from time to
time. Each reference to a Section of the Code herein shall be deemed to include
the United States Treasury Regulations, including temporary and proposed
regulations, relating to such Section which are applicable to the Bonds or the
use of the proceeds thereof.

         "COMPANY" means USPCI Clive Incineration Facility, Inc., an Oklahoma
Corporation, its successors and assigns and any surviving, resulting or
transferee entity as permitted under the Loan Agreement.

         "COMPANY DOCUMENTS" means the Loan Agreement and the Proceeds
Certificate.

         "COMPLETION CERTIFICATE" means the certificate delivered by the Company
pursuant to Section 3.4 of the Loan Agreement.

         "CONSTRUCTION" (and other forms of the word "construct"), when used
with reference to any portion of the Project, means acquisition, construction,
improvement, renovation, equipping, installation and furnishing.

         "CONSTRUCTION FUND" means the trust fund so designated which is created
and established pursuant to Section 401 hereof.

         "DEFAULT RATE" means the per annum rate of interest announced publicly
by the Trustee from time to time as its base rate.

         "DTC" means The Depository Trust Company, New York, New York, a
limited-purpose trust company organized under the laws of the State of New
York.

         "ELIGIBLE SECURITIES" means, to the extent permitted by law, any of the
following securities, maturing (or redeemable at the option of the holder
thereof), at such time or times as to enable disbursements to be made from the
fund in which such investment is held in accordance with the terms hereof:

                           (a)      Direct obligations of the United States of
                  America or obligations to the full and prompt payment of which
                  the full faith and credit of the United States of America is
                  pledged or evidences of direct ownership in future interest
                  and principal payments on such obligations held by a bank or
                  trust company, as custodian, under which the owner of the
                  investment is the real party in interest and has the right to
                  proceed directly and individually against the obligor on such
                  obligations, and which underlying obligations are not
                  available to satisfy any claim of the custodian or any person
                  claiming through the custodian or to whom the custodian may be
                  obligated;

                           (b)
                                    (i)    any obligation, the interest on
                           which is excludable from gross income of the owner
                           thereof for federal income tax purposes; and

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<PAGE>

                                    (ii)   stock of a corporation during any
                           quarter of the taxable year of the corporation
                           that--

                                           (1)    the corporation is a regulated
                                    investment company (as defined in Section
                                    851(a) of the Code) which, for the taxable
                                    year, meets the requirements of Sectio
                                    852(a) of the Code;

                                           (2)    the corporation has authorized
                                    and outstanding only one class of stock;

                                           (3)    the corporation to the
                                    extent practicable invests all its assets in
                                    obligations described in subclause (i) of
                                    this clause (b); and

                                           (4)    at least 98 percent of--

                                                  (A) the gross income of the
                                           corporation (without regard to the
                                           exclusion of interest from gross
                                           income under Section 103 of the Code)
                                           is derived from interest on or gains
                                           from the sale or other disposition of
                                           obligations described in subclause
                                           (i) of this clause (b); or

                                                  (B) the weighted average value
                                           of the assets of the corporation is
                                           represented by investments in
                                           obligations described in sublcause
                                           (i) of this clause (b); and

                                    (iii)   any other investment which qualifies
                           as a tax-exempt bond for purposes of Section
                           148(b)(3)(A) of the Code and the applicable United
                           States Treasury Regulations;

                           provided that, at the time of purchase of any
                           investment under this clause (b), such investment
                           is rated in either of the two highest rating
                           categories (without regard to pluses or minuses) of
                           the Rating Service;

                           (c)      Evidences of indebtedness issued by any of
                  the following: Bank for Cooperatives; Export-Import Bank
                  of the United States; Farmers Home Administration; Federal
                  Financing Bank; Federal Home Loan Bank System; Federal Home
                  Loan Mortgage Corporation (including participation
                  certificates); Federal Housing Administration; Federal
                  Intermediate Credit Banks; Federal Land Banks; Federal
                  National Mortgage Association; Government National Mortgage
                  Association; Small Business Administration; Student Loan
                  Marketing Association; or any other agency or instrumentality
                  of the United States of America created by an act of Congress
                  which is substantially similar to the foregoing in its legal
                  relationship to the United States of America, provided that at
                  the time of their purchase such obligations of such other

                                        8
<PAGE>

                  agency or instrumentality are guaranteed by the full faith and
                  credit of the United States of America or are rated in either
                  of the two highest rating categories (without regard to pluses
                  or minuses) of the Rating Service;

                           (d) Obligations of any person, including the Trustee,
                  provided that, at the time of their purchase, such obligations
                  are rated in either of the two highest rating categories
                  (without regard to pluses or minuses) of the Rating Service;

                           (e) Demand deposits or interest-bearing time
                  deposits, certificates of deposit or other similar banking
                  arrangements that are made with the Trustee or with any other
                  bank having deposits insured by the Federal Deposit Insurance
                  Corporation ("FDIC"), or any savings and loan association
                  having deposits insured by the Resolution Trust Corporation
                  ("RTC"), provided that such time deposits or certificates of
                  deposit or other similar banking arrangements are: (i) fully
                  insured by the FDIC or the RTC, (ii) made with any bank
                  (including the Trustee) having undivided capital and surplus
                  of at least $100,000,000, the debt obligations (or, in the
                  case of the principal bank in a bank holding company, debt
                  obligations of the bank holding company) of which are rated in
                  either of the two highest rating categories (without regard to
                  pluses or minuses) of the Rating Service, or (iii)
                  continuously secured as to principal, to the extent not
                  insured by the FDIC or the RTC, (A) by lodging with a bank or
                  trust company other than the depository, as collateral
                  security, and granting to the Trustee a perfected first
                  security interest therein, obligations described in clause
                  (a), (b) or (c) above or, with the approval of the Trustee,
                  other marketable securities eligible as security for the
                  deposit of trust funds under applicable regulations, having a
                  market value (exclusive of accrued interest) not less than the
                  amount of such deposit and not subject to the prior claims of
                  any third parties, or (B) if the furnishing of security as
                  provided in clause (A) of this clause is not permitted by
                  applicable law, in such other manner as may then be required
                  or permitted by applicable State or federal laws and
                  regulations regarding the security for, or granting a
                  preference in the case of the deposit of, trust funds;

                           (f) Investment agreements or repurchase agreements
                  with any institution (including the Trustee), the long-term
                  debt or claims paying ability of which is rated in either of
                  the two highest rating categories (without regard to pluses or
                  minuses) of the Rating Service;

                           (g) Repurchase agreements with a financial
                  institution (including the Trustee) having deposits insured by
                  the FDIC or the RTC, or any broker or dealer that is a dealer
                  in government bonds and that is recognized by, trades with and
                  reports to, a Federal Reserve Bank as a primary dealer in
                  government securities, provided in any case: (i) the
                  collateral for the repurchase agreement, at the last
                  determination thereof, is described in clause (a), (b) or (c)
                  above, (ii) the current market value of the collateral
                  securing the repurchase agreement, at the last

                                        9
<PAGE>

                  determination thereof, is at least equal to the amount of the
                  repurchase agreement and is determined not less frequently
                  than monthly, (iii) the collateral is held for the benefit of
                  the Trustee by a Person other than the obligor on such
                  repurchase agreement and (iv) the collateral is not subject to
                  the prior claims of any third parties;

                           (h) Open market debt instruments (having an original
                  maturity of 365 days or less) that are rated in either of the
                  two highest short-term debt rating categories (without regard
                  to pluses or minuses) of the Rating Service;

                           (i) Investments in money market funds rated in
                  either of the two highest rating categories (without regard to
                  pluses or minuses) of the Rating Service; and

                           (j) Any fund or other pooling arrangement which
                  exclusively purchases and holds one or more of the investments
                  described in clauses (a) through (i), above.

                           (k) Any investments or securities permitted for
                  investment of public funds under the Utah State Money
                  Management Act of 1974, Title 51, Chapter 7, Utah Code
                  Annotated 1953, as amended.

         "EVENT OF DEFAULT" means (a) with respect to this Indenture, an "Event
of Default" as defined in Section 801 hereof and (b) with respect to the Loan
Agreement, an "Event of Default" as defined in Section 7.1 thereof.

         "FACILITY" means the hazardous waste disposal and treatment facility
located in Tooele County, Utah consisting of (i) land and land improvements to
be used as a site for the disposal and treatment facility; and (ii) the
equipment, facilities, and improvements to be used in connection with the
operation of said disposal and treatment facility.

         "GOVERNING BODY" means the Board of County Commissioners of the Issuer.

         "GOVERNMENT OBLIGATIONS" means obligations described in clause (a) of
the definition of Eligible Securities.

         "GUARANTOR" means Laidlaw Inc., a Canadian corporation and its
successors and assigns as permitted by the Guaranty.

         "GUARANTY" means the Guaranty from the Guarantor to the Trustee, dated
as of August 1, 1995, with respect to the Series 1995 Bonds.

         "IMMEDIATE NOTICE" means notice by telephone, telex or telecopier to
such address as the addressee shall have directed in writing, promptly followed
by written notice by first class mail, postage prepaid.

                                       10
<PAGE>

         "INDENTURE" means this Indenture of Trust, dated as of August 1, 1995
between the Issuer and the Trustee, as the same may from time to time be amended
or supplemented in accordance with the terms hereof.

         "INTEREST PAYMENT DATE" means, with respect to any Bond each February 1
and August 1.

         "ISSUE DATE" means, with respect to the Series 1995 Bonds, August 1,
1995.

         "ISSUER" means Tooele County, Utah.

         "ISSUER DOCUMENTS" means the Bond Resolution, the Loan Agreement, the
Indenture, and the Proceeds Certificate.

         "LOAN AGREEMENT" means the Loan Agreement dated as of August 1, 1995,
by and between the Company and the Issuer, as the same may from time to time be
amended or supplemented in accordance with the terms thereof and hereof.

         "MAXIMUM RATE" means the maximum interest rate per annum permitted
under Utah law to be borne by obligations similar to the Bonds.

         "OUTSTANDING", "BONDS OUTSTANDING" or "OUTSTANDING BONDS" means, as of
any given date, all Bonds which have been duly authenticated and delivered under
this Indenture, except:

                           (a)      Bonds cancelled on or prior to such date or
                  delivered to or acquired by the Trustee on or prior to such
                  date for cancellation;

                           (b)      Bonds deemed to be paid in accordance with
                  Article VI of this Indenture; and

                           (c)      Bonds in lieu of which other Bonds have been
                  authenticated under Sections 204, 209, and 210 hereof.

         "PAYING AGENT" means the Trustee or any successor trustee thereof.

         "PERSON" means any natural person, firm, joint venture, association,
partnership, business trust, corporation, public body, agency or political
subdivision thereof or any other similar entity.

         "PRINCIPAL OFFICE" means, when used with respect to the Issuer, the
Trustee, the Company and the Guarantor, each respective office of such Persons
designated in Section 1203 hereof. The Principal Office of any such Person may
be changed from time to time by delivering notice of such change to the Issuer,
the Trustee, the Company, and the Guarantor.

         "PROCEEDS CERTIFICATE" means that certain Proceeds Certificate, dated
the Issue Date, and executed by the Issuer and the Company, as amended from time
to time.

                                       11
<PAGE>

         "PROJECT" means the Project described in Exhibit A to the Loan
Agreement as the same may be amended from time to time in accordance with the
provisions of the Loan Agreement, including any other project undertaken by the
Company and financed through Additional Bonds issued under this Indenture.

         "PROJECT COSTS" OR "COSTS" means any cost of the Project or in respect
of the Project now or hereafter permitted under the Act. Without limiting the
generality of the foregoing, such costs may include: (i) amounts payable to
contractors and suppliers (including fees for designing the Project where the
designs are provided by the contractor or supplier); (ii) costs of labor,
services, materials, supplies and equipment furnished by the Company (including
shipping costs) plus the Company's standard overhead charge; (iii)
architectural, engineering, legal and other professional fees, marketing costs
and brokerage commissions; (iv) costs of funding a reserve to the extent
permitted by the Code; (v) interest on the Bonds to the extent permitted by the
Act; (vi) costs of financing including but not limited to bond discount,
printing expense, mortgage taxes and recording fees, Issuer and Trustee fees
accruing prior to completion of the Project, and legal and accounting fees.

         "QUALIFIED PROJECT COSTS" means the Project Costs, but only to the
extent such costs were paid or incurred by the Company after February 28, 1995
and only to the extent that such costs are incurred for the acquisition,
development, construction, equipping and furnishing, or improvement of land or
property of a character subject to the allowance for depreciation provided in
Section 167 of the Code and are chargeable to the capital account of the Project
or would be so chargeable either with a proper election by the Company or but
for a proper election by the Company to deduct such costs, within the meaning of
Treasury Regulation Section 1.103-8(a)(1), as the same may be amended or
supplemented from time to time. "Qualified Project Costs" shall not include (i)
working capital and inventory costs, (ii) costs of issuance, and (iii) interest
following completion of construction of the Project. Interest during
construction of the Project shall be allocated proportionately between Qualified
Project Costs and other costs paid from Bond proceeds.

         "RATING SERVICE" means Standard & Poor's Corporation, a corporation
organized and existing under the laws of the State of New York, and its
successors and assigns, provided that if such corporation shall be dissolved or
liquidated or shall no longer perform the functions of a securities rating
agency, "Rating Service" shall be deemed to refer to any other nationally
recognized securities rating agency designated by the Trustee, at the written
direction of the Company.

         "REBATABLE ARBITRAGE" shall mean, with respect to any Series of Bonds,
the amount (determined as of each Rebate Calculation Date) of rebatable
arbitrage payable to the United States at the times and in the amounts specified
in Section 148(f)(3) of the Code and Section 1.148-1 and 1.148-2 of the
Regulations.

         "REBATE CALCULATION DATE" means, with respect to each series of Bonds,
the interest payment date next preceding the fifth anniversary of the issue date
of such series of Bonds, each fifth anniversary of the initial Rebate
Calculation Date for such series of Bonds, and the date of retirement of the
last Bond of such series.

         "REBATE FUND" shall mean the fund established by Section 405 hereof.

                                       12
<PAGE>

         "RECORD DATE" means with respect to any Bond the fifteenth day of the
month preceding an Interest Payment Date with respect to such Bond.

         "REGISTRAR" means the Trustee, when acting in accordance with Section
210 hereof.

         "REGULATIONS" and all references thereto shall mean and include
applicable final, proposed and temporary United States Treasury Regulations
promulgated with respect to Sections 103 and 141 through 150 of the Code,
including all amendments thereto made hereafter.

         "REQUIRED REBATE DEPOSIT" means with respect to any series of Bonds an
amount determinable as of each Rebate Calculation Date, which when added to
amounts then on deposit in the Rebate Fund with respect to such series of Bonds,
if any, equals the aggregate amount of Rebatable Arbitrage for such series of
Bonds less the amount of Rebatable Arbitrage theretofore paid to the United
States with respect to such series of Bonds, if any.

         "SERIES 1995 BONDS" means the Issuer's Hazardous Waste Disposal Revenue
Bonds (Laidlaw Inc./USPCI Clive Project), Series 1995, authorized by the Issuer
to be authenticated and delivered from time to time pursuant to the terms and
conditions of this Indenture in an aggregate principal amount of $10,000,000.

         "SPECIAL RECORD DATE" means the date fixed by the Trustee pursuant to
Section 202 of this Indenture for the payment of Defaulted Interest (as such
term is defined in Section 202 hereof).

         "STATE" means the State of Utah.

         "TRUST ESTATE" is defined in the Granting Clauses of this Indenture.

         "TRUSTEE" means West One Bank, Utah, Salt Lake City, Utah, and any
successor trustee under this Indenture.

         SECTION 102.      RULES OF CONSTRUCTION. Unless the context shall
otherwise require,

                           (a)      an accounting term not otherwise defined
                  shall have the meaning assigned to it in accordance with
                  generally accepted accounting principles as the same shall be
                  in effect from time to time;

                           (b)      references to Articles and Sections are to
                  the Articles and Sections of this Indenture;

                           (c)      words of the masculine gender shall be
                  deemed and construed to include correlative words of the
                  feminine and neuter genders;

                           (d)      unless the context shall otherwise
                  indicate, words importing the singular number shall include
                  the plural and vice versa; and

                                       13

<PAGE>

                           (e) headings of Articles and Sections herein and the
                  table of contents hereof are solely for convenience of
                  reference, do not constitute a part hereof and shall not
                  affect the meaning, construction or effect hereof.

                                       14
<PAGE>

                                  ARTICLE II

                                  THE BONDS

         SECTION 201. AUTHORIZED AMOUNT OF BONDS. No Bonds may be issued under
the provisions of this Indenture except in accordance with this Article. The
total principal amount of Bonds which may be issued hereunder is hereby
expressly limited (a) with respect to the Series 1995 Bonds authorized pursuant
to Section 202 hereof, to $10,000,000 and (b) with respect to any Additional
Bonds issued in accordance with Section 208 hereof, the amount permitted
pursuant to the provisions of Section 208 hereof and specified in any
supplemental indenture or supplemental indentures entered into pursuant to
Section 208 and Article X hereof.

         SECTION 202. ISSUANCE OF THE SERIES 1995 BONDS; CERTAIN TERMS. In order
to finance a portion of the Project Costs there is hereby authorized to be
issued by the Issuer a series of bonds which is hereby designated as the "Tooele
County, Utah Hazardous Waste Disposal Revenue Bonds (Laidlaw Inc./USPCI Clive
Project), Series 1995". The Series 1995 Bonds may be authenticated and delivered
to the purchasers thereof at any time and from time to time as provided in
Section 207(b) hereof.

         The Series 1995 Bonds shall be issuable as fully registered bonds,
without coupons, in any Authorized Denomination, in substantially the form
described in Section 204 hereof. The Series 1995 Bonds shall be lettered "R" and
shall be numbered consecutively from one (1) upward. The Series 1995 Bonds shall
be dated the Issue Date, shall bear interest payable on each Interest Payment
Date beginning February 1, 1996, and shall mature, subject to prior redemption
as follows:

================================================================================
              YEAR                   PRINCIPAL AMOUNT            INTEREST RATE
--------------------------------------------------------------------------------

         August 1, 2010                $10,000,000                   6.75%
================================================================================

         Each Bond authenticated prior to the first Interest Payment Date with
respect to such Bond shall bear interest from the Issue Date thereof, as
evidenced by the Certificate of Authentication on such Bond. Each Bond
authenticated on or after the first Interest Payment Date with respect to such
Bond shall bear interest from the Interest Payment Date next preceding the date
of authentication thereof, unless the date of authentication shall be an
Interest Payment Date to which interest on such Bond has been paid in full or
duly provided for, in which case such Bond shall bear interest from the date of
authentication thereof; provided that if, as shown by the records of the
Trustee, interest on a Bond shall be in default, such Bond, or Bonds issued in
exchange for or upon the registration of transfer thereof, shall bear interest
from the date to which interest has been paid in full on the Bond or, if no
interest has been paid on the Bond with respect to which interest is in default,
the Issue Date.

         Interest on each Bond shall be payable on the Interest Payment Date
applicable thereto to the Person who, on the close of business on the Record
Date, is the registered holder thereof. Interest on any Bond shall be payable by
check mailed on

                                       15
<PAGE>

the Interest Payment Date to the registered holder of such Bond at the address
of such registered holder set forth in the Bond Register.

         Interest on any Bond which is not punctually paid or duly provided for
on any Interest Payment Date (herein called "Defaulted Interest") shall
forthwith cease to be payable to the owner thereof on the relevant Record Date
by virtue of having been such owner, and such Defaulted Interest shall be paid
to the Person in whose name such Bond (or the respective predecessor Bond) is
registered at the close of business on a Special Record Date to be established
as hereinafter provided. The Trustee shall establish (a) the date on which the
Defaulted Interest shall be paid, (b) the amount of Defaulted Interest payable
on each Bond on such payment date and (c) a Special Record Date for the payment
of such Defaulted Interest, which Special Record Date shall be not more than
fifteen (15) nor less than ten (10) days prior to the payment date. Not less
than ten (10) days prior to the Special Record Date the Trustee shall cause
notice to be delivered to the Issuer, the Company, and each owner of Bonds as to
which Defaulted Interest is payable, which notice shall specify the proposed
payment date, the Special Record Date and, in the case of notice to the Company
and the Issuer, the total amount of Defaulted Interest payable with respect to
all Bonds payable on such proposed payment date, and in the case of notice to
each Bondholder, the amount of Defaulted Interest payable with respect to each
Bond held by such Bondholder. Such notice shall be mailed, first-class postage
prepaid, to the address of each Bondholder appearing in the Register. Upon
receipt of such notice, the Company shall, in accordance with the Loan
Agreement, deposit with the Trustee, as appropriate, an amount of money equal to
the aggregate amount of Defaulted Interest to be paid on the payment date, or
shall make arrangements satisfactory to the Trustee, as appropriate, for such
deposit prior to the proposed date of payment, such money when deposited to be
held in trust for the benefit of the persons entitled to such Defaulted Interest
as provided in this paragraph. Notice having been mailed as aforesaid, such
Defaulted Interest shall be paid to the Person in whose name the Bond (or the
respective predecessor Bond) is registered at the close of business on such
Special Record Date.

         The principal of (including the principal component of the redemption
price) and any applicable redemption premium on the Bonds are payable at the
Principal Office of the Trustee only upon presentation and surrender thereof.

         All payments of principal of, premium, if any, and interest on the
Bonds are payable in any coin or currency of the United States of America that
is legal tender for the payment of public and private debts on the respective
dates of payment thereof.

         SECTION 203.      INTEREST ON THE BONDS.

                           (a)      Calculation of Interest.  Interest on the
                  Bonds shall be calculated on the basis of a 360-day year
                  composed of twelve 30-day months.

                           (b)      Maximum Rate.  None of the Bonds shall bear
                  interest at a rate per annum in excess of the Maximum Rate.

                                       16
<PAGE>

         SECTION 204. FORM OF BONDS AND TEMPORARY BONDS. The Bonds issued under
this Indenture shall be in substantially the form set forth in Exhibit "A"
hereto, with such appropriate variations, omissions and insertions as are
permitted or required by this Indenture or deemed necessary by the Trustee and
the Issuer.

         Bonds of any series may be initially issued in temporary form
exchangeable for definitive Bonds of the same series when ready for delivery.
The temporary Bonds shall be in the form of registered Bonds without coupons in
Authorized Denominations, substantially in the form of Exhibit "A" hereto, with
such appropriate omissions, insertions and variations as may be required with
respect to such temporary Bonds and may contain such reference to any of the
provisions of this Indenture as may be appropriate. Every temporary Bond shall
be executed by the Issuer and be authenticated by the Trustee, upon the same
conditions and in substantially the same manner as the definitive Bonds. If the
Issuer issues temporary Bonds it will execute and furnish definitive Bonds
without delay and thereupon the temporary Bonds shall be surrendered for
cancellation in exchange therefor at the Principal Office of the Trustee, and
the Trustee shall authenticate and deliver in exchange for such temporary Bonds
an equal aggregate principal amount of definitive Bonds of the same series and
maturity in Authorized Denominations. Until so exchanged, the temporary Bonds
shall be entitled to the same benefits under this Indenture as definitive Bonds
authenticated and delivered hereunder.

         SECTION 205. EXECUTION; SPECIAL LIMITED OBLIGATION. The Bonds shall be
executed on behalf of the Issuer with the manual or facsimile signature of the
Chairman of the Governing Body and shall have impressed or imprinted thereon, by
facsimile or otherwise, the official seal of the Issuer and shall be attested
with the manual or facsimile signature of the Issuer's County Clerk. In case any
officer of the Issuer whose signature or whose facsimile signature shall appear
on the Bonds shall cease to be such officer before the delivery of such Bonds,
such signature or facsimile signature shall nevertheless be valid and sufficient
for all purposes, the same as if he had remained in office until delivery. The
Bonds are special, limited obligations of the Issuer, payable by the Issuer
solely from certain amounts received by the Issuer under, and secured by a
pledge of certain rights of the Issuer under and pursuant to, the Loan
Agreement, and, further, from the funds and accounts created hereunder (but not
including the Rebate Fund created hereunder) and investment earnings thereon,
all of which shall be used for no other purpose than to pay the principal of,
premium, if any, and interest on the Bonds, except as may be otherwise expressly
authorized in this Indenture. Neither the faith and credit nor the taxing power
of the State of Utah or any political subdivision thereof is pledged to the
payment of the principal of, premium, if any, or interest on the Bonds. The
Bonds and the interest thereon do not constitute or give rise to a general
obligation or liability of the Issuer or a charge against its general credit or
taxing powers and the Bonds do not constitute a loan of the credit of the Issuer
within the meaning of any constitutional restriction or statutory limitation of
the State of Utah.

         SECTION 206. AUTHENTICATION. No Bond shall be valid or obligatory for
any purpose or entitled to any security or benefit under this Indenture unless
and until the Certificate of Authentication on such Bond in substantially the
form set forth in Exhibit "A" hereto shall have been duly executed by the
Trustee and such execution shall be conclusive evidence that such Bond has been
authenticated and delivered

                                       17
<PAGE>

under this Indenture and that the holder thereof is entitled to the benefits of
the trust hereby created. The Trustee shall insert the authentication date on
each Bond authenticated hereunder. The Certificate of Authentication on any Bond
shall be deemed to have been executed by it if manually signed by an authorized
officer or signatory of the Trustee, but it shall not be necessary that the same
officer or signatory sign the Certificate of Authentication on all of the Bonds.

         SECTION 207.      DELIVERY OF THE SERIES 1995 BONDS.

                           (a)      Following the execution and delivery of this
                  Indenture, the Issuer shall execute and deliver to the
                  Trustee, and the Trustee shall authenticate, Series 1995 Bonds
                  (in either temporary or definitive form), and shall deliver
                  them to the purchasers thereof as directed by the Issuer as
                  hereinafter in this Section provided.

                           (b)      Prior to the delivery by the Trustee on the
                  Issue Date of any of the Series 1995 Bonds, there shall be
                  delivered to the Trustee:

                                    (i)   a copy, duly certified by the County
                           Clerk of the Issuer, of all resolutions adopted and
                           approved by the Issuer authorizing the issuance and
                           sale of the Series 1995 Bonds and the execution and
                           delivery of the Loan Agreement, the Proceeds
                           Certificate, this Indenture and a Bond Purchase
                           Contract relating to the Series 1995 Bonds being
                           delivered on such Issue Date;

                                    (ii)  a copy, duly certified by a Vice
                           President, the Secretary, an Assistant Secretary, the
                           Treasurer or an Assistant Treasurer, as appropriate,
                           of the Company, of all resolutions adopted and
                           approved by the Company authorizing the execution and
                           delivery of the Loan Agreement, the Proceeds
                           Certificate, and approving this Indenture and the
                           issuance and sale of the Series 1995 Bonds and the
                           terms thereof;

                                    (iii) an original executed counterpart of
                           this Indenture, the Loan Agreement, and the Proceeds
                           Certificate;

                                    (iv)  a request and authorization to the
                           Trustee on behalf of the Issuer and signed by the
                           Chairman of the Governing Body, to authenticate and
                           deliver Series 1995 Bonds in the aggregate principal
                           amount specified therein to the purchasers specified
                           therein upon payment to the Trustee, but for the
                           account of the Issuer, of the net proceeds from the
                           sale of such Series 1995 Bonds;

                                    (v)   the items required to be delivered
                           prior to the issuance of such Series 1995 Bonds under
                           the terms of the Bond Purchase Contract relating to
                           such Series 1995 Bonds unless waived by the
                           respective parties thereto;

                                       18
<PAGE>

                                    (vi)   a certificate, signed by a Vice
                           President of the Company, with a copy to the Issuer,
                           requesting the Trustee to cause Series 1995 Bonds in
                           the amount specified in the request and authorization
                           delivered pursuant to Clause (b)(v) of this Section
                           to be authenticated and delivered, which certificate
                           shall constitute conclusive evidence under Section
                           3.1 of the Loan Agreement of such request and
                           approval;

                                    (vii)  the original executed Guaranty, and a
                           certificate signed by a duly authorized officer of
                           the Guarantor and an opinion of counsel to the
                           Guarantor in form and substance satisfactory to the
                           original purchaser of the Series 1995 Bonds; and

                                    (viii) such other closing documents and
                           opinions of counsel (including Bond Counsel) as the
                           Trustee, the Issuer or Bond Counsel may reasonably
                           specify.

         SECTION 208.      ISSUANCE OF ADDITIONAL BONDS. Additional Bonds (in
addition to the Series 1995 Bonds) may be issued by the Issuer on a parity with
the Series 1995 Bonds for any one or more of the following purposes: (a) to
refund any series of Outstanding Bonds or portion thereof in a manner consistent
with the provisions of Article VI hereof; (b) to obtain funds to loan to the
Company to complete the Facility; (c) to obtain funds for any other purpose
permitted under the Act; and (d) for any combination of the foregoing purposes.

         The principal amount of such Additional Bonds may include an amount
sufficient to pay the costs and expenses of issuance as well as such capitalized
amounts as are permitted by the Act. Such Additional Bonds shall be issued on a
parity with the Series 1995 Bonds (subject, however, to the terms of Article VI
hereof) notwithstanding the fact that no additional security (except the
security provided by any supplements or amendments to the Loan Agreement) is
made subject to the lien of this Indenture. The foregoing notwithstanding, the
Trustee is authorized to accept additional security upon the issuance of any
series of Additional Bonds with respect to such series of Additional Bonds,
including but not limited to debt service reserve or similar funds, letters or
lines of credit, guaranties, bond insurance policies or other forms of credit
enhancement.

         Prior to the initial delivery of any Additional Bonds, there shall be
filed with the Trustee, among other items, all of the following:

                           (a)      a written statement by the Company
                  approving (i) the issuance and delivery of such
                  Additional Bonds and (ii) any other matters to be approved by
                  the Company pursuant to the Loan Agreement and this Section
                  208;

                           (b)      a copy, duly certified by the County Clerk
                  of the Issuer, of a resolution adopted and approved by
                  the Governing Body authorizing the execution and delivery of
                  such supplements or amendments to this Indenture and to the
                  Loan Agreement as may be necessary and authorizing the
                  issuance of such Additional Bonds;

                                       19
<PAGE>

                           (c) a copy, duly certified by a Vice President, the
                  Secretary, an Assistant Secretary, the Treasurer or an
                  Assistant Treasurer of the Company, of the resolutions adopted
                  and approved authorizing the execution and delivery of a
                  supplement or amendment to the Loan Agreement and such other
                  documents as may be required, and approving a supplement or
                  amendment to this Indenture and the issuance and sale of such
                  Additional Bonds;

                           (d) the original executed counterparts of the
                  supplements or amendments to this Indenture and the Loan
                  Agreement providing, among other things, for payments to be
                  made thereunder in amounts sufficient to cover payments of
                  principal, premium and interest to be made on the Additional
                  Bonds to be issued;

                           (e) a request and authorization to the Trustee,
                  signed by the Chairman of the Governing Body, to authenticate
                  and deliver such Additional Bonds (specifically stating the
                  principal amount to be issued and delivered to the purchasers
                  therein identified) upon payment to the Trustee, but for the
                  account of the Issuer, of a sum specified in such request and
                  authorization plus accrued interest, if any, thereon to the
                  date of delivery. The Trustee shall deposit the proceeds of
                  such Additional Bonds in the funds and accounts hereunder as
                  specified in the supplemental indenture relating to such
                  Additional Bonds;

                           (f) any required supplement or amendment to the
                  Guaranty or an additional guaranty and related opinions and
                  certificates; and

                           (g) such other closing documents and opinions
                  of counsel as the Issuer, the Trustee and Bond Counsel may
                  reasonably specify.

         SECTION 209.      MUTILATED, LOST, STOLEN OR DESTROYED BONDS. In the
event any temporary or definitive Bond is mutilated, lost, stolen or destroyed,
the Issuer may execute and the Trustee may authenticate a new Bond of like form,
date, maturity and denomination as that mutilated, lost, stolen or destroyed and
bearing a number not contemporaneously Outstanding; provided that, in the case
of any mutilated Bond, such mutilated Bond shall first be surrendered to the
Issuer, and in the case of any lost, stolen or destroyed Bond, there shall be
first furnished to the Issuer and the Trustee evidence of such loss, theft or
destruction satisfactory to the Issuer and the Trustee, together with indemnity
satisfactory to them. In the event any such Bond shall have matured or is about
to mature or been called for redemption, instead of issuing a duplicate Bond the
Issuer may pay the same without surrender thereof upon compliance with the
foregoing. The Issuer and the Trustee may charge the holder or owner of such
Bond with their reasonable fees and expenses in this connection.

         All duplicate Bonds issued and authenticated pursuant to this Section
209 shall constitute original, contractual obligations of the Issuer (whether or
not, in the case of the first paragraph of this Section 209, lost or stolen
Bonds be at any time found by anyone) and shall be entitled to equal and
proportionate rights and benefits hereunder as all other Outstanding Bonds
issued hereunder.

                                       20
<PAGE>

         All Bonds shall be owned upon the express condition that the foregoing
provisions, to the extent permitted by law, are exclusive with respect to the
replacement or payment of mutilated, destroyed, lost, or stolen Bonds, and shall
preclude any and all other rights or remedies.

         SECTION 210. BOND REGISTER; TRANSFER AND EXCHANGE OF BONDS; PERSONS
TREATED AS OWNERS. The Issuer shall cause books for the registration and
transfer of the Bonds to be kept by the Trustee which is hereby constituted and
appointed the Registrar for purposes of this Indenture with respect to such
Bonds. The Trustee shall keep in the Bond Register the name and address of each
Bondholder, and the serial number of each Bond held by such Bondholder. This
Indenture shall constitute a "system of registration" for all purposes of the
Registered Public Obligations Act of the State. At reasonable times and under
reasonable regulations established by the Trustee, such books may be inspected
and copied by the Issuer, the Company, the Trustee, or the owners (or a
designated representative thereof) of 15% or more in aggregate principal amount
of the Bonds then Outstanding.

         Subject to the limitations contained in the next succeeding paragraph,
upon surrender for registration of transfer of any Bond at the Principal Office
of the Trustee, duly endorsed by, or accompanied by a written instrument or
instruments of transfer in form satisfactory to the Trustee and duly executed
by, the Bondholder or such Bondholder's attorney duly authorized in writing and
with such guarantee of signature as shall be satisfactory to the Trustee, the
Issuer shall execute and the Trustee shall authenticate and deliver in the name
of the transferee or transferees a new Bond or Bonds of the same series and of
Authorized Denominations, which shall be identical to the Bond being exchanged
with respect to interest rate and the stated maturity applicable to such Bond,
and bearing numbers not contemporaneously outstanding. Subject to the
limitations contained in the next succeeding paragraph, Bonds may be exchanged
at such Principal Office of the Trustee upon surrender thereof together with an
assignment duly executed by the registered owner thereof or such owner's
attorney or legal representative in such form and with guarantee of signature as
shall be satisfactory to the Trustee for an equal aggregate principal amount of
Bonds of any Authorized Denomination as the Bonds surrendered for exchange,
which Bonds shall be identical to the Bonds being exchanged with respect to
series, interest rate and stated maturity, bearing numbers not contemporaneously
outstanding. The execution by the Issuer of any Bond of any Authorized
Denomination shall constitute full and due authorization of such Bond and the
Trustee shall thereby be authorized to authenticate and deliver such registered
Bond.

         The Registrar shall not be required to exchange or register the
transfer of any Bond during the period commencing on the Record Date next
preceding any Interest Payment Date for such Bond and ending at the close of
business on the day next preceding such Interest Payment Date, nor to exchange
or register the transfer of such Bond after the mailing of notice calling such
Bond for redemption, nor during the period of fifteen days next preceding the
mailing of such notice of redemption.

         No service charge shall be imposed on any Bondholder for any exchange
or transfer of Bonds. The Issuer and the Trustee may, however, require payment
by the person requesting an exchange or transfer of Bonds of a sum sufficient to
cover any tax, fee or other governmental charge that may be imposed in relation
thereto, except

                                       21
<PAGE>

in the case of the issuance of a Bond or Bonds for the unredeemed portion of a
Bond surrendered for redemption in part unless there is a transfer in connection
with such issuance.

         Bonds delivered upon any registration of transfer or exchange as
provided herein shall be valid limited obligations of the Issuer, evidencing the
same debt as the Bond surrendered, shall be secured by this Indenture and shall
be entitled to all of the security and benefits hereof to the same extent as the
Bond surrendered.

         The Issuer, the Trustee, and the Company may treat the registered owner
of any Bond as the absolute owner thereof for all purposes, whether or not such
Bond shall be overdue, and shall not be bound by any notice to the contrary. All
payments of or on account of the principal of and premium, if any, and interest
on any such Bond as herein provided shall be made only to or upon the written
order of the registered owner thereof or such owner's legal representative, but
such registration may be changed as herein provided. All such payments shall be
valid and effectual to satisfy and discharge the liability upon such Bond to the
extent of the sum or sums so paid.

         SECTION 211.      BOOK ENTRY PROVISIONS.

                           (a) The Series 1995 Bonds shall be initially issued
                  in the form of a separate single certificated fully registered
                  Series 1995 Bond for each of the maturities set forth in
                  Section 202 hereof. Upon initial issuance, the ownership of
                  each Series 1995 Bond shall be registered in the registration
                  books kept by the Bond Registrar in the name of Cede & Co.
                  ("Cede"), as nominee of DTC. Except as provided in Section 210
                  hereof, all of the Outstanding Bonds shall be registered in
                  the registration books kept by the Bond Registrar in the name
                  of Cede, as nominee of DTC.

                           (b) With respect to Series 1995 Bonds registered in
                  the registration books kept by the Bond Registrar in the name
                  of Cede, as nominee of DTC, the Issuer, the Trustee and the
                  Paying Agent shall have no responsibility or obligation to any
                  Participant or to any person on behalf of which a Participant
                  holds an interest in the Series 1995 Bonds. Without limiting
                  the immediately preceding sentence, the Issuer, the Paying
                  Agent and the Trustee shall have no responsibility or
                  obligation with respect to (i) the accuracy of the records of
                  DTC, Cede or any Participant with respect to any ownership
                  interest in the Series 1995 Bonds, (ii) the delivery to any
                  Participant or any other person, other than a Registered
                  Owner, as shown in the registration books kept by the Bond
                  Registrar, of any notice with respect to the Series 1995
                  Bonds, including any notice of redemption, or (iii) the
                  payment to any Participant or any other person, other than a
                  Registered Owner, as shown in the registration books kept by
                  the Trustee, of any amount with respect to principal of,
                  premium, if any, or interest on the Series 1995 Bonds. The
                  Issuer, the Paying Agent and the Trustee may treat and
                  consider the person in whose name each Series 1995 Bond is
                  registered in the registration books kept by the Trustee as
                  the holder and absolute owner of such Series 1995 Bond for the
                  purpose of payment of principal,

                                       22
<PAGE>

                  premium and interest with respect to such Series 1995 Bond,
                  for the purpose of giving notices of redemption and other
                  matters with respect to such Series 1995 Bond, for the purpose
                  of registering transfers with respect to such Series 1995
                  Bond, and for all other purposes whatsoever. The Paying Agent
                  shall pay all principal of, premium, if any, the interest on
                  the Series 1995 Bonds only to or upon the order of the
                  respective Registered Owners, as shown in the registration
                  books kept by the Trustee, or their respective attorneys duly
                  authorized in writing, as provided in Section 202 hereof, and
                  all such payments shall be valid and effective to fully
                  satisfy and discharge the Issuer's obligations with respect to
                  payment of principal of, premium, if any, and interest on the
                  Series 1995 Bonds to the extent of the sum or sums so paid. No
                  person other than a Registered Owner, as shown in the
                  registration books kept by the Trustee, shall receive a
                  certificated Series 1995 Bond evidencing the obligation of the
                  Issuer to make payments of principal, premium, if any, and
                  interest pursuant to this Indenture. Upon delivery by DTC to
                  the Bond Registrar of written notice to the effect that DTC
                  has determined to substitute a new nominee in place of Cede,
                  and subject to the provisions herein with respect to record
                  dates, the word "Cede" in this Indenture shall refer to such
                  new nominee of DTC; and upon receipt of such a notice the Bond
                  Registrar shall promptly deliver a copy of the same to the
                  Trustee, if the Trustee is other than himself.

                           (c) The Representation Letter in substantially the
                  form attached hereto as Exhibit "B", with such changes,
                  omissions, insertions and revisions as the Chairman shall
                  approve, is hereby authorized and the Chairman shall execute
                  and deliver such Representation Letter. The approval of the
                  Chairman of any such changes, omissions, insertions and
                  revisions shall be conclusively established by said Chairman's
                  execution and delivery of the Representation Letter which
                  shall not in any way limit the provisions of Section 211(b)
                  hereof or in any other way impose upon the Issuer any
                  obligation whatsoever with respect to persons having interests
                  in the Series 1995 Bonds other than the Registered Owners, as
                  shown on the registration books kept by the Bond Registrar.
                  The Trustee shall take all action necessary for all
                  representations of the Issuer in the Representation Letter
                  with respect to the Paying Agent to at all times be complied
                  with.

                           (d) (i) DTC may determine to discontinue providing
                  its services with respect to the Series 1995 Bonds at any time
                  by giving notice to the Issuer and the Trustee and discharging
                  its responsibilities with respect thereto under applicable
                  law.

                               (i) The Issuer, in its sole discretion and
                           without the consent of any other person, may
                           terminate the services of DTC with respect to the
                           Series 1995 Bonds if the Issuer determines that:

                                       23
<PAGE>

                                          (A) DTC is unable to discharge its
                                    responsibilities with respect to the Series
                                    1995 Bonds, or

                                          (B) a continuation of the
                                    requirement that all of the Outstanding
                                    Bonds be registered in the registration
                                    books kept by the Bond Registrar in the name
                                    of Cede, or any other nominee of DTC, is not
                                    in the best interest of the beneficial
                                    owners of the Series 1995 Bonds.

                               (ii)  Upon the termination of the services of
                           DTC with respect to the Series 1995 Bonds pursuant
                           to subsection 211(d)(ii)(B) hereof, or upon the
                           discontinuance or termination of the services of DTC
                           with respect to the Series 1995 Bonds pursuant to
                           subsection 211(d)(i) or subsection 211(d)(ii)(A)
                           hereof after which no substitute securities
                           depository willing to undertake the functions of DTC
                           hereunder can be found which, in the opinion of the
                           Issuer, is willing and able to undertake such
                           functions upon reasonable and customary terms, the
                           Issuer is obligated to deliver Bond Certificates at
                           the expense of the beneficial owners of the Series
                           1995 Bonds, as described in this Indenture and the
                           Series 1995 Bonds shall no longer be restricted to
                           being registered in the registration books kept by
                           the Bond Registrar in the name of Cede as nominee of
                           DTC, but may be registered in whatever name or names
                           Registered Owners transferring or exchanging Series
                           1995 Bonds shall designate, in accordance with the
                           provisions of this Indenture.

                           (e)      Notwithstanding any other provision of this
                  Indenture to the contrary, so long as any Series 1995 Bond is
                  registered in the name of Cede, as nominee of DTC, all
                  payments with respect to principal of, premium, if any, and
                  interest on such Series 1995 Bond and all notices with respect
                  to such Series 1995 Bond shall be made and given,
                  respectively, in the manner provided in the Representation
                  Letter.

         SECTION 212.      CANCELLATION. Upon payment of the principal of,
premium, if any, and interest on any Bond, or replacement of any Bond pursuant
to Section 209 hereof or transfer or exchange pursuant to Section 210 hereof,
any such Bond shall be cancelled and destroyed by the Trustee. The Issuer or
the Company may at any time deliver to the Trustee for cancellation any Bonds
previously authenticated and delivered hereunder which the Issuer or the
Company may have acquired in any manner whatsoever, and all Bonds so delivered
shall be promptly cancelled and destroyed by the Trustee. No Bonds shall be
authenticated in lieu of or in exchange for any Bonds cancelled as provided in
this Section, except as expressly permitted by this Indenture. Counterparts of
a certificate of destruction evidencing the destruction and disposal of any
Bond pursuant to this Section 212 shall be furnished by the Trustee to the
Company and the Issuer.

                                       24
<PAGE>

                                 ARTICLE III

                             REDEMPTION OF BONDS

         SECTION 301. OPTIONAL REDEMPTION OF SERIES 1995 BONDS. The Series 1995
Bonds are subject to optional redemption prior to maturity by the Trustee at the
direction of the Company, in whole at any time or in part on any Interest
Payment Date, in inverse order of maturity and by lot within each maturity at
any time on or after August 1, 2005, at a redemption price expressed as a
percentage of principal amount of Series 1995 Bonds to be redeemed set forth in
the table below, together with accrued interest to the Redemption Date:

        Redemption Date                                    Redemption Price
        ---------------                                    ----------------

August 1, 2005 to July 31, 2006                                  102%
August 1, 2006 to July 31, 2007                                  101%
August 1, 2007 and thereafter                                    100%

         SECTION 302. EXTRAORDINARY OPTIONAL REDEMPTION. The Series 1995 Bonds
shall be subject to extraordinary optional redemption prior to maturity by the
Trustee, at the direction of the Company, in whole or in part, on any date at a
redemption price equal to the principal amount of the Series 1995 Bonds to be
redeemed plus accrued interest to the redemption date, within 365 days following
the occurrence of any one of the following events (or, in the case of (a) and
(b) below, at the option of the Company, within sixty (60) days following the
receipt of any proceeds relating to such event):

                      (a) The Facility or a substantial portion thereof shall
                  have been damaged or destroyed by fire or other casualty (i)
                  to such extent that, in the opinion of the Company expressed
                  in a certificate signed by an Authorized Company
                  Representative and filed with the Issuer and the Trustee,
                  within a period of twelve consecutive months following such
                  damage or destruction it is not practicable or desirable to
                  rebuild, repair or restore the Facility, or (ii) to such
                  extent that, in the opinion of the Company expressed in a
                  certificate signed by an Authorized Company Representative and
                  filed with the Issuer and the Trustee, the Facility is or will
                  be prevented thereby from operating normally for a period of
                  twelve (12) consecutive months.

