Chapter 3.40
CUMULATIVE RESERVE WATER FUND*
Sections:
Article I. General Provisions
3.40.030 Allowable expenditures.
3.40.040 Purposes for betterment and not maintenance of utility system.
*Prior legislation: Ords. 365 and 373.
Article I. General Provisions
3.40.010 Establishment.
A. There is created and established a fund to be known as the water utility cumulative reserve fund.
B. Such fund shall be operated and controlled strictly as a water utility cumulative reserve fund and its income will be expended for the purposes described in this section through SMC 3.40.030. (Ord. 1002-08; Ord. 333 § 1, 1974)
3.40.020 Appropriations.
A. The water utility cumulative reserve fund shall receive and have appropriated to it all of the net proceeds derived from the sale of timber located upon the city’s real property known as the Sultan watershed.
B. “Net proceeds” means that portion of the income derived from the sale of such timber which remains after deducting the cost of removal of said timber through logging and hauling, the cost of maintaining and establishing appropriate notices required for the removal of such timber, the cost of management of said land, the cost of professional consulting services rendered in relation to the timber removal program established by the city of Sultan, and such other costs as may be reasonably deemed to be pertinent to the specific areas of expenditure described above.
C. Funds received from connection fees and excess reserve from the water operating fund may be deposited to the CR water fund. (Ord. 1002-08; Ord. 333 § 2, 1974)
3.40.030 Allowable expenditures.
The water utility cumulative reserve fund hereby established shall be utilized strictly for municipal purposes of providing funds to pay the cost in whole or in part for any betterments, improvements or extensions of the city’s water utility system which the city council may deem necessary and proper. Funds must be used for capital purposes identified in a capital budget adopted by the council annually. (Ord. 1002-08; Ord. 333 § 3, 1974)
3.40.040 Purposes for betterment and not maintenance of utility system.
It is the declared intention of the city council of the city of Sultan to specially set aside the income derived from the sale of timber from its watershed land to assist in the execution and construction, and not to expend such income for general maintenance and operation of the utility systems. (Ord. 1002-08; Ord. 333 § 4, 1974)