218.1.1 CREATION OF FUND.
There is hereby established a fund to be known as the Water Revenue Fund.
218.2.1 USE OF REVENUE.
All revenues on hand and all revenues received from the distribution and sale of water within Municipal Water District No. 1, Municipal Water District No. 2, Municipal Water District No. 3 and Municipal Improvement District No. 1 and from other portions of the City, shall be paid into the Water Revenue Fund, out of which fund there shall first be paid the salary of the Water Superintendent and employees in the Water Department and the cost of operation of the municipal waterworks system and the maintenance thereof. After payment of the costs, from the remaining balance in the Water Revenue Fund, there shall be paid into Municipal Water District No. 3, Interest and Redemption Fund; Municipal Water District No. 1, Interest and Redemption Fund; and Municipal Water District No. 2, Interest and Redemption Fund; Improvement District No. 1, of the City Bond Election 1930 Interest and Sinking Fund, respectively, sufficient funds to provide for the payment of principal and interest on all bonds issued, sold and outstanding against each of the districts without any levy of taxes therefor. Such funds so placed in each of the interest and redemption funds or in such interest and sinking funds shall be used only for the payment of principal and interest on bonds issued, sold and outstanding against such district and for no other purpose.
218.2.2 SURPLUS FUNDS.
Any surplus of funds after payment of the amounts hereinbefore required to be paid may be used from time to time as the City Council may determine. The Council, however, hereby declares its policy to be, in the administration of any such surplus funds, to use such funds only for the maintenance and operation and extension of the water system of the City and for the payment of principal and interest and redemption of all outstanding bonds issued for water purposes.