                      (b) Title to, or the temporary use of, all or
                  substantially all the Facility shall have been taken under the
                  exercise of the power of eminent domain (including such a
                  taking or takings which results or is likely to result, in the
                  opinion of the Company expressed in a certificate signed by an
                  Authorized Company Representative and filed with the Issuer
                  and the Trustee, in normal operations at the Facility being
                  interrupted for a period of twelve (12) consecutive months or
                  results or is likely to result in rendering the Facility, in
                  the opinion of the Company expressed in a certificate signed
                  by an Authorized Company Representative and filed with the
                  Issuer and the Trustee, unsuitable for use).

                                       25
<PAGE>

                      (c) As a result of any changes in the Constitution of
                  the State of Utah or the Constitution of the United States of
                  America or of legislative or administrative action (whether
                  state or federal) or by final decree, judgment or order of any
                  court or administrative body (whether state or federal)
                  entered after the contest thereof by the Company in good
                  faith, the Loan Agreement shall have become void or
                  unenforceable or impossible of performance in accordance with
                  the intent and purposes of the parties as expressed in the
                  Loan Agreement, or unreasonable burdens or excessive
                  liabilities shall have been imposed on the Issuer or the
                  Company, including without limitation, federal, state or other
                  ad valorem, property, income or other taxes not being imposed
                  on the date of the Loan Agreement or changes since the date of
                  initial issuance of the Bonds in regulatory requirements,
                  technology or the economic availability of raw materials,
                  operating supplies, equipment or waste requiring treatment and
                  disposal, which condition cannot reasonably be expected to
                  improve materially within a period of twelve (12) consecutive
                  months and causes the Company to determine that the Facility
                  should not be completed or that operation of the Facility
                  should be discontinued.

         SECTION 303. SPECIAL MANDATORY REDEMPTION. The Series 1995 Bonds are
also subject to special mandatory redemption in whole by the Issuer on any date
prior to maturity at a redemption price of 100% of the principal amount thereof
together with accrued interest to the date of redemption, upon the occurrence of
a Determination of Taxability, as soon as practicable, but in no event later
than thirty (30) days after the occurrence of such Determination of Taxability.
Upon being notified of a Determination of Taxability, the Trustee shall give
immediate notice of redemption to the Company, to the Guarantor and to the
Registered Owners as provided in Section 304 herein.

         "Determination of Taxability" shall mean a determination that the
interest income on any Series 1995 Bond does not qualify as being excludable
from the gross income of the Registered Owner thereof ("exempt interest") for
any reason other than that such Registered Owner is a "substantial user" of the
Facility or a "related person" as such terms are defined in Section 103(b)(6) of
the Internal Revenue Code of 1954, which determination shall be deemed to have
been made upon the occurrence of the first to occur of the following:

                                    (i)   the date on which the Company
                           determines that the interest income on any of the
                           Series 1995 Bonds does not qualify as exempt
                           interest; or

                                    (ii)  the date on which any change in law or
                           regulation becomes effective or on which the Internal
                           Revenue Service has issued any private ruling,
                           technical advice or any other written communication
                           to the effect that the interest income on any of the
                           Series 1995 Bonds does not qualify as exempt
                           interest; or

                                    (iii) the date on which the Company shall
                           receive notice from the Trustee in writing that the
                           Trustee has been advised in writing by any Registered
                           Owner of any Series 1995

                                       26
<PAGE>

                           Bond that the Internal Revenue Service has issued a
                           thirty-day letter or other notice which asserts that
                           the interest on such Series 1995 Bond does not
                           qualify as exempt interest; or

                                    (iv) the date on which the Trustee receives
                           written notice that the Company or the Issuer has
                           taken any action inconsistent with, or has failed to
                           act consistently with, the tax exempt status of
                           interest on the Series 1995 Bonds;

                           provided that no Determination of Taxability shall be
                           deemed to have occurred as a result of a
                           determination by the Company pursuant to Clause (i),
                           (ii) or (iv) above unless such determination is
                           supported by a written opinion of nationally
                           recognized bond counsel satisfactory to the Trustee
                           that the interest income on the Series 1995 Bonds
                           does not constitute exempt interest. If, however, in
                           the opinion of nationally recognized bond counsel
                           acceptable to the Trustee, redemption of less than
                           all of the Series 1995 Bonds will preserve the
                           exclusion from gross income of the Registered Owners
                           thereof of interest on the remaining Series 1995
                           Bonds, then only such amount need be redeemed, the
                           particular Series 1995 Bonds to be redeemed to be
                           selected by lot by the Trustee in such manner as the
                           Trustee in its discretion shall determine or
                           otherwise as specified in such final determination or
                           opinion. Such determination shall be referred to
                           herein as a "Determination of Taxability" and the
                           event giving rise to such Determination shall be
                           referred to herein as an "Event of Taxability". The
                           Trustee shall receive and coordinate notices from
                           Registered Owners of the Series 1995 Bonds in
                           connection with such determination and forward such
                           notices to the Company.

         SECTION 304.      NOTICE OF REDEMPTION. Notice of redemption shall be
given by the Trustee, by first-class mail, postage prepaid, mailed not less than
thirty (30) nor more than sixty (60) days prior to the redemption date, to each
owner of Bonds to be redeemed, at his address appearing in the Bond Register;
provided, however, that in the event of a redemption pursuant to Section 303
hereof, the Trustee shall not later than 2:00 p.m. (Trustee's local time) on the
first Business Day following the Determination of Taxability (a) use its best
reasonable efforts to notify the Company, the Guarantor and the Issuer thereof
by telephone, telex or telecopier, and (b) send written notice thereof to the
Company, the Guarantor and the Issuer by personal delivery or by Federal Express
or other similar express mail service guaranteed for next-day delivery. Failure
to give such notice by mailing, or any defect therein, shall not affect the
validity of the proceedings for the redemption of any Bond or portion thereof
with respect to which no such failure has occurred. In addition, notice of
redemption shall be sent by first-class mail, postage prepaid, or by overnight
delivery service, not less than 35 days prior to the redemption date, (1) to at
least two or more information services of national recognition that disseminate
redemption information with respect to municipal bonds and (2) to any securities
depository registered as such pursuant to the Securities Exchange Act of 1934,
as amended, in whose name Bonds to be redeemed have been registered as nominee;
provided, however, that no defect in or

                                       27
<PAGE>

failure to give the notice described in this sentence shall in any manner defeat
the effectiveness of a call for redemption with respect to Bonds for which
notice was properly given as described in the preceding sentence.

         All notices of redemption shall state:

                           (a) the redemption date,

                           (b) the redemption price,

                           (c) the identification of the Bonds to be redeemed,
                  including complete designation and issue date of the series of
                  Bonds of which such Bonds are a part and the CUSIP number (and
                  in the case of partial redemption, the certificate numbers of
                  the Bonds to be redeemed and the respective principal amounts
                  thereof), interest rates and maturity dates of such Bonds, and
                  any other descriptive information which may be necessary to
                  identify accurately the Bonds to be redeemed,

                           (d) that on the redemption date the redemption price
                  will become due and payable upon each such Bond, and that
                  interest thereon shall cease to accrue from and after said
                  date, and

                           (e) the name and address of the Trustee including the
                  name and telephone number of a contact person and the place
                  where such Bonds are to be surrendered for payment of the
                  redemption price.

         If at the time of mailing of notice of an optional redemption there
shall not have been deposited with the Trustee moneys sufficient to redeem all
the Bonds called for redemption, which moneys are or will be available for
redemption of Bonds, such notice will state that it is conditional, that is,
subject to the deposit of the redemption moneys with the Trustee not later than
the close of business of the fifth day prior to the Redemption Date, and such
notice shall be of no effect unless such moneys are so deposited.

         SECTION 305.      BONDS PAYABLE ON REDEMPTION DATE. Notice of
redemption having been given as aforesaid, the Bonds so to be redeemed shall, on
the redemption date, become due and payable at the redemption price therein
specified and from and after such date (unless the Issuer shall default in the
payment of the redemption price) such Bonds shall cease to bear interest. Upon
surrender of any such Bond for redemption in accordance with said notice, the
redemption price of such Bond shall be paid by the Trustee. If any Bond called
for redemption shall not be so paid upon surrender thereof for redemption, the
principal (and premium, if any) shall, until paid, bear interest from the
redemption date at the rate last borne by the Bond.

         SECTION 306.      BONDS REDEEMED IN PART. Any Bond which is to be
redeemed in part only shall be surrendered at the place of payment, duly
endorsed by the owner of such Bond, or accompanied by a written instrument of
transfer in form satisfactory to the Trustee, as appropriate, duly executed by
the owner thereof or his attorney duly authorized in writing and, upon such
surrender, the Issuer shall execute and the Trustee shall authenticate and
deliver to the owner of such Bond without service

                                       28
<PAGE>

charge, a new Bond or Bonds in aggregate principal amount equal to and in
exchange for the unredeemed portion of the principal of the Bond so surrendered
which Bond or Bonds shall be in any Authorized Denominations and shall be
identical to the Bond being purchased or redeemed with respect to stated
maturity and interest rate, and bearing numbers not contemporaneously
outstanding.

         SECTION 307. ELECTION TO REDEEM; NOTICE TO TRUSTEE AND ISSUER. The
election of the Company to redeem any Bonds shall be evidenced by a written
notice, signed by an Authorized Company Representative, given to the Trustee and
the Issuer not less than 45 days (unless a shorter notice shall be satisfactory
to the Trustee and the Issuer) and not more than 90 days prior to the redemption
date specified by the Company therein, which notice shall specify the Section of
this Indenture pursuant to which the Bonds are being redeemed, the redemption
date, and the aggregate principal amount of Bonds to be redeemed.

         SECTION 308. SELECTION OF BONDS TO BE REDEEMED. If less than all the
Bonds are to be redeemed, the particular Bonds or portion thereof to be redeemed
shall be selected prior to the redemption date by the Trustee, by lot by such
method as the Trustee shall deem fair and appropriate and which may provide for
the selection for redemption of portions of the principal of Bonds of a
denomination larger than the minimum Authorized Denomination. The unredeemed
portion of a Bond selected for partial redemption must be equal to an Authorized
Denomination.

         SECTION 309. DEPOSIT OF REDEMPTION PRICE. Pursuant to Section
4.1(b)(iii) of the Loan Agreement, the Company is required, prior to any
redemption date, to deposit with the Trustee an amount of money in immediately
available funds sufficient to pay the redemption price of all the Bonds which
are to be redeemed on such date.

                                       29
<PAGE>

                                  ARTICLE IV

                              FUNDS AND ACCOUNTS

         SECTION 401.      ESTABLISHMENT OF FUNDS AND ACCOUNTS. There are hereby
created by the Issuer and ordered established with the Trustee the following
irrevocable trust funds and accounts:

                           (a) A separate Bond Fund, to be designated "Tooele
                  County, Utah Hazardous Waste Disposal Revenue Bonds (Laidlaw
                  Inc./USPCI Clive Project) Series 1995 Bond Fund", shall be
                  used for the purposes and shall be administered in the manner
                  set forth in Section 403 hereof; and

                           (b) A separate Construction Fund to be designated
                  "Tooele County, Utah Hazardous Waste Disposal Revenue Bonds
                  (Laidlaw Inc./USPCI Clive Project) Series 1995 Construction
                  Fund", and within the Construction Fund separate accounts
                  relating to the series of Bonds authenticated and delivered on
                  each Issue Date. Each of such accounts shall be designated by
                  the Trustee as the Trustee deems appropriate and shall be
                  administered in the manner set forth in Section 404 hereof.

         The Trustee may establish such other funds and accounts as it may deem
necessary and appropriate to carry out the trusts hereby created.

         SECTION 402.      DISPOSITION OF PROCEEDS OF SALE OF SERIES 1995
BONDS. The proceeds of the sale of the Series 1995 Bonds to be received by the
Issuer on the Issue Date in the amount of $9,883,545 (representing the aggregate
principal amount of the Series 1995 Bonds, less an underwriter's discount of
$88,305 and an original issue discount of $46,900, plus accrued interest from
the Issue Date to the date of delivery of the Series 1995 Bonds of $18,750)
shall be deposited by the Trustee as follows:

                           (a) into the Bond Fund, the amount of $18,750
                  representing accrued interest on the Series 1995 Bonds, and

                           (b) into the Construction Fund, the remaining
                  balance to be disbursed in accordance with Section 404 herein.

         SECTION 403.      BOND FUND. There shall be deposited into the Bond
Fund as and when received all payments made by the Company pursuant to the Loan
Agreement with respect to the principal of, premium, if any, and interest on the
Bonds, including the redemption price of Bonds to be redeemed, and any other
moneys required by this Indenture or the Loan Agreement to be deposited into the
Bond Fund.

         Except as may otherwise be required by the Proceeds Certificate or
Section 405 hereof, moneys in the Bond Fund shall be used solely for the payment
of the principal of and premium, if any, on the Bonds as the same becomes due
and payable (whether at stated maturity, upon redemption or upon acceleration),
and to pay interest on the Bonds when due, all as provided in this Indenture.

                                       30
<PAGE>

         Upon delivery by the Company of a Completion Certificate pursuant to
Section 3.4 of the Loan Agreement, there shall be transferred from the
Construction Fund to a segregated account of the Bond Fund certain amounts on
deposit in the Construction Fund, as described in Section 404 hereof, which
amounts shall be used in the manner described in Section 3.4 of the Loan
Agreement. The Trustee is hereby authorized and directed to use the moneys
transferred to the Bond Fund as described in this paragraph for the purposes set
forth in Section 3.4 of the Loan Agreement.

         After the right, title and interest of the Trustee in and to the Trust
Estate and all covenants and agreements and other obligations of the Issuer to
the owners of the Bonds shall have ceased, terminated and become void and shall
have been satisfied and discharged in accordance with Article VI hereof, and the
fees, expenses and other amounts payable to the Trustee and the Issuer, pursuant
to any provisions hereof shall have been paid in full, any moneys remaining in
the Bond Fund shall be paid to the Company upon a written request therefor
signed by an Authorized Company Representative.

         SECTION 404. CONSTRUCTION FUND. There shall be deposited into the
Construction Fund the amounts specified in Section 402 hereof from the proceeds
to be received from time to time of the sale of the Series 1995 Bonds.

         Moneys in the Construction Fund shall be expended in accordance with
the applicable provisions of the Loan Agreement to pay Project Costs at any time
with respect to which no Event of Default has occurred and is continuing, upon
receipt by the Trustee of a written requisition signed by an Authorized Company
Representative, stating the name and address of the person to whom payment is to
be made and the amount to be paid and certifying that (a) none of the payments
for which the payment or reimbursement is proposed to be made has formed the
basis for any payment or reimbursement theretofore made from the Construction
Fund, (b) each item for which payment or reimbursement is proposed to be made is
or was necessary in connection with Construction of the Project, (c) all of the
proceeds of the Bonds (to and including such disbursement) have been or are
being used to provide for Project Costs and (d) such payment or reimbursement is
in accordance with all applicable provisions of the Loan Agreement. In making
any such payment, the Trustee may conclusively rely upon such written
requisition and the Trustee shall be relieved of all liability with respect to
making such payment in accordance with such written requisition. The Trustee
shall keep and maintain adequate records pertaining to the Construction Fund and
all disbursements therefrom. Notwithstanding the foregoing the Trustee is
directed to pay an amount not greater than $199,062 from the Construction Fund
for costs of issuance of the Series 1995 Bonds upon receipt of a closing
statement signed by an Authorized Company Representative.

         In addition to the foregoing, there shall be withdrawn from the
Construction Fund (a) any moneys remaining on deposit in the Construction Fund
upon the delivery of a Completion Certificate pursuant to Section 3.4 of the
Loan Agreement (other than amounts to be retained by the Trustee in the
Construction Fund at the direction of the Company to pay Project Costs not then
due and payable or amounts with respect to which the liability for payment is in
dispute), to be deposited into a segregated account of the Bond Fund, and (b)
any moneys remaining on deposit in the Construction Fund upon the prepayment of
all installments payable pursuant to Article VIII of the Loan

                                       31
<PAGE>

Agreement, to be deposited into the Bond Fund. There shall also be transferred
to the Bond Fund from the Construction Fund any moneys remaining on deposit in
the Construction Fund at such time as the principal of all Outstanding Bonds
shall have become due and payable in accordance with the provisions of Section
7.3(a) of the Loan Agreement.

         SECTION 405.      REBATE FUND.

                           (a) There is hereby created and established with the
                  Trustee a trust fund to be designated "Tooele County, Utah
                  Hazardous Waste Disposal Revenue Rebate Fund". The Rebate Fund
                  is not pledged and does not secure the Registered Owners of
                  the Bonds. The Company shall on each applicable Rebate
                  Calculation Date determine or cause to be determined, the
                  amount of Rebatable Arbitrage and the corresponding Required
                  Rebate Deposit with respect to the Bonds of each Series to be
                  deposited into the Rebate Fund and shall give written notice
                  to the Trustee of such determination. The Trustee shall retain
                  records of all such determinations until six years after the
                  requirement of the last Bond. In addition, the Company shall
                  deposit into the Rebate Fund the Required Rebate Deposit, if
                  any, within 30 days after each Rebate Calculation Date. Upon
                  written direction of the Company, the Trustee shall withdraw
                  from the Rebate Fund and pay over to the United States
                  Government: (1) not less frequently than once each five years
                  commencing no later than 30 days after each Rebate Calculation
                  Date, and upon each fifth anniversary of the first such
                  payment date, an amount equal to 90% of the net aggregate
                  amount of Rebatable Arbitrage less the amount, if any, of
                  Rebatable Arbitrage theretofore paid to the United States, and
                  (2) not later than 30 days after the retirement of the last
                  Bond of such series 100% of the aggregate amount of Rebatable
                  Arbitrage with respect to such series of Bonds.

                           (b) Withdrawals from the Rebate Fund may be made to
                  the extent the Company determines with the written approval of
                  the Trustee that amounts on deposit in such fund exceed
                  amounts required to be on deposit therein pursuant to this
                  Section 405. All such withdrawals shall be transferred to the
                  Bond Fund.

                           (c) The provisions of this Section 405 may be amended
                  or deleted from this Indenture upon receipt by the Issuer and
                  the Trustee of an opinion of nationally recognized bond
                  counsel that such amendment or deletion will not adversely
                  affect the exclusion of the interest on the Bonds from gross
                  income for purposes of federal income taxation. Any moneys on
                  deposit in the Rebate Fund may be applied by the Trustee as
                  permitted in such opinion.

                           (d) The Trustee shall at least 60 days prior to each
                  Rebate Calculation Date notify the Company and the Issuer of
                  the requirements of this Section. By agreeing to give this
                  notice, the Trustee assumes no responsibility whatsoever for
                  compliance by the Company with the requirements of Section 148
                  of the Code or any successor.

                                       32
<PAGE>

                  Notwithstanding any other provision of the Indenture, any
                  failure of the Trustee to give any such notice, for any reason
                  whatsoever, shall not cause the Trustee to be responsible for
                  any failure of the Company to comply with the requirements of
                  said Section 148 or any successor thereof.

                                       33
<PAGE>

                                    ARTICLE V

                             INVESTMENT OF MONEYS

         Any moneys held pursuant to this Indenture as part of the Construction
Fund, the Bond Fund (other than moneys for the payment of Bonds which shall have
become payable at maturity, upon redemption or otherwise, or for the payment of
interest thereon which has become due) and the Rebate Fund shall be invested and
reinvested by the Trustee in Eligible Securities upon the written order of the
Company signed by an Authorized Company Representative, provided, however, that
all investments shall be made by the Trustee in compliance with the applicable
provisions of the Proceeds Certificate. The Trustee shall be entitled to rely on
each such written order and shall incur no liability for making any such
investment so designated or for any loss incurred in selling such investment.
The Trustee may make any and all such investments through or from its own bond
department, provided that such investments are on fair and reasonable terms no
less favorable than would be obtained in a comparable arm's-length transaction.

         Any investments pursuant to this Article V shall be held by or under
the control of the Trustee and shall be deemed at all times a part of the fund,
account or subaccount for which they were made, but the Trustee shall have no
liability with respect to any investment made pursuant to any such written
order. The interest accruing thereon and any profit realized from such
investments shall be credited, and any loss resulting from such investment shall
be charged, to such fund, account or subaccount. The Trustee shall sell and
reduce to cash a sufficient amount of such investments (a) of the Construction
Fund whenever the cash balance in the Construction Fund is insufficient to pay a
written requisition when presented, (b) of the Bond Fund whenever the cash
balance in the Bond Fund is insufficient to pay the principal of or premium, if
any, or interest on the Bonds when due, and (c) of the Rebate Fund as necessary
for the purposes thereof.

                                       34
<PAGE>

                                  ARTICLE VI

                        SATISFACTION OF THE INDENTURE

         SECTION 601.      DISCHARGE OF INDENTURE. If the Issuer shall pay or
cause to be paid, or there shall be otherwise paid or deemed paid or provision
for payment made to or for the owners of the Bonds the principal, premium, if
any, and interest due or to become due thereon at the times and in the manner
stipulated therein and in this Indenture, and if the Issuer shall not then be in
default in any of the other covenants and promises in the Bonds and in this
Indenture expressed to be kept, performed and observed by it or on its part, and
shall pay or cause to be paid to the Trustee all sums of money due or to become
due according to the provisions hereof, then these presents and the estate and
rights hereby granted shall cease, determine and be void, whereupon the Trustee
shall cancel and discharge the lien of this Indenture and execute and deliver to
the Issuer such instruments in writing as shall be requisite to cancel and
discharge the lien of this Indenture, and reconvey, release, assign and deliver
unto the Issuer any and all estate, right, title and interest in and to any and
all property conveyed, assigned or pledged to the Trustee or otherwise subject
to this Indenture, except amounts in the Rebate Fund and amounts in the Bond
Fund required to be paid to the Company pursuant to any express provisions to
that effect contained herein and moneys or securities held by the Trustee for
the payment of the principal of, and premium, if any, and interest on, the
Bonds.

         SECTION 602.      BONDS DEEMED PAID. Any Bond shall be deemed to have
been paid if:

                           (a) in case said Bond is to be redeemed on any date
                  prior to its stated maturity, the Company shall have given to
                  the Trustee in form satisfactory to the Trustee, irrevocable
                  instructions to give notice of redemption of such Bond on said
                  redemption date;

                           (b) payment of the principal of and premium, if any,
                  on such Bond, plus interest thereon to the due date thereof
                  (whether such due date be by reason of maturity or upon
                  redemption as provided in this Indenture, or otherwise),
                  either (i) shall have been made or caused to be made in
                  accordance with the terms thereof, or (ii) shall have been
                  provided for by depositing with the Trustee, in trust and
                  irrevocably set aside exclusively for such payment, (1) moneys
                  sufficient to make such payment or (2) Government Obligations
                  maturing as to principal and interest in such amounts and at
                  such times as will provide sufficient moneys to make such
                  payment (provided that such deposit will not affect the
                  excludability of interest on any of the Bonds from the gross
                  income of the owners thereof for federal income tax purposes
                  or cause any of the Bonds to be classified as "arbitrage
                  bonds" within the meaning of Section 148 of the Code), and all
                  necessary and proper fees, compensation and expenses of the
                  Issuer and the Trustee, pertaining to the Bond with respect to
                  which such deposit is made and all other liabilities of the
                  Company under the Loan Agreement pertaining to such Bond shall
                  have been paid or the payment thereof provided for; and

                                       35
<PAGE>

                           (c) in the event said Bond is not by its terms
                  subject to redemption within 60 days following the proposed
                  date of deposit, the Company shall have given the Trustee in
                  form satisfactory to it irrevocable instructions to give a
                  notice to the holders of such Bonds that the deposit required
                  by clause (b) above has been made with the Trustee and that
                  said Bonds are deemed to have been paid in accordance with
                  this Section and stating such date upon which moneys are to be
                  available for payment of the principal of, premium, if any,
                  and interest on said Bonds.

         The Issuer or the Company may at any time surrender to the Trustee for
cancellation by it any Bonds previously authenticated and delivered, which the
Issuer or the Company may have acquired in any manner whatsoever, and such
Bonds, upon such surrender and cancellation, shall be deemed to be paid and
retired.

                                       36
<PAGE>

                                 ARTICLE VII

                              GENERAL COVENANTS

         SECTION 701. PAYMENT OF PRINCIPAL, PREMIUM, IF ANY, AND INTEREST; NO
GENERAL OBLIGATION. The Issuer covenants that it will promptly pay or cause to
be paid the principal of, premium, if any, and interest on every Bond issued
under this Indenture at the place or places, on the dates and in the manner
provided herein and in the Bonds, provided that such principal, premium, if any,
and interest are payable by the Issuer solely from the Trust Estate, and nothing
in the Bonds or this Indenture shall be considered as assigning or pledging any
other funds or assets of the Issuer other than the Trust Estate.

         Each and every covenant made herein by the Issuer is predicated upon
the condition that the Issuer shall not in any event be liable from any property
or source other than the Trust Estate for the payment of the principal of,
premium, if any, or interest on the Bonds, or the payment of any amounts payable
under the Loan Agreement, or the performance of any pledge, obligation or
agreement created by or arising under this Indenture, the Bonds or the Loan
Agreement; and, further, that neither the Bonds nor any such obligation or
agreement of the Issuer shall be construed to constitute an indebtedness of the
Issuer within the meaning of any constitutional or statutory provision
whatsoever, or a pecuniary liability of the Issuer or a charge against its
general credit or taxing power.

         SECTION 702. PERFORMANCE OF COVENANTS; LEGAL AUTHORIZATION. The Issuer
covenants that it will faithfully perform at all times any and all covenants,
undertakings, stipulations and provisions contained in this Indenture, in any
and every Bond executed, authenticated and delivered hereunder and in all
proceedings of the Governing Body pertaining thereto. The Issuer represents that
it is duly authorized under the Constitution and laws of the State to issue the
Bonds authorized hereby, to execute this Indenture, to assign the Loan Agreement
and to pledge and assign the Trust Estate pledged to the payment of the Bonds
and payments thereon in the manner and to the extent herein set forth; that all
action on its part for the issuance of the Series 1995 Bonds and the execution
and delivery of this Indenture has been duly and effectively taken (or, if
Additional Bonds are issued pursuant to Section 208 hereof, will be duly taken
as provided therein); and that the Bonds in the hands of the owners thereof as
shown on the Bond Register are and will be valid and enforceable obligations of
the Issuer according to the import thereof.

         SECTION 703. FURTHER ASSURANCES. Except to the extent otherwise
provided in this Indenture, the Issuer shall not enter into any contract or take
any action by which the rights of the Trustee or the Bondholders may be impaired
and shall, from time to time, execute and deliver such further instruments and
take such further action as may be required to carry out the purposes of this
Indenture. The Issuer shall be entitled to reimbursement from the Company for
any action taken pursuant to this Section 703.

         SECTION 704. IMMUNITIES AND LIMITATIONS OF RESPONSIBILITY OF ISSUER.
The Issuer shall be entitled to the advice of counsel (who, except as otherwise
provided, may be counsel for any Bondholder), and the Issuer shall be wholly
protected as to action taken or omitted in good faith in reliance on such
advice. The Issuer may rely

                                       37
<PAGE>

conclusively on any communication or other document furnished to it hereunder
and reasonably believed by it to be genuine. The Issuer shall not be liable for
any action (a) taken by it in good faith and reasonably believed by it to be
within its discretion or powers hereunder, or (b) in good faith omitted to be
taken by it because such action was reasonably believed to be beyond its
discretion or powers hereunder, or (c) taken by it pursuant to any direction or
instruction by which it is governed hereunder, or (d) omitted to be taken by it
by reason of the lack of any direction or instruction required hereby for such
action; nor shall it be responsible for the consequences of any error of
judgment reasonably made by it. The Issuer shall in no event be liable for the
application or misapplication of funds or for other acts or defaults by any
person, except its own officers and employees. When any payment or consent or
other action by it is called for hereby, it may defer such action pending
receipt of such evidence (if any) as it may reasonably require in support
thereof. The Issuer shall not be required to take any remedial action (other
than the giving of notice) unless reasonable indemnity is furnished for any
expense or liability to be incurred thereby, other than liability for failure to
meet the standards set forth in this Section. As provided herein and in the Loan
Agreement, the Issuer shall be entitled to reimbursement for its expenses
reasonably incurred or advances reasonably made, with interest at the rate borne
by the Bonds, in the exercise of its rights or the performance of its
obligations hereunder, to the extent that it acts without previously obtaining
indemnity. No permissive right or power to act which it may have shall be
construed as a requirement to act, and no delay in the exercise of a right or
power shall affect its subsequent exercise of that right or power.

         SECTION 705. RECORDING AND FILING. The Issuer covenants that, solely
from additional amounts payable as provided in Section 4.3 of the Loan
Agreement, it will, if necessary, cause this Indenture and all supplements
hereto and the Loan Agreement and all supplements thereto, and all related
financing statements, to be kept, recorded and filed in such manner and in such
places as may be required by law in order to preserve and protect fully the
security of the Bondholders and the rights of the Trustee hereunder.

         SECTION 706. BOOKS AND RECORDS. The Issuer covenants that so long as
any Bonds are Outstanding and unpaid, it will keep, or cause to be kept, proper
books of record and account, relating to its financial dealings under this
Indenture and the Loan Agreement. Such books shall at all times be open for any
lawful purpose to the inspection of such accountants or other agents as the
Trustee may from time to time designate.

         SECTION 707. DEFENSE OF ISSUER'S RIGHTS. The Issuer agrees that the
Trustee may defend the Issuer's rights to the payments and other amounts due
under the Loan Agreement, for the benefit of the Bondholders, against the claims
and demands of all persons whomsoever. The Issuer covenants that it will do,
execute, acknowledge and deliver, or cause to be done, executed, acknowledged
and delivered, such indentures supplemental hereto and such further acts,
instruments and transfers as the Trustee may reasonably require for the better
assuring, transferring, pledging, assigning and confirming to the Trustee all
and singular the rights assigned hereby and the amounts pledged hereby to the
payment of the principal of, premium, if any, and interest on the Bonds. The
Issuer covenants and agrees that, except as herein and in the Loan

                                       38
<PAGE>

Agreement provided, it will not sell, convey, assign, pledge, encumber or
otherwise dispose of any part of the Trust Estate.

         SECTION 708. ARBITRAGE; COMPLIANCE WITH PROCEEDS CERTIFICATE. The
Issuer covenants and agrees that it will not take any action or fail to take any
action with respect to the investment of the proceeds of any Bonds issued under
this Indenture or with respect to the payments derived from the Loan Agreement,
which would result in constituting the Bonds "arbitrage bonds" within the
meaning of such term as used in Section 148(a) of the Code. The Issuer further
covenants and agrees that it will comply with and take all actions required by
the Proceeds Certificate.

         SECTION 709. CONTINUING DISCLOSURE. Pursuant to Section 5.7 of the Loan
Agreement, the Company has undertaken all responsibility for compliance with
continuing disclosure requirements, and the Issuer shall have no liability to
the Holders of the Series 1995 Bonds or any other person with respect to such
disclosure matters. The Trustee hereby covenants and agrees that it will comply
with and carry out all of the provisions of the Continuing Disclosure Agreement
and Section 5.7 of the Loan Agreement. Notwithstanding any other provision of
this Indenture, failure of the Company or the Trustee to comply with the
Continuing Disclosure Agreement shall not be considered an Event of Default;
however, the Trustee may (and, at the request of BA Securities, Inc. or the
Holders of at least 25% aggregate principal amount of Outstanding Series 1995
Bonds, shall) or any Bondholder may take such actions as may be necessary and
appropriate, including seeking mandate or specific performance by court order,
to cause the Company to comply with its obligations under Section 5.7 of the
Loan Agreement or to cause the Trustee to comply with its obligations under this
Section 709.

                                       39
<PAGE>

                                 ARTICLE VIII

                              EVENTS OF DEFAULT

         SECTION 801.      EVENTS OF DEFAULT. An "Event of Default," as used
herein, shall mean any of the following events, whatever the reason for such
Event of Default and whether it shall be voluntary or involuntary or come about
or be effected by operation of law or pursuant to or in compliance with any
judgment, decree or order of any court or any order, rule or regulation of any
administrative or governmental body:

                           (a) failure to pay any installment of interest
                  payable on any of the Bonds when the same shall become due and
                  payable; or

                           (b) failure to pay the principal of or the premium,
                  if any, on any of the Bonds when the same shall become due and
                  payable, whether at the stated maturity thereof, by
                  proceedings for redemption, upon acceleration or otherwise; or

                           (c) failure by the Issuer or the Company to duly
                  observe or perform any covenant or agreement (other than a
                  covenant or agreement whose performance or observance is
                  elsewhere in this Section 801 specifically dealt with) on the
                  part of the Issuer or the Company, respectively, contained in
                  this Indenture or the Loan Agreement, for a period of 30 days
                  after the date on which written notice of such failure,
                  requiring the same to be remedied, shall have been given to
                  the Issuer and the Company by the Trustee, or to the Issuer,
                  the Company and the Trustee by the owners of at least
                  twenty-five percent (25%) in aggregate principal amount of
                  Bonds then Outstanding; provided that if such default can be
                  cured by the Issuer or the Company but cannot be cured within
                  the 30-day curative period described above, it shall not
                  constitute an Event of Default if corrective action is
                  instituted by the Issuer or the Company within such 30-day
                  period and such action is diligently pursued until the default
                  is corrected; or

                           (d) a decree or order by a court having jurisdiction
                  in the premises shall have been entered adjudging the Company
                  bankrupt or insolvent, or approving as properly filed a
                  petition seeking reorganization or arrangement of the Company
                  under the federal Bankruptcy Code or any other similar
                  applicable federal or state law, and such decree or order
                  shall have continued undischarged and unstayed for a period of
                  90 days; or a decree or order of a court having jurisdiction
                  in the premises for the appointment of a receiver or trustee
                  or assignee in bankruptcy or insolvency of the Company or of
                  the Company's property, or for the winding up or liquidation
                  of the Company's affairs, shall have been entered, and such
                  decree or order shall have remained in force undischarged and
                  unstayed for a period of 90 days; or

                           (e) the Company shall institute proceedings to be
                  adjudicated a voluntary bankrupt, or shall consent to the
                  institution of a bankruptcy proceeding against it, or shall
                  file a petition or answer or consent

                                       40
<PAGE>

                  seeking reorganization or arrangement under the federal
                  Bankruptcy Code or any other similar applicable federal or
                  state law, or shall consent to the appointment of a receiver
                  or trustee or assignee in bankruptcy or insolvency of it or of
                  its property or shall make assignment for the benefit of
                  creditors, or shall admit in writing its inability to pay its
                  debts generally as they become due, or corporate action shall
                  be taken by the Company in furtherance of any of the aforesaid
                  purposes;

                           (f) the occurrence of an "Event of Default" under the
                  Loan Agreement or the Guaranty; or

                           (g) the occurrence of an Act of Bankruptcy of
                  Guarantor.

         SECTION 802. ACCELERATION. Upon the occurrence and continuation of an
Event of Default the Trustee may, and upon receipt of the written directions of
the owners of not less than twenty-five percent (25%) in principal amount of the
Bonds Outstanding shall, by written notice delivered to the Issuer and the
Company declare the entire principal amount of the Bonds then Outstanding, and
the interest accrued thereon, immediately due and payable and the entire
principal and interest shall thereupon become and be immediately due and
payable, subject, however, to the provisions of Section 811 hereof with respect
to waivers of Events of Default, and the Trustee shall give notice thereof by
first class mail, postage prepaid, to all owners of Outstanding Bonds.

         SECTION 803. REMEDIES; RIGHTS OF BONDHOLDERS. Upon the occurrence and
continuance of any Event of Default, the Trustee may, without any action on the
part of the Bondholders, and shall, at the written request of the owners of not
less than twenty-five percent (25%) in principal amount of the Bonds then
Outstanding, and in any case upon being indemnified to its satisfaction as
provided in Section 901(k) hereof:

                           (a) by mandamus, or other suit, action or proceeding
                  at law or in equity, enforce all rights of the Bondholders
                  under, and require the Issuer, the Company or the Guarantor to
                  carry out any agreements with or for the benefit of the
                  Bondholders and to perform its or their duties under, the Act,
                  the Loan Agreement, the Guaranty, and this Indenture, provided
                  that any such remedy may be taken only to the extent permitted
                  under the applicable provisions of the Loan Agreement, the
                  Guaranty or this Indenture, as the case may be;

                           (b) bring suit upon the Bonds; or

                           (c) by action or suit in equity enjoin any acts or
                  things which may be unlawful or in violation of the rights of
                  the Bondholders;

provided, however, that the Trustee shall have the right to decline to comply
with any such request or direction if the Trustee shall be advised by counsel
(who may be its own counsel) that the action so requested may not lawfully be
taken or the Trustee in good faith shall determine that such action would be
unjustly prejudicial to the Bondholders not parties to such request.

                                       41
<PAGE>

         No remedy by the terms of this Indenture conferred upon or reserved to
the Trustee (or to the Bondholders) is intended to be exclusive of any other
remedy, but each and every such remedy shall be cumulative and shall be in
addition to any other remedy given to the Trustee or to the Bondholders now or
hereafter existing at law or in equity or by statute; provided, however, that
any conditions set forth herein to the taking of any remedy to enforce the
provisions of this Indenture, the Bonds, the Guaranty or the Loan Agreement
shall also be conditions to seeking any remedies under any of the foregoing
pursuant to this Section 803.

         No delay or omission of the Trustee or any Bondholder to exercise any
right or power accruing upon any default or Event of Default shall impair any
such right or power or shall be construed to be a waiver of any such default or
Event of Default, or acquiescence therein; and every such right and power given
by this Article VIII to the Trustee and the Bondholders, respectively, may be
exercised from time to time and as often as may be deemed expedient.

         No waiver of any default or Event of Default hereunder, whether by the
Trustee or by the Bondholders, shall extend to or shall affect any subsequent
default or Event of Default or shall impair any rights or remedies consequent
thereon.

         SECTION 804. TRUSTEE MAY FILE PROOFS OF CLAIM. In case of the pendency
of any receivership, insolvency, liquidation, bankruptcy, reorganization,
arrangement, adjustment, composition or other judicial proceeding relative to
the Issuer, the Company, the Guarantor or any other obligor upon the Bonds or
their creditors, and whether or not an Event of Default hereunder shall have
occurred and be continuing, the Trustee (irrespective of whether the principal
of the Bonds shall then be due and payable as therein expressed or by
declaration or otherwise and irrespective of whether the Trustee shall have made
any demand on the Issuer for the payment of overdue principal or interest) may
be entitled and empowered, by intervention in such proceeding or otherwise,

                           (a) to file and prove a claim for the whole amount of
                  principal (and premium, if any) and interest owing and unpaid
                  with respect to the Bonds and to file such other papers or
                  documents as may be necessary or advisable in order to have
                  the claims of the Trustee (including any claim for the
                  reasonable compensation, expenses, disbursements and advances
                  of the Trustee, its agents and counsel) and of the Bondholders
                  allowed in such judicial proceeding, and

                           (b) to collect and receive any moneys or other
                  property payable or deliverable on any such claims and to
                  distribute the same; and any receiver, assignee, trustee,
                  liquidator, sequestrator (or other similar official) in any
                  such judicial proceeding is hereby authorized by each
                  Bondholder to make such payments to the Trustee, and in the
                  event that the Trustee shall consent to the making of such
                  payments directly to the Bondholders, to pay to the Trustee a
                  ny amount due to it for the reasonable compensation, expenses,
                  disbursements and advances of the Trustee, its agents and
                  counsel, and any other amounts due the Trustee under this
                  Indenture.

                                       42
<PAGE>

         Nothing herein contained shall be deemed to authorize the Trustee to
authorize or consent to or accept or adopt on behalf of any Bondholder any plan
of reorganization, arrangement, adjustment or composition affecting the Bonds or
the rights of any owner thereof, or to authorize the Trustee to vote with
respect to the claim of any Bondholder in any such proceeding.

         SECTION 805. DIRECTION OF PROCEEDINGS BY BONDHOLDERS. The owners of not
less than fifty-one percent (51%) in aggregate principal amount of Bonds then
Outstanding shall have the right, at any time, by an instrument or instruments
in writing executed and delivered to the Trustee, to direct the method and place
of conducting all proceedings to be taken in connection with the enforcement of
the terms and conditions of this Indenture, including enforcement of the rights
of the Issuer under the Loan Agreement or the appointment of a receiver or any
other proceedings hereunder; provided, that such direction shall not be
otherwise than in accordance with the provisions of law and of this Indenture.

         SECTION 806. APPOINTMENT OF RECEIVERS. Upon the occurrence of an Event
of Default, and upon the filing of a suit or other commencement of judicial
proceedings to enforce the rights of the Trustee and the Bondholders under this
Indenture, the Trustee shall be entitled, as a matter of right, to the
appointment of a receiver or receivers of the rights and properties pledged
hereunder and of the revenues, issues, payments and profits thereof, pending
such proceedings, with such powers as the court making such appointment shall
confer.

         SECTION 807. APPLICATION OF MONEYS. Subject to the provisions of the
Proceeds Certificate, all moneys received by the Trustee, by any receiver or by
any Bondholder pursuant to any right given or action taken under the provisions
of this Article VIII shall, after payment of the costs and expenses of the
proceedings resulting in the collection of such moneys and of the expenses,
liabilities and advances incurred or made by the Trustee (provided that moneys
on deposit in the Bond Fund prior to the Event of Default and held for Bonds not
presented for payment and moneys deposited pursuant to Article VI hereof shall
not be used for purposes other than payment of such Bonds), be deposited into
the Bond Fund and all moneys so deposited during the continuance of an Event of
Default (other than moneys for the payment of Bonds which had matured or
otherwise become payable prior to such Event of Default or for the payment of
interest due prior to such Event of Default), together with all moneys in any
other fund or account maintained by the Trustee under this Indenture shall be
applied as follows:

                      (a) Unless the principal of all the Bonds shall have
                  become or shall have been declared due and payable, all such
                  moneys shall be applied:

                          First:  To the payment of amounts, if any, payable to
                      the United States Treasury pursuant to the Proceeds
                      Certificate and Section 405 hereof;

                          Second: To the payment to the Persons entitled
                      thereto of all installments of interest then due on the
                      Bonds, with interest on overdue installments of interest
                      and principal, if lawful, at the

                                       43
<PAGE>

                      Default Rate in the order of the maturity of the
                      installments of such interest, and, if the amount
                      available shall not be sufficient to pay in full any
                      particular installment of interest, then to the payment
                      ratably, according to the amounts due on such
                      installment, to the Persons entitled thereto without any
                      discrimination or privilege; and

                          Third: To the payment to the Persons entitled thereto
                      of the unpaid principal of any of the Bonds which shall
                      have become due (other than Bonds called for redemption
                      for the payment of which moneys are held pursuant to the
                      provisions of this Indenture), in the order of their due
                      dates, and, if the amount available shall not be
                      sufficient to pay in full the principal of Bonds due on
                      any particular date, then to the payment ratably,
                      according to the mount of principal due on such date, to
                      the Persons entitled thereto without any discrimination or
                      privilege.

                      (b) If the principal of all the Bonds shall have become
                  due or shall have been declared due and payable, all such
                  moneys shall be applied to the payment of the principal and
                  interest then due and unpaid upon the Bonds, with interest
                  on overdue interest and principal, as aforesaid, without
                  preference or priority of principal over interest or of
                  interest over principal, or of any installment of interest
                  over any other installment of interest, or of any Bond over
                  any other Bond, ratably, according to the amounts due
                  respectively for principal and interest, to the Persons
                  entitled thereto without any discrimination or privilege.

         Whenever moneys are to be applied pursuant to the provisions of this
Section 807, such moneys shall be applied at such times, and from time to time,
as the Trustee shall determine, having due regard for the amount of such moneys
available for application and the likelihood of additional moneys becoming
available for such application in the future. Whenever the Trustee shall apply
such moneys, it shall fix the date upon which such application is to commence
and upon such date interest on the amounts of principal and interest to be paid
on such date shall cease to accrue. The Trustee shall give such notice as it may
deem appropriate of the deposit with it of any such moneys and of the fixing of
any such date by mailing a copy of such notice by first class mail postage
prepaid to the owners of the then Outstanding Bonds. The Trustee shall not be
required to make payment to the holder of any unpaid Bond until such Bond shall
be presented to the Trustee for appropriate endorsement or for cancellation if
fully paid.

         SECTION 808. REMEDIES VESTED IN TRUSTEE. All rights of action,
including the right to file proof of claims under this Indenture or under any of
the Bonds, may be enforced by the Trustee without the possession of any of the
Bonds or the production thereof in any trial or other proceedings relating
thereto and any such suit or proceeding instituted by the Trustee shall be
brought in its name as Trustee without the necessity of joining as plaintiffs or
defendants any holders of the Bonds, and any recovery of judgment shall be for
the equal benefit of the holders of the then Outstanding Bonds, subject to the
provisions of this Indenture.

                                       44
<PAGE>

         SECTION 809. RIGHTS AND REMEDIES OF BONDHOLDERS. No holder of any Bond
shall have any right to institute any suit, action or proceeding in equity or at
law for the enforcement of this Indenture or for the execution of any trust
hereof or for the appointment of a receiver or for the enforcement of any other
remedy hereunder, unless a default shall have become an Event of Default and the
holders of twenty-five percent (25%) in aggregate principal amount of Bonds then
Outstanding shall have made written request to the Trustee and shall have
offered the Trustee reasonable opportunity either to proceed to exercise the
powers hereinbefore granted or to institute such action, suit or proceeding in
its own name, and unless such Bondholders have also offered to the Trustee
indemnity as provided in Section 901(k) hereof, and unless the Trustee shall
thereafter fail or refuse to exercise the powers hereinbefore granted, or to
institute such action, suit or proceeding in its own name; and such
notification, request and offer of indemnity are hereby declared in every case
at the option of the Trustee to be conditions precedent to the execution of the
powers and trusts of this Indenture and to any action or cause of action for the
enforcement of this Indenture, or for the appointment of a receiver or for any
other remedy hereunder; it being understood and intended that no one or more
Bondholders shall have any right in any manner whatsoever to affect, disturb or
prejudice the lien of this Indenture by any action or to enforce any right
hereunder except in the manner herein provided, and that all proceedings at law
or in equity shall be instituted, had and maintained in the manner herein
provided and for the equal benefit of the holders of all Bonds Outstanding.
Nothing in this Indenture contained shall, however, (a) affect or impair the
right of any Bondholder to enforce the payment of the principal of and interest
on any Bond at and after the maturity thereof, or (b) affect or impair the
obligation of the Issuer to pay the principal of and interest on each of the
Bonds issued hereunder to the respective holders thereof at the time and place,
from the source and in the manner in said Bonds expressed.

         SECTION 810. TERMINATION OF PROCEEDINGS. In case the Trustee shall have
proceeded to enforce any right under this Indenture by the appointment of a
receiver, or otherwise, and such proceedings shall have been discontinued or
abandoned for any reason, or shall have been determined adversely to the
Trustee, then and in every case the Issuer and the Trustee shall, subject to any
determination in such proceeding, be restored to their former positions and
rights hereunder with respect to the property pledged and assigned hereunder,
and all rights, remedies and powers of the Trustee shall continue as if no such
proceedings had been taken.

         SECTION 811. WAIVERS OF EVENTS OF DEFAULT. The Trustee may, in its
discretion, without any action on the part of the Bondholders, waive any Event
of Default hereunder and its consequences and rescind any declaration that the
principal of and interest on the Bonds is immediately due and payable, if such
waiver or rescission is not, in the judgment of the Trustee, detrimental to the
Bondholders, and shall do so upon the written request of the holders of at least
fifty-one percent (51%) in aggregate principal amount of all Bonds Outstanding
which are affected by such default.

         SECTION 812. NOTICE OF DEFAULT. In the event of any default hereunder,
the Trustee will promptly give written notice thereof to the Issuer, the
Guarantor and the Company setting forth the nature of such default.

                                       45
<PAGE>

         SECTION 813. DEMAND UNDER GUARANTY. In the event that the Trustee fails
to receive any payment due from the Company, the Trustee shall take the actions
provided under Section 4.7 of the Loan Agreement and seek to enforce the rights
as otherwise provided in the Guaranty.

         SECTION 814. LIMITATION OF LIABILITY. In the event of a violation of
the tax covenants contained herein or in the Loan Agreement or the other Company
Documents, the Bondholders' remedy shall be limited to the payment of 100% of
the principal amount of the Bonds then outstanding, plus accrued interest, if
any, to the payment date, such that neither the Issuer nor the Company will be
liable for any premium or penalty.

                                       46
<PAGE>

                                   ARTICLE IX

                                     TRUSTEE

         SECTION 901. ACCEPTANCE OF TRUSTS. The Issuer initially appoints West
One Bank, Utah, Salt Lake City, Utah, as Trustee and Registrar. The Trustee
hereby accepts such appointment and agrees to execute the trusts imposed upon it
by this Indenture, but only upon the terms and conditions set forth herein, to
all of which the Issuer agrees and the respective owners of the Bonds agree by
their acceptance of delivery of any of the Bonds. The Trustee undertakes to
perform such duties and only such duties as are specifically set forth in this
Indenture and no implied covenants or obligations should be read into this
Indenture against the Trustee. The Trustee agrees to perform such trusts as an
ordinarily prudent trustee under a corporate indenture, but in any such event,
only upon and subject to the following expressed terms and conditions:

                      (a) The Trustee may execute any of the trusts or
                  powers hereof and perform any of its duties by or through
                  attorneys, agents or receivers and shall not be responsible
                  for the misconduct or negligence of any such attorneys, agents
                  or receivers appointed in the exercise of the care of an
                  ordinarily prudent trustee, and shall be entitled to advice of
                  counsel concerning all matters of trusts hereof and duties
                  hereunder, and may in all cases pay such reasonable
                  compensation to any attorney, agent, receiver or employee
                  retained or employed by it in connection herewith. The Trustee
                  may act upon the opinion or advice of an attorney, surveyor,
                  engineer or accountant selected by it in the exercise of
                  reasonable care or, if selected or retained by the Issuer,
                  approved by the Trustee in the exercise of such care. The
                  Trustee shall not be responsible for any loss or damage
                  resulting from any action or nonaction based on its good faith
                  reliance upon such opinion or advice.

                      (b) The Trustee shall not be responsible for any
                  recital herein, or in the Bonds (except with respect to the
                  Certificate of Authentication of the Trustee endorsed on the
                  Bonds), or for the investment of moneys as herein permitted
                  (except that no investment shall be made except in compliance
                  with Article V hereof), or for the recording or re-recording,
                  filing or re-filing of this Indenture, or any supplement or
                  amendment thereto, or the filing of financing statements, or
                  for the validity of the execution by the Issuer of this
                  Indenture, or of any supplemental indentures or instruments of
                  further assurance, or for the sufficiency of the security for
                  the Bonds issued hereunder or intended to be secured hereby,
                  or for the value or title of the property herein conveyed or
                  otherwise as to the maintenance of the security hereof. The
                  Trustee may (but shall be under no duty to) require of the
                  Issuer and the Company full information and advice as to the
                  performance of the covenants, conditions and agreements in the
                  Loan Agreement and shall make its best efforts, but without
                  any obligation, to advise the Issuer and the Company of any
                  impending default known to the Trustee. Except as otherwise
                  provided in Section 803 hereof, the Trustee shall

                                       47
<PAGE>

                  have no obligation to perform any of the duties of the Issuer
                  under the Loan Agreement.

                      (c) The Trustee shall not be accountable for the use or
                  application by the Issuer or the Company of any of the Bonds
                  or the proceeds thereof or for the use or application of any
                  money paid over by the Trustee in accordance with the
                  provisions of this Indenture.

                      (d) The Trustee shall be protected in acting upon any
                  notice, order, requisition, request, consent, certificate,
                  order, opinion (including an opinion of counsel), affidavit,
                  letter, telegram or other paper or document in good faith
                  deemed by it to be genuine and correct and to have been signed
                  or sent by the proper person or persons. Any action taken by
                  the Trustee pursuant to this Indenture upon the request or
                  authority or consent of any person who at the time of making
                  such request or giving such authority or consent is the owner
                  of any Bond, shall be conclusive and binding upon all future
                  owners of the same Bond and upon Bonds issued in exchange
                  therefor or in place thereof.

                      (e) As to the existence or non-existence of any fact or
                  as to the sufficiency or validity of any instrument, paper
                  or proceeding, the Trustee shall be entitled to rely upon a
                  certificate signed by an Authorized Issuer Representative, or
                  an Authorized Company Representative, as the case may be, as
                  sufficient evidence of the facts therein contained and prior
                  to the occurrence of a default of which the Trustee has been
                  notified as provided in subsection (g) of this Section, or of
                  which by said subsection it is deemed to have notice, may
                  accept a similar certificate to the effect that any particular
                  dealing, transaction or action is necessary or expedient, but
                  may at its discretion secure such further evidence deemed
                  necessary or advisable, but shall in no case be bound to
                  secure the same. The Trustee may accept a certificate of the
                  County Clerk of the Issuer under its seal to the effect that a
                  resolution in the form therein set forth has been adopted by
                  the Issuer as conclusive evidence that such resolution has
                  been duly adopted, and is in full force and effect.

                      (f) The permissive right of the Trustee to do things
                  enumerated in this Indenture shall not be construed as a duty
                  and the Trustee shall not be answerable for other than its
                  negligence or willful default.

                      (g) The Trustee shall not be required to take notice or
                  be deemed to have notice of any default hereunder, other
                  than an Event of Default under clause (a), (b), and (c) of
                  Section 801 hereof unless the Trustee shall be specifically
                  notified in writing of such default by the Issuer, the
                  Company, or the holders of at least twenty-five percent (25%)
                  in aggregate principal amount of all Bonds then Outstanding,
                  and all notices or other instruments required by this
                  Indenture to be delivered to the Trustee must, in order to be
                  effective, be delivered at the Principal

                                       48
<PAGE>

                  Office of the Trustee, and in the absence of such notice so
                  delivered the Trustee may conclusively assume there is no
                  default except as aforesaid.

                      (h) At any and all reasonable times, the Trustee, and
                  its duly authorized agents, attorneys, experts, engineers,
                  accountants and representatives, shall have the right fully to
                  inspect any and all of the property pledged hereunder,
                  including all books, papers and records of the Issuer
                  pertaining to the property pledged hereunder and the Bonds,
                  and to take such memoranda from and in regard thereto as may
                  be desired.

                      (i) The Trustee shall not be required to give any
                  bond or surety with respect to the execution of the said
                  trusts and powers or otherwise in respect of the premises.

                      (j) Notwithstanding anything elsewhere in this
                  Indenture contained, the Trustee shall have the right, but
                  shall not be required, to demand, with respect to the
                  authentication of any Bonds, the withdrawal of any cash, the
                  release of any property or any action whatsoever within the
                  purview of this Indenture, any showings, certificates,
                  opinions, appraisals or other information, or corporate action
                  or evidence thereof, in addition to that by the terms hereof
                  required, as a condition of such action by the Trustee deemed
                  reasonably necessary for the purpose of establishing the right
                  of the Issuer to the authentication of any Bonds, the
                  withdrawal of any cash, the release of any property or the
                  taking of any other action by the Trustee.

                      (k) Before taking any action under this Section 901
                  other than an acceleration when required pursuant to Section
                  802 hereof, the Trustee may require that a satisfactory
                  indemnity bond be furnished for the reimbursement of all
                  expenses to which it may be put and to protect it against all
                  liability, except liability which is adjudicated to have
                  resulted from its negligence or willful default in connection
                  with any action so taken.

                      (l) All moneys received by the Trustee shall, until
                  used or applied or invested as provided in this Indenture, be
                  held in trust for the purposes for which they were received
                  but need not be segregated from other funds except to the
                  extent required by law, by this Indenture. The Trustee shall
                  not be under any liability for interest on any moneys received
                  hereunder except such as may be agreed upon.

                      (m) If any Event of Default under this Indenture shall
                  have occurred and be continuing, the Trustee shall exercise
                  such of the rights and powers vested in it by this Indenture
                  and shall use the same degree of care as a prudent person
                  would exercise or use in the circumstances in the conduct of
                  such prudent person's own affairs.

         SECTION 902. COMPENSATION AND EXPENSES OF TRUSTEE. The Trustee shall
be entitled to payment and/or reimbursement for reasonable fees for its services
rendered

                                       49
<PAGE>

hereunder (including services as Registrar, Co-Registrar, Paying Agent and
authenticating agent and services relating to the transfer of Bonds) and all
advances, counsel fees and other expenses reasonably and necessarily made or
incurred by each of them in connection with such services. Upon an Event of
Default hereunder, but only upon such an Event of Default, the Trustee shall
have a right of payment prior to payment on account of principal of, or premium,
if any, or interest on, any Bond for the foregoing advances, fees, costs and
expenses incurred; provided, however, that in no event shall the Trustee have
any such prior right of payment or claim therefor against moneys or obligations
deposited with or paid to the Trustee for the redemption or payment of Bonds
which are deemed to have been paid in accordance with Article VI hereof.

         SECTION 903. NOTICE TO BONDHOLDERS IF DEFAULT OCCURS. If a default
occurs of which the Trustee is by subsection (g) of Section 901 hereof required
to take notice or if notice of default be given as in said subsection (g)
provided, then the Trustee shall give or cause to be given written notice
thereof by first-class mail, postage prepaid, to the owners of all then
Outstanding Bonds.

         SECTION 904. GOOD FAITH RELIANCE. The Trustee shall be protected and
shall incur no liability in acting or proceeding in good faith upon any
resolution, notice, telegram, telex or facsimile transmission, request, consent,
waiver, certificate, statement, affidavit, voucher, bond, requisition or other
paper or document which it shall in good faith believe to be genuine and to have
been passed or signed by the proper board, body or person or to have been
prepared and furnished pursuant to any of the provisions of this Indenture or
the Loan Agreement, or upon the written opinion of any attorney, engineer,
accountant or other expert believed by the Trustee to be qualified in relation
to the subject matter, and the Trustee shall be under no duty to make any
investigation or inquiry as to any statements contained or matters referred to
in any such instrument, but may accept and rely upon the same as conclusive
evidence of the truth and accuracy of such statements. The Trustee shall not be
bound to recognize any person as an owner of Bonds or to take any action at such
person's request unless satisfactory evidence of the ownership of such Bond
shall be furnished to such entity.

         SECTION 905. DEALINGS IN BONDS. The Trustee, in its individual
capacity, may in good faith buy, sell, own, hold and deal in any of the Bonds
issued hereunder, and may join in any action which any owner may be entitled to
take with like effect as if it did not act in any capacity hereunder. The
Trustee in its individual capacity, either as principal or agent, may also
engage in or be interested in any financial or other transaction with the
Company, any Affiliate of the Company, the Guarantor, or the Issuer, and may act
as depositary, trustee or agent for any committee or body of owners of Bonds
secured hereby or other obligations of the Issuer, the Company, the Guarantor,
or any such Affiliate as freely as if it did not act in any capacity hereunder.

         SECTION 906. INTERVENTION BY TRUSTEE. In any judicial proceeding to
which the Issuer is a party and which in the opinion of the Trustee and its
counsel has a substantial bearing on the interests of owners of the Bonds, the
Trustee may intervene on behalf of Bondholders and, subject to the provisions of
Section 901(k) hereof, shall do so if requested in writing by the owners of at
least twenty-five percent (25%) in aggregate principal amount of all Bonds then
Outstanding. The rights and obligations

                                       50
<PAGE>

of the Trustee under this Section are subject to the approval of a court of
competent jurisdiction.

         SECTION 907. SUCCESSOR TRUSTEE BY MERGER OR CONSOLIDATION. Any
corporation or association into which the Trustee may be converted or merged, or
with which it may be consolidated, or to which it may sell or transfer its
corporate trust business and assets as a whole or substantially as a whole, or
any corporation or association resulting from any such conversion, sale, merger,
consolidation or transfer to which it is a party, provided such corporation or
association is otherwise eligible under Section 908 hereof, shall be and become
successor Trustee hereunder, vested with all of the title to the whole property
or trust estate and all the trusts, powers, discretions, immunities, privileges
and all other matters as was its predecessor under this Indenture, without the
execution or filing of any instrument or any further act, deed or conveyance on
the part of any of the parties hereto, anything herein to the contrary
notwithstanding.

         SECTION 908. TRUSTEE REQUIRED; ELIGIBILITY. There shall at all times be
a Trustee hereunder which shall (a) be a commercial bank or trust company within
the State of Utah organized under the laws of the United States of America or
the State, authorized to exercise corporate trust powers, subject to supervision
or examination by federal or state authorities and (b) have a reported combined
capital and surplus of not less than $50,000,000. If at any time the Trustee
shall cease to be eligible in accordance with the provisions of this Section, it
shall resign immediately in the manner provided in Section 909 hereof. No
resignation or removal of the Trustee and no appointment of a successor Trustee
shall become effective until the successor Trustee has accepted its appointment
under Section 913 hereof.

         SECTION 909. RESIGNATION BY THE TRUSTEE. The Trustee and any successor
Trustee may at any time resign from the trusts created by this Indenture by
executing an instrument in writing resigning such trusts and specifying the date
when such resignation shall take effect, and filing the same with the Issuer and
the Company not less than 45 days before the date specified in such instrument
when such resignation shall take effect (subject to Section 908 hereof), and by
giving notice of such resignation by first class mail, postage prepaid, not less
than 20 days prior to such resignation date, to each registered owner of Bonds
then Outstanding.

         SECTION 910. REMOVAL OF THE TRUSTEE. The Trustee may be removed at any
time, by filing with the Trustee so removed, and with the Issuer and the
Company, an instrument or instruments in writing, appointing a successor, or an
instrument or instruments in writing, consenting to the appointment by the
Issuer of a successor and accompanied by an instrument of appointment by the
Issuer of such successor, and in any event executed by the owners of not less
than fifty-one percent (51%) in aggregate principal amount of Bonds then
Outstanding.

         SECTION 911. APPOINTMENT OF SUCCESSOR TRUSTEE BY THE BONDHOLDERS;
TEMPORARY TRUSTEE. In case the Trustee hereunder shall resign or be removed, or
be dissolved, or shall be in the process of dissolution or liquidation, or
otherwise becomes incapable of acting hereunder, or in case it shall be taken
under the control of any public officer or officers, or of a receiver appointed
by a court, then a vacancy shall forthwith and ipso facto exist in the office of
Trustee and a successor may be

                                       51
<PAGE>

appointed by the owners of fifty-one percent (51%) in aggregate principal amount
of Bonds then Outstanding, by filing with the Issuer and the Company, an
instrument or concurrent instruments in writing signed by such owners, or by
their attorneys in fact duly authorized; provided, nevertheless, that in case of
such vacancy the Issuer, by an instrument executed and signed by an Authorized
Issuer Representative, may appoint a temporary Trustee to fill such vacancy
until a successor Trustee shall be appointed by the Bondholders in the manner
above provided; provided further, that if no permanent successor Trustee shall
have been appointed by the Bondholders within the six (6) calendar months next
succeeding the month during which the Issuer appoints such a temporary Trustee,
such temporary Trustee shall without any further action on the part of the
Issuer or the Bondholders become the permanent successor Trustee. After any
appointment by the Issuer as provided herein, the Issuer shall cause notice of
such appointment to be given to the Company and the Rating Service and to be
given by first class mail, postage prepaid, to all Bondholders. The foregoing
notwithstanding, any such temporary Trustee so appointed by the Issuer shall
immediately and without further act be superseded by any successor Trustee so
appointed by such Bondholders as provided above within the six (6) calendar
months next succeeding the month during which such temporary Trustee is
appointed.

         SECTION 912. JUDICIAL APPOINTMENT OF SUCCESSOR TRUSTEE. In case at any
time the Trustee shall resign and no appointment of a successor Trustee shall be
made pursuant to the foregoing provisions of this Article IX prior to the date
specified in the notice of resignation as the date when such resignation is to
take effect, the resigning Trustee may forthwith apply to a court of competent
jurisdiction for the appointment of a successor Trustee. If no appointment of a
successor Trustee shall be made pursuant to the foregoing provisions of this
Article IX within six (6) calendar months after a vacancy shall have occurred in
the office of Trustee, any Bondholder may apply to any court of competent
jurisdiction to appoint a successor Trustee. Such court may thereupon, after
such notice, if any, as it may deem proper and prescribe, appoint a successor
Trustee.

         SECTION 913. CONCERNING ANY SUCCESSOR TRUSTEES. Every successor Trustee
appointed hereunder shall execute, acknowledge and deliver to its predecessor
and also to the Issuer an instrument in writing accepting such appointment
hereunder, and thereupon such successor, without any further act, deed or
conveyance, shall become fully vested with all the estates, properties, rights,
powers, trusts, duties and obligations of its predecessor; but such predecessor
shall, nevertheless, on the written request of the Issuer, or of its successor,
execute and deliver an instrument transferring to such successor Trustee all the
estates, properties, rights, powers and trusts of such predecessor hereunder;
and every predecessor Trustee shall deliver all securities and moneys held by it
as Trustee hereunder to its successor. Should any instrument in writing from the
Issuer be required by any successor Trustee for more fully and certainly vesting
in such successor the estate, rights, powers and duties hereby vested or
intended to be vested in the predecessor, any and all such instruments in
writing shall, on request, be executed, acknowledged and delivered by the
Issuer. The resignation of any Trustee and the instrument or instruments
removing any Trustee and appointing a successor hereunder, together with all
other instruments provided for in this Article, shall be filed and/or recorded
by the successor Trustee in each recording office, if any, where this Indenture
shall have been filed and/or recorded.

                                       52
<PAGE>

       SECTION 914. SUCCESSOR TRUSTEE AS TRUSTEE OF FUNDS. In the event of a
change in Trustee, the predecessor Trustee which has resigned or been removed
shall cease to be Trustee of the funds and accounts created hereunder or
pursuant hereto and shall cease to be the Registrar, authenticating agent, and
Paying Agent for principal of, premium, if any, and interest on the Bonds, as
provided herein, and the successor Trustee shall become such Trustee, Registrar
and Paying Agent.

                                       53
<PAGE>

                                    ARTICLE X

                             SUPPLEMENTAL INDENTURES

         SECTION 1001.   SUPPLEMENTAL INDENTURES NOT REQUIRING CONSENT OF
BONDHOLDERS. Subject to the limitation set forth in Section 1002 hereof with
respect to this Section 1001, the Issuer and the Trustee may (and, in the case
of clause (k) of this Section, shall at the written request of the Authorized
Company Representative), without the consent of, or notice to, any of the
Bondholders, enter into such indenture or indentures supplemental to this
Indenture as shall not be inconsistent with the terms and provisions hereof, for
any one or more of the following purposes:

                          (a) to cure any ambiguity or formal defect or
                  omission in this Indenture;

                          (b) to grant to or confer upon the Trustee for the
                  benefit of the Bondholders any additional rights, remedies,
                  powers or authority that may lawfully be granted to or
                  conferred upon the Bondholders and the Trustee, or either of
                  them;

                          (c) to assign and pledge under or subject to this
                  Indenture additional revenues, properties or collateral;

                          (d) to evidence the appointment of a separate
                  trustee or the succession of a new trustee hereunder;

                          (e) to modify, amend or supplement this Indenture or
                  any indenture supplemental hereto in such manner as to permit
                  the qualification of this Indenture under the Trust Indenture
                  Act of 1939, as then amended, or any similar federal statute
                  hereafter in effect or to permit the qualification of the
                  Bonds for sale under the securities laws of any state of the
                  United States;

                          (f) to modify, amend or supplement this Indenture or
                  any indenture supplemental hereto in such manner as to permit
                  continued compliance with the Proceeds Certificate or any
                  similar certificate executed in connection with the issuance
                  of any Bonds;

                          (g) to provide for the refunding of any Bonds,
                  including the right to establish and administer an escrow fund
                  and to take related action in connection therewith or to
                  provide for the issuance of Additional Bonds as provided in
                  Section 208 herein;

                          (h) to provide for the issuance of Bonds to the
                  extent permitted by this Indenture, including but not limited
                  to such provisions as are necessary for the Trustee and the
                  Issuer to accept, implement and administer any additional
                  security as herein authorized, including debt service reserve
                  or similar funds, letters or lines of credit, bond insurance
                  policies or other forms of credit enhancement and establishing
                  terms and

                                       54
<PAGE>

                  provisions for such Bonds which may differ from those
                  established for Bonds then outstanding;

                          (i) to evidence or give effect to or facilitate the
                  delivery and administration under this Indenture of one or
                  more credit facilities, including a letter of credit, a bond
                  insurance policy or any other credit facility, to provide
                  credit enhancement relating to payment of principal of and
                  interest on the Bonds, provided that prior to the entry into
                  of a supplemental indenture pursuant to this Section 1001(i),
                  the Trustee shall be provided with an opinion of Bond Counsel
                  to the effect that the provisions outlined in such
                  supplemental indenture or indentures with respect to the
                  delivery of one or more credit facilities for such purposes
                  will not have an adverse impact on the excludability of
                  interest on the Bonds from the gross income of the owners
                  thereof for federal income tax purposes;

                          (j) to effect changes in the Indenture so as to
                  secure or maintain ratings on the Bonds from the Rating
                  Service, which changes will not restrict, limit or reduce the
                  obligation of the Issuer to pay the principal of, premium, if
                  any, and interest on the Bonds as provided in this Indenture
                  or otherwise materially adversely affect the owners of the
                  Bonds under this Indenture; and

                          (k) to make any change that in the judgment of the
                  Trustee does not materially adversely affect the rights of any
                  Bondholders.

         SECTION 1002.    SUPPLEMENTAL INDENTURES REQUIRING CONSENT OF
BONDHOLDERS.

                          (a) In addition to supplemental indentures covered by
                  Section 1001 hereof and subject to the terms and provisions
                  contained in this Section, and not otherwise, the holders of
                  not less than fifty-one percent (51%) in aggregate principal
                  amount of the Bonds which are Outstanding hereunder at the
                  time of the execution of any such supplemental indenture and,
                  in case less than all of the Bonds Outstanding are affected
                  thereby, the holders of not less than fifty-one percent (51%)
                  in aggregate principal amount of the Bonds so affected, shall
                  have the right, from time to time, anything contained in this
                  Indenture to the contrary notwithstanding, to consent to and
                  approve the execution by the Issuer and the Trustee of such
                  other indenture or indentures supplemental hereto as shall be
                  deemed necessary and desirable by the Issuer for the purpose
                  of modifying, altering, amending, adding to or rescinding, in
                  any particular, any of the terms or provisions contained in
                  this Indenture or in any supplemental indenture; provided,
                  however, that nothing in this Section contained or in Section
                  1001 hereof shall permit, or be construed as permitting, a
                  supplemental indenture to effect: (i) an extension of the
                  stated maturity or reduction in the principal amount of, or
                  reduction in the rate of or extension of the time of paying
                  interest on, or reduction of any premium payable on the
                  redemption of, any Bonds, without the consent of the holders
                  of such

                                       55
<PAGE>

                  Bonds; (ii) a reduction in the amount or extension of the time
                  of any payment required to be made to or from the Bond Fund or
                  any interest or sinking fund applicable to any Bonds, without
                  the consent of the holders of all of the Bonds at the time
                  Outstanding; (iii) the creation of any lien prior to or on a
                  parity with the lien of this Indenture on the Trust Estate or
                  the deprivation of any Bondholders of the lien created by this
                  Indenture on such Trust Estate, without the consent of the
                  holders of all the Bonds at the time Outstanding, provided
                  that nothing in this subparagraph (iii) shall be construed to
                  require the consent of Bondholders to the issuance of Bonds
                  pursuant to this Indenture; (iv) a reduction in the aforesaid
                  aggregate principal amount of Bonds the owners of which are
                  required to consent to any such supplemental indenture,
                  without the consent of the owners of all the Bonds at the time
                  Outstanding which would be affected by the action to be taken;
                  or (v) a modification of the rights, duties or immunities of
                  the Trustee, without the written consent of the Trustee.

                          (b) If at any time the Issuer or the Company shall
                  request the Trustee to enter into any such supplemental
                  indenture for any of the purposes of this Section, the Trustee
                  shall, upon being satisfactorily indemnified with respect to
                  expenses, cause notice of the proposed execution of such
                  supplemental indenture to be mailed by registered or certified
                  mail to the owners of the Bonds. Such notice shall briefly set
                  forth the nature of the proposed supplemental indenture and
                  shall state that copies thereof are on file at the Principal
                  Office of the Trustee for inspection by all Bondholders. The
                  Trustee shall not, however, be subject to any liability to any
                  Bondholder by reason of its failure to mail such notice, and
                  any such failure shall not affect the validity of such
                  supplemental indenture when consented to and approved as
                  provided in this Section. If the holders of the requisite
                  principal amount of Bonds which are Outstanding hereunder at
                  the time of the execution of any such supplemental indenture
                  shall have consented to and approved the execution thereof as
                  herein provided, no holder of any Bond shall have any right to
                  object to any of the terms and provisions contained therein,
                  or the operation thereof, or in any manner to question the
                  propriety of the execution thereof, or to enjoin or restrain
                  the Trustee or the Issuer from executing the same or from
                  taking any action pursuant to the provisions thereof. Upon the
                  execution of any such supplemental indenture as in this
                  Section permitted and provided, this Indenture shall be and be
                  deemed to be modified and amended in accordance therewith.

                          (c) Anything herein to the contrary notwithstanding,
                  a supplemental indenture under this Article X which adversely
                  affects the Company shall not become effective unless and
                  until the Company shall have consented in writing to the
                  execution and delivery of such supplemental indenture. In this
                  regard, the Trustee shall cause notice of the proposed
                  execution and delivery of any such supplemental indenture to
                  which the Company has not already consented, together with a
                  copy of the proposed supplemental indenture and a written
                  consent form to be signed by the Company, to be mailed by
                  certified or registered mail

                                       56
<PAGE>

                  to the Company at least thirty (30) days (or such shorter
                  period of time acceptable to the Company) prior to the
                  proposed date of execution and delivery of any such
                  supplemental indenture.

                          (d)  Subject to the terms and provisions contained
                  in this Section 1002(d), the owners of all the Bonds at any
                  time Outstanding shall have the right, and the Issuer and the
                  Trustee by their execution and delivery of this Indenture
                  hereby expressly confer upon such owners the right, to modify,
                  alter, amend or supplement this Indenture in any respect,
                  including without limitation in respect of the matters
                  described in clauses (i), (ii) and (iii) of the proviso
                  contained in subsection (a) of this Section 1002, by
                  delivering to the Issuer, the Trustee and the Company a
                  written instrument or instruments, executed by or on behalf of
                  such owners, containing a form of supplemental indenture which
                  sets forth such modifications, alterations, amendments and
                  supplements, and, upon the expiration of a 30-day period
                  commencing on the date of such delivery during which no notice
                  of objection shall have been delivered by the Issuer or the
                  Trustee to such owners at an address specified in such written
                  instrument, such supplemental indenture shall be deemed to
                  have been approved and confirmed by the Issuer and the
                  Trustee, to the same extent as if actually executed and
                  delivered by the Issuer and the Trustee, and such supplemental
                  indenture shall thereupon become and be for all purposes in
                  full force and effect without further action by the Issuer or
                  the Trustee. The foregoing provisions are, however, subject to
                  the following conditions:

                                    (i)   no such supplemental indenture shall
                           in any way affect the limited nature of the
                           obligations of the Issuer under this Indenture as set
                           forth in Section 205 hereof, or otherwise, or
                           adversely affect any of its rights hereunder;

                                    (ii)  no such supplemental indenture shall
                           be to the prejudice of the Trustee, and no such
                           supplemental indenture which adversely affects the
                           Company shall become effective unless consented to by
                           the Company in the manner provided in Section 1002(c)
                           hereof; and

                                    (iii) there shall have been delivered to the
                           Issuer, the Trustee and the Company an opinion of
                           Bond Counsel stating that such supplemental indenture
                           is authorized or permitted by this Indenture and the
                           Act, complies with their respective terms, will, upon
                           the expiration of the aforesaid 30-day period, be
                           valid and binding upon the Issuer in accordance with
                           its terms and will not adversely affect the exclusion
                           from gross income for federal income tax purposes of
                           interest on any of the Bonds.

                                       57
<PAGE>

                                   ARTICLE XI

                        AMENDMENTS TO THE LOAN AGREEMENT

         SECTION 1101. AMENDMENTS, ETC. TO LOAN AGREEMENT NOT REQUIRING CONSENT.
The Issuer, the Company and the Trustee may, without the consent of or notice to
the owners of the Bonds, consent to any supplemental loan agreement which
effects such amendment, change or modification of the Loan Agreement as may be
required (a) by the provisions of this Indenture or the Loan Agreement; (b) for
the purpose of curing any ambiguity or formal defect or omission; (c) in
connection with the issuance of Bonds as provided in Section 207 or Section 208
hereof; (d) for the purpose of complying with the provisions of the Proceeds
Certificate; (e) to evidence or give effect to or facilitate the delivery and
administration under this Indenture of one or more credit facilities including a
letter of credit, a bond insurance policy or any other credit facility to
provide credit enhancement relating to payment of principal of and interest on
the Bonds, provided that prior to the entering into of a supplemental loan
agreement pursuant to this Section 1101, the Trustee shall be provided with an
opinion of Bond Counsel to the effect that the provisions outlined in such
supplemental loan agreement or loan agreements with respect to the delivery of
one or more credit facilities for such purposes will not have an adverse impact
on the excludability of interest on the Bonds from the gross income of the
owners thereof for federal income tax purposes; (f) to secure or maintain
ratings on the Bonds from the Rating Service, which changes will not restrict,
limit or reduce the obligation of the Issuer to pay the principal of and
premium, if any, and interest on the Bonds as provided in this Indenture or
otherwise materially adversely affect the owners of the Bonds; (g) to amend or
supplement the description of the Project set forth in Exhibit A to the Loan
Agreement, provided that no such amendment or supplement shall be entered into
that would cause the Company to violate its covenants set forth in Section 3.7
of the Loan Agreement; or (h) to make any other change therein which, in the
judgment of the Trustee, does not materially adversely affect the rights of the
Trustee or the owners of the Bonds, provided, however, that nothing in this
Section 1101 shall permit, or be construed as permitting, any amendment, change
or modification of the Loan Agreement that may result in anything described in
the numbered clauses of Section 1002(a) hereof, without the consent of each
Bondholder affected. If at any time the Company shall request the Issuer and the
Trustee to consent to any amendment, change or modification of the Loan
Agreement pursuant to subparagraph (h) above, the Trustee shall cause notice of
the proposed execution of such amendment, change or modification to the Loan
Agreement to be given to the Rating Service at least thirty (30) days prior to
the execution of such amendment, change or modification to the Loan Agreement,
which notice shall include a copy of the proposed amendment, change or
modification to the Loan Agreement.

         Before the Issuer shall enter into, and the Trustee shall consent to,
any modification, alteration, amendment or supplement to the Loan Agreement
pursuant to this Section 1101, there shall have been delivered to the Issuer and
the Trustee an opinion of Bond Counsel stating that such modification,
alteration, amendment or supplement is authorized or permitted by the Loan
Agreement or this Indenture and the Act, complies with their respective terms,
will, upon the execution and delivery thereof, be valid and binding upon the
Issuer in accordance with its terms and will not adversely

                                       58
<PAGE>

affect the exclusion from gross income for federal income tax purposes of
interest on any of the Bonds.

         SECTION 1102. AMENDMENTS, ETC. TO LOAN AGREEMENT REQUIRING CONSENT OF
BONDHOLDERS. Except for the amendments, changes or modifications as provided in
Section 1101 hereof, neither the Issuer nor the Trustee shall consent to any
amendment, change or modification of the Loan Agreement without the prior
written approval or consent, given and procured as in this Section provided, of
the owners of not less than fifty-one percent (51%) in aggregate principal
amount of the Bonds Outstanding hereunder at the time of the execution of such
amendment or modification and, in case less than all of the Bonds Outstanding
are affected thereby, of the holders of not less than fifty-one percent (51%) in
aggregate principal amount of the Bonds so affected. If at any time the Issuer
and the Company shall request the consent of the Trustee to any such proposed
amendment, change or modification of the Loan Agreement, the Trustee shall, upon
being satisfactorily indemnified with respect to expenses, cause notice of such
proposed amendment, change or modification to be mailed in the same manner as
provided by Section 1002 hereof with respect to supplemental indentures. Such
notice shall briefly set forth the nature of such proposed amendment, change or
modification and shall state that copies of the instrument embodying the same
are on file at the Principal Office of the Trustee for inspection by all
Bondholders. The Trustee shall not, however, be subject to any liability to any
Bondholder by reason of its failure to mail such notice, and any such failure
shall not affect the validity of such amendment, change or modification when
consented to and approved as provided in this Section. If the holders of not
less than fifty-one percent (51%) in aggregate principal amount of the Bonds
Outstanding which are affected by the amendment to the Loan Agreement shall have
consented to and approved the execution thereof as herein provided, no holder of
any Bond shall have any right to object to any of the terms and provisions
contained therein, or the operation thereof, or in any manner to question the
propriety of the execution thereof, or to enjoin or restrain the Trustee or the
Issuer from executing the same or from taking any action pursuant to the
provisions thereof. The foregoing notwithstanding, no amendment or supplement
may be made which permits the assignment of the Loan Agreement by the Company
other than as permitted by Section 6.1 of the Loan Agreement or which results in
anything described in the numbered clauses of Section 1002(a) hereof unless the
holders of 100% in aggregate principal amount of the Bonds Outstanding shall
have consented to such amendment or supplement.

         Before the Issuer shall enter into, and the Trustee shall consent to,
any modification, alteration, amendment or supplement to the Loan Agreement
pursuant to this Section 1102, there shall have been delivered to the Issuer and
the Trustee an opinion of Bond Counsel stating that such modification,
alteration, amendment or supplement is authorized or permitted by the Loan
Agreement or this Indenture and the Act, complies with their respective terms,
will, upon the execution and delivery thereof, be valid and binding upon the
Issuer in accordance with its terms and will not adversely affect the exclusion
from gross income for federal income tax purposes of interest on any of the
Bonds.

                                       59
<PAGE>

                                   ARTICLE XII

                                  MISCELLANEOUS

         SECTION 1201. PARTIES IN INTEREST. With the exception of rights herein
expressly conferred, nothing expressed or mentioned in or to be implied from
this Indenture or the Bonds is intended or shall be construed to give to any
person other than the Issuer, the Trustee, the Company and the holders of the
Bonds any legal or equitable right, remedy or claim under or with respect to
this Indenture or any covenants, conditions and provisions herein contained;
this Indenture and all of the covenants, conditions and provisions hereof being
intended to be and being for the sole and exclusive benefit of the Issuer, the
Trustee, the Company and the holders of the Bonds as herein provided.

         SECTION 1202. SEVERABILITY. If any provision of this Indenture shall be
held or deemed to be or shall, in fact, be inoperative or unenforceable as
applied in any particular case in any jurisdiction or jurisdictions or in all
jurisdictions, or in all cases because it conflicts with any other provision or
provisions of any constitution or statute or rule of public policy, or for any
other reason, such circumstances shall not have the effect of rendering the
provision in question inoperative or unenforceable in any other case or
circumstance, or of rendering any other provision or provisions herein contained
invalid, inoperative or unenforceable to any extent whatever. The invalidity of
any one or more phrases, sentences, clauses or Sections in this Indenture
contained shall not affect the remaining portions of this Indenture or any part
thereof.

         SECTION 1203. DELIVERY OF NOTICES; DELIVERY OF BONDS. Except as
otherwise provided in this Indenture, all notices, certificates, requests,
requisitions or other communications by the Issuer, the Company, or the Trustee,
pursuant to this Indenture shall be in writing and shall be sufficiently given
and shall be deemed given when mailed by first class mail, postage prepaid,
addressed as follows:

              If to the Issuer:        Tooele County
                                       Board of County Commissioners
                                       County Courthouse
                                       47 South Main
                                       Tooele, Utah  84074
                                       Telecopier: (801) 882-7317
                                       Attention:  Chairman

              If to the Trustee:       West One Bank, Utah
                                       107 South Main Street, Suite 303
                                       Salt Lake City, Utah  84111
                                       Telecopier:  (801) 534-6208
                                       Attention:  Corporate Trust
                                       Department

                                       60
<PAGE>

              If to the Company:       USPCI Clive Incineration Facility, Inc.
                                           220 Outlet Point Blvd.
                                       Columbia, South Carolina  29210
                                       Telecopier: (803) 551-4365
                                       Attention:  Paul Humphreys

              If to the Guarantor:     Laidlaw Inc.
                                       3221 North Service Road
                                       Burlington, Ontario
                                       Canada  L7R3Y8
                                       Telecopier:  (905) 332-6550
                                       Attention:  Senior Vice President and
                                       General Counsel

         SECTION 1204.  COUNTERPARTS.  This Indenture may be simultaneously
executed in several counterparts, each of which shall be an original and all of
which shall constitute but one and the same instrument.

         SECTION 1205.  GOVERNING LAW.  This Indenture shall be governed
exclusively by and construed in accordance with the laws of the State of Utah.

         SECTION 1206.  IMMUNITY OF OFFICERS AND EMPLOYEES OF ISSUER. No
recourse shall be had for the payment of the principal of or premium, if any, or
interest on any of the Bonds or for any claim based thereon or upon any
obligation, covenant or agreement in this Indenture contained against any past,
present or future officer, employee or agent of the Issuer, or any officer,
employee or agent of any successor body politic, either directly or through the
Issuer or any successor body politic, under any rule of law or equity, statute
or constitution or by the enforcement of any assessment or penalty or otherwise,
and all such liability of any such officers, employees or agents, as such, is
hereby expressly waived and released as a condition of and consideration for the
execution of this Indenture and the issuance of any of the Bonds.

         SECTION 1207.  BONDS OWNED BY THE ISSUER, THE GUARANTOR OR THE
COMPANY. In determining whether the owners of the requisite aggregate principal
amount of the Bonds have concurred in any direction, consent or waiver under
this Indenture, Bonds which are owned by the Issuer, the Guarantor or the
Company or by any person directly or indirectly controlling or controlled by or
under direct or indirect common control with the Company or the Guarantor
(unless the Issuer, the Company or such person owns all Bonds which are then
Outstanding, determined without regard to this Section) shall be disregarded and
deemed not to be Outstanding for the purpose of any such determination, except
that, for the purpose of determining whether the Trustee shall be protected in
relying on any such direction, consent or waiver, only Bonds which the Trustee
knows are so owned shall be so disregarded. Bonds so owned which have been
pledged in good faith may be regarded as Outstanding if the pledgee establishes
to the satisfaction of the Trustee the pledgee's right so to act with respect to
such Bonds and that the pledgee is not the Issuer, the Guarantor or the Company
or any person directly or indirectly controlling or controlled by or under
direct or indirect common control with the Company or the Guarantor. In case of
a dispute

                                       61
<PAGE>

as to such right, any decision by the Trustee taken upon the advice of counsel
shall be full protection to the Trustee.

         SECTION 1208.  PLEDGE AND UNDERTAKING OF THE STATE. In entering into
this Indenture and otherwise providing for the issuance of the Series 1995
Bonds, the Issuer and the Trustee have specifically relied upon Section 11-17-13
of the Act, which provides:

         The State of Utah does hereby pledge to and agree with the holders of
         any bonds issued under this act and with those parties who may enter
         into contracts with any county or municipality under this act, that the
         state will not alter, impair or limit the rights thereby vested until
         the bonds, together with applicable interest, are fully met and
         discharged and such contracts are fully performed. Nothing contained in
         this act shall preclude such alteration, impairment or limitation if
         and when adequate provision shall be made by law for the protection of
         the holders of the bonds or persons entering into contracts with any
         county or municipality. Each county and municipality is authorized to
         include this pledge and undertaking for the state in such bonds or
         contracts.

         The Issuer hereby incorporates herein the foregoing pledge and
undertaking for the State.

                                       62
<PAGE>

       IN WITNESS WHEREOF, TOOELE COUNTY, UTAH has caused these presents to be
signed in its name and on its behalf by the Chairman of its Board of County
Commissioners and its corporate seal to be hereunto affixed and attested by its
County Clerk, and to evidence its acceptance of the trusts hereby created WEST
ONE BANK, UTAH has caused these presents to be signed in its name and on its
behalf by its Vice President and its official seal to be hereunto affixed, all
as of the day and year first above written.

                                          TOOELE COUNTY, UTAH

                                          By /s/
                                            ------------------------------------
[Seal]                                                  Chairman,
                                              Board of County Commissioners

Attest:
/s/
----------------------------------------
             County Clerk

                                          WEST ONE BANK, UTAH, as Trustee

                                          By /s/
                                            ------------------------------------
[Seal]                                                 Vice President

                                       63
<PAGE>

                                 EXHIBIT "A"

                           [FORM OF FRONT OF BOND]

REGISTERED                                                            REGISTERED
NO. R-                                                      $
      ------                                                 -------------------
                           UNITED STATES OF AMERICA

                                STATE OF UTAH

                               COUNTY OF TOOELE

                    HAZARDOUS WASTE DISPOSAL REVENUE BOND
               (LAIDLAW INC./USPCI CLIVE PROJECT), SERIES 1995

       Interest                  Maturity              Issue
         Rate                      Date                 Date             CUSIP
         ----                      ----                 ----             -----

                              August 1, 2010

Registered Owner:

Principal Amount:                                                   Dollars

         Tooele County, Utah (the "Issuer"), a duly organized and existing
political subdivision of the State of Utah, for value received, hereby promises
to pay (but only from the sources hereinafter mentioned) to the Registered Owner
identified above or registered assigns, on the Maturity Date set forth above,
upon presentation and surrender hereof, the Principal Amount set forth above and
to pay solely from such sources interest on said Principal Amount at the
Interest Rate set forth above, calculated on the basis of a 360-day year of
twelve (12) thirty (30) day months, from the Interest Payment Date next
preceding the date of authentication hereof unless (i) this Bond is
authenticated as of an Interest Payment Date in which event this Bond shall bear
interest from such Interest Payment Date or (ii) this Bond is authenticated
prior to the first Interest Payment Date in which event this Bond shall bear
interest from the Issue Date set forth above; provided, however, that if
interest on the Bonds shall be in default as shown by the records of the
Trustee, interest shall accrue at the Default Rate (as defined in the Indenture
hereinafter described) from the Interest Payment Date to which interest has been
paid in full, until the payment of such Principal Amount (except as the
provisions set forth in the Indenture hereinafter described with respect to
redemption prior to maturity may be applicable hereto), such interest being
payable semiannually on each February 1 and August 1 commencing February 1, 1996
(each an "Interest Payment Date"). Payments of interest shall be made to the
Registered Owner hereof, as of the fifteenth day of the month next

                                       A-1
<PAGE>

preceding such Interest Payment Date, by check or draft mailed on the Interest
Payment Date to the address of such Registered Owner as it appears on the
registration books of the Issuer maintained by the Trustee as Bond Registrar, or
to such other address as may be furnished to said Trustee in writing by such
Registered Owner. Payment of principal or redemption price of and premium, if
any, on this Bond shall be made by check or draft only upon presentation and
surrender of this Bond at the principal corporate trust office of West One Bank,
Utah, Salt Lake City, Utah (the "Trustee", which term shall include any
successor trustee), acting as paying agent (the "Paying Agent"), or at the
office designated for such payment of any successor thereof or of any other
paying agent as provided in said Indenture. The principal of, premium, if any,
and interest on this Bond are payable by check or draft denominated in any coin
or currency of the United States of America which, at the respective times of
payment is legal tender for the payment of public and private debts. As used
herein the term "Business Day" means any day other than a Saturday, Sunday or a
day on which banking institutions in the State of Utah or the city in which the
principal corporate trust office of the Trustee is located, or the New York
Stock Exchange are closed or required by law to close. If any payment of
principal of, premium, if any, or interest required to be made on this Bond
becomes due and payable on a day other than a Business Day, then such payment
shall be made on the next succeeding Business Day, with the same force and
effect as if made on the Interest Payment Date, the date of maturity or the date
fixed for redemption, and such payment shall not include the interest for the
period between such date and the next succeeding Business Day.

         Reference is hereby made to the further provisions of this Bond set
forth on the reverse side hereof, which further provisions shall for all
purposes have the same effect as if set forth at this place.

         This Bond is one of an issue of Bonds which is issued under the
provisions of, and in full compliance with, the Constitution and laws of the
State of Utah, particularly Title 11, Chapter 17, Utah Code Annotated 1953, as
amended. The Bonds are special, limited obligations of the Issuer, payable by
the Issuer solely from certain amounts received by the Issuer under, and secured
by a pledge of certain rights of the Issuer under and pursuant to, the Loan
Agreement (as such term is defined in the Indenture), and, further, from the
funds and accounts created under the Indenture (but not including the Rebate
Fund created under the Indenture) and investment earnings thereon, all of which
shall be used for no other purpose than to pay the principal of, premium, if
any, and interest on the Bonds, except as may be otherwise expressly authorized
in the Indenture. Neither the faith and credit nor the taxing power of the State
of Utah or any political subdivision thereof is pledged to the payment of the
principal of, premium, if any, or interest on the Bonds. The Bonds and the
interest thereon do not constitute or give rise to a general obligation or
liability of the Issuer or a charge against its general credit or taxing powers,
and the Bonds do not constitute a loan of the credit of the Issuer within the
meaning of any constitutional restriction or statutory limitation of the State
of Utah.

         It Is Hereby Certified, Recited and Declared that all acts, conditions
and things required to exist, happen and be performed precedent to and in the
execution and delivery of the indenture and the issuance of this Bond do exist,
have happened and have been performed in due time, form and manner as required
by law, and that the issuance of this Bond and the series of which it forms a
part, together with all other

                                       A-2
<PAGE>

obligations of the Issuer, does not exceed or violate any constitutional or
statutory limitation on indebtedness, and that payment in full for this Bond has
been received.

         This Bond shall not be valid or become obligatory for any purpose or be
entitled to any security or benefit under the Indenture unless and until the
Certificate of Authentication hereon shall have been duly executed by the
Trustee, as provided in the Indenture.

         In Witness Whereof, Tooele County, Utah has caused this Bond to be
executed in its name by the facsimile signature of the Chairman of its Board of
County Commissioners, and the facsimile of its official seal to be imprinted
hereon and attested by the facsimile signature of its County Clerk.

                                          TOOELE COUNTY, UTAH

                                          By
                                            ------------------------------------
[Seal]                                                   Chairman,
                                               Board of County Commissioners

Attest:

------------------------------------------
               County Clerk

                                       A-3
<PAGE>

                        CERTIFICATE OF AUTHENTICATION

         This Bond is one of the Bonds described in the within-mentioned
Indenture of Trust.

Date of registration and authentication:

                                                WEST ONE BANK, UTAH,
                                                as Trustee

                                                By
                                                  ------------------------------
                                                  Authorized Signatory

                          (FORM OF REVERSE OF BOND)

         This Bond is one of the duly authorized Tooele County, Utah Hazardous
Waste Disposal Revenue Bonds (Laidlaw Inc./USPCI Clive Project), Series 1995, to
be issued in an aggregate principal amount of $10,000,000 (the "Bonds"),
pursuant to certain resolutions (collectively, the "Resolution") duly adopted by
the Issuer's Board of County Commissioners (the "Board"), in accordance with the
applicable provisions of the Utah Industrial Facilities and Development Act,
Title 11, Chapter 17, Utah Code Annotated 1953, as amended (the "Act"), under an
Indenture of Trust dated as of August 1, 1995 (the "Indenture"), between the
Issuer and the Trustee, for the purpose of providing a portion of the funds
necessary to finance among other things a hazardous waste disposal and treatment
facility located within the boundaries of the Issuer (the "Project") for USPCI
Clive Incineration Facility, Inc., an Oklahoma corporation (the "Company").
Proceeds from the sale of the Bonds are to be loaned by the Issuer to the
Company, under the terms of a Loan Agreement dated as of August 1, 1995 (the
"Loan Agreement"). The Bonds are all issuable under and are equally and ratably
secured by and are entitled to the benefits of the Indenture, including the
security of the pledge and assignment of certain amounts payable to the Issuer
pursuant to the Loan Agreement, and all receipts of the Trustee credited under
the provisions of the Indenture against the payment of such amounts, and from
any other moneys held by the Trustee under the Indenture for such purpose. THE
PROJECT IS NOT SECURITY FOR THE BONDS.

         Pursuant to a Guaranty dated as of August 1, 1995 from Laidlaw Inc., a
Canadian corporation (the "Guarantor"), to the Trustee, the Guarantor has agreed
to guaranty timely payment of the Company's obligations relating to the Bonds.

         Any term used herein as a defined term but not defined herein shall
have the meaning ascribed to such term in the Indenture or the Loan Agreement.

                                       A-4
<PAGE>

Part I -- Redemption Provisions

         Optional Redemption of Bonds. The Series 1995 Bonds are subject to
optional redemption prior to maturity by the Trustee at the direction of the
Company, in whole at any time or in part on any Interest Payment Date, in
inverse order of maturity and by lot within each maturity at any time on or
after August 1, 2005, at a redemption price expressed as a percentage of
principal amount of Series 1995 Bonds to be redeemed set forth in the table
below, together with accrued interest to the Redemption Date:

              Redemption Date                               Redemption Price
              ---------------                               ----------------

August 1, 2005 to July 31, 2006                                   102%
August 1, 2006 to July 31, 2007                                   101%
August 1, 2007 and thereafter                                     100%

         Extraordinary Optional Redemption. The Series 1995 Bonds shall be
subject to extraordinary optional redemption prior to maturity by the Trustee,
at the direction of the Company, in whole or in part, on any date at a
redemption price equal to the principal amount of the Series 1995 Bonds to be
redeemed plus accrued interest to the redemption date, within 365 days following
the occurrence of any one of the following events (or, in the case of
subparagraph (a) and (b) below, at the option of the Company, within sixty (60)
days following the receipt of any proceeds relating to such event):

                           (a) The Facility (as defined in the Indenture) or a
                  substantial portion thereof shall have been damaged or
                  destroyed by fire or other casualty (i) to such extent that,
                  in the opinion of the Company, within a period of twelve
                  consecutive months following such damage or destruction it is
                  not practicable or desirable to rebuild, repair or restore the
                  Facility, or (ii) to such extent that, in the opinion of the
                  Company, the Facility is or will be prevented thereby from
                  operating normally for a period of twelve (12) consecutive
                  months.

                           (b) Title to, or the temporary use of, all or
                  substantially all of the Facility shall have been taken under
                  the exercise of the power of eminent domain (including such a
                  taking or takings as results or is likely to result, in the
                  opinion of the Company, in normal operations at the Facility
                  being interrupted for a period of twelve (12) consecutive
                  months or results or is likely to result in rendering the
                  Facility, in the opinion of the Company, unsuitable for use).

                           (c) As a result of any changes in the Constitution of
                  the State of Utah or the Constitution of the United States of
                  America or of legislative or administrative action (whether
                  state or federal) or by final decree, judgment or order of any
                  court or administrative body (whether state or federal)
                  entered after the contest thereof by the Company in good
                  faith, the Loan Agreement shall have become void or
                  unenforceable or impossible of performance in accordance with
                  the intent and purposes of the parties as expressed in the
                  Loan Agreement,

                                       A-5
<PAGE>

                  or unreasonable burdens or excessive liabilities shall have
                  been imposed on the Issuer or the Company, including without
                  limitation, federal, state or other ad valorem, property,
                  income or other taxes not being imposed on the date of the
                  Loan Agreement or changes since the date of initial issuance
                  of the Bonds in regulatory requirements, technology or the
                  economic availability of raw materials, operating supplies,
                  equipment or waste requiring treatment and disposal, which
                  condition cannot reasonably be expected to improve materially
                  within a period of twelve (12) consecutive months and causes
                  the Company to determine that the Facility should not be
                  completed or that operation of the Facility should be
                  discontinued.

         Special Mandatory Redemption. The Series 1995 Bonds are also subject to
Special Mandatory Redemption in whole by the Issuer on any date prior to
maturity at a redemption price of 100% of the principal amount thereof together
with accrued interest to the date of redemption, upon the occurrence of a
Determination of Taxability (as defined in the Indenture), as soon as
practicable, but in no event later than thirty (30) days after the occurrence of
such Determination of Taxability.

         Notice of Redemption. Notice of redemption shall be given by
first-class mail, postage prepaid, mailed not less than thirty (30) nor more
than sixty (60) days prior to the redemption date (except in the case of Special
Mandatory Redemption, in which case the Trustee will give immediate notice as
provided in the Indenture), to each owner of a Bond to be redeemed at the
address of such Bondholder appearing in the Bond Register. Failure to give such
notice to any Bondholder, or any defect therein, shall not affect the validity
of the proceedings for the redemption of any Bond or portion thereof with
respect to which no such failure has occurred. The Indenture provides for the
giving of additional notice under certain circumstances, provided that no defect
in or failure to give such additional notice shall in any manner defeat the
effectiveness of a call for redemption with respect to Bonds for which notice
was properly given as described above. Notice of redemption having been given as
aforesaid, the Bond so to be redeemed shall, on the redemption date, become due
and payable at the redemption price therein specified and from and after such
date (unless the Issuer shall default in the payment of the redemption price)
such Bond shall cease to bear interest. Upon surrender of any such Bond for
redemption in accordance with said notice, the redemption price of such Bond
shall be paid. If any Bond called for redemption shall not be so paid upon
surrender thereof for redemption, the principal (and premium, if any) shall,
until paid, bear interest from the redemption date at the rate last borne by the
Bond.

         If at the time of mailing of notice of an optional redemption there
shall not have been deposited with the Trustee moneys sufficient to redeem all
the Bonds called for redemption, which moneys are or will be available for
redemption of Bonds, such notice will state that it is conditional, that is,
subject to the deposit of the redemption moneys with the Trustee not later than
the close of business of the fifth day prior to the Redemption Date, and such
notice shall be of no effect unless such moneys are so deposited.

         Partial Redemption. The Trustee, upon surrender of any Bond to be
redeemed in part, shall authenticate and deliver to the owner of such Bond,
without service

                                       A-6
<PAGE>

charge, a new Bond or Bonds in aggregate principal amount equal to and in
exchange for the unpurchased or unredeemed portion of the principal of the Bond
so surrendered, which new Bond or Bonds shall be in any Authorized Denominations
and shall be identical to the Bond being purchased or redeemed with respect to
stated maturity and interest rate, and bearing numbers not contemporaneously
outstanding. If less than all the Bonds are to be redeemed, the particular Bonds
or portion thereof to be redeemed shall be selected prior to the redemption date
by the Trustee, by lot by such method as the Trustee shall deem fair and
appropriate and which may provide for the selection for redemption of portions
of the principal of Bonds of a denomination larger than the minimum Authorized
Denomination. The unredeemed portion of a Bond selected for partial redemption
must be equal to an Authorized Denomination.

Part II -- General

         The owner of this Bond shall have no right to enforce the provisions of
the Indenture or to institute any suit, action or proceeding in equity or at law
for the enforcement of the Indenture or for the appointment of a receiver or for
the enforcement of any other remedy under the Indenture, except as provided in
the Indenture. The Issuer, the Trustee, and the Company may treat the registered
owner of this Bond as the absolute owner hereof for all purposes, whether or not
this Bond shall be overdue, and shall not be bound by any notice to the
contrary.

         If provision is made for the payment of the principal of, premium, if
any, and interest on this Bond in accordance with the Indenture, this Bond shall
no longer be deemed Outstanding under the Indenture, shall cease to be entitled
to any lien, benefit or security under the Indenture, except for purposes of
registration and exchange and of such payment.

         Modifications or alterations of the Indenture or of any supplements
thereto, may be made only to the extent and in the circumstances permitted by
the Indenture.

         Except as otherwise provided in the Indenture, the Bonds are issuable
only as fully registered Bonds, without coupons, in denominations of $5,000 and
any integral multiple of $5,000 in excess thereof.

         The transfer of this Bond shall be registered upon the books kept at
the Principal Office of the Trustee, upon surrender of this Bond, duly endorsed
by, or accompanied by a written instrument or instruments of transfer in form
satisfactory to the Trustee and duly executed by the Bondholder or such
Bondholder's attorney duly authorized in writing and with guarantee of
signature.

         Subject to the limitations contained in the Indenture, this Bond may be
exchanged at any time at the Principal Office of the Trustee, upon surrender
hereof together with an assignment duly executed by the registered owner hereof
or such owner's attorney or legal representative in such form and with guarantee
of signature as shall be satisfactory to the Trustee for an equal aggregate
principal amount of Bonds of any Authorized Denomination as the Bonds
surrendered for exchange, which Bonds shall be identical to the Bonds being
exchanged with respect to interest rate and stated maturity, and bearing numbers
not contemporaneously outstanding.

                                       A-7
<PAGE>

         Reference is hereby made to the Indenture, the Loan Agreement and the
Proceeds Certificate, copies of which are on file with the Trustee, for the
provisions, among others, with respect to the nature and extent of the rights,
duties and obligations of the Issuer, the Company, the Trustee, and the owners
of the Bonds, including provisions relating to acceleration under certain
circumstances and provisions relating to the issuance of additional bonds under
the Indenture. The owner of this Bond, by acceptance hereof, is deemed to have
agreed and consented to and to be bound by the terms and provisions of the
Indenture, the Loan Agreement and the Proceeds Certificate.

         The following abbreviations, when used in the inscription on the face
of this Bond, shall be construed as though they were written out in full
according to applicable laws or regulations:

                                       A-8
<PAGE>

                              UNIF GIFT MIN ACT

TEN COM      --      as tenants in common            _______ Custodian _______

TEN ENT      --      as tenants by the                 (Cust)        (Minor)
                     entirety

JT TEN       --      as joint tenants with             Under Uniform Gifts to
                     right of survivorship and      Minors Act______________
                     not tenants in common                       (State)

         Additional abbreviations may also be used though not in the
above list.

                                       A-9
<PAGE>

                                   ASSIGNMENT

         FOR VALUE RECEIVED, THE UNDERSIGNED HEREBY SELLS, ASSIGNS AND TRANSFERS
UNTO

PLEASE INSERT SOCIAL SECURITY OR
OTHER IDENTIFYING NUMBER OF ASSIGNEE

----------------------------------------------

----------------------------------------------

------------------------------------------------------------------------------
     (Please Print or Typewrite Name and Address, including Zip Code, of
                                  Assignee)

the within Bond of TOOELE COUNTY, UTAH, and all rights thereunder, and hereby
irrevocably constitutes and appoints

------------------------------------------------------------------------------
attorney to register the transfer of said Bond on the books kept for
registration thereof, with full power of substitution in the premises.

Dated:                                   Signature:
      ------------------                           -----------------------------

Signature
Guaranteed:
           ---------------------------------------------------------------------

Notice:           The signature to this assignment must correspond with the name
                  as it appears upon the face of the within Bond in every
                  particular, without alteration or enlargement or any change
                  whatever.

Notice:           The signature(s) should be guaranteed by an eligible guarantor
                  institution (banks, stockbrokers, savings and loan
                  associations and credit unions with membership in an approved
                  signature guarantee medallion program), pursuant to S.E.C.
                  Rule 17Ad-15.

                                      A-10
<PAGE>

                                 EXHIBIT "B"

                        DTC LETTER OF REPRESENTATIONS

                     (See Transcript Document No.      )
                                                  -----

                                       B-1EX-4.R

                   INDENTURE OF TRUST DATED AS OF JULY 1, 1997

                               INDENTURE OF TRUST

                                     Between

                               TOOELE COUNTY, UTAH

                                       And

                   U.S. BANK, a national banking association,
                                   as Trustee

                            Dated as of July 1, 1997

                                   Relating to

                                   $45,700,000
                               Tooele County, Utah
                    Pollution Control Refunding Revenue Bonds
                     (Laidlaw Environmental Services, Inc.)
                                  1997 Series A

 <PAGE>

                                TABLE OF CONTENTS

                                                                  Page
                                                                  ----

                                    ARTICLE I

                                   DEFINITIONS

   1.1.       Definitions....................................................  3
   1.2.       Number and Gender.............................................. 14
   1.3.       Articles, Sections, Etc........................................ 14
   1.4.       Content of Certificates and Opinions........................... 14

                                   ARTICLE II

                                    THE BONDS

   2.1.       Authorization and Terms of Bonds............................... 16
   2.2.       Execution of Bonds............................................. 26
   2.3.       Transfer and Exchange of Bonds................................. 27
   2.4.       Bond Register.................................................. 27
   2.5.       Reserved....................................................... 27
   2.6.       Bonds Mutilated, Lost, Destroyed or Stolen..................... 28
   2.7.       Disposition of Cancelled Bonds................................. 28
   2.8.       CUSIP Numbers.................................................. 28

                                   ARTICLE III

                                ISSUANCE OF BONDS

   3.1.       Authentication and Delivery of Bonds........................... 29
   3.2.       Application of Proceeds of Bonds............................... 29

                                   ARTICLE IV

                        REDEMPTION AND PURCHASE OF BONDS

   4.1.       Redemption of Bonds............................................ 30
   4.2.       Selection of Bonds for Redemption.............................. 33
   4.3.       Notice of Redemption........................................... 33
   4.4.       Partial Redemption of Bonds.................................... 34
   4.5.       Effect of Redemption........................................... 34
   4.6.       Holder's Option to Tender for Purchase......................... 35
   4.7.       Mandatory Tender for Purchase.................................. 36
   4.8.       Delivery of Tendered Bonds..................................... 37
   4.9.       Bonds Deemed Purchased......................................... 38

                                        i
<PAGE>

   4.10.      Bond Purchase Fund............................................. 38
   4.11.      Deposit of Bonds............................................... 39
   4.12.      Remarketing of Tendered Bonds.................................. 39
   4.13.      Deposits into Remarketing Accounts and Borrower Accounts....... 43
   4.14.      Disbursements from the Bond Purchase Fund...................... 43
   4.15.      Delivery of Bonds.............................................. 44

                                    ARTICLE V

                                    REVENUES

   5.1.       Pledge of Revenues and Credit Facility......................... 45
   5.2.       Bond Fund; Credit Facility Debt Service Account................ 45
   5.3.       Trustee Authorized to Take Actions Under the Agreement......... 47
   5.4.       Investment of Moneys........................................... 47
   5.5.       Assignment to Trustee; Enforcement of Obligations.............. 48
   5.6.       Repayment to Borrower or Credit Provider....................... 48
   5.7.       Credit Facilities; Credit Provider Bonds....................... 49

                                   ARTICLE VI

                           COVENANTS OF THE AUTHORITY

   6.1.       Payment of Principal and Interest.............................. 52
   6.2.       Extension or Funding of Claims for Interest.................... 52
   6.3.       Paying Agents.................................................. 52
   6.4.       Preservation of Revenues....................................... 52
   6.5.       Compliance with Indenture...................................... 53
   6.6.       Arbitrage Covenants; Rebate Fund............................... 53
   6.7.       Other Liens.................................................... 54
   6.8.       Further Assurances............................................. 54

                                   ARTICLE VII

                                     DEFAULT

   7.1.       Events of Default; Acceleration; Waiver of Default............. 55
   7.2.       Institution of Legal Proceedings by Trustee.................... 57
   7.3.       Application of Moneys Collected by Trustee..................... 57
   7.4.       Effect of Delay or Omission to Pursue Remedy................... 58
   7.5.       Remedies Cumulative............................................ 58
   7.6.       Covenant to Pay Bonds in Event of Default...................... 58
   7.7.       Trustee Appointed Agent for Bondholders........................ 59
   7.8.       Power of Trustee to Control Proceedings........................ 59

                                       ii

<PAGE>

   7.9.       Limitation on Bondholders' Right to Sue........................ 59
   7.10.      Limitation of Liability to Revenues............................ 60

                                  ARTICLE VIII

                  THE TRUSTEE, THE REGISTRAR, THE TENDER AGENT
                            AND THE REMARKETING AGENT

   8.1.       Duties, Immunities and Liabilities of
              Trustee and Registrar.......................................... 61
   8.2.       Right of Trustee and Registrar to Rely
              upon Documents, Etc............................................ 62
   8.3.       Trustee and Registrar Not Responsible for Recitals............. 63
   8.4.       Right of Trustee and Registrar to Acquire Bonds................ 63
   8.5.       Moneys Received by Trustee and Registrar to Be
              Held in Trust.................................................. 63
   8.6.       Compensation and Indemnification of Trustee and Registrar...... 63
   8.7.       Qualifications of Trustee and Registrar........................ 64
   8.8.       Resignation and Removal of Trustee or
              Registrar and Appointment of Successor Trustee or
              Registrar...................................................... 65
   8.9.       Acceptance of Trust by Successor Trustee....................... 66
   8.10.      Merger or Consolidation of Trustee or Registrar................ 67
   8.11.      Accounting Records and Reports; Financing Statements........... 67
   8.12.      Registrar...................................................... 68
   8.13.      Tax Certificate................................................ 68
   8.14.      Appointment of Co-Trustee...................................... 68
   8.15.      Appointment, Duties and Qualifications of Tender Agent......... 69
   8.16.      Appointment, Duties and Qualifications
              of Remarketing Agent........................................... 70

                                   ARTICLE IX

                      MODIFICATION OF INDENTURE, DOCUMENTS

   9.1.       Modification without Consent of Bondholders.................... 71
   9.2.       Modification with Consent of Bondholders....................... 73
   9.3.       Effect of Supplemental Indenture or Amendment.................. 74
   9.4.       Required and Permitted Opinions of Counsel..................... 74
   9.5.       Notation of Modification on Bonds; Preparation
              of New Bonds................................................... 74

                                       iii
<PAGE>

                                    ARTICLE X

                                   DEFEASANCE

   10.1.      Discharge of Indenture......................................... 75
   10.2.      Discharge of Liability on Bonds................................ 76
   10.3.      Payment of Bonds after Discharge of Indenture.................. 76
   10.4.      Deposit of Money or Securities with Trustee.................... 77

                                   ARTICLE XI

                                  MISCELLANEOUS

   11.1.      Successors of County........................................... 78
   11.2.      Limitation of Rights to Parties and Bondholders................ 78
   11.3.      Waiver of Notice............................................... 78
   11.4.      Separability of Invalid Provisions............................. 78
   11.5.      Notices........................................................ 79
   11.6.      Evidence of Rights of Bondholders.............................. 80
   11.7.      Waiver of Personal Liability................................... 81
   11.8.      Publication of Notices......................................... 81
   11.9.      Governing Law; Venue........................................... 81
   11.10.     Execution in Several Counterparts.............................. 81
   11.11.     Credit Provider................................................ 81
   11.12.     Continuing Disclosure.......................................... 82
   11.13.     Opinions of Bond Counsel....................................... 82

                                       iv

<PAGE>

         THIS INDENTURE OF TRUST, made and entered into as of July 1, 1997, by
and between TOOELE COUNTY, UTAH, a political subdivision and body politic
established under the Constitution of the State of Utah (herein called the
"County"), and UNITED STATES NATIONAL BANK OF OREGON, doing business as U.S.
BANK, a national banking association organized under the laws of the United
States with corporate trust offices in Salt Lake City, Utah, being qualified to
accept and administer the trusts hereby created (herein called the "Trustee"),

                              W I T N E S S E T H:

         WHEREAS, the County is a political subdivision and body politic of the
State of Utah organized and existing under the Constitution of the State of
Utah; and

         WHEREAS, the Utah Industrial Facilities and Development Act, Title 11,
Chapter 17, Utah Code Annotated 1953, as amended (the "Act") authorizes the
County to issue its revenue bonds for the purposes of paying all or any part of
the costs of a "project" as defined in the Act and refunding its outstanding
bonds; and

         WHEREAS, Rollins Environmental Services, Inc., a Delaware corporation,
which after a merger with a subsidiary of Laidlaw Inc., a Canadian corporation,
is now called Laidlaw Environmental Services, Inc. (herein called the
"Borrower"), previously requested from the County financial assistance to
acquire and construct certain hazardous waste disposal facilities in the County
(the "Project"); and

         WHEREAS, in 1990, the County authorized its $45,700,000 Variable Rate
Hazardous Waste Treatment Revenue Bonds, Series A (Rollins Environmental
Services, Inc. Project) (the "Prior Bonds") to provide funds to finance a
portion of the costs of acquisition and construction by the Borrower of the
Project, which qualifies as a "project" under the Act; and

         WHEREAS, the Project is owned by the Borrower; and

         WHEREAS, the Borrower has requested that the County issue refunding
bonds to refund the Prior Bonds, and the County, after due investigation and
deliberation, has adopted a resolution approving said request; and

         WHEREAS, the County proposes to issue its Tooele County, Utah
Pollution Control Refunding Revenue Bonds (Laidlaw Environmental Services,
Inc.) 1997 Series A, in the aggregate principal amount of $45,700,000 (the
"Bonds") and to loan the proceeds thereof to the Borrower pursuant to a Loan
Agreement dated as of July 1, 1997, by and between the County and the Borrower
(the "Agreement") for the purposes of refunding and retiring the Prior Bonds;
and

         WHEREAS, the issuance and sale of the Bonds and the loan of the
proceeds thereof to the Borrower to refund the Prior Bonds and thereby
refinance the costs of the

                                      1
 <PAGE>

Project will serve the purposes of the County and the Act and in all respects
conform to the provisions and requirements of the Act; and

         WHEREAS, in order to provide for the authentication and delivery of
the Bonds, to establish and declare the terms and conditions upon which the
Bonds are to be issued and secured and to secure the payment of the principal
thereof and of the interest and premium, if any, thereon, the County has
authorized the execution and delivery of this Indenture; and

         WHEREAS, all Bonds issued under this Indenture will be secured by a
pledge and assignment of the County's rights under the aforesaid Agreement and
other security instruments; and

         WHEREAS, all acts and proceedings required by law necessary to make
the Bonds when executed by the County, authenticated and delivered by the
Registrar and duly issued, the valid, binding and legal limited obligations of
the County, and to constitute this Indenture a valid and binding agreement for
the uses and purposes herein set forth, in accordance with its terms, have been
done and taken; and the execution and delivery of this Indenture have been in
all respects duly authorized;

         NOW, THEREFORE, THIS INDENTURE WITNESSETH, that in order to secure the
payment of the principal of, and the interest and premium, if any, on, all
Bonds issued and Outstanding under this Indenture, according to their tenor,
and to secure the performance and observance of all the covenants and
conditions therein and herein set forth, and to declare the terms and
conditions upon and subject to which the Bonds are to be issued and received,
and for and in consideration of the premises and of the mutual covenants herein
contained and of the purchase and acceptance of the Bonds by the holders
thereof, and for other valuable consideration, the receipt whereof is hereby
acknowledged, the County covenants and agrees with the Trustee, for the equal
and proportionate benefit of the respective holders from time to time of the
Bonds, as follows:

                                        2
 <PAGE>

                                   ARTICLE I

                                  DEFINITIONS

         Section 1.1.     Definitions.  Unless the context otherwise requires,
the terms defined in this Section I.1.1 shall, for all purposes of this
Indenture and of the Agreement and of any indenture supplemental hereto or
agreement supplemental thereto, have the meanings herein specified, as follows:

                 "Act" means the Utah Industrial Facilities and Development
Act, Title 11, Chapter 17, Utah Code Annotated 1953, as amended.

                 "Act of Bankruptcy" means any of the following with respect to
any person:  (a) the commencement by such person of a voluntary case under the
federal bankruptcy laws, as now in effect or hereafter amended, or any other
applicable federal or state bankruptcy, insolvency or similar laws, or (b)
failure by such person to timely controvert the filing of a petition with a
court having jurisdiction over such person to commence an involuntary case
against such person under the federal bankruptcy laws, as now in effect or
hereafter amended, or any other applicable federal or state bankruptcy,
insolvency or similar laws, or (c) such person shall admit in writing its
inability to pay its debts generally as they become due, or (d) a receiver,
trustee, custodian or liquidator of such person or such person's assets shall
be appointed in any proceeding brought against the person or such person's
assets, or (e) assignment by such person for the benefit of its creditors, or
(f) the entry by such person into an agreement of composition with its
creditors.

                 "Agreement" means the Loan Agreement, of even date herewith,
between the County and the Borrower and relating to the loan of the proceeds of
the Bonds, as originally executed or as it may from time to time be
supplemented or amended.

                 "Amendment" means any amendment or modification of any
Document.

                 "Authorized Borrower Representative" means any person who at
the time and from time to time may be designated, by written certificate
furnished to the County, the Credit Provider (if any) and the Trustee, as a
person authorized to act on behalf of the Borrower.  Such certificate shall
contain the specimen signature of such person, shall be signed on behalf of the
Borrower by any officer of the Borrower and may designate an alternate or
alternates.

                 "Authorized County Representative" means the Chair of the
Board of Commissioners of the County, the County Attorney, or any person who at
the time and from time to time may be designated by said Chair of the County or
the County Attorney by written certificate furnished to the Trustee, the
Borrower and the Credit Provider (if any), as a person authorized to act on
behalf of the County.

                                      3
<PAGE>

                 "Authorized Denomination" means (a) with respect to Bonds
during any Daily Rate Period or any Weekly Rate Period, $100,000 or any
integral multiple thereof; and (b) with respect to Bonds during any Term Rate
Period, $100,000 or any integral multiple of $5,000 in excess of $100,000.

                 "Available Amounts" means, with respect to any Bonds other
than Credit Provider Bonds, (a) funds received by the Trustee pursuant to any
Credit Facility (other than first mortgage bonds, debentures or other evidences
of indebtedness of the Borrower or any affiliate of the Borrower) for such
Bonds; (b) moneys which have been continuously on deposit with the Trustee (i)
held in any separate and segregated fund, account or subaccount established
hereunder in which no other moneys which are not Available Amounts are held,
and (ii) which have so been on deposit with the Trustee for at least 123
consecutive days from their receipt by the Trustee and not commingled with any
moneys so held for less than said period and during and prior to which period
no Act of Bankruptcy of the Borrower or the County has occurred; (c) proceeds
from the sale of the Bonds received contemporaneously with the issuance and
sale or remarketing of such Bonds; (d) any other moneys if there is delivered
to the Trustee at the time such moneys are deposited with the Trustee an
opinion of counsel (which may assume that no owner of Bonds is an "insider"
within the meaning of the Bankruptcy Code) from a firm experienced in
bankruptcy matters to the effect that the use of such moneys to pay amounts due
on the Bonds would not be recoverable from the Bondholders pursuant to Section
550 of the Bankruptcy Code as avoidable preferential payments under Section 547
of the Bankruptcy Code in the event of the occurrence of an Act of Bankruptcy
of the Borrower or the County; (e) proceeds of the investment of funds
qualifying as Available Amounts under the foregoing clauses; or (f) at any time
when there is no Credit Facility in effect with respect to the Bonds or when
the Credit Facility with respect to the Bonds is an obligation of the Borrower
or any affiliate of the Borrower, any moneys from whatever source derived
(including moneys from the Borrower or an affiliate of the Borrower).
"Available Amounts" means, with respect to Credit Provider Bonds, any moneys
from whatever source derived.

                 "Bankruptcy Code" means Title 11 of the United States Code, as
amended.

                 "Beneficial Owner" means, with respect any Book-Entry Bond,
the beneficial owner of such Bond as determined in accordance with the
applicable rules of DTC.

                 "Bond Counsel" means any attorney at law or firm of attorneys,
of nationally recognized standing in matters pertaining to the validity of, and
exclusion from gross income for federal tax purposes of interest on, bonds
issued by states and political subdivisions, acceptable to the Trustee and duly
admitted to practice law before the highest court of any state of the United
States, but shall not include counsel for the Borrower.

                 "Bond Fund" means the fund by that name established pursuant
to Section V.5.2 hereof.

                                        4
<PAGE>

                 "Bond Purchase Fund" means the fund by that name established
pursuant to Section IV.4.10 hereof.

                 "Bonds" means the bonds designated as provided in Section
II.2.1.(a) hereof, authorized and issued hereunder in an aggregate principal
amount not to exceed $45,700,000.

                 "Book-Entry Bonds" means any Bonds which are then held in
book-entry form as provided in Section II.2.1.(d) hereof.

                 "Borrower" means (i) Laidlaw Environmental Services, Inc., a
Delaware corporation, and its successors and assigns, and (ii) any surviving,
resulting or transferee corporation as provided in Section 5.2 of the
Agreement.

                 "Business Day" means a day on which banks located in the
cities in which the Principal Offices of the Trustee, the Registrar, the Paying
Agent, the Tender Agent, the Remarketing Agent and the Credit Provider, if any,
are located are not required or authorized to be closed and on which the New
York Stock Exchange is not closed.

                 "Certificate of the Borrower" means a certificate signed by an
Authorized Borrower Representative.  If and to the extent required by the
provisions of Section I.1.4 hereof, each Certificate of the Borrower shall
include the statements provided for in Section I.1.4 hereof.

                 "Certificate of the County" means a certificate signed by an
Authorized County Representative.  If and to the extent required by the
provisions of Section I.1.4 hereof, each Certificate of the County shall
include the statements provided for in Section I.1.4 hereof.

                 "Certified Resolution" means a copy of a resolution or
ordinance of the County certified by the County Clerk of the County to have
been duly adopted by the County and to be in full force and effect on the date
of such certification.

                 "Code" means the Internal Revenue Code of 1986, as amended.

                 "Conversion Date" means any Business Day, on or after July 1,
2007, on which the Rate Period on the Bonds is converted to another Rate
Period.

                 "County" means Tooele County, Utah, and any successor to its
functions hereunder.

                 "Credit Agreement" means, with respect to any Credit Facility,
the agreement between the Borrower and the applicable Credit Provider, as
originally executed or as it may from time to time be replaced, supplemented or
amended in accordance with the provisions thereof and Article IX hereof,
providing for the issuance of the Credit Facility and the reimbursement of the
Credit Provider for payments

                                        5
<PAGE>

thereunder, and any subsequent agreement pursuant to which a substitute Credit
Facility is provided, together with any related pledge agreement, security
agreement or other security document.

                 "Credit Facility" means any letter of credit, guarantee,
standby purchase agreement, bond insurance or other support arrangement or
security or any combination of the foregoing, if any, provided by the Borrower
with respect to the Bonds, pursuant to Sections 4.2 and 4.6 of the Agreement
and Section V.5.7 hereof.

                 "Credit Facility Debt Service Account" means the account by
that name established within the Bond Fund.

                 "Credit Facility Purchase Account" means the account by that
name established within the Bond Purchase Fund.

                 "Credit Provider" means the issuer or other provider of a
Credit Facility with respect to the Bonds as permitted under Sections 4.2 and
4.6 of the Agreement and Section V.5.7 hereof (except the Borrower), and the
respective successors and assigns of the business thereof and any surviving,
resulting or transferee entity with or into which it may be consolidated or
merged or to which it may transfer all or substantially all of its business.

                 "Credit Provider Bonds" means any Bonds purchased pursuant to
a Credit Facility as provided in Section V.5.7.(c)(iii) hereof for so long as
such Bonds are held by or for the account of, or are pledged to, the applicable
Credit Provider in accordance with Section V.5.7.(d) hereof.

                 "Daily Put Bonds" has the meaning specified in Section
IV.4.12 hereof.

                 "Daily Rate" means the variable interest rate on any Bond
established in accordance with Section II.2.1.(c)(ii) hereof.

                 "Daily Rate Period" means each period during which Daily Rates
are in effect.

                 "Dated Date" means July 1, 1997.

                 "Determination of Taxability" means a determination that, due
to the untruth or inaccuracy of any representation or warranty made by the
Borrower in the Agreement or the breach of any covenant or warranty of the
Borrower contained in the Agreement, interest on the Bonds, or any of them, is
determined not to be Tax-Exempt by a final administrative determination of the
Internal Revenue Service or a final judicial decision of a court of competent
jurisdiction in a proceeding of which the Borrower received notice and was
afforded an opportunity to participate to the full extent permitted by law.  A
determination or decision will not be considered final for purposes of the
preceding sentence unless (A) the holder or holders of the Bonds involved in
the

                                      6
 <PAGE>

proceeding in which the issue is raised (i) shall have given the Borrower and
the Trustee prompt written notice of the commencement thereof, and (ii) shall
have offered the Borrower the opportunity to control the proceeding; provided
that the Borrower agrees to pay all expenses in connection therewith and to
indemnify such holder or holders against all liability for such expenses
(except that any such holder may engage separate counsel, and the Borrower
shall not be liable for the fees or expenses of such counsel); and (B) such
proceeding shall not be subject to a further right of appeal or shall not have
been timely appealed.

                 "Documents" means, collectively, the Agreement and any Credit
Facility.

                 "DTC" means The Depository Trust Company and its successors
and assigns.

                 "DTC Participants" means those broker-dealers, banks and other
financial institutions from time to time for which DTC holds Bonds as
securities depository.

                 "Electronic" notice means notice through a time-sharing
terminal.

                 "Event of Default" as used with respect to this Indenture has
the meaning specified in Section VII.7.1 hereof, and as used with respect to
the Agreement has the meaning specified in Section 6.1 thereof.

                 "Facility" means the Tooele County Hazardous Waste Disposal
Facility located in Tooele County, Utah, and more fully described in Exhibit A
to the Agreement, at which site the Project is located.

                 "Government Obligations" means bonds, notes, certificates of
indebtedness, treasury bills or other securities constituting direct
obligations of, or obligations the full and timely payment of which is
guaranteed by, the United States of America, or securities evidencing ownership
interests in such obligations or in specified portions thereof (which may
consist of specific portions of the principal of or interest on such
obligations).

                 "holder" or "Bondholder" means the registered owner of any
Bond.

                 "Indenture" means this Indenture of Trust, as originally
executed or as it may from time to time be supplemented, modified or amended by
any supplemental indenture entered into pursuant to the provisions hereof.

                 "Information Services" means Financial Information, Inc.'s
"Daily Called Bond Service," 30 Montgomery Street, 10th Floor, Jersey City, New
Jersey 07302, Attention:  Editor; Kenny Information Services' "Called Bond
Service," 65 Broadway, 16th Floor, New York, New York 10006; Moody's "Municipal
and Government," 99 Church Street, 8th Floor, New York, New York 10007,
Attention:  Municipal News Reports; the Municipal Securities Rulemaking Board,
CDI Pilot, 1640 King Street, Suite

                                      7
<PAGE>

300, Alexandria, Virginia 22314; and Standard and Poor's "Called Bond Record,"
25 Broadway, 3rd Floor, New York, New York 10004; or, in accordance with
then-current guidelines of the Securities and Exchange Commission, such other
addresses and/or such other services providing information with respect to
called bonds, or no such services, as the Borrower may designate in a
Certificate of the Borrower delivered to the Trustee.

                 "Initial Rate Period" for the Bonds means the Rate Period for
the Bonds on the Issue Date as specified in Section II.2.1.(c)(i) hereof.

                 "Interest Coverage Period" means (x) the number of days of
interest on the Bonds (calculated at the Maximum Interest Rate) for which the
Credit Facility, if any, then in effect may be drawn upon or otherwise provide
payment minus (y) five (5) days, as certified by the Borrower to the
Remarketing Agent from time to time.

                 "Interest Payment Date" means (i) with respect to any Daily or
Weekly Rate Period, the first Business Day of each calendar month, (ii) with
respect to any Term Rate Period, each July 1 and January 1 occurring during
such Term Rate Period and the Business Day next succeeding the last day of such
Term Rate Period, and (iii) in all events, the final maturity date of each
Bond.

                 "Investment Securities" means any of the following:  (1)
Government Obligations; (2) obligations, debentures, notes or other evidence of
indebtedness issued or guaranteed by any of the following:  Banks for
Cooperatives, Federal Intermediate Credit Banks, Federal Housing Finance Board,
Export-Import Bank of the United States, Federal Financing Bank, Federal Land
Banks, Federal Farm Credit Bank, Government National Mortgage Association,
Farmer's Home Administration, Federal Home Loan Mortgage Corporation or Federal
Housing Administration; (3) obligations of any state or local government the
interest on which is Tax-Exempt for which a nationally recognized rating
service is maintaining a rating within the top two ratings of such rating
service; (4) repurchase agreements with reputable financial institutions fully
secured by collateral security actually delivered to the Trustee described in
clauses (1) or (2) of this definition continuously having a market value at
least equal to the amount so invested; (5) bankers' acceptances issued by a
bank rated Aa or better by Moody's or rated AA or better by Standard & Poor's
and eligible for purchase by the Federal Reserve Bank (which may include the
Trustee and its affiliates); (6) interest-bearing demand or time deposits
(including certificates of deposit) in banks (including the Trustee and its
affiliates) and savings and loan associations, provided such deposits are (a)
secured at all times, in the manner and to the extent provided by law, by
collateral security (described in clauses (1) or (2) of this definition) of a
market value of no less than the amount of moneys so invested or (b) with banks
(including the Trustee and its affiliates) or savings and loan associations
having a combined capital and surplus of at least one hundred million dollars
($100,000,000) or (c) fully insured by the Federal Deposit Insurance
Corporation or the Federal Savings and Loan Insurance Corporation; (7)
investment in or shares of any "regulated investment company" within the
meaning of Section 851(a) of the Code, the assets of which are securities or
investments described in (1) through

                                        8
 <PAGE>

(6) above (except for any rating requirement); and (8) units of a money-market
fund or portfolio restricted to obligations issued by, or guaranteed by the
full faith and credit of, the United States of America.

                 "Issue Date" means July 9, 1997.

                 "Mandatory Tender Bonds" has the meaning specified in Section
IV.4.12.(c) hereof.

                 "Maximum Interest Rate" means (a) while a Credit Facility is
in effect with respect to the Bonds, the rate of interest specified in such
Credit Facility which is used to determine the amount available under such
Credit Facility for payment of interest due and payable to holders of the
Bonds, but in no event greater than 12% per annum, and (b) at all other times,
12% per annum.

                 "Moody's" means Moody's Investors Service, a corporation
organized and existing under the laws of the State of Delaware, its successors
and assigns.

                 "Notice by Mail" or "notice" of any action or condition "by
Mail" shall mean a written notice meeting the requirements of this Indenture
mailed by first class mail to the holders of specified Bonds, at the addresses
shown on the registration books maintained pursuant to Section II.2.4 hereof.

                 "NRMSIR" means a nationally recognized municipal securities
information repository recognized by the Securities and Exchange Commission
pursuant to Rule 15c2-12.  The name and address of each NRMSIR on the date of
this Indenture are as follows:  Bloomberg Municipal Repositories, P.O. Box 840,
Princeton, New Jersey 08542-0840, Phone: (609) 279-3200, Fax: (609) 279-5963;
Thomson Financial Services, Secondary Market Disclosure, 395 Hudson Street, 3rd
Floor, New York, New York 10014, Phone:  (212) 807-3814, Fax: (212) 989-9282;
Disclosure, Inc., Document Acquisitions/Municipal Securities, 5161 River Road,
Bethesda, Maryland  20816-1848, Phone:  (30) 951-1450 (for issuer- related
questions), (800) 638-8241 (for purchase of documents), Fax:  (301) 718-2329;
JJ Kenny Information Systems, The Repository, 65 Broadway, 16th Floor, New
York, New York 10006-2503, Phone: (212) 770-4568, Fax: (212) 707-7994; Moody's
NRMSIR, Public Finance Information Center, 99 Church Street, New York, New York
10007-2796, Phone:  (800) 339-6306, Fax: (212) 553-1460; and R.R. Donnelley
Financial, Attention: Municipal Securities Disclosure Archive, 559 Main Street,
Hudson, Massachusetts 01749, Phone: (800) 580-3670, Fax: (508) 562-1969.

                 "Opinion of Counsel" means a written opinion of counsel (who
may be counsel for the Borrower) acceptable to the Trustee, the County and the
Borrower.  If and to the extent required by the provisions of Section I.1.4,
each Opinion of Counsel shall include the statements provided for in Section
I.1.4.

                                        9
 <PAGE>

                 "Other Company Debt" means (i) any debt of the Borrower or its
subsidiaries on a parity with or superior to the Bonds, which is secured by
assets of the Borrower or any of its subsidiaries (including, but not limited
to, up to $650,000,000 in credit facilities given by a consortium of banks and
other financial institutions to the Borrower as of the Issue Date, or any
replacement thereof) and (ii) the loan agreements and/or guaranties relating to
$20,000,000 aggregate principal amount of Carbon County, Utah Solid Waste
Disposal Refunding Revenue Bonds (Laidlaw Environmental Services, Inc.) 1997
Series A and $19,500,000 aggregate principal amount of California Pollution
Control Financing Authority Pollution  Control Refunding Revenue Bonds (Laidlaw
Environmental Services, Inc.) 1997 Series A.

                 "Outstanding," when used as of any particular time with
reference to Bonds (subject to the provisions of Section XI.11.6.(e)), means
all Bonds theretofore authenticated and delivered by the Registrar or the
Tender Agent under this Indenture except:

                 (a)      Bonds theretofore cancelled by the Registrar or
surrendered to the Registrar for cancellation;

                 (b)      Bonds in lieu of or in substitution for which other
         Bonds shall have been authenticated and delivered by the Registrar
         pursuant to the terms of Section II.2.6;

                 (c)      Bonds with respect to which the liability of the
         County and the Borrower have been discharged to the extent provided
         in, and pursuant to the requirements of, Section X.10.2; and

                 (d)      Bonds deemed purchased pursuant to Section IV.4.9
hereof.

                 "Paying Agent" means any paying agent appointed as provided in
Section VI.6.3 hereof, or any successor thereto.

                 "Permitted Termination" means, with respect to any Credit
Facility, any termination that has been approved by the County without
provision being made for a substitute Credit Facility in accordance with
Section 4.6(b)(i) of the Agreement.

                 "person" means an individual, a corporation, a partnership, a
limited liability company, a trust, an unincorporated organization or a
government or any agency or political subdivision thereof.

                 "Placement Agreement" means the Bond Placement Agreement,
dated July 2, 1997, among the County, the Borrower and the Placement Agent
relating to the purchase from the County and the placement of the Bonds with
the purchasers thereof.

                 "Principal Office" (i) of the Tender Agent, the Registrar or
the Paying Agent means the office thereof designated in writing by the Tender
Agent, the Registrar

                                       10
<PAGE>

or the Paying Agent, as the case may be, to the County, the Trustee, the Credit
Provider, if any, and the Borrower, which initially shall be located in Salt
Lake City, Utah at the address set forth in Section XI.11.5 hereof; (ii) of the
Trustee means the principal corporate trust office of the Trustee designated in
writing to the County, the Registrar, the Paying Agent, the Tender Agent, the
Credit Provider, if any, and the Borrower, which initially shall be located in
Salt Lake City, Utah at the address set forth in Section XI.11.5 hereof; (iii)
of the Remarketing Agent means its office designated in writing to the County,
the Trustee, the Tender Agent, the Credit Provider, if any, and the Borrower;
and (iv) of the Credit Provider, if any, means its office located at such
address as such Credit Provider shall designate in writing to the County, the
Trustee, the Tender Agent and the Borrower.

                 "Prior Bonds" has the meaning assigned to such term in the
recitals to this Indenture.

                 "Project" means those facilities, including real property,
structures, buildings, fixtures or equipment, described in Exhibit A to the
Agreement, as it may be amended from time to time, which facilities were
financed or refinanced, in whole or in part, from the proceeds of the sale of
the Prior Bonds, and any real property, structures, buildings, fixtures or
equipment acquired in substitution for, as a renewal or replacement of, or a
modification or improvement to, all or any part of the facilities described in
said Exhibit A.

                 "PSA Municipal Index" means the Public Securities Association
Municipal Index as of the most recent date for which such index was published
or such other weekly, high-grade index comprised of seven-day, Tax-Exempt
variable rate demand notes produced by Municipal Market Data, Inc., or its
successor, or as otherwise designated by the Public Securities Association;
provided, however, that, if such index is no longer produced by Municipal
Market Data, Inc. or its successor, then "PSA Municipal Index" shall mean such
other reasonably comparable index selected by the Borrower.

                 "Purchase Date" means any date on which any Bond is required
to be purchased pursuant to Section IV.4.6 or IV.4.7 hereof.

                 "Qualified Newspaper" means The Wall Street Journal or The
Bond Buyer or any other newspaper or journal containing financial news, printed
in the English language and customarily published on each Business Day, of
general circulation in New York, New York, and selected by the Borrower and
designated to the Trustee.

                 "Rate Period" means any Daily Rate Period, Weekly Rate Period
or Term Rate Period.

                 "Rating Agency" means Moody's or Standard & Poor's to the
extent they then are providing or maintaining a rating on the Bonds at the
request of the Borrower, or in the event that Moody's or Standard & Poor's no
longer maintains a rating on the

                                       11
 <PAGE>

Bonds, any other nationally recognized rating agency then providing or
maintaining a rating on the Bonds at the request of the Borrower.

                 "Rebate Fund" means the fund by that name established and held
by the Trustee in accordance with Section VI.6.6 hereof.

                 "Rebate Requirement" has the meaning assigned to such term in
the Tax Certificate.

                 "Record Date" means (a) with respect to any Interest Payment
Date in respect of any Daily Rate Period or Weekly Rate Period, the Business
Day next preceding such Interest Payment Date; and (b) with respect to any
Interest Payment Date in respect of any Term Rate Period, the fifteenth day
(whether or not a Business Day) next preceding such Interest Payment Date.

                 "Registrar" means any registrar appointed as provided in
Section VIII.8.12 hereof, or any successor thereto.

                 "Remarketing Agent" means the Remarketing Agent for the Bonds,
if any, selected by the Borrower with the approval of the County pursuant to
Section VIII.8.16 hereof.

                 "Remarketing Agreement" means any agreement which meets the
requirements of Section VIII.8.16 hereof.

                 "Repayment Installment" means any amount that the Borrower is
required to pay to the Trustee pursuant to Section 4.2(a) of the Agreement as a
repayment of the loan made by the County under the Agreement.

 "Representation Letter" has the meaning specified in Section II.2.1.(d) hereof.

                 "Responsible Officer" of the Trustee means and includes the
chair of the board of directors, the president, every vice president, every
assistant vice president, every trust officer, and every officer and assistant
officer of the Trustee other than those specifically above mentioned, to whom
any corporate trust matter is referred because of his or her knowledge of, and
familiarity with, a particular subject.

                 "Revenues" means all rents, receipts, installment payments and
other income derived by the County or the Trustee under the Agreement or
otherwise in respect of the refinancing of the Project as contemplated by the
Agreement, and any income or revenue derived from the investment of any money
in any fund or account established pursuant to this Indenture (other than the
Bond Purchase Fund, the Rebate Fund and the accounts therein), including all
Repayment Installments, amounts received under any Credit Facility to pay
principal of and interest on the Bonds and any other payments made by the
Borrower with respect to the Bonds pursuant to the Agreement;

                                      12
 <PAGE>

provided, however, that such term shall not include payments to the County or
the Trustee pursuant to Sections 4.2(c), 4.2(d), 5.6, 6.3, 8.2 and 8.3 of the
Agreement or any amounts on deposit in the Bond Purchase Fund, the Rebate Fund
or accounts therein.

                 "Rule 15c2-12" means Rule 15c2-12 adopted by the Securities
and Exchange Commission under the Securities Exchange Act of 1934, as amended.

                 "Securities Depositories" means [The Depository Trust Company,
711 Stewart Avenue, Garden City, New York 11530, Fax-(516) 227-4039 or 4190;
Midwest Securities Trust Company, Capital Structures-Call Notification, 440
South LaSalle Street, Chicago, Illinois 60605, Fax-(312) 663-2343; Philadelphia
Depository Trust Company, Reorganization Division, 1900 Market Street,
Philadelphia, Pennsylvania 19103, Attention: Bond Department, Fax-(215)
496-5058]; or, in accordance with then-current guidelines of the Securities and
Exchange Commission, such other addresses and/or such other securities
depositories, or no such depositories, as the County may designate in a
Certificate of the County delivered to the Trustee.

                 "SID" means the state information depository, if any, of the
State recognized by the Securities and Exchange Commission pursuant to Rule
15c2-12.

                 "Standard & Poor's" means Standard & Poor's Ratings Group, a
corporation organized and existing under the laws of the State of New York, its
successors and assigns.

                 "State" means the State of Utah.

                 The term "supplemental indenture" or "indenture supplemental
hereto" means any indenture hereafter duly authorized and entered into between
the County and the Trustee in accordance with the provisions of this Indenture.

                 "Tax Certificate" means the Tax Certificate and Agreement,
dated as of the Issue Date, by and between the County and the Borrower, as the
same may be amended from time to time.

                 "Tax-Exempt" means, with respect to interest on any
obligations of a state or local government, including the Bonds, that such
interest is excluded from the gross income of the holders thereof (other than
any holder who is a "substantial user" of facilities financed with such
obligations or a "related person" within the meaning of Section 147(a) of the
Code) for federal income tax purposes, whether or not such interest is
includable as an item of tax preference or otherwise includable directly or
indirectly for purposes of calculating other tax liabilities, including any
alternative minimum tax or environmental tax under the Code.

                 "Tender Agent" means the tender agent for the Bonds, if any,
selected by the County with the advice and consent of the Borrower and meeting
the requirements of Section VIII.8.15 hereof.

                                      13
 <PAGE>

                 "Term Rate" means a non-variable interest rate on any Bond
established in accordance with Section II.2.1.(c)(iv) hereof.

                 "Term Rate Period" means each period with a duration of one
month or any multiple thereof (which may be expressed as multiples of months or
years) or the entire period until final maturity of the Bonds, during which a
particular Term Rate is in effect.

                 "Trustee" means United States National Bank of Oregon, doing
business as U.S. Bank, a national banking association organized under the laws
of the United States, and its successors and assigns or any successor trustee
appointed pursuant to Section VIII.8.8 hereof.

    "Weekly Put Bonds" has the meaning specified in Section IV.4.12 hereof.

                 "Weekly Rate" means the variable interest rate on the Bonds
established in accordance with Section II.2.1.(c)(iii) hereof.

 "Weekly Rate Period" means each period during which Weekly Rates are in effect.

                 "Written Consent of the County," "Written Order of the
County," and "Written Request of the County" mean, respectively, a written
consent, order or request signed by or on behalf of the County by an Authorized
County Representative.

                 "Yield" shall have the meaning ascribed to such term by
Section 148(h) of the Code.

         Section 1.2.     Number and Gender.  The singular form of any word
used herein, including the terms defined in Section I.1.1, shall include the
plural, and vice versa.  The use herein of a word of any gender shall include
all genders.

         Section 1.3.     Articles, Sections, Etc.  All references herein to
"Articles," "Sections" and other subdivisions are to the corresponding
Articles, Sections or subdivisions of this Indenture as originally executed;
and the words "herein," "hereof," "hereunder" and other words of similar import
refer to this Indenture as a whole and not to any particular Article, Section
or subdivision hereof.  The headings or titles of the several Articles and
Sections hereof, and any table of contents appended to copies hereof, shall be
solely for convenience of reference and shall not affect the meaning,
construction or effect of this Indenture.

         Section 1.4.     Content of Certificates and Opinions.  Every
certificate or opinion with respect to compliance with a condition or covenant
provided for in this Indenture or the Agreement (except for the certificate of
cancelled Bonds provided for in Sections II.2.6, II.2.7, IV.4.5 and VI.6.1
hereof) shall include (a) a statement that the person or persons making or
giving such certificate or opinion have read such covenant

                                       14
 <PAGE>

or condition and the definitions herein relating thereto; (b) a brief statement
as to the nature and scope of the examination or investigation upon which the
statements or opinions contained in such certificate or opinion are based; (c)
a statement that, in the opinion of the signers, they have made or caused to be
made such examination or investigation as is necessary to enable them to
express an informed opinion as to whether or not such covenant or condition has
been complied with; and (d) a statement as to whether, in the opinion of the
signers, such condition or covenant has been complied with.

                 Any such certificate or opinion made or given by an officer of
the County or the Borrower may be based, insofar as it relates to legal
matters, upon a certificate or opinion of or representations by counsel, unless
such officer knows that the certificate or opinion or representations with
respect to the matters upon which his or her certificate or opinion may be
based as aforesaid are erroneous, or in the exercise of reasonable care should
have known that the same were erroneous.  Any such certificate or opinion made
or given by counsel may be based, insofar as it relates to factual matters
(with respect to which information is in the possession of the County or the
Borrower), upon the certificate or opinion of or representations by an officer
of the County or the Borrower, as applicable, unless such counsel knows that
the certificate or opinion or representations with respect to the matters upon
which his or her opinion may be based as aforesaid are erroneous, or in the
exercise of reasonable care should have known that the same were erroneous.

                                       15
 <PAGE>

                                  ARTICLE II

                                  THE BONDS

         Section 2.1.     Authorization and Terms of Bonds.

                 (a)      Authorization.  Bonds designated as "Tooele County,
         Utah Pollution Control Refunding Revenue Bonds (Laidlaw Environmental
         Services, Inc.) 1997 Series A", may be issued under this Indenture.
         The aggregate principal amount of Bonds which may be issued and
         Outstanding under this Indenture shall not exceed Forty-Five Million
         Seven Hundred Thousand Dollars ($45,700,000), exclusive of Bonds
         executed and authenticated as provided in Section II.2.6.

                 (b)      General Terms.  The Bonds shall be issued as fully
         registered Bonds, without coupons, in Authorized Denominations and
         shall all be dated as of the Dated Date.  The Bonds shall mature,
         subject to prior redemption as provided in Article IV, upon the terms
         and conditions hereinafter set forth, on July 1, 2027.

                 The Bonds shall bear the letter prefix "RA-" and be numbered
         consecutively from 1 upward.  Each Bond shall bear interest from the
         last date to which interest has been paid in full or duly provided for
         on such Bond, or, if no interest has been paid or duly provided for on
         such Bond, from the Dated Date.  Payment of the interest on any Bond
         shall be made to the person appearing on the bond registration books
         of the Registrar as the registered holder thereof as of the close of
         business on the Record Date, such interest to be paid by the Paying
         Agent to such registered holder (i) in the event such Bond is a
         Book-Entry Bond, in immediately available funds on the Interest
         Payment Date in accordance with the Representation Letter, (ii) in the
         event such Bond is a Credit Provider Bond but is not a Book-Entry
         Bond, in immediately available funds on the Interest Payment Date by
         wire transfer in accordance with written instructions provided by the
         Credit Provider to the Registrar prior to such Interest Payment Date;
         and (iii) in the event such Bond is neither a Book-Entry Bond nor a
         Credit Provider Bond, (A) in immediately available funds (by wire
         transfer or by deposit to the account of the holder of any such Bond
         if such account is maintained with the Paying Agent), according to the
         instructions given by such holder to the Registrar or (B) in all other
         cases, by check mailed by first class mail to the holder at such
         holder's address as it appears as of the Record Date on the
         registration books of the Registrar; except, in each case, that, if
         and to the extent that there shall be a default in the payment of the
         interest due on such Interest Payment Date, such defaulted interest
         shall be paid to the holders in whose name any such Bonds are
         registered as of a special record date to be fixed by the Trustee,
         notice of which shall be given to such holders not less than ten (10)
         days prior thereto.  Both the principal of and premium, if any, on the
         Bonds shall be payable upon surrender

                                       16

<PAGE>

         thereof in lawful money of the United States of America at the
Principal Office of the Paying Agent.

                 (c)      Interest Rates and Rate Periods.  The Bonds shall
         bear interest until final payment of the principal or redemption price
         thereof shall have been made in accordance with the provisions hereof,
         whether at maturity, upon redemption or otherwise.  During Daily Rate
         Periods, interest on the Bonds shall be computed on the basis of a
         365- or 366-day year for the number of days actually elapsed during
         Daily Rate Periods.  During Weekly Rate Periods, interest on the Bonds
         shall be computed on the basis of a 365- or 366-day year for the
         number of days actually elapsed based on the calendar year in which
         the Weekly Rate Period commences.  During any Term Rate Period
         interest on the Bonds shall be computed upon the basis of a 360-day
         year, consisting of twelve 30-day months.  The Bonds shall bear
         interest for the periods and at the rates set forth in this subsection
         II.2.1.(c).

                          (i)     Rate Period; Initial Rate Period.  The term
                 of the Bonds shall be divided into consecutive Rate Periods
                 during which the Bonds shall bear interest at the Daily Rate,
                 Weekly Rate or Term Rate.  The Initial Rate Period for the
                 Bonds shall be a Term Rate Period ending July 1, 2027 and the
                 Bonds shall bear interest at the rate of 7.55% per annum.

                          The Rate Period with respect to the Bonds shall be as
                 provided above until adjusted as provided herein.  Except as
                 otherwise provided herein, any Daily Rate Period or Weekly
                 Rate Period established with respect to the Bonds shall
                 continue in effect unless and until adjusted to a different
                 Rate Period as provided herein.

                          (ii)    Daily Rate.

                                  (A)      Determination of Daily Rate.  During
                          each Daily Rate Period, the Bonds shall bear interest
                          at the Daily Rate, determined by the Remarketing
                          Agent on or before each Business Day for such
                          Business Day.  The Daily Rate shall be the rate
                          determined by the Remarketing Agent to be the lowest
                          rate which would enable the Remarketing Agent to sell
                          the Bonds for delivery on the effective date of such
                          rate at a price (without regard to accrued interest)
                          equal to 100% of the principal amount thereof.  The
                          Remarketing Agent shall provide the Trustee and the
                          Borrower with telephonic or Electronic notice of the
                          Daily Rate determined by 10:30 a.m. (New York City
                          time) on the date of determination.  If the
                          Remarketing Agent shall not have determined a Daily
                          Rate for any day by 10:30 a.m. (New York City time)
                          on such day, the Daily Rate shall be the same as the

                                       17
<PAGE>

                          Daily Rate for the immediately preceding day. In
                          no event shall the Daily Rate be greater than the
                          Maximum Interest Rate.

                                  (B)      Adjustment to a Daily Rate Period.
                          At any time, the Borrower, by written notice to the
                          County, the Trustee, the Paying Agent, the
                          Remarketing Agent and the Credit Provider, if any,
                          may elect that the Bonds shall bear interest at a
                          Daily Rate.  Such notice (1) shall specify the
                          effective date of such adjustment to a Daily Rate,
                          which shall be (a) a Business Day not earlier than
                          twenty-five (25) days (thirty-one (31) days if the
                          then current Rate Period is a Term Rate Period of six
                          months or longer) after delivery of such notice (or
                          such shorter period as shall be acceptable to the
                          Trustee); (b) in the case of an adjustment from a
                          Term Rate Period, a day on which the Bonds would be
                          permitted to be redeemed at the option of the
                          Borrower pursuant to Section IV.4.1.(a)..(2)(B)
                          hereof; and (c) in the case of an adjustment from a
                          Weekly Rate Period, an Interest Payment Date on which
                          interest is payable for the Weekly Rate Period from
                          which the adjustment is to be made; provided,
                          however, that if prior to the Borrower's making such
                          election, any Bonds shall have been called for
                          redemption and such redemption shall not have
                          theretofore been effected, the effective date of such
                          Daily Rate Period shall not precede such redemption
                          date; and (2) if the adjustment is from a Term Rate
                          Period, shall be accompanied by an opinion of Bond
                          Counsel addressed to the Trustee to the effect that
                          such adjustment (a) is authorized or permitted by the
                          Indenture and the Act, and (b) will not adversely
                          affect the Tax-Exempt status of the interest on the
                          Bonds.

                                  (C)      Notice of Adjustment to a Daily Rate
                          Period.  The Trustee shall give Notice by Mail of an
                          adjustment to a Daily Rate Period to the holders of
                          the Bonds not less than fifteen (15) days (thirty
                          (30) days if the then current Rate Period is a Term
                          Rate Period of six months or longer) prior to the
                          effective date of such Daily Rate Period.  Such
                          notice shall state (1) that the interest rate on the
                          Bonds will be adjusted to a Daily Rate (subject to
                          the Borrower's ability to rescind its election as
                          described in Section II.2.1.(c)(vii) hereof), (2) the
                          effective date of the Daily Rate Period, (3) that the
                          Bonds are subject to mandatory tender for purchase on
                          such effective date (except in the case of
                          adjustments between Daily Rate Periods and Weekly
                          Rate Periods), (4) the procedures for such mandatory
                          tender, and (5) the purchase price of the Bonds on
                          such effective date which purchase price shall be par
                          plus accrued interest and a premium, if any, equal to
                          the optional redemption premium that would be payable
                          by the County if the Bonds were redeemed on the
                          Conversion Date.

                                       18
 <PAGE>

                          (iii)   Weekly Rate.

                                  (A)      Determination of Weekly Rate.
                          During each Weekly Rate Period, the Bonds shall bear
                          interest at the Weekly Rate, determined by the
                          Remarketing Agent no later than the first day of such
                          Weekly Rate Period and thereafter no later than 10:00
                          a.m. (New York City time) on Wednesday of each week
                          during such Weekly Rate Period, unless any such
                          Wednesday shall not be a Business Day, in which event
                          the Weekly Rate shall be determined by the
                          Remarketing Agent no later than the Business Day next
                          preceding such Wednesday.  The Weekly Rate shall be
                          the rate determined by the Remarketing Agent to be
                          the lowest rate which would enable the Remarketing
                          Agent to sell the Bonds for delivery on the effective
                          date of such rate at a price (without regard to
                          accrued interest) equal to 100% of the principal
                          amount thereof.  If the Remarketing Agent shall not
                          have determined a Weekly Rate for any period by the
                          time specified above, the Weekly Rate shall be the
                          same as the Weekly Rate in effect for the immediately
                          preceding week.  In no event shall any Weekly Rate be
                          greater than the Maximum Interest Rate.  The first
                          Weekly Rate determined for each Weekly Rate Period
                          shall apply to the period commencing on the first day
                          of such Weekly Rate Period and ending on the next
                          succeeding Tuesday.  Thereafter, each Weekly Rate
                          shall apply to the period commencing on each
                          Wednesday and ending on the next succeeding Tuesday,
                          unless such Weekly Rate Period shall end on a day
                          other than Tuesday, in which event the last Weekly
                          Rate for such Weekly Rate Period shall apply to the
                          period commencing on the Wednesday preceding the last
                          day of such Weekly Rate Period and ending on such
                          last day.  The Remarketing Agent shall provide the
                          Trustee and the Borrower with written, telephonic or
                          Electronic notice of each Weekly Rate, as determined,
                          by 12:00 noon (New York City time) on the effective
                          date of such Weekly Rate.

                                  (B)      Adjustment to a Weekly Rate Period.
                          At any time, the Borrower, by written notice to the
                          County, the Trustee, the Paying Agent, the
                          Remarketing Agent and the Credit Provider, if any,
                          may elect that the Bonds shall bear interest at a
                          Weekly Rate.  Such notice (1) shall specify the
                          effective date of such adjustment to a Weekly Rate,
                          which shall be (a) a Business Day not earlier than
                          twenty-five (25) days after delivery of such notice
                          (or such shorter period as shall be acceptable to the
                          Trustee); (b) in the case of an adjustment from a
                          Term Rate Period, a day on which the Bonds would be
                          permitted to be redeemed at the option of the
                          Borrower pursuant to Section IV.4.1.(a)..(2)(B)
                          hereof; and (c) in the case of an adjustment from a
                          Daily Rate Period, an Interest

                                       19
 <PAGE>

                          Payment Date on which interest is payable for the
                          Daily Rate Period from which the adjustment is to
                          be made; provided, however, that if prior to the
                          Borrower's making such election, any Bonds shall have
                          been called for redemption and such redemption shall
                          not have theretofore been effected, the effective date
                          of such Weekly Rate Period shall not precede such
                          redemption date; and (2) if the adjustment is from a
                          Term Rate Period, shall be accompanied by an opinion
                          of Bond Counsel addressed to the Trustee to the effect
                          that such adjustment (a) is authorized or permitted by
                          the Indenture and the Act, and (b) will not adversely
                          affect the Tax-Exempt status of interest on the Bonds.

                                  (C)      Notice of Adjustment to a Weekly
                          Rate Period.  The Trustee shall give Notice by Mail
                          of an adjustment to a Weekly Rate Period to the
                          holders of the Bonds not less than fifteen (15) days
                          (thirty (30) days if the then current Rate Period is
                          a Term Rate Period of six months or longer) prior to
                          the effective date of such Weekly Rate Period.  Such
                          notice shall state (1) that the interest rate on the
                          Bonds will be adjusted to a Weekly Rate (subject to
                          the Borrower's ability to rescind its election as
                          provided in Section II.2.1.(c)(vii) hereof), (2) the
                          effective date of the Weekly Rate Period, (3) that
                          the Bonds are subject to mandatory tender for
                          purchase on such effective date (except in the case
                          of adjustments between Daily Rate Periods and Weekly
                          Rate Periods), (4) the procedures for such mandatory
                          tender, and (5) the purchase price of such Bonds on
                          such effective date which purchase price shall be par
                          plus accrued interest and a premium, if any, equal to
                          the optional redemption premium that would be payable
                          by the County if the Bonds were redeemed on the
                          Conversion Date.

                          (iv)    Term Rate.

                                  (A)      Determination of Term Rate.  During
                          each Term Rate Period, the Bonds shall bear interest
                          at the Term Rate, which shall be determined by the
                          Remarketing Agent on a Business Day selected by the
                          Remarketing Agent, but not more than forty (40) days
                          prior to and not later than the effective date of
                          such Term Rate Period.  The Term Rate shall be the
                          rate determined by the Remarketing Agent on such
                          date, and communicated by the close of business on
                          such date to the Trustee, the Paying Agent and the
                          Borrower, by written, telephonic or Electronic
                          notice, as being the lowest rate which would enable
                          the Remarketing Agent to sell the Bonds for delivery
                          on the effective date of such Term Rate Period at a
                          price (without regard to accrued interest) equal to
                          100% of the principal amount thereof; provided,
                          however, that if, for any

                                       20
<PAGE>

                          reason, a Term Rate for any Term Rate Period shall
                          not be determined or effective or if an adjustment
                          from a Term Rate Period to another Rate Period shall
                          not be effective, the Rate Period for the Bonds shall
                          automatically convert to a Daily Rate Period.  No
                          opinion of Bond Counsel shall be required in
                          connection with the automatic adjustment to the Daily
                          Rate pursuant to this paragraph.  If a Daily Rate for
                          the first day of such Daily Rate Period is not
                          determined as provided in Section II.2.1.(c)(ii)
                          hereof, the Daily Rate for the first day of such
                          Daily Rate Period shall be equal to the PSA Municipal
                          Index.  In no event shall any Term Rate be greater
                          than the Maximum Interest Rate.

                                  (B)      Adjustment to or Continuation of a
                          Term Rate Period.  At any time, the Borrower, by
                          written notice to the County, the Trustee, the Paying
                          Agent, the Remarketing Agent and the Credit Provider,
                          if any, may elect that the Bonds shall bear, or
                          continue to bear, interest at a Term Rate, and if it
                          shall so elect, shall determine the duration of the
                          Term Rate Period during which the Bonds shall bear
                          interest at such Term Rate.  Each Term Rate Period
                          shall have a duration such that the last day of such
                          Term Rate Period is (1) a day which both immediately
                          precedes a Business Day and is at least one (1) year
                          after the effective date of such Term Rate Period or
                          (2) if earlier, the day immediately preceding the
                          final maturity date of the Bonds.  At the time the
                          Borrower so elects an adjustment to or continuation
                          of a Term Rate Period, the Borrower may specify two
                          or more consecutive Term Rate Periods and, if the
                          Borrower so specifies, shall specify the duration of
                          each such Term Rate Period as provided in this
                          paragraph (B).  Such notice shall specify the
                          effective date of each Term Rate Period, which shall
                          be (1) a Business Day not earlier than twenty-five
                          (25) days after delivery of such notice (or such
                          shorter period as shall be acceptable to the
                          Trustee); (2) in the case of an adjustment from or
                          continuation of a Term Rate Period, a day on which
                          the Bonds would be permitted to be redeemed at the
                          option of the Borrower pursuant to Section
                          IV.4.1.(a)..(2)(B) hereof; and (3) in the case of an
                          adjustment from a Daily or Weekly Rate Period, an
                          Interest Payment Date on which interest is payable
                          for the Daily or Weekly Rate Period from which the
                          adjustment is to be made; provided, however, that if
                          prior to the Borrower's making such election, any
                          Bonds shall have been called for redemption and such
                          redemption shall not have theretofore been effected,
                          the effective date of such Term Rate Period shall not
                          precede such redemption date.  In addition, such
                          notice (i) shall specify the last day of such Term
                          Rate Period, and (ii) if the adjustment is from a
                          Daily or Weekly

                                       21
 <PAGE>

                          Rate Period, shall be accompanied by an opinion of
                          Bond Counseladdressed to the Trustee to the effect
                          that such adjustment (a) is authorized or permitted by
                          the Indenture and the Act, and (b) will not adversely
                          affect the Tax-Exempt status of interest on the Bonds.

                                  If, by the thirty-fifth day prior to the last
                          day of any Term Rate Period, the Trustee shall not
                          have received notice of the Borrower's election that,
                          during the next succeeding Rate Period, the Bonds
                          shall bear interest at a Daily Rate, a Weekly Rate or
                          a Term Rate accompanied by appropriate opinions of
                          Bond Counsel, if required by Section
                          II.2.1.(c)(ii)..(B), II.2.1.(c)(iii)..(B), or
                          II.2.1.(c)(iv) hereof, the next succeeding Rate
                          Period for the Bonds shall be a Daily Rate Period.
                          No opinion of Bond Counsel shall be required in
                          connection with the automatic adjustment to the Daily
                          Rate pursuant to this paragraph.  If a Daily Rate for
                          the first day of such Daily Rate Period is not
                          determined as provided in Section II.2.1.(c)(ii)
                          hereof, the Daily Rate for the first day of such
                          Daily Rate Period shall be equal to the PSA Municipal
                          Index.  The Trustee shall give Notice by Mail of the
                          automatic adjustment to the Daily Rate pursuant to
                          this paragraph in the manner provided below in
                          Section II.2.1(c)(iv)(C).

                                  At the same time that the Borrower elects to
                          have the Bonds bear interest at a Term Rate or
                          continue to bear interest at a Term Rate, the
                          Borrower may also specify to the Trustee optional
                          redemption prices and periods different (including
                          that there be no such optional redemption) from those
                          set out in Section IV.4.1.(a) during the Term Rate
                          Period(s) with respect to which such election is
                          made; provided, however, that such notice shall be
                          accompanied by an opinion of Bond Counsel addressed
                          to the Trustee to the effect that such changes (i)
                          are authorized or permitted by the Act and this
                          Indenture, and (ii) will not adversely affect the
                          Tax-Exempt status of interest on the Bonds.

                                  (C)      Notice of Adjustment to or
                          Continuation of a Term Rate Period.  The Trustee
                          shall give Notice by Mail of an adjustment to or
                          continuation of a Term Rate Period to the holders of
                          the Bonds not less than fifteen (15) days (thirty
                          (30) days if the then current Rate Period is a Term
                          Rate Period of six months or longer) prior to the
                          effective date of such Term Rate Period.  Such notice
                          shall state (1) that the interest rate on the Bonds
                          will be adjusted to, or continue to be, a Term Rate
                          (subject to the Borrower's ability to rescind its
                          election as provided in Section II.2.1.(c)(vii)
                          hereof), (2) the effective date of the Term Rate
                          Period, (3) that the Bonds shall be subject to
                          mandatory tender for

                                       22
 <PAGE>

                 purchase on such effective date (except in the case of the
                 effective date of a Term Rate Period which is preceded by a
                 Term Rate Period of the same duration), (4) the procedures
                 for such mandatory tender, and (5) the purchase price of the
                 Bonds on such effective date which purchase price shall be par
                 plus accrued interest and a premium, if any, equal to the
                 optional redemption premium that would be payable by the County
                 if the Bonds were redeemed on the Conversion Date.

                          (v)     Terms of Credit Facility.  If a Credit
                 Facility in the form of a letter of credit is to be held by
                 the Trustee after the effective date of any adjustment from
                 one Rate Period to another Rate Period, such Credit Facility
                 shall be in an amount sufficient to provide payment of (x) the
                 principal amount of the Outstanding Bonds plus (y) the amount
                 of interest (computed on the basis of a 365-day year in the
                 case of an adjustment to a Daily Rate Period or Weekly Rate
                 Period, and on the basis of a 360-day year consisting of
                 twelve 30-day months in the case of an adjustment to a Term
                 Rate Period) which will accrue on the Outstanding Bonds for a
                 period equal to the maximum number of days between Interest
                 Payment Dates during the new Rate Period plus five (5) days.
                 In the case of an adjustment to a Term Rate Period, the Credit
                 Facility, if any, to be in effect after the effective date of
                 such adjustment shall (i) extend for a period ending on a date
                 no earlier than five (5) days after the first date on which
                 the Bonds may be called for redemption pursuant to Section
                 IV.4.1.(a)..(2)(B) and (ii) cover the premium, if any, which
                 would be included in the purchase price upon mandatory
                 purchase of the Bonds pursuant to Section IV.4.7.(a)..(2)
                 hereof if the term of such Credit Facility were not extended
                 beyond the expiration date set forth therein.

                          (vi)    Determination Conclusive.  The determination
                 of any Daily Rate, Weekly Rate and Term Rate and the
                 calculation of interest payable on the Bonds by the
                 Remarketing Agent shall be conclusive and binding upon such
                 Remarketing Agent, the Trustee, the Paying Agent, the County,
                 the Borrower, the holders of the Bonds and the Credit
                 Provider, if any.

                          (vii)   Rescission of Election.  Notwithstanding
                 anything herein to the contrary, the Borrower may rescind any
                 election by it to adjust to or continue a Rate Period pursuant
                 to Section II.2.1.(c)(ii)..(B), II.2.1.(c)(iii)..(B) or
                 II.2.1.(c)(iv)..(B) hereof prior to the effective date of such
                 adjustment or continuation by giving written notice thereof to
                 the County, the Trustee and the Remarketing Agent prior to
                 such effective date.  If the Trustee receives notice of such
                 rescission prior to the time the Trustee has given notice to
                 the holders of the Bonds pursuant to Section
                 II.2.1.(c)(ii)..(C), II.2.1.(c)(iii)..(C) or
                 II.2.1.(c)(iv)..(C) as applicable, then the notice of
                 adjustment or continuation previously delivered by the
                 Borrower shall be of no force and effect.  If the Trustee
                 receives notice

                                       23
 <PAGE>

                 from the Borrower of rescission of an adjustment to or
                 continuation of a Rate Period after the Trustee has given
                 notice to the holders of the Bonds pursuant to Section
                 II.2.1.(c)(ii)..(C), II.2.1.(c)(iii)..(C) or
                 II.2.1.(c)(iv)..(C) as applicable, then (a) the Rate Period for
                 the Bonds shall automatically adjust to a Daily Rate Period on
                 the date originally scheduled for such adjustment or
                 continuation and (b) the Trustee shall give immediate Notice by
                 mail of the automatic adjustment to the Daily Rate pursuant to
                 this paragraph in a manner similar to that provided for in
                 Section II.2.1.(c)(iv)(C).  No opinion of Bond Counsel shall be
                 required in connection with the automatic adjustment to a Daily
                 Rate Period pursuant to this paragraph.  If a Daily Rate for
                 the first day of such Daily Rate Period is not determined as
                 provided in Section II.2.1.(c)(ii) hereof, the Daily Rate for
                 the first day of such Daily Rate Period shall be equal to the
                 PSA Municipal Index.

                 (d)      Form of Bonds.  The Bonds may be engraved, printed,
         lithographed or typewritten, shall be in Authorized Denominations and
         may contain such references to any of the provisions of this Indenture
         as may be appropriate.  The Bonds and the certificate of
         authentication to be executed thereon shall be in substantially the
         form attached hereto as Exhibit A, with such appropriate variations,
         omissions and insertions as are permitted or required by this
         Indenture.  Pursuant to recommendations promulgated by the Committee
         on Uniform Security Identification Procedures, "CUSIP" numbers may be
         printed on the Bonds.  The Bonds may bear such endorsement or legend
         relating thereto as may be required to conform to usage or law with
         respect thereto.  If appropriate, the Bonds may be printed with a
         portion of the text printed on the reverse side thereof and with a
         legend printed on the front referring to such text to the following
         effect: "Reference is hereby made to the further provisions of this
         Bond set forth on the back hereof and such further provisions are
         hereby incorporated by reference as if set forth here in full."  Upon
         adjustment to a Term Rate Period, the form of Bond may include a
         summary of the mandatory and optional redemption provisions to apply
         to the Bonds during such Term Rate Period, or a statement to the
         effect that the Bonds will not be optionally redeemed during such Term
         Rate Period, provided that the Registrar shall not authenticate such a
         revised Bond form prior to receiving an opinion of Bond Counsel that
         such Bond form conforms to the terms of the Act and of this Indenture
         and that authentication thereof will not adversely affect the
         Tax-Exempt status of the Bonds.

                 (e)      Book-Entry System.  Unless otherwise determined by
         the County, the Bonds shall be issued in the form of one or more
         separate single certificated fully registered Bond or Bonds,
         registered in the name of Cede & Co., as nominee of DTC, or any
         successor nominee (the "Nominee").  Except as provided in paragraph
         (iii) below, all of the Outstanding Bonds shall be so registered in
         the registration books kept by the Registrar, and the provisions of
         this Section II.2.1.(d) shall apply thereto.

                                       24
<PAGE>

                 (f)      (i)     The County, the Borrower, the Paying Agent,
                 the Registrar, the Tender Agent, the Remarketing Agent and the
                 Trustee shall have no responsibility or obligation to any DTC
                 Participant or to any Beneficial Owner, except as otherwise
                 expressly provided herein.  Without limiting the immediately
                 preceding sentence, the County, the Borrower, the Paying
                 Agent, the Registrar, the Tender Agent, the Remarketing Agent
                 and the Trustee shall have no responsibility or obligation
                 with respect to (1) the accuracy of the records of DTC, the
                 Nominee or any DTC Participant with respect to any ownership
                 interest in the Bonds, (2) the delivery to any DTC Participant
                 or any other person, other than a Bondholder as shown in the
                 registration books kept by the Registrar, of any notice with
                 respect to the Bonds, including any notice of redemption
                 (except that the Trustee and the Tender Agent shall have the
                 obligation to deliver notices of optional and mandatory tender
                 to the Remarketing Agent as provided herein) or (3) the
                 payment to any DTC Participant or any other person, other than
                 a Bondholder, as shown in the registration books kept by the
                 Registrar, of any amount with respect to principal or purchase
                 price of, premium, if any, or interest on the Bonds.  The
                 Paying Agent shall pay all principal and purchase price of,
                 premium, if any, and interest on the Bonds only to or upon the
                 order of the respective Bondholders, as shown in the
                 registration books kept by the Registrar, or their respective
                 attorneys duly authorized in writing, and all such payments
                 shall be valid and effective to fully satisfy and discharge
                 the County's obligations with respect to payment of principal
                 of, premium, if any, and interest on the Bonds to the extent
                 of the sum or sums so paid.  The County, the Borrower, the
                 Paying Agent, the Registrar, the Tender Agent, the Remarketing
                 Agent and the Trustee may treat and consider the person in
                 whose name each Bond is registered in the registration books
                 kept by the Registrar as the holder and absolute owner of such
                 Bond for the purpose of payment of principal, purchase price,
                 premium and interest with respect to such Bond, for the
                 purpose of giving notices of redemption and other matters with
                 respect to such Bond, for the purpose of registering transfers
                 with respect to such Bond, and for all other purposes
                 whatsoever; provided, however, notwithstanding the foregoing
                 provisions, the Tender Agent shall accept any notice of
                 optional tender pursuant to Section IV.4.6 from any Beneficial
                 Owner of any Book-Entry Bond, but shall make payment of the
                 purchase price thereof only to the registered owner of such
                 Bond in the manner provided in the Representation Letter (as
                 defined below).

                          (ii)    No person other than a Bondholder, as shown
                 in the registration books kept by the Registrar, shall receive
                 a certificated Bond evidencing the obligation of the County to
                 make payments of principal, purchase price, premium, if any,
                 and interest pursuant to this Indenture.

                                       25
 <PAGE>

                          (iii)   The County, the Paying Agent, the Registrar,
                 the Tender Agent and the Trustee shall, if not previously on
                 file, execute and deliver to DTC a letter of representation in
                 customary form with respect to the Bonds (the "Representation
                 Letter"), but such Representation Letter shall not in any way
                 limit the provisions of the foregoing paragraph (i) or in any
                 other way impose upon the County any obligation whatsoever
                 with respect to persons having interests in the Bonds other
                 than the Bondholders, as shown on the registration books kept
                 by the Registrar.  The Trustee, the Tender Agent and the
                 Paying Agent shall take all action necessary for all
                 representations of the County in the Representation Letter
                 with respect to the Trustee, the Tender Agent and the Paying
                 Agent to be complied with at all times.

                          (iv)    The County, with the consent of the Borrower,
                 may, and upon request of the Borrower shall, terminate the
                 services of DTC with respect to the Bonds.  DTC may determine
                 to discontinue providing its services with respect to the
                 Bonds at any time by giving written notice and all relevant
                 information on the Beneficial Owners of the Bonds to the
                 County, the Borrower, the Tender Agent and the Trustee and
                 discharging its responsibilities with respect thereto under
                 applicable law.  Upon the discontinuance or termination of the
                 services of DTC with respect to the Bonds, unless a substitute
                 securities depository is appointed by the County (with the
                 consent, or at the request, of the Borrower) to undertake the
                 functions of DTC hereunder, the County, at the expense of the
                 Borrower, is obligated to deliver Bond certificates to the
                 Beneficial Owners of such Bonds, as described in this
                 Indenture, and such Bonds shall no longer be restricted to
                 being registered in the registration books kept by the
                 Registrar in the name of the Nominee, but may be registered in
                 whatever name or names Bondholders transferring or exchanging
                 such Bonds shall designate, in accordance with the provisions
                 of this Indenture.

                          (v)     So long as any Bond is registered in the name
                 of the Nominee, all payments with respect to principal,
                 purchase price, premium, if any, and interest on such Bond and
                 all notices with respect to such Bond shall be made and given,
                 respectively, in the manner provided in the Representation
                 Letter.  Bondholders shall have no lien or security interest
                 in any rebate or refund paid by DTC to the Tender Agent or the
                 Paying Agent which arises from the payment by the Tender Agent
                 or Paying Agent of principal of, premium, if any, or interest
                 on the Bonds in immediately available funds to DTC.

         Section 2.2.     Execution of Bonds.  The Bonds shall be signed in the
name and on behalf of the County with the manual or facsimile signature of its
Chair and attested by the manual or facsimile signature of its County Clerk,
under seal of the County Clerk.  Such seal may be in the form of a facsimile of
the County Clerk's seal and may be imprinted or impressed upon the Bonds.  The
Bonds shall then be delivered to the

                                       26
 <PAGE>

Registrar or the Tender Agent for authentication by the Registrar or the Tender
Agent, as the case may be; provided that upon initial issuance the Bonds shall
be authenticated by the Registrar.  In case any officer who shall have signed
any of the Bonds shall cease to be such officer before the Bonds so signed or
attested shall have been authenticated or delivered by the Registrar or the
Tender Agent or issued by the County, such Bonds may nevertheless be
authenticated, delivered and issued and, upon such authentication, delivery and
issuance, shall be as binding upon the County as though those who signed and
attested the same had continued to be such officers of the County.  Also, any
Bond may be signed on behalf of the County by such persons as on the actual
date of the execution of such Bond shall be the proper officers although on the
nominal date of such Bond any such person shall not have been such officer.

         Only such of the Bonds as shall bear thereon a certificate of
authentication in the form recited in Exhibit A hereto, manually executed by
the Registrar or the Tender Agent, shall be valid or obligatory for any purpose
or entitled to the benefits of this Indenture, and such certificate of the
Registrar or the Tender Agent, as the case may be, shall be conclusive evidence
that the Bonds so authenticated have been duly authenticated and delivered
hereunder and are entitled to the benefits of this Indenture.  Upon
authentication of any Bond, the Registrar or the Tender Agent, as the case may
be, shall set forth on such Bond the date of such authentication.

         Section 2.3.     Transfer and Exchange of Bonds.  Registration of any
Bond may, in accordance with the terms of this Indenture, be transferred, upon
the books of the Registrar required to be kept pursuant to the provisions of
Section II.2.4, by the person in whose name it is registered, in person or by
his duly authorized attorney, upon surrender of such Bond for cancellation,
accompanied by a written instrument of transfer in a form approved by the
Registrar, duly executed.  Whenever any Bond shall be surrendered for
registration of transfer, the County shall execute and the Registrar shall
authenticate and deliver a new Bond or Bonds of the same tenor of Authorized
Denominations.  No registration of transfer of Bonds upon the books of the
Registrar required to be kept pursuant to the provisions of Section II.2.4
hereof shall be required to be made during the period after any Record Date and
prior to the related Interest Payment Date or during the period of fifteen (15)
days next preceding the date on which the Trustee gives any notice of
redemption, nor shall any registration of transfer of Bonds called for
redemption be required.

         Bonds may be exchanged at the Principal Office of the Registrar for a
like aggregate principal amount of Bonds of the same tenor of Authorized
Denominations.  The Registrar shall require the payment by the Bondholder
requesting such exchange of any tax or other governmental charge required to be
paid with respect to such exchange, and there shall be no other charge to any
Bondholders for any such exchange.  Except with respect to Bonds purchased
pursuant to Section IV.4.7 hereof, no exchange of Bonds shall be required to be
made during the period after any Record Date and prior to the related Interest
Payment Date or during the period of fifteen (15) days next preceding the date
on which the Trustee gives notice of redemption, nor shall any exchange of
Bonds called for redemption be required.

                                       27
  <PAGE>

         Section 2.4.     Bond Register.  The Registrar will keep or cause to
be kept at its Principal Office sufficient books for the registration and the
registration of transfer of the Bonds, which shall at all times, during regular
business hours, be open to inspection by the County, the Trustee, the Credit
Provider, if any, and the Borrower; and, upon presentation for such purpose,
the Registrar shall, under such reasonable regulations as it may prescribe,
register the transfer or cause to be registered the transfer, on said books, of
Bonds as hereinbefore provided.

         Section 2.5.     Reserved.

         Section 2.6.     Bonds Mutilated, Lost, Destroyed or Stolen.  If any
Bond shall become mutilated, the County, upon the request and at the expense of
the holder of said Bond, shall execute, and the Registrar shall thereupon
authenticate and deliver, a new Bond of like tenor and number in exchange and
substitution for the Bond so mutilated, but only upon surrender to the
Registrar of the Bonds so mutilated.  Every mutilated Bond so surrendered to
the Registrar shall be cancelled by it and destroyed and, upon the written
request of the County, a certificate evidencing such destruction shall be
delivered to the County, with a copy to the Borrower.  If any Bond issued
hereunder shall be lost, destroyed or stolen, evidence of such loss,
destruction or theft may be submitted to the County, the Borrower and the
Registrar, and if such evidence be satisfactory to them and indemnity
satisfactory to them shall be given by or on behalf of the holder of such lost,
destroyed or stolen Bond, the County, at the expense of the holder, shall
execute, and the Registrar shall thereupon authenticate and deliver, a new Bond
of like tenor in lieu of and in substitution for the Bond so lost, destroyed or
stolen (or if any such Bond shall have matured or shall be about to mature,
instead of issuing a substitute Bond the Registrar may pay the same without
surrender thereof).  The County may require payment of a reasonable fee for
each new Bond issued under this Section and payment of the expenses which may
be incurred by the County and the Registrar.  Any Bond issued under the
provisions of this Section in lieu of any Bond mutilated or alleged to be lost,
destroyed or stolen shall constitute an original additional contractual
obligation on the part of the County whether or not the Bond mutilated or so
alleged to be lost, destroyed or stolen shall be at any time enforceable by
anyone, and shall be equally and proportionately entitled to the benefits of
this Indenture with all other Bonds secured by this Indenture.

         Section 2.7.     Disposition of Cancelled Bonds.  When and as paid in
full, all Bonds, if any, shall be delivered to the Trustee, who shall forthwith
cancel such Bonds and deliver a certificate evidencing such cancellation to the
County and the Borrower.  The Trustee may destroy or retain such cancelled
Bonds.

         Section 2.8.     CUSIP Numbers.  As provided in Section II.2.1.(d) of
this Indenture, the County in issuing the Bonds may use "CUSIP" numbers (if
then generally in use), and, if so, the Trustee shall use "CUSIP" numbers in
notices of redemption as a convenience to holders of Bonds; provided that any
such notice may state that no representation is made as to the correctness of
such numbers either as printed on the Bonds or as contained in any notice of a
redemption and that reliance may be placed only

                                       28
 <PAGE>

on the other identification numbers printed on the Bonds, and any such
redemption shall not be affected by any defect in or omission of such CUSIP
numbers.

                                      29

                                  ARTICLE III

                               ISSUANCE OF BONDS

         Section 3.1.     Authentication and Delivery of Bonds.  Forthwith upon
the execution and delivery of this Indenture, upon the execution of the Bonds
by the County and delivery thereof to the Registrar, as hereinabove provided,
and without any further action on the part of the County, the Registrar shall
authenticate the Bonds in an aggregate principal amount of Forty-Five Million
Seven Hundred Thousand Dollars ($45,700,000) and shall deliver the Bonds to or
upon the Written Order of the County.

         Section 3.2.     Application of Proceeds of Bonds. The proceeds
received by the County from the sale of the Bonds in the amount of
$45,776,674.44 (representing the principal amount of the Bonds, plus accrued
interest from the Dated Date) shall be deposited with the Trustee as follows:

                 (a)      accrued interest in the amount of $76,674.44 shall be
         deposited in the Bond Fund and applied toward the first interest
         payment on the Bonds.

                 (b)      The remaining $45,700,000 shall be deposited in
         the Bond Proceeds Fund.

                 (c)      upon written direction from the Borrower, the Trustee
         shall transfer $45,700,000 of the amount held in the Bond Proceeds
         Fund, along with investment earnings thereon, to Citibank, N.A., as
         trustee for the Prior Bonds, to be applied to the redemption of the
         Prior Bonds.  Upon completion of the foregoing transfer, the Bond
         Proceeds Fund shall close.

                                       30
 <PAGE>

                                   ARTICLE IV

                        REDEMPTION AND PURCHASE OF BONDS

         Section 4.1.     Redemption of Bonds.  The Bonds are subject to
redemption if and to the extent the Borrower is entitled or required to make
and makes a prepayment pursuant to Article VII of the Agreement.  The Trustee
shall not give notice of any optional redemption under Section IV.4.1.(a)
hereof unless the Borrower has so directed in accordance with Section 7.5 of
the Agreement and, if a Credit Facility will be in effect on the redemption
date, the Credit Provider has given its consent to such optional redemption to
the extent required by the applicable Credit Agreement.  Notwithstanding the
foregoing, such consent of the Credit Provider shall not be required if at the
time of mailing the notice of optional redemption, the Trustee then holds
Available Amounts sufficient to pay the principal of, premium, if any, and
interest on the Bonds to be redeemed.  In the event of a failure by the
Borrower to give a notice of mandatory prepayment under such Section 7.5, such
notice may be given by the County, the Trustee, the Credit Provider, if any, or
any holder or holders of ten percent (10%) or more in aggregate principal
amount of the Outstanding Bonds.

         The Bonds shall be redeemed upon the following terms:

         (a)     Redemption Upon Optional Prepayment.

                 (1)      Extraordinary Events.  The Bonds shall be redeemed in
         whole or in part, and if in part by lot, at any time at a redemption
         price equal to 100% of the principal amount thereof, plus accrued
         interest, if any, to the redemption date, upon the occurrence of any
         one of the following events and receipt by the Trustee of a written
         notice from the Borrower stating that such event has occurred and that
         the Borrower intends to exercise its option to prepay the payments due
         under the Agreement in whole or in part pursuant to Section 7.2 of the
         Agreement and thereby effect the redemption of Bonds in whole or in
         part to the extent of such prepayments:

                          (A)     All or part of the Facility shall have been
                 damaged or destroyed to such an extent that, in the opinion of
                 the Borrower (expressed in a certificate filed with the County
                 and the Trustee), (i) the Facility or such affected portion
                 could not reasonably be restored within a period of four (4)
                 months to the condition thereof immediately preceding such
                 damage or destruction, and the Borrower will be prevented, or
                 is likely to be prevented for a period of four (4) consecutive
                 months or more, from carrying on all or substantially all of
                 its normal operation of the Facility, or (ii) the cost of
                 restoration of the Facility or such affected portion will be
                 substantially in excess of the net proceeds of insurance
                 thereon.

                                       31
 <PAGE>

                          (B)     Title to, or the temporary use of, all or a
                 part of the Facility  shall have been taken under the exercise
                 of the power of eminent domain.

                          (C)     Changes in economic availability of raw
                 materials, operating supplies or facilities necessary to
                 operate all or a part of the Facility or technological or
                 other changes which make the continued operation of the
                 Facility or such affected portion, uneconomical in the opinion
                 of the Borrower (expressed in a certificate filed with the
                 County and the Trustee) shall have occurred and which shall
                 have resulted in a cessation of all or substantially all of
                 the Borrower's normal operations of the Facility.

                          (D)     Unreasonable burdens or excessive liabilities
                 shall have been imposed upon the County or the Borrower
                 affecting all or a part of the Facility, including, without
                 limitation, federal, state or other ad valorem, property,
                 income or other taxes not being imposed on the date of the
                 Agreement.

                 Anything in this subsection to the contrary notwithstanding,
         if any of the events described above shall have occurred with respect
         to any portion of the Facility, the amount of Bonds that may be
         redeemed shall not exceed an amount derived by multiplying the total
         principal amount of the Bonds by a fraction (i) the numerator of which
         is the cost of such Facility or portion thereof and (ii) the
         denominator of which is the total cost of the Facility.

                 (2)      Borrower Option.  The Bonds shall be subject to
         redemption upon prepayment of the Repayment Installments at the option
         of the Borrower, in whole, or in part by lot, prior to their maturity
         dates, as follows:

                          (A)     During any Daily Rate Period or Weekly Rate
                 Period, the Bonds shall be subject to such redemption on any
                 Interest Payment Date at a redemption price equal to 100% of
                 the principal amount thereof.

                          (B)     On the day next succeeding the last scheduled
                 day of any Term Rate Period, such Bonds shall be subject to
                 such redemption at a redemption price of 100% of the principal
                 amount thereof.  During any Term Rate Period, the Bonds shall
                 be subject to such redemption during the periods specified
                 below, in whole or in part (by lot), at the redemption prices
                 (expressed as percentages of principal amount) hereinafter
                 indicated (unless different redemption terms shall be
                 specified by the Borrower pursuant to Section
                 II.2.1.(c)(iv)..(B)) together with accrued interest to the
                 date fixed for redemption:

                                       32

<PAGE>
<TABLE>
<S>                                                     <C>
 Length of Term Rate Period                             Redemption Dates and Redemption Prices
--------------------------                              --------------------------------------

greater than 20 years                                   after 10 years at 102%, declining by 1% annually
                                                        to 100%

less than or equal to 20 years and                      after 5 years at 102%, declining by 1% annually
greater than 16 years                                   to 100%

less than or equal to 16 years and                      after 5 years at 102%,  declining by 1% annually
greater than 10 years                                   to 100%

less than or equal to 10 years and                      after 3 years at 102%,  declining by 1% annually greater
than 8 years                                            to 100%

less than or equal to 8 years and greater               after 3 years at 101%,  declining by 1% annually
than 6 years                                            to 100%

less than or equal to 6 years and greater               after 2 years at 101%,  declining by 1% annually
than 4 years                                            to 100%

less than or equal to 4 years and greater               after 2 years at 101%, declining by 1% annually
than 2 years                                            to 100%

less than or equal to 2 years and greater               after 1 year at 100%
than 1 year

1 year or less                                          only on day next succeeding last day of period at 100%

</TABLE>

                          The Borrower shall have the option to cause the Rate
                 Period for the Bonds to change on any date on which the Bonds
                 are subject to redemption as provided above, in which event
                 the Bonds shall be subject to mandatory tender at the
                 applicable price set forth above, as provided in Sections
                 IV.4.7.(a)..(1) and IV.4.7.(b).

                 (b)      Redemption Upon Mandatory Prepayment.  The Bonds
         shall be subject to redemption from amounts which are required to be
         prepaid by the Borrower under Section 7.3 of the Agreement, as set
         forth below.

                          (1)     The Bonds shall be redeemed in whole on any
                 date at a redemption price equal to 100% of the principal
                 amount thereof, plus interest accrued to the redemption date,
                 upon the occurrence of a Determination of Taxability;
                 provided, however, that if, in the opinion of Bond Counsel
                 delivered to the Trustee, the redemption of a specified
                 portion of such Bonds Outstanding would have the result that
                 interest payable on such Bonds remaining Outstanding after
                 such redemption would remain Tax-Exempt, then such Bonds shall
                 be redeemed in part by lot (in Authorized Denominations), in
                 such amount as Bond Counsel in such opinion shall have
                 determined is necessary to accomplish that result.

                          (2)     The Bonds shall be redeemed in whole at a
                 redemption price equal to 100% of the principal amount
                 thereof, plus accrued interest to the redemption date, in the
                 event that as a result of any changes in the

                                       33

<PAGE>

         Constitution of the United States of America or the State or as a
         result of any legislative, judicial or administrative action, the
         Agreement shall have become void or unenforceable or impossible of
         performance in accordance with the intention and purposes of the
         parties thereto, or shall have been declared unlawful.

                          (3)     The Bonds shall be redeemed in whole at a
                 redemption price equal to the principal amount thereof plus
                 accrued interest to the redemption date in the event that at
                 least thirty-five (35) days prior to the expiration of any
                 Credit Facility then in effect with respect to the Bonds
                 (other than a Permitted Termination or an expiration of the
                 Credit Facility at the maturity of the Bonds) the Trustee
                 shall not have received (a) a renewal or extension of the
                 existing Credit Facility for a period of at least one (1) year
                 (or, if shorter, the period to maturity of the Bonds) or (b) a
                 substitute Credit Facility meeting the requirements of Section
                 4.6 of the Agreement.  Such redemption shall occur on the last
                 Business Day which is not less than five (5) calendar days
                 preceding the expiration date of the Credit Facility then in
                 effect.

         Section 4.2.     Selection of Bonds for Redemption.  If fewer than all
of the Bonds are called for redemption, the Trustee shall select the Bonds or
any given portion thereof to be redeemed, first from the Outstanding Credit
Provider Bonds or such portion thereof not previously called for redemption, by
lot in such manner as it may determine, until all Credit Provider Bonds shall
have been redeemed, and then from the Outstanding Bonds or such given portion
thereof not previously called for redemption, by lot.  For the purpose of any
such selection the Trustee shall assign a separate number for each minimum
Authorized Denomination of each Bond of a denomination of more than such
minimum; provided that following any such selection, both the portion of such
Bond to be redeemed and the portion remaining shall be in Authorized
Denominations.  The Trustee shall promptly notify the County and the Borrower
in writing of the numbers of the Bonds or portions thereof so selected for
redemption.  Notwithstanding the foregoing, if less than all of the Bonds are
to be redeemed at any time while the Bonds are Book-Entry Bonds, selection of
the Bonds to be redeemed shall be made in accordance with customary practices
of DTC or the applicable successor depository, as the case may be.

         Section 4.3.     Notice of Redemption.  The Trustee, for and on behalf
of the County, shall give notice of any redemption by first class mail, postage
prepaid, not less than thirty (30) nor more than sixty (60) days prior to the
redemption date, to (i) the registered owner of such Bond at the address shown
on the registration books of the Registrar on the date such notice is mailed;
(ii) the Securities Depositories; (iii) the Credit Provider, if any; (iv) one
or more Information Services; (v) the Remarketing Agent, if any, and (vi) the
Municipal Securities Rulemaking Board, each NRMSIR and the SID.  Notice of
redemption to the Securities Depositories, the Information Services, each
NRMSIR and the SID shall be given by telecopy confirmed by first class mail.
Each notice of redemption shall state the date of such notice, the date of
issue of the Bonds to be redeemed, the redemption date, the redemption price,
the place of

                                       34
 <PAGE>

redemption (including the name and appropriate address or addresses of the
Paying Agent), the source of the funds to be used for such redemption, the
principal amount, the CUSIP numbers (if any) of the Bonds to be redeemed and,
if less than all, the distinctive certificate numbers of the Bonds to be
redeemed and, in the case of Bonds to be redeemed in part only, the respective
portions of the principal amount thereof to be redeemed.  Each such notice
shall also state that the interest on the Bonds designated for redemption shall
cease to accrue from and after such redemption date and that on said date there
will become due and payable on each of said Bonds the principal amount thereof
to be redeemed, interest accrued thereon, if any, to the redemption date and
the premium, if any, thereon (such premium to be specified) and shall require
that such Bonds be then surrendered at the address or addresses of the Paying
Agent specified in the redemption notice.  Notwithstanding the foregoing,
failure by the Trustee to give notice pursuant to this paragraph to the Credit
Provider or the Remarketing Agent or any one or more of the Information
Services or the Securities Depositories or Municipal Securities Rulemaking
Board, the NRMSIRs or the SID or the insufficiency of any such notices shall
not affect the sufficiency of the proceedings for redemption.  Failure to mail
the notices required by this paragraph to any registered owner of any Bonds
designated for redemption, or any defect in any notice so mailed, shall not
affect the validity of the proceedings for redemption of any other Bonds and
shall not extend the period for making elections or in any way change the
rights of the holders of the Bonds to elect to have their Bonds purchased as
provided herein.

         With respect to any notice of optional redemption of Bonds pursuant to
Section IV.4.1.(a), unless upon the giving of such notice such Bonds shall be
deemed to have been paid within the meaning of Article X hereof, such notice
shall state that such redemption shall be conditional upon the receipt by the
Trustee on or prior to the date fixed for such redemption of Available Amounts
sufficient to pay the principal of, and premium, if any, and interest on, such
Bonds to be redeemed, and that if such Available Amounts shall not have been so
received said notice shall be of no force and effect and the County shall not
be required to redeem such Bonds.  In the event that such notice of redemption
contains such a condition and such Available Amounts are not so received, the
redemption shall not be made and the Trustee shall within a reasonable time
thereafter give notice, to the persons and in the manner in which the notice of
redemption was given, that such Available Amounts were not so received.

         If upon the expiration of sixty (60) days succeeding any redemption
date, any Bonds called for redemption shall not have been presented to the
Trustee for payment, the Trustee shall no later than ninety (90) days following
such redemption date send Notice by Mail to the holder of each Bond not so
presented.  Failure to mail the notices required by this paragraph to any
holder of a Bond, or any defect in any notice so mailed, shall not affect the
validity of the proceedings for redemption of any Bonds nor impose any
liability on the Trustee.

         Section 4.4.     Partial Redemption of Bonds.  Upon surrender of any
Bond redeemed in part only, the Registrar shall exchange the Bond redeemed for
a new Bond of like tenor and in an Authorized Denomination without charge to
the holder in the

                                      35
 <PAGE>

principal amount of the portion of the Bond not redeemed.  In the event of any
partial redemption of a Bond which is registered in the name of the Nominee,
DTC may elect to make a notation on the Bond certificate which reflects the
date and amount of the reduction in principal amount of said Bond in lieu of
surrendering the Bond certificate to the Registrar for exchange.  The County,
the Trustee and the Registrar shall be fully released and discharged from all
liability upon, and to the extent of, payment of the redemption price for any
partial redemption and upon the taking of all other actions required hereunder
in connection with such redemption.

         Section 4.5.     Effect of Redemption.  Notice of redemption having
been duly given as aforesaid, and moneys for payment of the redemption price
being held by the Trustee, the Bonds so called for redemption shall, on the
redemption date designated in such notice, become due and payable at the
redemption price specified in such notice, interest on the Bonds so called for
redemption shall cease to accrue, said Bonds shall cease to be entitled to any
lien, benefit or security under this Indenture, and the holders of said Bonds
shall have no rights in respect thereof except to receive payment of the
redemption price thereof (including interest, if any, accrued to the redemption
date), without interest accrued on any funds held after the redemption date to
pay such redemption price.

         All Bonds fully redeemed pursuant to the provisions of this Article IV
shall upon surrender thereof be cancelled by the Trustee, who shall deliver a
certificate evidencing such cancellation to the County and the Borrower.  The
Trustee may retain or destroy such Bonds.

         Section 4.6.     Holder's Option to Tender for Purchase.

                 (a)      During any Daily Rate Period, any Bond or portion
         thereof in an Authorized Denomination shall be purchased on any
         Business Day at a purchase price equal to 100% of the principal amount
         thereof plus accrued interest from the Interest Payment Date next
         preceding the Purchase Date to the Purchase Date (unless the Purchase
         Date shall be an Interest Payment Date, in which case the purchase
         price shall be equal to the principal amount thereof), payable in
         immediately available funds, upon (A) delivery by the holder or
         Beneficial Owner of such Bond to the Tender Agent at its Principal
         Office, by no later than 11:00 a.m. (New York City time) on such
         Business Day, of an irrevocable written, telephonic or Electronic
         notice which states the principal amount of such Bond to be tendered
         for purchase and the Purchase Date, and (B) delivery of such Bond
         tendered for purchase to the Tender Agent on the Purchase Date in
         accordance with Section IV.4.8 hereof.  The Tender Agent shall keep a
         written record of the notice described in clause (A).

                 (b)      During any Weekly Rate Period, any Bond or portion
         thereof in an Authorized Denomination shall be purchased on any
         Business Day at a purchase price equal to 100% of the principal amount
         thereof plus accrued interest from the Interest Payment Date next
         preceding the Purchase Date to the

                                       36
<PAGE>

         Purchase Date (unless the Purchase Date shall be an Interest Payment
         Date, in which case the purchase price shall be equal to the principal
         amount thereof), payable in immediately available funds, upon (A)
         delivery by the holder or Beneficial Owner of such Bond to the Tender
         Agent at its Principal Office of an irrevocable notice by telephone
         (promptly confirmed in writing) or written or Electronic notice by
         5:00 p.m. (New York City time) on any Business Day at least seven (7)
         days prior to the Purchase Date, which states the principal amount of
         such Bond to be tendered for purchase and the Purchase Date, and (B)
         delivery of such Bond to the Tender Agent on the Purchase Date in
         accordance with Section IV.4.8 hereof.  The Tender Agent shall keep a
         written record of the notice described in clause (A).

                 (c)      Any Bond or portion thereof in an Authorized
         Denomination shall be purchased on the first day of any Term Rate
         Period which is preceded by a Term Rate Period of the same duration at
         a purchase price equal to 100% of the principal amount thereof plus
         accrued interest from the Interest Payment Date next preceding the
         Purchase Date to the Purchase Date (unless the Purchase Date shall be
         an Interest Payment Date, in which case the purchase price shall be
         equal to the principal amount thereof), payable in immediately
         available funds, upon (A) delivery by the holder or Beneficial Owner
         of such Bond to the Tender Agent at its Principal Office of an
         irrevocable notice by telephone (promptly confirmed in writing) or
         written or Electronic notice by 5:00 p.m.  (New York City time) on any
         Business Day at least fifteen (15) days prior to the Purchase Date,
         which states the principal amount of such Bond to be tendered for
         purchase and the Purchase Date, and (B) delivery of such Bond to the
         Tender Agent on the Purchase Date in accordance with Section IV.4.8
         hereof.  The Tender Agent shall keep a written record of the notice
         described in clause (A).

                 (d)      If any Bond is to be purchased in part pursuant to
         (a), (b) or (c) above, the amount so purchased and the amount not so
         purchased must each be an Authorized Denomination.

                 (e)      Any instrument delivered to the Tender Agent in
         accordance with this Section IV.4.6 shall be irrevocable with respect
         to the purchase for which such instrument was delivered and shall be
         binding upon any subsequent Bondholder or Beneficial Owner of the Bond
         to which it relates, including any Bond issued in exchange therefor or
         upon the registration of transfer thereof, and as of the date of such
         instrument, the holder or Beneficial Owner of the Bonds specified
         therein shall not have any right to optionally tender for purchase
         such Bonds prior to the date of purchase specified in such notice.
         The Tender Agent may conclusively assume that any person (other than a
         holder) providing notice of optional tender pursuant to (a), (b) or
         (c) above is the Beneficial Owner of the Bond to which such notice
         relates, and the Tender Agent shall assume no liability in accepting
         such notice from any person whom it reasonably believes to be a
         Beneficial Owner of Bonds.

                                       37
<PAGE>

         Section 4.7.     Mandatory Tender for Purchase.

                 (a)      The Bonds shall be subject to mandatory tender for
         purchase prior to their stated maturity, in whole, at a purchase price
         equal to 100% of the principal amount thereof, plus accrued interest
         to the Purchase Date described below, upon the occurrence of any of
         the events stated below:

                          (1)     as to any Bond, on the effective date of any
                 change in a Rate Period for such Bond, other than (A) the
                 effective date of any change from a Daily Rate Period to a
                 Weekly Rate Period or from a Weekly Rate Period to a Daily
                 Rate Period or (B) the effective date of any Term Rate Period
                 which was preceded by a Term Rate Period of the same duration;
                 or

                          (2)     as to all Bonds, on the effective date of any
                 Credit Facility which may be provided with respect to the
                 Bonds pursuant to Section 4.6(d) of the Agreement or of any
                 substitute Credit Facility provided with respect to the Bonds
                 pursuant to Section 4.6(c) of the Agreement or upon any
                 Permitted Termination of any Credit Facility with respect to
                 the Bonds.

                 (b)      In the event that the Borrower elects to change the
         Rate Period with respect to the Bonds during a Term Rate Period or to
         provide, substitute or terminate a Credit Facility during a Term Rate
         Period and thereby causes a mandatory tender of such Bonds as provided
         in Sections IV.4.7.(a)..(1) or IV.4.7.(a)..(2), as the case may be,
         the Bonds shall be purchased on the applicable mandatory tender date
         at a purchase price equal to the principal amount thereof plus an
         amount equal to any premium which would have been payable on such day
         had the Borrower directed redemption of the Bonds pursuant to Section
         IV.4.1.(a)..(2)(B) hereof.

                 (c)      The Trustee shall give notice by first class mail of
         the provision of any Credit Facility with respect to the Bonds (other
         than the Credit Facility in effect on the date of issuance of the
         Bonds), the provision of any substitute Credit Facility with respect
         to the Bonds and the Permitted Termination of any Credit Facility with
         respect to the Bonds to the holders of the Bonds at their addresses
         shown on the registration books kept by the Registrar, not later than
         the fifteenth day (thirtieth day if the then current Rate Period is a
         Term Rate Period) prior to the date on which the Bonds are subject to
         mandatory tender pursuant to Section IV.4.7.(a)..(2), which notice
         shall (i) state the date of such provision, substitution or Permitted
         Termination; and (ii) state that such Bonds shall be subject to
         mandatory tender for purchase on the effective date of such provision,
         substitution or Permitted Termination in accordance with Section
         IV.4.7.(a)..(2) hereof.

         Section 4.8.     Delivery of Tendered Bonds.  With respect to any
Book-Entry Bond, delivery of such Bond to the Tender Agent in connection with
any optional or

                                       38
 <PAGE>

mandatory tender pursuant to Sections IV.4.6 or IV.4.7 hereof shall be effected
by the making of, or the irrevocable authorization to make, appropriate entries
on the books of DTC or any DTC Participant to reflect the transfer of the
beneficial ownership interest in such Bond to the account of the Tender Agent,
or to the account of a DTC Participant acting on behalf of the Tender Agent.
With respect to any Bond which is not a Book-Entry Bond, delivery of such Bond
to the Tender Agent in connection with any optional or mandatory tender
pursuant to Sections IV.4.6 or IV.4.7 hereof shall be effected by physical
delivery of such Bond to the Tender Agent at its Principal Office, by 1:00 p.m.
(New York City time) on the Purchase Date, accompanied by an instrument of
transfer thereof, in a form satisfactory to the Tender Agent, executed in blank
by the holder thereof with the signature of such holder guaranteed in
accordance with the guidelines set forth by one of the nationally recognized
medallion signature programs.

         Section 4.9.     Bonds Deemed Purchased.

                 (a)      If moneys sufficient to pay the purchase price of
         Bonds to be purchased pursuant to Sections IV.4.6 or IV.4.7 shall be
         held by the Tender Agent on the date such Bonds are to be purchased,
         such Bonds shall be deemed to have been purchased for all purposes of
         this Indenture, irrespective of whether or not such Bonds shall have
         been delivered to the Tender Agent, and neither the former holder of
         such Bonds nor any other person shall have any claim thereon, under
         this Indenture or otherwise, for any amount other than the purchase
         price thereof.

                 (b)      In the event of non-delivery of any Bond to be
         purchased pursuant to Sections IV.4.6 or IV.4.7 hereof, the Tender
         Agent shall segregate and hold uninvested the moneys for the purchase
         price of such Bonds in trust, without liability for interest thereon,
         for the benefit of the former holders of such Bonds, who shall, except
         as provided in the following sentence, thereafter be restricted
         exclusively to such moneys for the satisfaction of any claim for the
         purchase price of such Bonds.  Any moneys which the Tender Agent shall
         segregate and hold in trust for the payment of the purchase price of
         any Bond and remaining unclaimed for two (2) years after the date of
         purchase shall be paid, upon the Borrower's written request, to the
         Borrower.  After the payment of such unclaimed moneys to the Borrower,
         the former holder of such Bond shall look only to the Borrower for the
         payment thereof.

         Section 4.10.    Bond Purchase Fund.  There shall be created and
established with the Tender Agent a trust fund designated the "Tooele County,
Utah Pollution Control Refunding Revenue Bonds (Laidlaw Environmental Services,
Inc.) 1997 Series A Bond Purchase Fund" (the "Bond Purchase Fund").  There
shall also be created and established three separate accounts in the Bond
Purchase Fund designated the "Remarketing Account", the "Credit Facility
Purchase Account" and the "Borrower Account".

                 (a)      Remarketing Account.  All moneys received by the
         Tender Agent on behalf of purchasers of Bonds pursuant to Section
         IV.4.13 hereof, other than

                                       39
 <PAGE>

         the County, the Borrower or any affiliate of the Borrower, shall be
         (i) deposited in the Remarketing Account within the Bond Purchase
         Fund, (ii) held in trust in accordance with the provisions hereof and
         (iii) paid out in accordance with Section IV.4.14 hereof.

                 (b)      Credit Facility Purchase Account.  All moneys
         received by the Tender Agent as payments under any Credit Facility for
         the purchase of Bonds shall be (i) deposited in the Credit Facility
         Purchase Account within the Bond Purchase Fund, (ii) held in trust in
         accordance with the provisions hereof and (iii) paid out in accordance
         with Section IV.4.14 hereof.

                 (c)      Borrower Account.  All moneys received by the Tender
         Agent from the Borrower for the purchase of Bonds pursuant to Section
         IV.4.13 hereof shall be (i) deposited in the Borrower Account within
         the Bond Purchase Fund, (ii) held in trust in accordance with the
         provisions hereof and (iii) paid out in accordance with Section
         IV.4.14 hereof.

                 The funds held by the Tender Agent in the Bond Purchase Fund
         shall not be considered Revenues as that term is defined herein and
         shall not constitute part of the trust estate that is subject to the
         lien of this Indenture.  The moneys in the Bond Purchase Fund shall be
         used solely to pay the purchase price of Bonds as provided herein (or
         to reimburse the Credit Provider, if any, for payments made under the
         Credit Facility for such purpose) and may not be used for any other
         purposes.  All amounts held in the Bond Purchase Fund and the Credit
         Facility Purchase Account, Remarketing Account and Borrower Account
         therein shall be held in trust by the Tender Agent for the benefit of
         the holders of tendered Bonds (provided that any amounts held in a
         Remarketing Account which are derived from the remarketing of Credit
         Provider Bonds shall be held in trust for the benefit of the Credit
         Provider).

         Section 4.11.    Deposit of Bonds.  The Tender Agent agrees to accept
and hold all Bonds delivered to it pursuant to this Indenture in trust for the
benefit of the respective Bondholders which shall have so delivered such Bonds
until the purchase price of such Bonds shall have been delivered to or for the
account of or to the order of such holders pursuant to Section IV.4.12 hereof.
Any Bonds registered for transfer to new purchasers and delivered to the Tender
Agent as described in Section IV.4.14 hereof shall be held in trust by the
Tender Agent for the benefit of such new purchasers until delivery to such new
purchasers.

         Section 4.12.    Remarketing of Tendered Bonds.

                 (a)      Daily Put Bonds.

                          (i)     Promptly upon receipt, and, in any event not
                 later than 11:05 a.m. (New York City time) on each Business
                 Day on which the Tender Agent receives a notice from a
                 Bondholder pursuant to

                                       40
 <PAGE>

                 Section IV.4.6.(a) hereof, the Tender Agent shall give notice
                 by telephone to the Remarketing Agent, the Trustee and the
                 Registrar, specifying the principal amount of Bonds for which
                 it has received such notice (the "Daily Put Bonds"), the names
                 of the holder or holders thereof and the Purchase Date
                 for such Daily Put Bonds.

                          (ii)    Not later than 11:30 a.m. (New York City
                 time) on the Purchase Date with respect to Daily Put Bonds,
                 the Trustee shall give notice by telephone to the Remarketing
                 Agent, the Tender Agent and the Registrar of the accrued
                 amount of interest payable as of such Purchase Date on, and
                 confirming the aggregate principal amount of, such Daily Put
                 Bonds.  The Remarketing Agent shall thereupon offer for sale
                 and use its best efforts to find purchasers for all such Daily
                 Put Bonds.

                          (iii)   Not later than 12:30 p.m. (New York City
                 time) on any Purchase Date with respect to Daily Put Bonds,
                 the Remarketing Agent shall give (A) Electronic notice or
                 notice by telecopy, telephone, telegram, telex or by other
                 similar communication to the Tender Agent, the Trustee and the
                 Registrar of the principal amount of Daily Put Bonds which
                 have been remarketed in accordance with the Remarketing
                 Agreement and (B) if any Daily Put Bonds have not been
                 remarketed, Electronic notice or notice by telecopy,
                 telephone, telegram, telex, or other similar communication to
                 the Borrower and the Trustee (which shall promptly thereafter
                 notify the Credit Provider, if any) of the principal amount of
                 the Daily Put Bonds which have not been remarketed.

                          (iv)    If the Remarketing Agent's notice pursuant to
                 subparagraph (iii) above indicates that the Remarketing Agent
                 has remarketed less than all the Daily Put Bonds to be
                 purchased on any Purchase Date, the Trustee shall demand
                 payment under the Credit Facility, if any, then in effect by
                 12:45 p.m.  (New York City time) on such Purchase Date so as
                 to provide by 2:45 p.m. (New York City time) on such Purchase
                 Date an amount sufficient, together with the remarketing
                 proceeds to be available for such purchase, calculated solely
                 on the basis of the notice given by the Remarketing Agent
                 pursuant to subparagraph (iii) above, to pay the purchase
                 price of the Daily Put Bonds.  The Trustee shall immediately
                 give notice by telephone to the Tender Agent and the Borrower
                 of the amount, if any, of such draw.

                 (b)      Weekly Put Bonds and Term Put Bonds.

                          (i)     Not later than 10:30 a.m. (New York City
                 time) on each Business Day succeeding a day on which the
                 Tender Agent receives a notice from a holder of Bonds to be
                 tendered pursuant to Section IV.4.6.(b) hereof (the "Weekly
                 Put Bonds") or Section IV.4.6.(c) hereof (the "Term Put
                 Bonds"), the Tender Agent shall give notice by

                                       41
 <PAGE>

                 telephone to the Remarketing Agent, the Trustee and the
                 Registrar, specifying the principal amount of Bonds for which
                 it has received such notice (such amount, together with the
                 accrued amount of interest payable to but excluding the
                 Purchase Date on such Bonds, being the purchase price of such
                 Bonds), the names of the holder or holders thereof and the
                 Purchase Date for such Weekly Put Bonds or Term Put Bonds.  The
                 Remarketing Agent shall thereupon offer for sale and use
                 its best efforts to find purchasers for such Weekly Put Bonds
                 or Term Put Bonds, as the case may be.

                          (ii)    Not later than 11:00 a.m. (New York City
                 time) on the Business Day immediately preceding the Purchase
                 Date described in subparagraph (i) above, the Trustee shall
                 give notice by telephone to the Remarketing Agent, the Tender
                 Agent and the Registrar of the accrued amount of the interest
                 payable as of such Purchase Date, and confirming the aggregate
                 principal amount of, the Weekly Put Bonds or Term Put Bonds.

                          (iii)   Not later than 12:30 p.m. (New York City
                 time) on any Purchase Date with respect to Weekly Put Bonds or
                 Term Put Bonds, the Remarketing Agent shall give (A)
                 Electronic notice or notice by telecopy, telephone, telegram,
                 telex or by other similar communication to the Tender Agent,
                 the Trustee and the Registrar of the principal amount of
                 Weekly Put Bonds or Term Put Bonds which have been remarketed
                 in accordance with the Remarketing Agreement and (B) if any
                 Weekly Put Bonds or Term Put Bonds have not been remarketed,
                 Electronic notice or notice by, telecopy, telephone, telegram,
                 telex or by other similar communication to the Borrower and
                 the Trustee (which shall promptly thereafter notify the Credit
                 Provider, if any) of the principal amount of such Bonds which
                 have not been remarketed.

                          (iv)    If the Remarketing Agent's notice pursuant to
                 subparagraph (iii) above indicates that the Remarketing Agent
                 has remarketed less than all the Weekly Put Bonds or Term Put
                 Bonds to be purchased on any Purchase Date, the Trustee shall
                 demand payment under the Credit Facility, if any, then in
                 effect by 12:45 p.m. (New York City time) on such Purchase
                 Date so as to provide by 2:45 p.m.  (New York City time) on
                 such Purchase Date an amount sufficient, together with the
                 remarketing proceeds to be available for such purchase,
                 calculated solely on the basis of the notice given by the
                 Remarketing Agent pursuant to subparagraph (iii) above, to pay
                 the purchase price of the Weekly Put Bonds or Term Put Bonds,
                 as the case may be.  The Trustee shall immediately after such
                 demand for payment give notice by telephone to the Tender
                 Agent and the Borrower of the amount, if any, of such demand.

                                       42
<PAGE>

                 (c)      Mandatory Tender Bonds.

                          (i)     Not later than 9:30 a.m. (New York City time)
                 on each Purchase Date occurring pursuant to Section IV.4.7
                 hereof, the Tender Agent shall give notice by telephone to the
                 Remarketing Agent, the Trustee and the Registrar specifying
                 the principal amount of all Outstanding Bonds which are
                 subject to mandatory tender on such Purchase Date pursuant to
                 Section IV.4.7 hereof (the "Mandatory Tender Bonds") (such
                 amount, together with the accrued amount of interest payable
                 to but excluding the Purchase Date on the Mandatory Tender
                 Bonds, being the purchase price of such Mandatory Tender
                 Bonds) and the names of the registered owner or owners
                 thereof.  The Remarketing Agent shall thereupon offer for sale
                 and use its best efforts to find purchasers for such Mandatory
                 Tender Bonds.

                          (ii)    Not later than 10:00 a.m. (New York City
                 time) on each Purchase Date described in subparagraph (i)
                 above, the Trustee shall give notice by telephone to the
                 Remarketing Agent, the Tender Agent and the Registrar of the
                 accrued amount of the interest payable as of the Purchase Date
                 specified in such notice from the Tender Agent on, and
                 confirming the aggregate principal amount of, the Mandatory
                 Tender Bonds.

                          (iii)   Not later than 12:30 p.m. (New York City
                 time) on any Purchase Date with respect to Mandatory Tender
                 Bonds, the Remarketing Agent shall give (A) Electronic notice
                 or notice by telecopy, telephone, telegram, telex or by other
                 similar communication to the Tender Agent, the Trustee and the
                 Registrar of the principal amount of Mandatory Tender Bonds
                 which have been remarketed in accordance with the Remarketing
                 Agreement and (B) if any Mandatory Tender Bonds have not been
                 remarketed, Electronic notice or notice by telecopy,
                 telephone, telegram, telex or by other similar communication
                 to the Borrower and the Trustee (which shall promptly
                 thereafter notify the Credit Provider, if any) of the
                 principal amount of the Mandatory Tender Bonds which have not
                 been remarketed.

                          (iv)    If the Remarketing Agent's notice pursuant to
                 subparagraph (iii) above indicates that such Remarketing Agent
                 has remarketed less than all the Mandatory Tender Bonds to be
                 purchased on such Purchase Date, the Trustee shall demand
                 payment under the Credit Facility, if any, then in effect by
                 12:45 p.m. (New York City time) on such Purchase Date so as to
                 provide by 2:45 p.m. (New York City time) on such Purchase
                 Date an amount sufficient, together with the remarketing
                 proceeds to be available for such purchase, calculated solely
                 on the basis of the notice given by the Remarketing Agent
                 pursuant to subparagraph (iii) above, to pay the purchase
                 price of the Mandatory Tender Bonds.  The Trustee shall

                                      43
<PAGE>

                 immediately after such demand for payment give notice to
                 the Tender Agent and the Borrower of the amount, if any, of
                 such demand.

                          (v)     If no Credit Facility is then in effect with
                 respect to the Bonds and the Remarketing Agent's notice
                 pursuant to subparagraph (iii) above indicates that the
                 Remarketing Agent has remarketed less than all such Mandatory
                 Tender Bonds to be purchased on any Purchase Date, the Tender
                 Agent shall immediately (but in no event later than 12:45 p.m.
                 (New York City time)) give notice by telephone to the Borrower
                 specifying the principal amount and the purchase price of such
                 Mandatory Tender Bonds not so remarketed and requesting the
                 Borrower to deposit with the Tender Agent by 2:45 p.m. (New
                 York City time) on such Purchase Date an amount sufficient to
                 pay that portion of the purchase price of such Mandatory
                 Tender Bonds not so remarketed, such notice to be confirmed
                 immediately by telecopy to the Borrower.

                 (d)      Limitation.  If a Credit Facility is in effect with
         respect to the Bonds, the Remarketing Agent shall not remarket any
         tendered Bonds to the County, the Borrower or any affiliate of the
         Borrower.

         Section 4.13.    Deposits into Remarketing Accounts and Borrower
Accounts.

                 (a)      The terms of any sale by the Remarketing Agent of
         tendered Bonds shall provide for the payment of the purchase price for
         tendered Bonds by the Remarketing Agent to the Tender Agent for
         deposit in the Remarketing Account of the Bond Purchase Fund in
         immediately available funds at or before 2:45 p.m. (New York City
         time) on the Purchase Date.  The Remarketing Agent shall cause to be
         paid to the Tender Agent on each Purchase Date for tendered Bonds all
         amounts representing proceeds of the remarketing of such Bonds, based
         upon the notice given by the Remarketing Agent pursuant to Section
         IV.4.12.(a)(iii), IV.4.12.(b)(iii) or IV.4.12.(c)(iii), as the case
         may be.

                 (b)      Upon receipt of any notice from the Tender Agent
         pursuant to Section IV.4.12.(a), IV.4.12.(b) or IV.4.12.(c) hereof
         that insufficient funds will be on deposit in the Bond Purchase Fund
         to pay tendered bonds, the Borrower shall deliver or cause to be
         delivered to the Trustee immediately available funds in an amount
         equal to such deficiency prior to 2:45 p.m. (New York City time) on
         the Purchase Date.

         Section 4.14.    Disbursements from the Bond Purchase Fund.

                 (a)      Application of Moneys.  Moneys in the Bond Purchase
         Fund (other than the proceeds of any remarketing of Credit Provider
         Bonds which shall be paid to the Credit Provider on the remarketing
         date) shall be applied at or before 3:00 p.m. (New York City time) to
         the purchase of Bonds as provided herein by the Tender Agent, on each
         Purchase Date, as follows:

                                       44
 <PAGE>

                          First -- Moneys constituting funds in the Remarketing
                 Account shall be used by the Tender Agent on any Purchase Date
                 to purchase tendered Bonds at the purchase price.

                          Second -- In the event such moneys in the Remarketing
                 Account on any Purchase Date are insufficient to purchase all
                 tendered Bonds, moneys in the Credit Facility Purchase Account
                 on such Purchase Date shall be used by the Tender Agent at
                 that time to purchase such remaining tendered Bonds at the
                 purchase price thereof.

                          Third -- In the event such moneys in the Remarketing
                 Account and the Credit Facility Purchase Account on any
                 Purchase Date are insufficient to purchase all tendered Bonds,
                 moneys in the Borrower Account on such Purchase Date, if any,
                 shall be used by the Tender Agent at that time to purchase
                 such remaining tendered Bonds at the purchase price thereof.

                 Notwithstanding anything to the contrary in this Section, if
         the Bonds are Book-Entry Bonds, payment of the purchase price for
         tendered Bonds shall be made in accordance with the rules and
         procedures of DTC.

                 (b)      Nondeliveries.  The Tender Agent shall, as to any
         Bonds which have not been delivered to it as required by Section
         IV.4.8 hereof, (i) notify the Remarketing Agent in writing of such
         nondelivery and (ii) direct the Registrar to place a stop transfer
         against an appropriate amount of Bonds registered in the name of the
         holder of such Bonds on the bond registry.  The Registrar shall place
         and maintain such stop transfer commencing with the lowest serial
         number Bond registered in the name of such holder until stop transfers
         have been placed against an appropriate amount of Bonds until the
         appropriate Bonds are delivered to the Registrar.  Upon such delivery,
         the Registrar shall make any necessary adjustments to the bond
         registry.

                 (c)      Limitation.  Notwithstanding anything contained
         herein to the contrary, the Tender Agent shall not use proceeds
         obtained by remarketing any Bonds to the Borrower, any affiliate of
         the Borrower, or the County to pay any portion of the purchase price
         of the tendered Bonds, and no such proceeds shall be deposited in the
         Remarketing Account.

         Section 4.15.    Delivery of Bonds.

                 (a)      If the Bonds are not Book-Entry Bonds, a principal
         amount of Bonds equal to the amount of Bonds successfully remarketed
         by the Remarketing Agent shall be delivered by the Trustee to the
         Tender Agent for registration of transfer to such persons as shall be
         designated by the Remarketing Agent.  Such Bonds shall be held
         available at the office of the Tender Agent and shall be picked up by
         the Remarketing Agent at or after 1:00 p.m. (New York City time) on
         the Purchase Date against delivery of funds for deposit into the
         Remarketing

                                       45
 <PAGE>

         Account of the Bond Purchase Fund equal to the purchase price of such
         Bonds that have been remarketed.  If the Bonds are Book-Entry Bonds,
         transfer of ownership of the remarketed Bonds shall be effected in
         accordance with the procedures of DTC and the DTC Participants against
         delivery of funds for deposit into the Remarketing Account of the Bond
         Purchase Fund equal to the purchase price of such Bonds that have been
         remarketed.

                 (b)      Bonds purchased with funds in the Credit Facility
         Purchase Account of the Bond Purchase Fund shall be delivered and held
         in accordance with Section V.5.7.(c) hereof.  Bonds purchased with
         funds in the Borrower Account of the Bond Purchase Fund shall be
         delivered and held in accordance with the instructions of the Borrower
         furnished to the Tender Agent.  Such Bonds shall be held available for
         registration of transfer and delivery by the Registrar in such manner
         as may be agreed between the Registrar and such Credit Provider or the
         Borrower, as the case may be.

                                       46
 <PAGE>

                                   ARTICLE V

                                    REVENUES

         Section 5.1.     Pledge of Revenues and Credit Facility.

                 (a)      All of the Revenues are hereby irrevocably pledged to
         the punctual payment of the principal of and interest and premium, if
         any, on the Bonds, and Revenues shall not be used for any other
         purpose, except as provided in the last paragraph of Section V.5.2,
         while any of the Bonds remain Outstanding.  Said pledge shall
         constitute a first and exclusive lien on the Revenues for the payment
         of the Bonds in accordance with the terms hereof and thereof.  All
         Revenues shall be held in trust for the benefit of the holders from
         time to time of the Bonds, but shall nevertheless be disbursed,
         allocated and applied solely for the uses and purposes set forth in
         Article IV and this Article V.

                 (b)      Each Credit Facility, if any, provided with respect
         to the Bonds is (to the extent the County has any interest therein)
         hereby irrevocably pledged to the punctual payment of the principal of
         and interest and premium, if any, on such Bonds, and proceeds of any
         drawing on such Credit Facility shall not be used for any other
         purpose.  Said pledge shall constitute a first and exclusive lien in
         favor of the Trustee for the benefit of the holders of the Bonds on
         such Credit Facility and any payments thereunder for the payment of
         the Bonds in accordance with the terms thereof.  Each Credit Facility,
         if any, and any payments thereunder shall be held in trust for the
         benefit of the holders from time to time of the Bonds, but shall
         nevertheless be disbursed, allocated and applied solely for the uses
         and purposes set forth in Article IV and this Article V.

                 (c)      The Borrower may at its sole discretion from time to
         time deliver to the Trustee such additional or other security
         interests permitted by this Indenture or the County to secure the
         payment of the principal of and interest and premium, if any, on the
         Bonds and any such additional or other security delivered by the
         Borrower shall be pledged to such payment, provided that the delivery
         of such additional or other security does not adversely affect the
         Tax-Exempt status of interest on the Bonds.

                 (d)      The Bonds shall not constitute a debt or liability,
         or a pledge of the faith, credit or taxing power, of the State or any
         political subdivisions thereof, but shall be payable solely from the
         funds herein provided therefor.  The issuance of the Bonds shall not
         directly or indirectly or contingently obligate the County, the State
         or any political subdivision thereof to levy or pledge any form of
         taxation whatever therefor or to make any appropriation for their
         payment.

         Section 5.2.     Bond Fund; Credit Facility Debt Service Account.
Upon the receipt thereof, the Trustee shall deposit all Revenues in the "Tooele
County, Utah Pollution Control Refunding Revenue Bonds (Laidlaw Environmental
Services, Inc.)

                                       47
 <PAGE>

1997 Series A Bond Fund," which the Trustee shall establish and maintain and
hold in trust, and which shall be disbursed and applied only as hereinafter
authorized.  Except as provided in this Section, Sections V.5.6 and X.10.3,
moneys in the Bond Fund shall be used solely for the payment of the principal
of and premium, if any, and interest on the Bonds as the same shall become due,
whether at maturity or upon redemption or acceleration or otherwise.

         The Trustee shall deposit in the Bond Fund from time to time, upon
receipt thereof, all amounts received by the Trustee pursuant to any Credit
Facility (except to the extent such amounts are deposited in the Credit
Facility Purchase Account in the Bond Purchase Fund pursuant to Section IV.4.10
hereof or are deposited in an escrow to effect the defeasance of Bonds pursuant
to Article X hereof), all Repayment Installments received by the Trustee from
the Borrower for deposit in the Bond Fund, any income received from the
investment of moneys on deposit in the Bond Fund and any other Revenues,
including insurance proceeds, condemnation awards and other prepayment amounts
received under the Agreement from or for the account of the Borrower.

         Within the Bond Fund, the Trustee shall establish and maintain a
separate account designated as the "Credit Facility Debt Service Account".
Except to the extent payments under any Credit Facility provided with respect
to the Bonds are to be deposited in the Credit Facility Purchase Account in the
Bond Purchase Fund pursuant to Section IV.4.10 hereof or are to be deposited in
an escrow to effect the defeasance of Bonds pursuant to Article X hereof, such
payments shall be deposited in the Credit Facility Debt Service Account to pay
principal of, premium, if any and interest on the Bonds.  Except as otherwise
provided in this Section and Sections V.5.6 and VII.7.3 hereof, amounts held in
the Credit Facility Debt Service Account shall be used and applied solely to
the payment of the principal of, premium, if any, and interest on the Bonds.

         In making payments of principal of, premium, if any, and interest on
the Bonds, the Trustee shall (a) first use all  amounts held in the Credit
Facility Debt Service Account, (b) then use all other Available Amounts held in
the Bond Fund, and (c) then use any other Revenues received by the Trustee.

         The stated amount of each Credit Facility shall be unavailable for the
payment of principal of and interest on Credit Provider Bonds, it being the
intent of the parties hereto that, so long as such Credit Facility is in
effect, principal of and interest on Credit Provider Bonds shall be payable
solely from the following sources, in the following priority:  (1) amounts paid
by the Borrower to the Trustee for deposit in the Bond Fund, and (2) any other
Revenues available therefor.

         Except to the extent such moneys are required to be held for the
payment of principal of, redemption premium, if any, or interest on the Bonds
then due and payable or to effect the defeasance of Bonds pursuant to Article X
hereof, so long as no Event of Default (or any event which would be an Event of
Default hereunder with the passage of time or the giving of notice) exists
hereunder, on the fifth day after each Interest

                                       48
<PAGE>

Payment Date, the Trustee, unless otherwise instructed by the Borrower, shall
return to the Borrower (free and clear of the pledge and lien of this
Indenture) any moneys then on deposit in the Bond Fund (except any moneys then
on deposit in the Credit Facility Debt Service Account) or shall deposit such
funds in the Rebate Fund if so instructed by the Borrower; provided, however,
that no payment shall be made to the Borrower if the Borrower has any
obligations to a Credit Provider which are then due and payable, as certified
by the Credit Provider to the Trustee.

         Section 5.3.     Trustee Authorized to Take Actions Under the
Agreement.  The County hereby authorizes and directs the Trustee, and the
Trustee hereby agrees, subject to Section VII.7.2 hereof, to take such actions
as the Trustee deems necessary to enforce the Borrower's obligation under the
Agreement to make timely payment of principal of and interest on the Bonds to
the extent payments under any Credit Facility, Bond proceeds and other moneys
in the Bond Fund are not available for such payment in accordance with the
provisions of Section V.5.2 hereof.

         Section 5.4.     Investment of Moneys.  Subject to Section VI.6.6
hereof, any moneys in any of the funds and accounts to be established by the
Trustee pursuant to this Indenture (other than the Bond Purchase Fund and the
Bond Proceeds Fund) shall be invested upon the written direction of the
Borrower signed by an Authorized Borrower Representative (such direction to
specify the particular investment to be made), by the Trustee, if and to the
extent then permitted by law, in Investment Securities.  In the absence of such
written direction, the Trustee shall invest solely in units of a money-market
fund or portfolio restricted to obligations issued by, or guaranteed by the
full faith and credit of, the United States of America which is rated by each
Rating Agency at least as high as the then current rating of such Rating Agency
on the Bonds if such Rating Agency is then rating the Bonds or if the Bonds are
not rated, within the top two rating categories of a nationally recognized
rating service.  Moneys in any fund or account (other than the Bond Purchase
Fund and the Bond Proceeds Fund) shall be invested in Investment Securities
with respect to which payments of principal thereof and interest thereon are
scheduled to be paid or are otherwise payable (including Investment Securities
payable at the option of the holder) not later than the date on which such
moneys will be required by the Trustee.  Available Amounts held in the Bond
Fund and any amounts held in the Bond Proceeds Fund shall be invested only in
Government Obligations maturing or subject to payment at par upon demand of the
holder thereof within thirty (30) days after the acquisition of any such
investment (or on such earlier date as payment thereunder shall be needed
hereunder).

         Notwithstanding the foregoing provisions of this Section V.5.4, any
moneys held in the Bond Purchase Fund and any moneys constituting payments
under any Credit Facility shall be held uninvested unless such moneys are
invested in accordance with Article X hereof to effect the defeasance of Bonds.

         Any interest, profit or loss on any investments of moneys in any fund
or account under this Indenture shall be credited or charged to the respective
funds from which such investments are made.  The Trustee may sell or present
for redemption any obligations

                                       49
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so purchased whenever it shall be necessary in order to provide moneys to meet
any payment, and the Trustee shall not be liable or responsible for any loss,
fee, tax or other charge resulting from any investment, reinvestment or
liquidation hereunder.  Unless otherwise directed by the Borrower, the Trustee
may make any investment permitted under this Section V.5.4 through or with its
own commercial banking or investment departments.

         Section 5.5.     Assignment to Trustee; Enforcement of Obligations.
The County hereby transfers, assigns and sets over to the Trustee all of the
Revenues and any and all rights and privileges it has under the Agreement with
respect to the Bonds, except (i) the County's rights to receive any notices
under this Indenture or the Agreement, (ii) the County's right to receive
payments, if any, with respect to fees, expenses and indemnification and
certain other purposes under Sections 4.2(d), 4.2(e), 6.3, 8.2 and 8.3 of the
Agreement and (iii) the County's rights to give approvals or consents pursuant
to the Agreement, but including, without limitation, the right to collect and
receive directly all of the Revenues and the right to hold and enforce any
security interest, and any Revenues collected or received by the County shall
be deemed to be held, and to have been collected or received, by the County as
the agent of the Trustee, and shall forthwith be paid by the County to the
Trustee.  The Trustee also shall be entitled to take all steps, actions and
proceedings reasonably necessary in its judgment (1) to enforce the terms,
covenants and conditions of, and preserve and protect the priority of its
interest in and under, the Agreement, any Credit Facility and any other
security agreement with respect to the Project or the Bonds, and (2) to assure
compliance with all covenants, agreements and conditions on the part of the
County contained in this Indenture with respect to the Revenues.

         Section 5.6.     Repayment to Borrower or Credit Provider.  When there
are no longer any Bonds Outstanding or provision for payment of the Bonds has
been made in accordance with Article X hereof, and all fees, charges and
expenses of the Trustee, the Registrar, any Tender Agent, any Remarketing Agent
and any Paying Agent have been paid or provided for, payment of the full amount
owing the United States Government, as determined under Section 5.6 of the
Agreement, Section VI.6.6 hereof and the Tax Certificate, all expenses of the
County relating to the Project and this Indenture have been paid or provided
for, and all other amounts payable hereunder and under the Agreement have been
paid, and this Indenture has been discharged and satisfied, the Trustee shall
pay to the Borrower any amounts remaining in any fund established and held
hereunder; provided, however, that any amounts remaining in the Credit Facility
Debt Service Account shall be paid to the Credit Provider when there are no
longer any Bonds Outstanding or provision for payment of such Bonds has been
made in accordance with Article X hereof, regardless of whether all other
amounts payable hereunder or under the Agreement have been paid.

                                       50
 <PAGE>

         Section 5.7.     Credit Facilities; Credit Provider Bonds.

                 (a)      There shall be no initial Credit Facility for the
         Bonds.  The Trustee acknowledges the right of the Borrower at any time
         to provide a substitute Credit Facility with respect to the Bonds or,
         with the consent of the County, to require the Trustee to surrender a
         Credit Facility upon a Permitted Termination of such Credit Facility
         and have no Credit Facility in effect with respect to the Bonds;
         provided, however, that no substitution of a Credit Facility may be
         made with respect to any Bond during any Rate Period unless the Bonds
         would then be permitted to be redeemed at the option of the Borrower
         pursuant to Section IV.4.1.(a)..(2) hereof.  If there shall have been
         delivered to the County and the Trustee (i) a substitute Credit
         Facility and (ii) the opinions and documents required by Section
         4.6(e) of the Agreement, then the Trustee shall accept such Credit
         Facility and, if so directed by the Borrower, upon the effective date
         of such substitute Credit Facility promptly surrender the Credit
         Facility theretofore in effect in accordance with the respective terms
         thereof for cancellation.  In the event that the Borrower elects to
         provide a substitute Credit Facility or elects to terminate a Credit
         Facility, the Bonds shall be subject to mandatory tender as provided
         in Section IV.4.7.(a)..(2) hereof.  If at any time there shall cease
         to be any Bonds Outstanding hereunder which are secured by a Credit
         Facility, or a Credit Facility shall be terminated pursuant to its
         terms, the Trustee shall promptly surrender such Credit Facility in
         accordance with its terms for cancellation.  The Trustee shall comply
         with the procedures set forth in each Credit Facility relating to the
         termination thereof.

                 (b)      The Trustee acknowledges the right of the Borrower,
         in the event that no Credit Facility is in effect with respect to the
         Bonds, to provide a Credit Facility with respect to such Bonds at any
         time upon the terms and conditions specified in Section 4.6(d) of the
         Agreement; provided, however, that no such provision of a Credit
         Facility may be made with respect to any Bond during any Rate Period
         unless the Bonds would then be permitted to be redeemed at the option
         of the Borrower pursuant to Section IV.4.1.(a)..(2) hereof.

                 (c)      In the event that a Credit Facility is in effect with
         respect to the Bonds, the Trustee shall make a demand for payment
         under such Credit Facility subject to and in accordance with its
         terms, in order to receive payment thereunder not later than the time
         payment is due on the Bonds on the following dates in the following
         amounts:

                          (i)     On each Interest Payment Date, in an amount
                 which will be sufficient to pay all interest due and payable
                 on the Outstanding Bonds on such Interest Payment Date;

                          (ii)    On any date fixed for payment (whether by
                 acceleration or otherwise), defeasance or redemption of the
                 Bonds in an amount which, together with amounts demanded for
                 payment pursuant to paragraph (i)

                                       51
<PAGE>

                 above, will be sufficient to pay the amount due on such Bonds,
                 including accrued interest and premium, if any (if a demand
                 for payment is permitted for premium under the terms of such
                 Credit Facility); and

                          (iii)   On each Purchase Date, in an amount
                 sufficient to pay the purchase price of any Bonds tendered or
                 deemed tendered pursuant to this Indenture and which have not
                 been remarketed in accordance with Section IV.4.12 hereof.

         Each such demand for payment shall be made not later than the time
         required by the Credit Facility in order to receive payment thereunder
         not later than the time payment is required to be made to the holders
         of the Bonds pursuant to this Indenture.  The Trustee shall give
         notice of each such demand for payment to the Borrower at the time of
         each such demand.  The proceeds of each such demand shall be deposited
         in the Credit Facility Debt Service Account in the Bond Fund or the
         Credit Facility Purchase Account in the Bond Purchase Fund, as
         appropriate, and used in the order of priority established by Section
         V.5.2 hereof or Section IV.4.14 hereof, as applicable.  At the time of
         making any demand under a Credit Facility pursuant to Section
         V.5.7.(c)(iii) hereof, the Trustee shall direct the Credit Provider to
         pay the proceeds of such demand directly to the Tender Agent for
         deposit in the Credit Facility Purchase Account in the Bond Purchase
         Fund.  The Trustee shall comply with all provisions of each Credit
         Facility in order to realize upon any demand for payment thereunder,
         and will not demand payment under any Credit Facility any amounts for
         payment of:  (i) Credit Provider Bonds; or (ii) Bonds held by the
         County or the Borrower or actually known by the Trustee to be held by
         any affiliate of the Borrower or any nominee of the County unless such
         Credit Facility specifically permits such demand.

                 (d)      Any Bonds purchased with payments made under a Credit
         Facility pursuant to Section V.5.7.(c)(iii) hereof shall be registered
         in the name of, or as otherwise directed by, the Credit Provider and
         delivered to or upon the order of, or as otherwise directed by, such
         Credit Provider; provided, that if such Bonds are Book-Entry Bonds,
         the Trustee shall immediately upon making any demand for payment on a
         Credit Facility pursuant to Section V.5.7.(c)(iii) hereof notify the
         Tender Agent.  Upon receipt of such notice, the Tender Agent shall
         direct DTC to cause any Bonds purchased with the proceeds of such
         demand to be transferred to such account at DTC, as directed by the
         Credit Provider, and such Bonds shall be held in the name of or for
         the account of the Credit Provider or as may be directed by such
         Credit Provider.

                 (e)      Credit Provider Bonds shall be remarketed by the
         Remarketing Agent prior to any other Bonds tendered for purchase
         hereunder, and shall be remarketed in accordance with the terms of the
         Remarketing Agreement.  Upon (i) receipt by the Trustee and the Tender
         Agent of written notification from the Credit Provider that its Credit
         Facility (if any is then in effect) has been fully

                                       52
<PAGE>

         reinstated with respect to principal and interest and (ii) release by
         the Credit Provider of any Credit Provider Bonds which the Remarketing
         Agent has remarketed, such Bonds shall be made available to the
         purchasers thereof and shall no longer constitute Credit Provider
         Bonds for purposes of this Indenture.  The proceeds of any remarketing
         of Credit Provider Bonds shall be paid to the Credit Provider on such
         remarketing date in immediately available funds.

                 (f)      Each of the Trustee and the Tender Agent agrees that
         it will, immediately upon receipt, send to the Credit Provider (by
         telephonic or Electronic notice) a copy of every notice received by it
         hereunder relating to any Credit Provider Bonds.

                 (g)      Notwithstanding anything to the contrary herein or in
         the Bonds, all obligations of the Borrower under or in connection with
         any Credit Agreement (including, without limitation, reimbursement
         obligations of the Borrower to any participating Credit Providers with
         respect to a Credit Facility) shall be governed by the terms of such
         Credit Agreement.

                 (h)      The Trustee shall provide to each Rating Agency then
         rating the Bonds written notice of the extension of any Credit
         Facility in effect with respect to the Bonds.

                                       53
 <PAGE>

                                   ARTICLE VI

                            COVENANTS OF THE COUNTY

         Section 6.1.     Payment of Principal and Interest.  The County shall
punctually pay, but only out of Revenues as herein provided, the principal and
the interest (and premium, if any) to become due in respect of every Bond
issued hereunder at the times and places and in the manner provided herein and
in the Bonds according to the true intent and meaning thereof.  All such
payments shall be made by the Trustee as provided in Section II.2.1.(b).  When
and as paid in full, all Bonds, if any, shall be delivered to the Trustee and
shall forthwith be cancelled by the Trustee, who shall deliver a certificate
evidencing such cancellation to the County and the Borrower.  The Trustee may
retain or destroy such cancelled Bonds.

         Section 6.2.     Extension or Funding of Claims for Interest.  In
order to prevent any accumulation of claims for interest after maturity, the
County shall not, directly or indirectly, extend or assent to the extension of
the time for the payment of any claim for interest on any of the Bonds, and
shall not, directly or indirectly, be a party to or approve any such
arrangement by purchasing or funding such claims or in any other manner.  In
case any such claim for interest shall be extended or funded, whether or not
with the consent of the County, such claim for interest so extended or funded
shall not be entitled, in case of default hereunder, to the benefits of this
Indenture, except subject to the prior payment in full of the principal of all
of the Bonds then Outstanding and of all claims for interest which shall not
have been so extended or funded.

         Section 6.3.     Paying Agents.  The County, with the written approval
of the Trustee and the Borrower, may appoint and at all times have one or more
Paying Agents (which shall meet the qualifications of the Trustee set forth in
Section VIII.8.7 hereof) in such place or places as the Borrower may designate,
for the payment of the principal of, and the interest (and premium, if any) on,
the Bonds.  All provisions of Article VIII hereof which apply to the Trustee
shall also apply to any Paying Agent appointed hereunder.  It shall be the duty
of the Trustee to make such arrangements with any such Paying Agent as may be
necessary to assure, to the extent of the moneys held by the Trustee for such
payment, the prompt payment of the principal of and interest and premium, if
any, on the Bonds presented at either place of payment.  The Paying Agent
initially appointed hereunder is the Trustee.

         Section 6.4.     Preservation of Revenues.  The County shall not waive
any provision of the Agreement or take any action to interfere with or impair
the pledge and assignment hereunder of Revenues and the assignment to the
Trustee of rights under the Agreement, or the Trustee's enforcement of any
rights thereunder, without the prior written consent of the Trustee.  The
Trustee may give such written consent, and may itself take any such action, or
consent to any Amendment, only in accordance with the provisions of Article IX
hereof.

<PAGE>

         Section 6.5.     Compliance with Indenture.  The County shall not
issue, or permit to be issued, any Bonds secured or payable in any manner out
of Revenues in any manner other than in accordance with the provisions of this
Indenture, and shall not suffer or permit any default to occur under this
Indenture, but shall faithfully observe and perform all the covenants,
conditions and requirements hereof.

         Section 6.6.     Arbitrage Covenants; Rebate Fund.

                 (a)      The County covenants with all persons who hold or at
         any time held Bonds that the County will not directly or indirectly
         use the proceeds of any of the Bonds or any other funds of the County
         or permit the use of the proceeds of any of the Bonds or any other
         funds of the County or take or omit to take any other action which
         will cause any of the Bonds to be "arbitrage bonds" or otherwise
         subject to federal income taxation by reason of Sections 103 and 141
         through 150 of the Code and any applicable regulations promulgated
         thereunder.  To that end the County covenants to comply with all
         covenants set forth in the Tax Certificate, which is hereby
         incorporated herein by reference as though fully set forth herein.

                 (b)      The Trustee shall establish and maintain a fund
         separate from any other fund established and maintained hereunder
         designated the "Tooele County, Utah Pollution Control Refunding
         Revenue Bonds (Laidlaw Environmental Services, Inc.) 1997 Series A
         Rebate Fund" (herein called the "Rebate Fund").  Within the Rebate
         Fund, the Trustee shall maintain such accounts as shall be directed by
         the Borrower as necessary in order for the County and the Borrower to
         comply with the terms and requirements of the Tax Certificate.
         Subject to the transfer provisions provided in paragraph (c) below,
         all money at any time deposited in the Rebate Fund shall be held by
         the Trustee in trust, to the extent required to satisfy the Rebate
         Requirement (as defined in the Tax Certificate), for payment to the
         United States Government, and neither the Borrower, the County nor the
         Bondholders shall have any rights in or claim to such moneys.  All
         amounts deposited into or on deposit in the Rebate Fund shall be
         governed by this Section VI.6.6, by Section 5.6 of the Agreement and
         by the Tax Certificate.  The Trustee shall conclusively be deemed to
         have complied with such provisions if it follows the directions of the
         Borrower, including supplying all necessary information requested by
         the Borrower and the County in the manner set forth in the Tax
         Certificate, and shall not be required to take any actions thereunder
         in the absence of written directions from the Borrower.

                 (c)      Upon receipt of the Borrower's written instructions,
         the Trustee shall remit part or all of the balances in the Rebate Fund
         to the United States Government, as so directed.  In addition, if the
         Borrower so directs, the Trustee will deposit moneys into or transfer
         moneys out of the Rebate Fund from or into such accounts or funds as
         directed by the Borrower's written directions.  Any funds remaining in
         the Rebate Fund after redemption and payment of all of the

                                       55
 <PAGE>

         Bonds and payment and satisfaction of any Rebate Requirement shall be
         withdrawn and remitted to the Borrower upon its written request.

                 (d)      Notwithstanding any provision of this Indenture,
         including in particular Article X hereof, the obligation of the
         Borrower to pay the Rebate Requirement to the United States Government
         and to comply with all other requirements of this Section VI.6.6,
         Section 5.6 of the Agreement and the Tax Certificate shall survive the
         defeasance or payment in full of the Bonds.

         Section 6.7.     Other Liens.  So long as any Bonds are Outstanding,
the County shall not create or suffer to be created any pledge, lien or charge
of any type whatsoever upon all or any part of the Revenues, other than the
lien of this Indenture.

         Section 6.8.     Further Assurances.  Whenever and so often as
requested so to do by the Trustee, the County shall promptly execute and
deliver or cause to be executed and delivered all such other and further
instruments, documents or assurances, and promptly do or cause to be done all
such other and further things, as may be necessary or reasonably required in
order to further and more fully vest in the Trustee and the Bondholders all of
the rights, interests, powers, benefits, privileges and advantages conferred or
intended to be conferred upon them by this Indenture and to perfect and
maintain as perfected such rights, interests, powers, benefits, privileges and
advantages.

                                       56
 <PAGE>

                                  ARTICLE VII

                                    DEFAULT

         Section 7.1.     Events of Default; Acceleration; Waiver of Default.
Each of the following events shall constitute an "Event of Default" hereunder:

                 (a)      Failure to make payment of any installment of
         interest upon any Bond after such payment shall have become due and
         payable;

                 (b)      Failure to make due and punctual payment of the
         principal of or premium, if any, on any Bond after such payment shall
         have become due and payable, whether at the stated maturity thereof,
         or upon proceedings for redemption thereof or upon the maturity
         thereof by declaration;

                 (c)      Failure to make payment of the purchase price of any
         Bond after such payment is required to be made pursuant to Section
         IV.4.6 or IV.4.7 hereof;

                 (d)      The occurrence of an "Event of Default" under the
         Agreement, as specified in Section 6.1 thereof, with respect to the
         Bonds;

                 (e)      Default by the County in the performance or
         observance of any other of the covenants, agreements or conditions on
         its part contained in this Indenture or in the Bonds, and the
         continuance of such default for a period of thirty (30) days after
         written notice thereof, specifying such default and requiring the same
         to be remedied, shall have been given to the County, the Borrower and
         the Credit Provider, if any, by the Trustee, or to the County, the
         Borrower, the Credit Provider and the Trustee by the holders of not
         less than twenty-five percent (25%) in aggregate principal amount of
         the Bonds at the time Outstanding;

                 (f)      Receipt by the Trustee from the Credit Provider, if
         any, of a notice as specified in the Credit Facility to the effect
         that such Credit Provider has not been reimbursed for a payment under
         the Credit Facility and stating that the amount available to be drawn
         or otherwise to be provided thereunder to pay interest on the Bonds
         has not been reinstated; or

                 (g)      Receipt by the Trustee from the Credit Provider, if
         any, of a written notice to the effect that an event of default has
         occurred under the Credit Agreement and directing the Trustee to
         declare an Event of Default hereunder.

                 No default specified in (e) above shall constitute an Event of
         Default unless the County, the Borrower and the Credit Provider, if
         any, shall have failed to correct such default within the applicable
         30-day period; provided, however, that if the default shall be such
         that it can be corrected, but cannot be corrected within such period,
         it shall not constitute an Event of Default if corrective action

                                       57
 <PAGE>

         is instituted by the County, the Borrower or the Credit Provider
         within the applicable period and diligently pursued until the default
         is corrected.  With regard to any alleged default concerning which
         notice is given to the Borrower or the Credit Provider under the
         provisions of this Section, the County hereby grants the Borrower and
         the Credit Provider, if any, full authority for the account of the
         County to perform any covenant or obligation the non-performance of
         which is alleged in said notice to constitute a default in the name
         and stead of the County with full power to do any and all things and
         acts to the same extent that the County could do and perform any such
         things and acts and with power of substitution.  Notwithstanding such
         grant, neither the Borrower nor any Credit Provider shall have any
         obligation to cure any default of the County.

                 Upon the occurrence and continuation of an Event of Default
         under Section VII.7.1.(f) or Section VII.7.1.(g) hereof, the Trustee
         shall, and upon the occurrence and continuation of an Event of Default
         under Section VII.7.1.(a), VII.7.1.(b), VII.7.1.(c), VII.7.1.(d) or
         VII.7.1.(e) hereof, the Trustee may, and upon the written request of
         the holders of not less than twenty-five percent (25%) in aggregate
         principal amount of Bonds then Outstanding with the consent of the
         Credit Provider, if any, or upon the written request of the Credit
         Provider, if any, shall, by notice in writing delivered to the
         Borrower and the Credit Provider, if any, with copies of such notice
         being sent to the County, declare the principal of all Bonds then
         Outstanding and the interest accrued thereon immediately due and
         payable, and such principal and interest shall thereupon become and be
         immediately due and payable.  Interest on the Bonds shall cease to
         accrue from and after the date of declaration of any such
         acceleration.  Notwithstanding the foregoing, the Trustee shall not be
         required to take any action upon the occurrence and continuation of an
         Event of Default under Section VII.7.1.(d) or VII.7.1.(e) above until
         a Responsible Officer of the Trustee has actual knowledge of such
         Event of Default.  After any declaration of acceleration under this
         Section VII.7.1 the Trustee shall immediately take such actions as are
         necessary to realize moneys under the Credit Facility, if any, and
         shall declare all indebtedness payable under Section 4.2(a) of the
         Agreement with respect to the Bonds to be immediately due and payable
         in accordance with Section 7.3 of the Agreement and may exercise and
         enforce such rights as exist under the Agreement.

                 The preceding paragraph, however, is subject to the condition
         that if, at any time after the principal of the Bonds shall have been
         so declared due and payable, and before any judgment or decree for the
         payment of the moneys due shall have been obtained or entered as
         hereinafter provided, there shall have been deposited with the Trustee
         a sum which, together with any other amounts then held in the Bond
         Fund, is sufficient to pay all the principal of such Bonds matured
         prior to such declaration and all matured installments of interest (if
         any) upon all the Bonds, and the reasonable expenses (including
         reasonable attorneys' fees) of the Trustee, and any and all other
         defaults actually known to the Trustee (other than in the payment of
         principal of and interest on such Bonds due and

                                       58
 <PAGE>

         payable solely by reason of such declaration) shall have been made
         good or cured to the satisfaction of the Trustee in its sole
         discretion or provision deemed by the Trustee to be adequate shall
         have been made therefor, then, and in every such case, the holders of
         at least a majority in aggregate principal amount of the Bonds then
         Outstanding, by written notice to the County and to the Trustee
         accompanied by the written consent of the Credit Provider, if any, and
         written notice from the Credit Provider, if any, that the Credit
         Facility has been reinstated in full, may, on behalf of the holders of
         all Bonds, rescind and annul such declaration with respect to the
         Bonds and its consequences and waive such default; provided that no
         such rescission and annulment shall extend to or shall affect any
         subsequent default, or shall impair or exhaust any right or power
         consequent thereon.

         Section 7.2.     Institution of Legal Proceedings by Trustee.  In
addition, if one or more of the Events of Default hereunder shall happen and be
continuing, the Trustee in its sole discretion may, and upon the written
request of the Credit Provider, if any, or the holders of a majority in
aggregate principal amount of the Bonds then Outstanding with the consent of
the Credit Provider, if any, and upon being indemnified to its satisfaction in
its sole discretion therefor (including with respect to any expenses or
liability the Trustee may incur) shall, proceed to protect or enforce its
rights or the rights of the holders of Bonds under the Act or under this
Indenture, by a suit in equity or action at law, either for the specific
performance of any covenant or agreement contained herein, or in aid of the
execution of any power herein granted, or by mandamus or other appropriate
proceeding for the enforcement of any other legal or equitable remedy as the
Trustee shall deem most effectual in support of any of its rights or duties
hereunder.  If the Trustee reasonably determines that it may not receive
payment for its extraordinary services and expenses relating to the enforcement
of its rights or the rights of the holders of the Bonds under the Act or under
the Indenture, the Trustee shall have no duty to act if it gives written notice
of such decision to the Bondholders and the Bondholders subsequently fail to
provide the Trustee with reasonable indemnification.

         Section 7.3.     Application of Moneys Collected by Trustee.  Any
moneys collected by the Trustee and moneys in the Bond Fund on or after the
occurrence of an Event of Default shall be applied in the order following, at
the date or dates fixed by the Trustee and, in the case of distribution of such
moneys on account of principal (or premium, if any) or interest, upon
presentation of the Bonds, and stamping thereon the payment, if only partially
paid, and upon surrender thereof, if fully paid:

                 First:   To the payment of costs and expenses of collection,
         just and reasonable compensation to the Trustee for its own services
         and for the services of counsel, agents and employees by it properly
         engaged and employed, and for advances made pursuant to the provisions
         of this Indenture with interest on all such advances at the rate of
         nine percent (9%) per annum; provided, that any payments under a
         Credit Facility shall not be so applied.

                 Second:  In case the principal of none of the Outstanding
         Bonds shall have become due and remains unpaid, to the payment of
         interest in default on the

                                       59
 <PAGE>

         Outstanding Bonds in the order of the maturity thereof, such payments
         to be made ratably and proportionately to the persons entitled thereto
         without discrimination or preference, except as specified in Section
         VI.6.2; provided, however, that no payment of interest shall be made
         with respect to any Bonds held by the County, the Borrower or any
         Credit Provider or actually known by the Trustee to be held by any
         affiliate of the Borrower, or any nominee of the County, the Borrower,
         any affiliate of the Borrower or any Credit Provider, until interest
         due on all Bonds not so registered shall have been paid, and no
         interest on any such Bonds shall be paid from amounts paid under the
         Credit Facility, if any.

                 Third:  In case the principal of any of the Outstanding Bonds
         shall have become due by declaration or otherwise and remains unpaid,
         first to the payment of principal of all Outstanding Bonds then due and
         unpaid, then to the payment of interest in default in the order of
         maturity thereof, and then to the payment of the premium thereon, if
         any; in every instance such payment to be made ratably to the persons
         entitled thereto without discrimination or preference, except as
         specified in Section VI.6.2; provided, however, that no payment of
         principal or premium or interest shall be made with respect to any
         Bonds held by the County, the Borrower or any Credit Provider or known
         by the Trustee to be held by any affiliate of the Borrower or any
         nominee of the County, the Borrower, any affiliate of the Borrower or
         any Credit Provider, until all amounts due on all Bonds not so held
         have been paid, and no principal of or premium or interest on any such
         Bonds shall be paid from amounts paid under the Credit Facility, if
         any.

                 Fourth: To the Credit Provider, if any, as reimbursement for
         amounts paid under its Credit Facility and other amounts due under the
         applicable Credit Agreement, as certified by the Credit Provider to
         the Trustee.

         Section 7.4.     Effect of Delay or Omission to Pursue Remedy.  No
delay or omission of the Trustee or of any holder of Bonds to exercise any
right or power arising from any default shall impair any such right or power or
shall be construed to be a waiver of any such default or acquiescence therein,
and every power and remedy given by this Article VII to the Trustee or to the
holders of Bonds may be exercised from time to time and as often as shall be
deemed expedient.  In case the Trustee shall have proceeded to enforce any
right under this Indenture, and such proceedings shall have been discontinued
or abandoned because of waiver or for any other reason, or shall have been
determined adversely to the Trustee, then and in every such case the County,
the Trustee, the Credit Provider, if any, and the holders of the Bonds,
severally and respectively, shall be restored to their former positions and
rights hereunder in respect to the trust estate; and all remedies, rights and
powers of the County, the Trustee, the Credit Provider and the holders of the
Bonds shall continue as though no such proceedings had been taken.

         Section 7.5.     Remedies Cumulative.  No remedy herein conferred upon
or reserved to the Trustee or to any holder of the Bonds is intended to be
exclusive of any other remedy, but each and every such remedy shall be
cumulative and shall be in

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addition to every other remedy given hereunder or now or hereafter existing at
law or in equity.

         Section 7.6.     Covenant to Pay Bonds in Event of Default.  The
County covenants that, upon the happening of any Event of Default, the County
will pay to the Trustee upon demand, but only out of Revenues, for the benefit
of the holders of such Bonds, the whole amount then due and payable thereon (by
declaration or otherwise) for interest or for principal and premium, or both,
as the case may be, and all other sums which may be due hereunder or secured
hereby, including reasonable compensation to the Trustee, its agents and
counsel, and any expenses or liabilities incurred by the Trustee hereunder.  In
case the County shall fail to pay the same forthwith upon such demand, the
Trustee, in its own name and as trustee of an express trust, shall be entitled
to institute proceedings at law or in equity in any court of competent
jurisdiction to recover judgment for the whole amount due and unpaid, together
with costs and reasonable attorneys' fees and expenses, subject, however, to
the condition that such judgment, if any, shall be limited to, and payable
solely out of, Revenues as herein provided and not otherwise.  The Trustee
shall be entitled to recover such judgment as aforesaid, either before or after
or during the pendency of any proceedings for the enforcement of this
Indenture, and the right of the Trustee to recover such judgment shall not be
affected by the exercise of any other right, power or remedy for the
enforcement of the provisions of this Indenture.  If the Event of Default
involves the bankruptcy of the Borrower, amounts payable to or for the benefit
of the Bondholders pursuant to the bankruptcy plan shall be paid to the Trustee
for application as provided in Section 7.3 of the Indenture; and if payments
are made directly to the Bondholders by the bankruptcy trustee, those
Bondholders shall be liable to the Trustee for applying the funds in the manner
provided in Section 7.3 hereof, including, but not limited to, the payment of
the Trustee's extraordinary fees and expenses.

         Section 7.7.     Trustee Appointed Agent for Bondholders.  The Trustee
is hereby appointed the agent and attorney of the holders of all Bonds
Outstanding hereunder for the purpose of filing any claims relating to the
Bonds.

         Section 7.8.     Power of Trustee to Control Proceedings.  In the
event that the Trustee, upon the happening of an Event of Default, shall have
taken any action, by judicial proceedings or otherwise, pursuant to its duties
hereunder, whether upon its own discretion or upon the request of holders of
the Bonds, it shall have full power, in the exercise of its discretion for the
best interests of the holders of the Bonds, with respect to the continuance,
discontinuance, withdrawal, compromise, settlement or other disposal of such
action; provided, however, that the Trustee shall not, unless there no longer
continues an Event of Default hereunder, discontinue, withdraw, compromise or
settle, or otherwise dispose of any litigation pending at law or in equity, if
at the time there has been filed with it a written request signed by the Credit
Provider or the holders of at least a majority in principal amount of the Bonds
Outstanding hereunder opposing such discontinuance, withdrawal, compromise,
settlement or other disposal of such litigation.

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 <PAGE>

         All rights of action under this Indenture or under any of the Bonds
secured hereby which are enforceable by the Trustee may be enforced by it
without the possession of any of the Bonds, or the production thereof at the
trial or other proceedings relative thereto, and any such suit, action or
proceeding instituted by the Trustee shall be brought in its name as Trustee of
an express trust for the equal and ratable benefit of the Bondholders, subject
to the provisions of this Indenture.

         Section 7.9.     Limitation on Bondholders' Right to Sue.  No holder
of any Bond issued hereunder shall have the right to institute any suit, action
or proceeding at law or in equity, for any remedy under or upon this Indenture,
unless (a) such holder shall have previously given to the Trustee written
notice of the occurrence of an Event of Default hereunder; (b) the holders of
at least a majority in aggregate principal amount of all the Bonds then
Outstanding shall have made written request upon the Trustee to exercise the
powers hereinbefore granted or to institute such action, suit or proceeding in
its own name; (c) said holders shall have tendered to the Trustee indemnity
satisfactory to it against the costs, expenses (including reasonable attorneys'
fees) and liabilities to be incurred in compliance with such request; and (d)
the Trustee shall have refused or omitted to comply with such request for a
period of thirty (30) days after such written request shall have been received
by, and said tender of indemnity shall have been made to, the Trustee.

         Such notification, request, tender of indemnity and refusal or
omission are hereby declared, in every case, to be conditions precedent to the
exercise by any holder of Bonds of any remedy hereunder; it being understood
and intended that no one or more holders of Bonds shall have any right in any
manner whatever by his or her or their action to enforce any right under this
Indenture, except in the manner herein provided, and that all proceedings at
law or in equity to enforce any provision of this Indenture shall be
instituted, had and maintained in the manner herein provided and for the equal
benefit of all holders of the Outstanding Bonds, subject to the provisions of
this Indenture.

         The right of any holder of any Bond to receive payment of the
principal of (and premium, if any) and interest on such Bond out of Revenues,
as herein and therein provided, on and after the respective due dates expressed
in such Bond, or to institute suit for the enforcement of any such payment on
or after such respective dates, shall not be impaired or affected without the
consent of such holder, notwithstanding the foregoing provisions of this
Section or Section VII.7.8 or any other provision of this Indenture.

         Section 7.10.    Limitation of Liability to Revenues.  Notwithstanding
anything in this Indenture contained, the County shall not be required to
advance any moneys derived from the proceeds of taxes collected by the County
or by any governmental body or political subdivision of the State or from any
source of income of any governmental body or political subdivision of the State
or the County other than the Revenues, for any of the purposes in this
Indenture mentioned, whether for the payment of the principal of or interest on
the Bonds or for any other purpose of this Indenture.  The Bonds are not

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<PAGE>

general obligations of the County, and are payable from and secured by the
Revenues only.

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  <PAGE>

                                  ARTICLE VIII

                  THE TRUSTEE, THE REGISTRAR, THE TENDER AGENT
                           AND THE REMARKETING AGENT

         Section 8.1.     Duties, Immunities and Liabilities of Trustee and
Registrar.  The Trustee and the Registrar shall, prior to an Event of Default
hereunder, and after the curing of all Events of Default hereunder which may
have occurred, perform such duties and only such duties as are specifically set
forth in this Indenture.  The Trustee shall, during the existence of any Event
of Default hereunder (which has not been cured), exercise such of the rights
and powers vested in it by this Indenture, and use the same degree of care and
skill in their exercise, as prudent persons would exercise or use under the
circumstances in the conduct of their own affairs.

         No provision of this Indenture shall be construed to relieve the
Trustee or the Registrar from liability for its own negligent action or its own
negligent failure to act or its own willful misconduct, except that:

                 (a)     Prior to the occurrence of any Event of Default
         hereunder and after the curing of all Events of Default which may have
         occurred, the duties and obligations of the Trustee and the Registrar,
         as the case may be, shall be determined solely by the express
         provisions of this Indenture; the Trustee or the Registrar, as the
         case may be, shall not be liable except for the performance of such
         duties and obligations as are specifically set forth in this
         Indenture; and no covenants or obligations shall be implied into this
         Indenture which are adverse to the Trustee or the Registrar, as the
         case may be; and

                 (b)     At all times, regardless of whether or not any Event of
         Default shall exist,

                          (1)     the Trustee and the Registrar shall not be
                 liable for any error of judgment made in good faith by a
                 Responsible Officer or Officers of the Trustee or the
                 Registrar unless it shall be proved that the Trustee or the
                 Registrar, as the case may be, was negligent in ascertaining
                 the pertinent facts; and

                          (2)     neither the Trustee nor the Registrar shall
                 be personally liable with respect to any action taken,
                 permitted or omitted by it in good faith in accordance with
                 the direction of the holders of not less than a majority, or
                 such other percentage as may be required hereunder, in
                 aggregate principal amount of the Bonds Outstanding relating
                 to the time, method and place of conducting any proceeding for
                 any remedy available to the Trustee or the Registrar, or
                 exercising any trust or power conferred upon the Trustee or
                 the Registrar under this Indenture; and

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                          (3)     in the absence of bad faith on the part of
                 the Trustee or the Registrar, as the case may be, the Trustee
                 and the Registrar may conclusively rely, as to the truth of
                 the statements and the correctness of the opinions expressed
                 therein, upon any certificate or opinion furnished to the
                 Trustee or the Registrar, as the case may be, conforming to
                 the requirements of this Indenture; but in the case of any
                 such certificate or opinion which by any provision hereof is
                 specifically required to be furnished to the Trustee or the
                 Registrar, as the case may be, the Trustee or the Registrar,
                 as the case may be, shall be under a duty to examine the same
                 to determine whether or not it conforms to the requirements of
                 this Indenture.

                 (c)      The Trustee may execute any of the trusts or powers
         hereof and perform the duties required of it hereunder by or through
         attorneys, agents or receivers, and shall be entitled to advice of
         counsel concerning all matters of trust and concerning its duties
         hereunder and the Trustee shall not be responsible for any misconduct
         or negligence on the part of any attorney or agent appointed with due
         care by it hereunder.

                 None of the provisions contained in this Indenture shall
         require the Trustee or the Registrar to expend or risk its own funds
         or otherwise incur individual financial liability in the performance
         of any of its duties or in the exercise of any of its rights or
         powers.  The permissive right of the Trustee to perform acts
         enumerated in this Indenture or the Agreement shall not be construed
         as a duty or obligation hereunder.

         Section 8.2.     Right of Trustee and Registrar to Rely upon
Documents, Etc.  Except as otherwise provided in Section VIII.8.1:

                 (a)      The Trustee and the Registrar may rely and shall be
         protected in acting upon any resolution, certificate, statement,
         instrument, opinion, report, notice, request, consent, order, Bond,
         direction, demand, election or other paper or document believed by it
         to be genuine and to have been signed or presented by the proper party
         or parties;

                 (b)      Any notice, request, direction, election, order or
         demand of the County mentioned herein shall be deemed to be
         sufficiently evidenced by an instrument signed in the name of the
         County by an Authorized County Representative, and any resolution of
         the County shall be evidenced to the Trustee or the Registrar by a
         Certified Resolution;

                 (c)      Each of the Trustee and the Registrar may consult
         with counsel of its selection (who may include its own counsel or
         counsel for the County or Bond Counsel) and the opinion of such
         counsel shall be full and complete authorization and protection in
         respect of any action taken or suffered by it hereunder in good faith
         and in accordance with the opinion of such counsel; and

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<PAGE>

                 (d)      Whenever in the administration of the trusts of this
         Indenture the Trustee or the Registrar shall deem it necessary or
         desirable that a matter be proved or established prior to taking or
         suffering any action hereunder, such matter (unless other evidence in
         respect thereof be herein specifically prescribed) may, in the absence
         of negligence or bad faith on the part of the Trustee or the
         Registrar, as the case may be, be deemed to be conclusively proved and
         established by a Certificate of the County; and such Certificate of
         the County shall, in the absence of negligence or bad faith on the
         part of the Trustee or the Registrar, as the case may be, be full
         warrant to the Trustee or the Registrar, as the case may be, for any
         action taken or suffered by it under the provisions of this Indenture
         upon the faith thereof.

         Section 8.3.     Trustee and Registrar Not Responsible for Recitals.
The recitals contained herein and in the Bonds shall be taken as the statements
of the County, and the Trustee and the Registrar assume no responsibility for
the correctness of the same except (with respect to the Registrar) for the
Certificate of Authentication thereon.  The Trustee and the Registrar make no
representations as to the validity or sufficiency of this Indenture or of the
Bonds.  The Trustee and the Registrar shall not be accountable for the use or
application by the County of any of the Bonds authenticated or delivered
hereunder or of the proceeds of such Bonds except to the extent specifically
provided in this Indenture.

         Section 8.4.     Right of Trustee and Registrar to Acquire Bonds.  The
Trustee, the Registrar and their officers and directors may acquire and hold,
or become the pledgee of, Bonds and otherwise deal with the County in the
manner and to the same extent and with like effect as though it were not
Trustee or Registrar, as the case may be, hereunder.

         Section 8.5.     Moneys Received by Trustee and Registrar to Be Held
in Trust.  Subject to the provisions of Section X.10.3, all moneys received by
the Trustee and the Registrar shall, until used or applied as herein provided,
be held in trust for the purposes for which they were received, but need not be
segregated from other funds except to the extent required by law or as
otherwise provided herein.  Except to the extent provided otherwise herein, any
interest allowed on any such moneys shall be deposited in the fund to which
such moneys are credited.  Available Amounts and amounts being aged to become
Available Amounts, amounts received under any Credit Facility and proceeds of
any remarketing of Bonds shall not be commingled with any other funds held by
the Trustee hereunder.

         Section 8.6.     Compensation and Indemnification of Trustee and
Registrar.  The Trustee and the Registrar shall be entitled to reasonable
compensation for all services rendered by them in the execution of the trusts
created and in the exercise and performance of any of the powers and duties
hereunder of the Trustee or the Registrar, as the case may be, which
compensation shall not be limited by any provision of law in regard to the
compensation of a trustee of an express trust, and the Agreement will require
the Borrower to pay or reimburse the Trustee or the Registrar, as the case may

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be, upon its request for all reasonable expenses, disbursements and advances
incurred or made by the Trustee or the Registrar, as the case may be, in
accordance with any of the provisions of this Indenture (including the
reasonable compensation and the expenses and disbursements of its counsel and
of all persons not regularly in its employ) except any such expense,
disbursement or advance as may arise from its negligence or bad faith.  If any
property, other than cash, shall at any time be held by the Trustee or the
Registrar, as the case may be, subject to this Indenture, or any supplemental
indenture, as security for the Bonds, the Trustee or the Registrar, as the case
may be, if and to the extent authorized by a receivership, bankruptcy or other
court of competent jurisdiction or by the instrument subjecting such property
to the provisions of this Indenture as such security for the Bonds, shall be
entitled (but not required) to make advances for the purpose of preserving such
property or of discharging tax liens or other prior liens or encumbrances
thereon.  The Agreement will also require the Borrower to provide certain
indemnification to the Trustee and the Registrar.  Notwithstanding the
foregoing, prior to seeking indemnity the Trustee shall make timely payments of
principal of and interest on the Bonds with moneys on deposit in the Bond Fund
as provided herein, and shall accelerate the payment of principal on the Bonds
and demand payment under each Credit Facility when required by this Indenture
without seeking indemnification from the Borrower or any Bondholder.  Upon the
occurrence and continuance of an Event of Default hereunder, and subject to
Section VII.7.3 hereof, the Trustee shall have a lien prior to the Bonds as to
all property and funds held by it (other than the Rebate Fund) for any amount
owing to it or any predecessor Trustee pursuant to this Section VIII.8.6 or the
Agreement and the rights of the Trustee to compensation for its services and to
payment or reimbursement for its costs, expenses, or advances shall have
priority over the Bonds in respect of all property or funds held or collected
by the Trustee as such and other funds held in trust by the Trustee for the
benefit of the holders of particular Bonds; provided, however, that neither the
Trustee nor any predecessor Trustee shall have any lien or claim against moneys
paid under any Credit Facility for payment of any such compensation,
reimbursement or other amounts.

         When the Trustee incurs expenses or renders services in connection
with an Event of Default specified in Section 6.1(c) of the Agreement and
Section VII.7.1 hereof, such expenses (including the reasonable charges and
expenses of its counsel and agents) and the compensation for such services are
intended to constitute expenses of administration under any applicable federal
or state bankruptcy, insolvency or other similar law.  The Trustee shall be
entitled to all reasonable fees and expenses incurred in enforcing the
Bondholders' rights in any bankruptcy action, and the intention that the fees
and expenses incurred by the Trustee in enforcing the rights of the Bondholders
be treated as expenses of administration under any applicable federal or state
bankruptcy, insolvency or other similar law shall not be deemed to limit the
amount payable to the Trustee.  The provisions of this Section VIII.8.6 shall
survive the termination of this Indenture and the resignation or removal of the
Trustee or the Registrar.

         Section 8.7.     Qualifications of Trustee and Registrar.  There shall
at all times be a trustee and a registrar hereunder which shall be corporations
or banking associations organized and doing business under the laws of the
United States or of a state thereof,

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 <PAGE>

authorized under such laws to exercise corporate trust powers, having a
combined capital and surplus of at least fifty million dollars ($50,000,000),
subject to supervision or examination by federal or state authority; provided,
however, that no Credit Provider shall be eligible to serve as Trustee or
Registrar so long as it is the provider of a Credit Facility hereunder.  If
such corporations or banking associations publish reports of condition at least
annually, pursuant to law or to the requirements of any supervising or
examining authority above referred to, then for the purposes of this Section
the combined capital and surplus of such corporations or banking associations
shall be deemed to be their combined capital and surplus as set forth in their
most recent reports of conditions so published.  In case at any time the
Trustee or the Registrar shall cease to be eligible in accordance with the
provisions of this Section, the Trustee or the Registrar, as the case may be,
shall resign immediately in the manner and with the effect specified in Section
VIII.8.8.

         Section 8.8.     Resignation and Removal of Trustee or Registrar and
Appointment of Successor Trustee or Registrar.

                 (a)      The Trustee or the Registrar may at any time resign
         by giving written notice to the County, the Borrower and the Credit
         Provider, if any, and by giving to the Bondholders notice either by
         publication of such resignation, which notice shall be published at
         least once in a Qualified Newspaper, or by giving Notice by Mail to
         such Bondholders.  The Trustee shall also mail a copy of any such
         notice of resignation to the Rating Agencies.  Upon receiving such
         notice of resignation, the County, with the advice and consent of the
         Borrower and the consent of the Credit Provider (whose consent shall
         not be unreasonably withheld), shall promptly appoint a successor
         trustee or registrar, as the case may be, by an instrument in writing.
         If no successor trustee or registrar, as the case may be, shall have
         been so appointed and have accepted appointment within thirty (30)
         days after the giving of such notice of resignation by the Trustee or
         the Registrar, as the case may be, the resigning trustee or registrar,
         as the case may be, may petition any court of competent jurisdiction
         for the appointment of a successor trustee or registrar, as the case
         may be, or any Bondholder who has been a bona fide holder of a Bond
         for at least six (6) months may, on behalf of himself and others
         similarly situated, petition any such court for the appointment of a
         successor trustee or registrar, as the case may be.  Such court may
         thereupon, after such notice, if any, as it may deem proper and may
         prescribe, appoint a successor trustee or registrar, as the case may
         be.

                 (b)      In case at any time either of the following shall
occur:

                          (1)     the Trustee or the Registrar shall cease to
                 be eligible in accordance with the provisions of Section
                 VIII.8.7 and shall fail to resign after written request
                 therefor by the County or by any Bondholder who has been a
                 bona fide holder of a Bond for at least six (6) months.

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<PAGE>

                          (2)     the Trustee or the Registrar shall become
                 incapable of acting, or shall be adjudged a bankrupt or
                 insolvent, or a receiver of the Trustee or Registrar or of its
                 property shall be appointed, or any public officer shall take
                 charge or control of the Trustee or Registrar or of its
                 property or affairs for the purpose of rehabilitation,
                 conservation or liquidation,

         then, in any such case, the County may remove the Trustee or the
         Registrar, as the case may be, and, with the advice and consent of the
         Borrower and the consent of the Credit Provider (whose consent shall
         not be unreasonably withheld), appoint a successor trustee or
         registrar, as the case may be, by an instrument in writing, or any
         such Bondholder may, on behalf of itself and all others similarly
         situated, petition any court of competent jurisdiction for the removal
         of the Trustee or the Registrar, as the case may be, and the
         appointment of a successor trustee or registrar, as the case may be.
         Such court may thereupon, after such notice, if any, as it may deem
         proper and may prescribe, remove the Trustee or the Registrar, as the
         case may be, and appoint a successor trustee or registrar, as the case
         may be.  Upon any removal of the Trustee, any outstanding fees and
         expenses of such former Trustee shall be paid in accordance with
         Section VIII.8.6 hereof.

                 (c)      The County, in the absence of an Event of Default, or
         the holders of a majority in aggregate principal amount of the Bonds
         at the time Outstanding may at any time remove the Trustee or the
         Registrar, as the case may be, and appoint a successor trustee or
         registrar, as the case may be, by an instrument or concurrent
         instruments in writing signed by the County or such Bondholders, as
         the case may be.

                 (d)      Any resignation or removal of the Trustee or the
         Registrar, as the case may be, and appointment of a successor trustee
         or registrar, as the case may be, pursuant to any of the provisions of
         this Section shall become effective only upon acceptance of
         appointment by the successor trustee or registrar, as the case may be,
         as provided in Section VIII.8.9, and upon transfer of the Credit
         Facility, if any, then in effect to the successor Trustee.

         Section 8.9.     Acceptance of Trust by Successor Trustee.  Any
successor trustee appointed as provided in Section VIII.8.8 shall execute,
acknowledge and deliver to the County, the Borrower, the Credit Provider, if
any, and to its predecessor trustee an instrument accepting such appointment
hereunder, and thereupon the resignation or removal of the predecessor trustee
shall become effective and such successor trustee, without any further act,
deed or conveyance, shall become vested with all the rights, powers, trusts,
duties and obligations of its predecessor in the trusts hereunder, with like
effect as if originally named as Trustee herein; but, nevertheless, on the
Written Request of the County or the request of the successor trustee, the
trustee ceasing to act shall execute and deliver an instrument transferring to
such successor trustee, upon the trusts herein expressed, all the rights,
powers and trusts of the trustee so ceasing to act.  Upon

                                       69
 <PAGE>

request of any such successor trustee, the County shall execute any and all
instruments in writing necessary or desirable for more fully and certainly
vesting in and confirming to such successor trustee all such rights, powers and
duties.  Any trustee ceasing to act shall, nevertheless, retain a lien upon all
property or funds held or collected by such trustee to secure the amounts due
it as compensation, reimbursement, expenses and indemnity afforded to it by
Section VIII.8.6.

         No successor trustee shall accept appointment as provided in this
Section VIII.8.9 unless at the time of such acceptance such successor trustee
shall be eligible under the provisions of Section VIII.8.7.

         Upon acceptance of appointment by a successor trustee as provided in
this Section, the County or such successor trustee shall give the Bondholders,
the Credit Provider, if any, and each Rating Agency notice of the succession of
such trustee to the trusts hereunder in the manner prescribed in Section
VIII.8.8 for the giving of notice of resignation of the Trustee.

         Section 8.10.    Merger or Consolidation of Trustee or Registrar.  Any
corporation or banking association into which the Trustee may be merged or with
which it may be consolidated, or any corporation or banking association
resulting from any merger or consolidation to which the Trustee or the
Registrar shall be a party, or any corporation or banking association
succeeding to all or substantially all of the corporate trust business of the
Trustee or the Registrar, shall be the successor of the Trustee or the
Registrar hereunder without the execution or filing of any paper or any further
act on the part of any of the parties hereto, anything herein to the contrary
notwithstanding, provided that such successor trustee or registrar shall be
eligible under the provisions of Section VIII.8.7.

         Section 8.11.    Accounting Records and Reports; Financing Statements.
The Trustee and the Registrar shall keep proper books of record and account in
accordance with trust accounting standards in which complete and correct
entries shall be made of all transactions relating to the receipt, investment,
disbursement, allocation and application of the Revenues and the proceeds of
the Bonds received by the Trustee or the Registrar.  Such records shall specify
the account or fund to which each investment (or portion thereof) held by the
Trustee is to be allocated and shall set forth, in the case of each Investment
Security, (a) its purchase price, (b) its value at maturity or its sale price,
as the case may be, (c) the amounts and dates of any payments to be made with
respect thereto and (d) such documentation and evidence as is required to be
obtained by the Borrower to establish that the requirements of Article V of the
Tax Certificate have been met.  Such records shall be open to inspection by the
County, the Borrower and the Credit Provider, if any, and by any Bondholder at
any reasonable time during regular business hours on reasonable notice.  The
Trustee shall furnish to the County and the Borrower monthly statements of all
investments made by the Trustee and all funds and accounts held by the Trustee.

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<PAGE>

         The Trustee shall furnish to any Bondholder who may make written
request therefor a copy of the most recent audited financial statements of the
Borrower that are in the possession of the Trustee.  The Trustee shall have no
responsibility or liability with respect to the Borrower's failure to provide
such statements, and the Trustee shall not be required to compel the Borrower
to provide any such statements.

         The Trustee shall not be responsible for the preparation or filing of
any UCC financing statements or continuation statements under this Indenture.

         Section 8.12.    Registrar.  The County, at the request and direction
of the Borrower, shall appoint a registrar for the Bonds.  The Registrar shall
be a bank, trust company or national banking association which meets the
qualifications of Section VIII.8.7 hereof, willing and able to accept the
office on reasonable and customary terms and authorized by law to perform all
the duties imposed upon it hereby.  The Registrar shall signify its acceptance
of the duties and obligations imposed upon it hereby by executing and
delivering to the County and the Trustee a written acceptance thereof.  The
Registrar initially appointed hereunder is the Trustee.

         Section 8.13.    Tax Certificate.  The Trustee covenants and agrees
that it will comply with all written instructions of the Borrower given in
accordance with the Tax Certificate and will take any and all action as may be
necessary in accordance with such written instructions.  The Trustee
acknowledges receipt of the Tax Certificate and acknowledges that the
provisions of the Tax Certificate are incorporated herein by reference as
provided in Section VI.6.6 hereof.  The Trustee shall not be accountable for
the use by the Borrower of the proceeds of the Bonds.

         Section 8.14.    Appointment of Co-Trustee.  In the event the Trustee
deems that by reason of any present or future law of any jurisdiction it may
not exercise any of the powers, rights or remedies herein granted to the
Trustee or hold title to the properties, in trust, as herein granted, or take
any other action which may be desirable or necessary in connection therewith,
it may be necessary that the Trustee appoint an additional institution as a
separate trustee or co-trustee.  In the absence of an Event of Default under
this Indenture, the appointment of any such separate trustee or co-trustee
shall be subject to the approval of the County and the Borrower.  The following
provisions of this Section are adapted to these ends.

                 (a)      In the event that the Trustee appoints an additional
         institution as a separate trustee or co- trustee, each and every
         remedy, power, right, claim, demand, cause of action, immunity,
         estate, interest or lien expressed or intended by this Indenture to be
         exercised by or vested in or conveyed to the Trustee with respect
         thereto shall be exercisable by and vest in such separate trustee or
         co-trustee but only to the extent necessary to enable such separate
         trustee or co-trustee to exercise such powers, rights and remedies,
         and every covenant and obligation necessary to the exercise thereof by
         such separate trustee or co-trustee shall run to and be enforceable by
         either of them.  Such co-trustee may be removed by the Trustee at any
         time, with or without cause.

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                 (b)      Should any instrument in writing from the County be
         required by the separate trustee or co- trustee so appointed by the
         Trustee for more fully and certainly vesting in and confirming to it
         such properties, rights, powers, trusts, duties and obligations, any
         and all such instruments in writing shall, on request, be executed,
         acknowledged and delivered by the County.  In case any separate
         trustee or co-trustee, or a successor to either, shall become
         incapable of acting, resign or be removed, all the estates,
         properties, rights, powers, trusts, duties and obligations of such
         separate trustee or co-trustee, so far as permitted by law, shall vest
         in and be exercised by the Trustee until the appointment of a
         successor to such separate trustee or co-trustee.

         Section 8.15.    Appointment, Duties and Qualifications of Tender
Agent.

                 (a)      In order to carry out the duties and obligations of
         the Tender Agent contained herein, the County, with the advice and
         consent of the Borrower, shall appoint a Tender Agent in order to
         carry out such duties and obligations.  The Tender Agent shall
         designate to the Trustee its Principal Office to signify in writing
         its acceptance of the duties and obligations imposed upon it under
         this Indenture.  The Tender Agent shall keep such books and records
         with respect to its activities as Tender Agent as shall be consistent
         with prudent industry practice and to make such books and records
         available for inspection by each of the County, the Trustee and the
         Borrower at all reasonable times.

                 (b)      Each Tender Agent shall be a banking corporation or
         banking association organized and doing business under the laws of the
         United States or of a state thereof, authorized under such laws to
         exercise corporate trust powers, having a combined capital and surplus
         of at least fifty million dollars ($50,000,000), subject to
         supervision or examination by federal or state authority.  If such
         banking corporation or banking association publishes a report of
         condition at least annually, pursuant to law or to the requirements of
         any supervising or examining authority above referred to, then for the
         purposes of this Section the combined capital and surplus of such
         banking corporation or banking association shall be deemed to be its
         combined capital and surplus as set forth in its most recent report of
         condition so published.

                 (c)      The Tender Agent may resign by notifying the County,
         the Trustee, the Credit Provider, if any, the Remarketing Agent and
         the Bondholders at least thirty (30) days before the effective date of
         such resignation.  The County, with the advice and consent of the
         Borrower, may remove the Tender Agent and appoint a successor by
         notifying the Tender Agent, the Remarketing Agent, the Credit
         Provider, if any, and the Trustee.  No resignation or removal shall be
         effective until the successor has delivered an acceptance of its
         appointment to the County, the Trustee and the predecessor Tender
         Agent.  In the event of the resignation or removal of the Tender
         Agent, such Tender Agent shall pay over, assign and deliver any moneys
         held by it as Tender Agent to its successor, or if there is no
         successor, to the Trustee.  In the event that for any

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         reason there shall be a vacancy in the office of Tender Agent, the
         Trustee shall act as such Tender Agent to the extent it has
         operational capacity to perform such tasks.

         Section 8.16.    Appointment, Duties and Qualifications of Remarketing
Agent.

                 (a)      In order to carry out the duties and obligations
         contained in this Indenture, the Borrower, with the approval of the
         County, shall appoint the Remarketing Agent for the Bonds subject to
         the conditions set forth below.  The Remarketing Agent shall be a
         bank, trust company or member of the National Association of
         Securities Dealers, Inc. organized and doing business under the laws
         of any state of the United States of America or the District of
         Columbia and shall have a capitalization of at least fifty million
         dollars ($50,000,000) as shown in its most recently published annual
         report.

                 (b)      The Borrower shall enter into a Remarketing Agreement
         with the Remarketing Agent and such other parties as shall be
         appropriate, pursuant to which such Remarketing Agent shall designate
         its Principal Office and agree particularly (but without limitation):
         (i) to perform the duties and comply with the requirements imposed
         upon it by the Remarketing Agreement, this Indenture and the
         Agreement; and (ii) to keep such books and records with respect to its
         activities as Remarketing Agent as shall be consistent with prudent
         industry practice and to make such books and records available for
         inspection by each of the County, the Trustee and the Borrower at all
         reasonable times.  The Remarketing Agent shall not be entitled to any
         compensation from the County or the Trustee but rather shall only be
         entitled to compensation from the Borrower.

                 (c)      The Borrower shall furnish a copy of the Remarketing
         Agreement to the County, the Trustee, the Credit Provider, if any, and
         the Tender Agent.

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                                   ARTICLE IX

                      MODIFICATION OF INDENTURE, DOCUMENTS

         Section 9.1.     Modification without Consent of Bondholders.  The
County and the Trustee, without the consent of or notice to any Bondholders
from time to time and at any time, but with the consent of the Credit Provider,
if any, and subject to the conditions and restrictions contained in this
Indenture, may enter into an indenture or indentures supplemental hereto, which
indenture or indentures thereafter shall form a part hereof; and the Trustee,
without the consent of or notice to any Bondholders from time to time and at
any time, but with the consent of the Credit Provider, if any, may consent to
any Amendment to any Document; in each case for any one or more of the
following purposes:

                 (a)      to add to the covenants and agreements of the County
         contained in this Indenture, or of the Borrower or of any Credit
         Provider contained in any Document, other covenants and agreements
         thereafter to be observed, or to assign or pledge additional security
         for any of the Bonds, or to surrender any right or power herein or
         therein reserved to or conferred upon the County or the Borrower;
         provided, that no such covenant, agreement, assignment, pledge or
         surrender shall materially adversely affect the interests of the
         holders of the Bonds;

                 (b)      to make such provisions for the purpose of curing any
         ambiguity, inconsistency or omission, or of curing, correcting or
         supplementing any defective provision contained in this Indenture or
         any Document, or in regard to matters or questions arising under this
         Indenture or any Document, as the County may deem necessary or
         desirable and not inconsistent with this Indenture or any Document and
         which shall not materially adversely affect the interests of the
         holders of the Bonds;

                 (c)      to modify, amend or supplement this Indenture or any
         indenture supplemental hereto in such manner as to permit the
         qualification hereof or thereof under the Trust Indenture Act of 1939
         or any similar federal statute hereafter in effect, and, if they so
         determine, to add to this Indenture or any indenture supplemental
         hereto such other terms, conditions and provisions as may be permitted
         by said Trust Indenture Act of 1939 or similar federal statute, and
         which shall not adversely affect the interests of the holders of the
         Bonds;

                 (d)      to provide for any additional procedures, covenants
         or agreements necessary to maintain the Tax-Exempt status of interest
         on the Bonds; provided that such amendment or supplement shall not
         materially adversely affect the interests of the holders of the Bonds;

                 (e)      to modify or eliminate the book-entry registration
system for any of the Bonds;

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<PAGE>

                 (f)      to provide for the procedures required to permit any
         Bondholder to separate the right to receive interest on the Bonds from
         the right to receive principal thereof and to sell or dispose of such
         rights, as contemplated by Section 1286 of the Code;

                 (g)      to provide for the appointment of a co-trustee or the
         succession of a new Trustee, Registrar or Paying Agent;

                 (h)      to change Exhibit A to the Agreement in accordance
         with the provisions thereof and of the Tax Certificate;

                 (i)      to provide for a Credit Facility or substitute Credit
         Facility;

                 (j)      to comply with requirements of any Rating Agency in
         order to obtain or maintain a rating on any Bonds;

                 (k)      in connection with any other change which, in the
         judgment of the Trustee (which may be based upon an Opinion of
         Counsel), will not adversely affect the security for the Bonds or the
         Tax-Exempt status of interest thereon or otherwise materially
         adversely affect the holders of the Bonds; or

                 (l)      to modify, alter, amend or supplement this Indenture
         or any Document in any other respect, including amendments which would
         otherwise be described in Section IX.9.2 hereof, if the effective date
         of such supplemental indenture or supplemental indenture or Amendment
         is a date on which all Bonds affected thereby are subject to mandatory
         tender for purchase pursuant to Section IV.4.7 hereof or if Notice by
         Mail of the proposed supplemental indenture or Amendment is given to
         holders of the affected Bonds at least thirty (30) days before the
         effective date thereof and, on or before such effective date, such
         Bondholders have the right to demand purchase of their Bonds pursuant
         to Section IV.4.6 hereof.

                 Notwithstanding the foregoing provisions of this Section
         IX.9.1, the Trustee shall not be obligated to enter into any such
         supplemental indenture which affects the Trustee's own rights, duties
         or immunities under this Indenture or otherwise, in which case the
         Trustee may in its discretion, but shall not be obligated to, enter
         into such supplemental indenture, and the Trustee shall not enter into
         any supplemental indenture or consent to any Amendment without first
         obtaining the written consent of the Borrower.  The Trustee will give
         notice of the provisions of any supplemental indenture authorized by
         the provisions of this Section IX.9.1 to the applicable Rating
         Agencies.  Any supplemental indenture or Amendment permitted pursuant
         to this Section IX.9.1 may be approved by an Authorized County
         Representative and need not be approved by resolution or other action
         of the Board of Commissioners of the County.

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         Section 9.2.     Modification with Consent of Bondholders.  With the
consent of the holders of not less than sixty-six and two-thirds percent (66
2/3%) in aggregate principal amount of the Bonds at the time Outstanding,
evidenced as provided in Section XI.11.6, and the Credit Provider, if any, (i)
the County and the Trustee may from time to time and at any time enter into an
indenture or indentures supplemental hereto for the purpose of adding any
provisions to or changing in any manner or eliminating any of the provisions of
this Indenture or of any supplemental indenture; or (ii) the Trustee may
consent to any Amendment to any Document and any other matters for which its
consent is required pursuant to Section VI.6.4 hereof; provided, however, that
no such supplement or Amendment will have the effect of extending the time for
payment or reducing any amount due and payable by the Borrower pursuant to the
Agreement without the consent of all the holders of the Bonds; and that no such
supplemental indenture shall (1) extend the fixed maturity of any Bond or
reduce the rate of interest thereon or extend the time of payment of interest,
or reduce the amount of the principal thereof, or reduce any premium payable on
the redemption thereof, without the consent of the holder of each Bond so
affected, or (2) reduce the aforesaid percentage of holders of Bonds whose
consent is required for the execution of such supplemental indentures, or
permit the creation of any lien on the Revenues prior to or on a parity with
the lien of this Indenture, except as permitted herein, or permit the creation
of any preference of any Bondholder over any other Bondholder, except as
permitted herein, or deprive the holders of the Bonds of the lien created by
this Indenture upon the Revenues, without the consent of the holders of all the
Bonds then Outstanding.  Nothing in this paragraph shall be construed as making
necessary the approval of any Bondholder of any supplemental indenture or
Amendment permitted by the provisions of Section IX.9.1.

         Upon receipt by the Trustee of a Certified Resolution authorizing the
execution of any such supplemental indenture or Amendment, and upon the filing
with the Trustee of evidence of the consent of the Bondholders and the Credit
Provider, if any, as aforesaid, the Trustee shall join with the County in the
execution of such supplemental indenture or shall consent to such Amendment;
provided, however, that (i) the Trustee shall not be obligated to enter into
any such supplemental indenture which affects the Trustee's own rights, duties
or immunities under this Indenture or otherwise, in which case the Trustee may
in its sole discretion, but shall not be obligated to, enter into such
supplemental indenture; and (ii) the Trustee shall not enter into such
supplemental indenture or Amendment without first obtaining the Borrower's
written consent thereto.

         It shall not be necessary for the consent of the Bondholders under
this Section to approve the particular form of any proposed supplemental
indenture or Amendment, but it shall be sufficient if such consent shall
approve the substance thereof.

         Promptly after the execution by the parties thereto of any
supplemental indenture or Amendment as provided in this Section, the Trustee
shall mail a notice (prepared by the Borrower) setting forth in general terms
the substance of such supplemental indenture or such Amendment to the Credit
Provider, if any, to each Bondholder at the address contained in the bond
register maintained by the Registrar and to the applicable Rating Agencies.
Any failure of the Trustee to give such notice, or any defect therein, shall

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not, however, in any way impair or affect the validity of any such supplemental
indenture or such Amendment.

         Section 9.3.     Effect of Supplemental Indenture or Amendment.   Upon
the execution of any supplemental indenture or any Amendment to the Agreement
pursuant to the provisions of this Article IX, this Indenture or the Agreement,
as the case may be, shall be and be deemed to be modified and amended in
accordance therewith, and the respective rights, duties and obligations under
this Indenture and the Agreement of the County, the Trustee, the Borrower and
all holders of Outstanding Bonds shall thereafter be determined, exercised and
enforced hereunder and under the Agreement subject in all respects to such
supplemental indentures and Amendments, and all the terms and conditions of any
such supplemental indenture or Amendment shall be part of the terms and
conditions of this Indenture or the Agreement, as the case may be, for any and
all purposes.

         Section 9.4.     Required and Permitted Opinions of Counsel.  Subject
to the provisions of Section VIII.8.1 hereof, the Trustee is entitled to
receive an Opinion of Counsel and rely on such Opinion of Counsel as conclusive
evidence that any supplemental indenture or Amendment executed pursuant to the
provisions of this Article IX complies with the requirements of this Article
IX, that the appropriate consents have been obtained and that such supplemental
indenture or Amendment has been duly authorized by the County.

         Section 9.5.     Notation of Modification on Bonds; Preparation of New
Bonds.  Bonds authenticated and delivered after the execution of any
supplemental indenture pursuant to the provisions of this Article IX may bear a
notation, at the written request of the County, as to any matter provided for
in such supplemental indenture, and if such supplemental indenture shall so
provide, new Bonds, so modified as to conform, in the opinion of the Trustee
and the County, to any modification of this Indenture contained in any such
supplemental indenture, may be prepared by the County, authenticated by the
Registrar and delivered without cost to the holders of the Bonds then
Outstanding, upon surrender for cancellation of such Bonds in equal aggregate
principal amounts.

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                                  ARTICLE X

                                 DEFEASANCE

         Section 10.1.    Discharge of Indenture.  If the entire indebtedness
on all Bonds Outstanding shall be paid and discharged in any one or more of the
following ways:

                 (a)      by the payment of the principal of, and premium, if
         any, and interest on all Bonds Outstanding, as and when the same
         become due and payable; or

                 (b)      by the delivery to the Registrar, for cancellation by
         it, of all Bonds Outstanding;

and if all other sums payable hereunder by the County shall be paid and
discharged, then thereupon this Indenture shall cease, terminate and become
null and void except only as provided in Section X.10.2 hereof, and thereupon
the Trustee shall, upon Written Request of the County, and upon receipt by the
Trustee of a Certificate of the County and an Opinion of Counsel, each stating
that in the opinion of the signers all conditions precedent to the satisfaction
and discharge of this Indenture have been complied with, forthwith execute
proper instruments acknowledging satisfaction of and discharging this
Indenture.  The Trustee shall mail written notice of such payment and discharge
to the applicable Rating Agencies and to the Credit Provider, if any.  The
satisfaction and discharge of this Indenture shall be without prejudice to the
rights of the Trustee to charge and be reimbursed by the Borrower for any
expenditures which it may thereafter incur in connection herewith.

         Any Bond or Authorized Denomination thereof shall be deemed to be paid
within the meaning of this Indenture when (a) payment of the principal of and
premium, if any, on such Bond or Authorized Denomination thereof, plus interest
thereon to the due date thereof (whether such due date is by reason of maturity
or upon redemption as provided herein) either (i) shall have been made or
caused to be made in accordance with the terms thereof, or (ii) shall have been
provided for by irrevocably depositing with the Trustee in trust and
irrevocably setting aside exclusively for such payment (1) moneys sufficient to
make such payment and/or (2) nonprepayable, noncallable Government Obligations
maturing as to principal and interest in such amount and at such time as will
insure the availability of sufficient moneys to make such payment, and (b) all
necessary and proper fees, compensation and expenses of the Trustee pertaining
to any such deposit shall have been paid or the payment thereof provided for to
the satisfaction of the Trustee; provided that no Bond shall be deemed to be
paid within the meaning of this Indenture unless arrangements satisfactory to
the Trustee shall have been made to assure that Bonds tendered for purchase in
accordance with Sections IV.4.6 or IV.4.7 hereof can be paid and redeemed from
such moneys and/or Government Obligations and the Trustee shall have received
written confirmation from each Rating Agency then rating the Bonds, if any,
that such Rating Agency's then current rating on the Bonds will not be lowered
or withdrawn as a result of such provision.  At such time as a Bond or

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Authorized Denomination thereof shall be deemed to be paid hereunder, as
aforesaid, such Bond or Authorized Denomination thereof shall no longer be
secured by or entitled to the benefits of this Indenture, except for the
purposes of any such payment from such moneys and/or Government Obligations.
The Trustee shall not be responsible for verifying the sufficiency of funds
provided to effect the defeasance of Bonds pursuant to this Article X.

         While a Credit Facility is in effect with respect to the Bonds, moneys
for the payment of Bonds or the purchase of Government Obligations as set forth
above shall be derived exclusively from drawings under the Credit Facility.

         The County, the Borrower and any Credit Provider may at any time
surrender to the Registrar for cancellation by it any Bonds previously
authenticated and delivered which the County or the Borrower or such Credit
Provider lawfully may have acquired in any manner whatsoever, and such Bonds,
upon such surrender and cancellation, shall be deemed to be paid and retired.

         Section 10.2.    Discharge of Liability on Bonds.  Upon the deposit
with the Trustee, in trust, at or before maturity, of money or securities in
the necessary amount (as provided in Section X.10.4) to pay or redeem
Outstanding Bonds, whether upon or prior to their maturity or the redemption
date of such Bonds, (provided that, if such Bonds are to be redeemed prior to
the maturity thereof, notice of such redemption shall have been given as in
Article IV provided or provision satisfactory to the Trustee shall have been
made for giving such notice), all liability of the County and the Borrower in
respect of such Bonds shall cease, terminate and be completely discharged,
except that the County and the Borrower shall remain liable for such payment
but only from, and the Bondholders shall thereafter be entitled only to payment
(without interest accrued thereon after such redemption date or maturity date)
out of, the money deposited with the Trustee as aforesaid for their payment,
subject, however, to the provisions of Sections VI.6.6 and X.10.3; provided
that no Bond shall be deemed to be paid within the meaning of this Indenture
unless arrangements satisfactory to the Trustee shall have been made to assure
that such Bond, if tendered for purchase in accordance with Sections IV.4.6 or
IV.4.7 hereof, could be paid and redeemed from such moneys and/or Government
Obligations.

         Section 10.3.    Payment of Bonds after Discharge of Indenture.
Notwithstanding any provisions of this Indenture, and subject to applicable
laws of the State, any moneys deposited with the Trustee or any Paying Agent,
in trust for the payment of the principal of, or interest or premium on, any
Bonds remaining unclaimed for [two (2) years] after the principal of any or all
of the Outstanding Bonds has become due and payable (whether at maturity or
upon call for redemption or by declaration as provided in this Indenture),
shall then be repaid to the Borrower upon its written request, and the holders
of such Bonds shall thereafter be entitled to look only to the Borrower for
payment thereof, and all liability of the Trustee or any Paying Agent with
respect to such moneys shall thereupon cease; provided, however, that before
the repayment of such moneys to the Borrower as aforesaid, the Trustee or
Paying Agent, as the case may be, shall (at the

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request and cost of the Borrower) first publish at least once in a Qualified
Newspaper a notice, in such form as may be deemed appropriate by the Borrower
and the Trustee, in respect of the Bonds so payable and not presented and in
respect of the provisions relating to the repayment to the Borrower of the
moneys held for the payment thereof.  In the event of the repayment of any such
moneys to the Borrower as aforesaid, the holders of the Bonds in respect of
which such moneys were deposited shall thereafter be deemed to be unsecured
creditors of the Borrower for amounts equivalent to the respective amounts
deposited for the payment of such Bonds and so repaid to the Borrower (without
interest thereon).

         Section 10.4.    Deposit of Money or Securities with Trustee.
Whenever in this Indenture it is provided or permitted that there be deposited
with or held in trust by the Trustee money or securities in the necessary
amount to pay or redeem any Bonds, the money or securities so to be deposited
or held may include money or securities held by the Trustee in the funds and
accounts established pursuant to this Indenture and shall be:

                 (a)      Available Amounts constituting lawful money of the
         United States of America in an amount equal to the principal amount of
         such Bonds and all unpaid interest thereon to maturity, except that,
         in the case of Bonds which are to be redeemed prior to maturity and in
         respect of which notice of such redemption shall have been given as
         provided in Article IV or provision satisfactory to the Trustee shall
         have been made for the giving of such notice, the amount to be
         deposited or held shall be the principal amount or redemption price of
         such Bonds and all unpaid interest thereon to the redemption date; or

                 (b)      nonprepayable, noncallable Government Obligations
         purchased with Available Amounts, the principal of and the interest on
         which when due will provide money sufficient to pay the principal or
         redemption price of and all unpaid interest to maturity, or to the
         redemption date, as the case may be, on the Bonds to be paid or
         redeemed, as such principal or redemption price and interest become
         due, provided that, in the case of Bonds which are to be redeemed
         prior to the maturity thereof, notice of such redemption shall have
         been given as provided in Article IV or provision satisfactory to the
         Trustee shall have been made for the giving of such notice;

         provided, in each case, that the Trustee shall have been irrevocably
         instructed (by the terms of this Indenture or by Written Request of
         the County) to apply such money to the payment of such principal or
         redemption price and interest with respect to such Bonds.

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                                   ARTICLE XI

                                 MISCELLANEOUS

         Section 11.1.    Successors of County.  All the covenants,
stipulations, promises and agreements in this Indenture contained, by or on
behalf of the County, shall bind and inure to the benefit of its successors and
assigns, whether so expressed or not.  If any of the powers or duties of the
County shall hereafter be transferred by any law of the State, and if such
transfer shall relate to any matter or thing permitted or required to be done
under this Indenture by the County, then the body or official of the State who
shall succeed to such powers or duties shall act and be obligated in the place
and stead of the County as provided in this Indenture.

         Section 11.2.    Limitation of Rights to Parties and Bondholders.
Nothing in this Indenture or in the Bonds expressed or implied is intended or
shall be construed to give to any person other than the County, the Trustee,
the Registrar, the Paying Agent, the Tender Agent, the Borrower, the Credit
Provider, if any, and the holders of the Bonds issued hereunder any legal or
equitable right, remedy or claim under or in respect of this Indenture or any
covenant, condition or provision therein or herein contained; and all such
covenants, conditions and provisions are and shall be held to be for the sole
and exclusive benefit of the County, the Trustee, the Registrar, the Paying
Agent, the Tender Agent, the Borrower, the Credit Provider, if any, and the
holders of the Bonds issued hereunder.

         To the extent that any provision of this Indenture expressly confers
rights upon the Credit Provider (including, without limitation, rights to
provide consents or directions or to give or receive notices) the parties
hereto agree and acknowledge that the Credit Provider is a third party
beneficiary of such provision and that the Credit Provider may enforce such
provision against the other parties hereto.

         Section 11.3.    Waiver of Notice.  Whenever in this Indenture the
giving of Notice by Mail or otherwise is required, the giving of such notice
may be waived in writing by the person entitled to receive such notice and in
any such case the giving or receipt of such notice shall not be a condition
precedent to the validity of any action taken in reliance upon such waiver.

         Section 11.4.    Separability of Invalid Provisions.  In case any one
or more of the provisions contained in this Indenture or in the Bonds shall for
any reason be held to be invalid, illegal or unenforceable in any respect, such
invalidity, illegality or unenforceability shall not affect any other provision
of this Indenture, but this Indenture shall be construed as if such invalid or
illegal or unenforceable provision had never been contained herein.

                                       81
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         Section 11.5.    Notices.  It shall be sufficient service of any
notice, request, complaint, demand or other paper on the County, the Trustee,
the Borrower, the Registrar, the Paying Agent, the Tender Agent, the Credit
Provider, if any, or the Remarketing Agent if the same shall be duly mailed by
first class mail, postage prepaid, addressed as follows:

         To the County:           Tooele County, Utah
                                  47 South Main
                                  Tooele, UT  84074
                                  Attention:  Chair

         To the Trustee,          U.S. Bank, a national banking association
         Registrar and            107 South Main Street, Suite 303
         the Paying Agent:        Salt Lake City, UT  84111
                                  Attention:  Corporate Trust Department

         To the Borrower:         Laidlaw Environmental Services, Inc.
                                  1301 Gervais Street, Suite 300
                                  Columbia, SC  29201
                                  Attention:  Chief Financial Officer

         To the                   The address specified in the
         Credit Provider:         applicable Credit Agreement.

         To the                   The address specified in the
         Remarketing              Remarketing Agreement.
         Agent:

The County, the Trustee, the Borrower, the Registrar, the Paying Agent, the
Tender Agent, the Credit Provider and the Remarketing Agent may, by notice
given hereunder, designate any further or different addresses to which
subsequent notices, certificates or other communications shall be sent.  A
duplicate copy of each notice, certificate or other communication given
hereunder by the County or the Trustee to the other shall also be given to the
Borrower.  Unless otherwise requested by the County, the Trustee, the Borrower,
the Registrar, the Paying Agent, the Tender Agent, the Credit Provider or the
Remarketing Agent, any notice required to be given hereunder in writing may be
given by any form of telephonic or electronic transmission capable of making a
written record.  Each such party shall file with the Trustee information
appropriate to receiving such form of telephonic or electronic transmission.

         Any notice required to be given hereunder to any Rating Agency then
maintaining a rating on the Bonds, as well as a duplicate copy of each notice
given hereunder by the Trustee to the holders of the Bonds, shall be given by
the Trustee via first class mail to the following Rating Agency at the
following address (or at such different address as may be specified in writing
to the Trustee by the Rating Agency):  Standard & Poor's Ratings

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Group, 25 Broadway, New York, New York 10004, Attention: Financial
Institutions/LOC.

         Section 11.6.    Evidence of Rights of Bondholders.

                 (a)      Any request, consent or other instrument required by
         this Indenture to be signed and executed by Bondholders may be in any
         number of concurrent writings of substantially similar tenor and may
         be signed or executed by such Bondholders in person or by agent or
         agents duly appointed in writing.  Proof of the execution of any such
         request, consent or other instrument or of a writing appointing any
         such agent, shall be sufficient for any purpose of this Indenture and
         shall be conclusive in favor of the Trustee, the Registrar and the
         County if made in the manner provided in this Section.

                 (b)      The fact and date of the execution by any person of
         any such request, consent or other instrument or writing may be proved
         by the affidavit of a witness of such execution or by the certificate
         of any notary public or other officer of any jurisdiction, authorized
         by the laws thereof to take acknowledgments of deeds, certifying that
         the person signing such request, consent or other instrument or
         writing acknowledged to him or her the execution thereof.

                 (c)      The ownership of registered Bonds shall be proved by
         the Bond register maintained by the Registrar pursuant to Section
         II.2.4 hereof.  The fact and the date of execution of any request,
         consent or other instrument may also be proved in any other manner
         which the Trustee may deem sufficient.  The Trustee may nevertheless,
         in its discretion, require further proof in cases where it may deem
         further proof desirable.

                 (d)      Any request, consent or vote of the holder of any
         Bond shall bind every future holder of the same Bond and the holder of
         any Bond issued in exchange therefor or in lieu thereof, in respect of
         anything done or suffered to be done by the Trustee or the County in
         pursuance of such request, consent or vote.

                 (e)      Except as otherwise provided herein, in determining
         whether the holders of the requisite aggregate principal amount of
         Bonds have concurred in any demand, request, direction, consent or
         waiver under this Indenture, Bonds which are owned by the County, by
         the Borrower or by any other direct or indirect obligor on the Bonds,
         or by any person directly or indirectly controlling or controlled by,
         or under direct or indirect common control with, the County, the
         Borrower, or any other direct or indirect obligor on the Bonds, shall
         be disregarded and deemed not to be Outstanding for the purpose of any
         such determination, provided that, for the purpose of determining
         whether the Trustee shall be protected in relying on any such demand,
         request, direction, consent or waiver, only Bonds which the Trustee
         knows to be so owned shall be disregarded.  Bonds so owned which have
         been pledged in good faith may be

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<PAGE>

         regarded as Outstanding for the purposes of this subsection
         XI.11.6.(e) if the pledgee shall certify to the Trustee the pledgee's
         right to vote such Bonds and that the pledgee is not a person directly
         or indirectly controlling or controlled by, or under direct or
         indirect common control with, the County, the Borrower or any other
         direct or indirect obligor on the Bonds.  In case of a dispute as to
         such right, any decision by the Trustee taken upon the advice of
         counsel shall be full protection to the Trustee.

                 (f)      In lieu of obtaining any demand, request, direction,
         consent or waiver in writing, the Trustee may call and hold a meeting
         of the Bondholders upon such notice and in accordance with such rules
         and regulations, including the right of the Bondholders to be
         represented and vote by proxy, as the Trustee considers fair and
         reasonable for the purpose of obtaining any such action.

         Section 11.7.    Waiver of Personal Liability.  No member, officer,
agent or employee of the County, and no officer, official, agent or employee of
the State or any department, board or agency of the State shall be individually
or personally liable for the payment of the principal of or premium or interest
on the Bonds or be subject to any personal liability or accountability by
reason of the issuance of the Bonds; but nothing herein contained shall relieve
any such member, officer, agent or employee from the performance of any
official duty provided by law or by this Indenture.

         Section 11.8.    Publication of Notices.  Any publication of notice to
be made under the provisions of this Indenture may be made in each instance
upon any day, and, except as provided in Section X.10.3, no such publication
shall be required if such notice is given by first class mail to the holders of
all Bonds then Outstanding.

         Section 11.9.    Governing Law; Venue.  This Indenture shall be
construed in accordance with and governed by the Constitution and laws of the
State applicable to contracts made and performed in the State.  This Indenture
shall be enforceable in the State, and any action arising out of this Indenture
shall be filed and maintained in the County, unless the County waives this
requirement.

         Section 11.10.   Execution in Several Counterparts.  This Indenture
may be executed in any number of counterparts and each of such counterparts
shall for all purposes be deemed to be an original; and all such counterparts,
or as many of them as the County and the Trustee shall preserve undestroyed,
shall together constitute but one and the same instrument.

         Section 11.11.   Credit Provider.  All provisions hereof regarding
consents, approvals, directions, appointments or requests by the Credit
Provider shall be deemed not to require or permit such consents, approvals,
directions, appointments or requests by the Credit Provider during any time in
which such Credit Provider has failed to honor a draft presented to it in
strict conformance with the applicable provisions of the Credit Facility, or
after the Credit Facility shall at any time for any reason cease to be valid
and binding on the Credit Provider, or while such Credit Provider is denying
further liability

                                       84

<PAGE>

or obligation under the Credit Facility (unless such Credit Facility has been
fully drawn or to the extent that the conditions to payment thereunder have not
been fully satisfied) or after such Credit Provider has rescinded, repudiated
or terminated the Credit Facility; provided, however, that nothing contained in
this Section XI.11.11 shall limit the rights of the Credit Provider as a holder
of Credit Provider Bonds.

          All provisions herein relating to the Credit Provider shall be of no
force and effect with respect to a particular Credit Provider if the applicable
Credit Facility and Credit Agreement are not in effect, there are no related
Credit Provider Bonds and all amounts owing to such Credit Provider under the
applicable Credit Agreement have been paid.

         At any time during which the Borrower has provided its first mortgage
bonds or guaranties, standby purchase agreements or other support arrangements
or evidences of indebtedness of the Borrower as the Credit Facility with
respect to the Bonds, all provisions hereof regarding consents, approvals,
directions, appointments or requests by the Credit Provider shall be deemed not
to require or permit such consents, approvals, directions, appointments or
requests by the Borrower solely by virtue of its role as provider of such
Credit Facility.

         Section 11.12.   Continuing Disclosure.  Pursuant to Section 5.9 of
the Agreement, the Borrower shall, during any Term Rate Period, undertake the
continuing disclosure requirements for the Bonds as promulgated under Rule
15c2-12, as it may from time to time hereafter be amended or supplemented, and
the County shall have no liability to the holders of the Bonds or any other
person with respect to such disclosure matters.  Notwithstanding any other
provision of this Indenture, failure of the Borrower to comply with the
requirements of Rule 15c2-12 applicable to the Bonds, as it may from time to
time hereafter be amended or supplemented, shall not be considered an Event of
Default hereunder or under the Agreement; however, the Trustee may (and, at the
request of the Remarketing Agent or the holders of at least 25% aggregate
principal amount of Outstanding Bonds and upon receipt of indemnity
satisfactory to the Trustee, shall) or any Bondholder or beneficial owner
(within the meaning of Rule 15c2-12) of any Bonds may take such actions as may
be necessary and appropriate, including seeking mandate or specific performance
by court order, to cause the Borrower to comply with its obligations under
Section 5.9 of the Agreement.

         Section 11.13.   Opinions of Bond Counsel.  For so long as Ballard
Spahr Andrews & Ingersoll (or its successor) is a nationally recognized Bond
Counsel, whenever in this Indenture it is required that prior to the taking of
any action (including but not limited to any modifications of arbitrage
covenants contained in Section VI.6.6 hereof) an opinion of Bond Counsel is
required to be delivered to the effect that such action will not adversely
affect the Tax-Exempt status of the Bonds, and such opinion is not given by
Ballard Spahr Andrews & Ingersoll, the opinion of Bond Counsel shall instead
affirmatively state, in a manner acceptable to the County and the Trustee, that
interest on the Bonds is Tax-Exempt and will remain so after the action in
question.  This Section shall apply in the same fashion with respect to the
affirmative opinion of any such successor Bond Counsel.

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<PAGE>

         IN WITNESS WHEREOF, the County has caused this Indenture to be signed
in its name and attested by its duly authorized officers, and the Trustee, in
token of its acceptance of the trust created hereunder, has caused this
Indenture to be signed in its name by its duly authorized signatory, all as of
the day and year first above written.

                                      TOOELE COUNTY, UTAH

                                      By  /s/
                                         --------------------------------
                                                       Chair

Attest:

/s/
-----------------------------
     County Clerk

                                        U.S. BANK, a national banking
[SEAL]                                  association, as Trustee

                                        By  /s/
                                           ----------------------------------
                                                  Authorized Officer

                                     86

         92

                                  EXHIBIT "A"

                                 [FORM OF BOND]

                        [See Transcript Document No. 17]

                                     A-1

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