§ 15.12.100. Disposition of miscellaneous revenue—Funds established.

A.

The proceeds of any fees or charges made and collected for connections to the water and sewerage system shall be deposited directly in the water and sewerage development fund, which is established. There shall also be placed in the water and sewerage development fund, as they are received, all contributions in aid of construction paid by individuals or corporations under contractual agreements. The water and sewerage development fund shall be maintained in two separate accounts which shall be designated as the "water development account" and the "sewerage development account;" and tapping fees and contributions in aid of construction derived from water system operations or development shall be accounted for in the water development account and similar receipts derived from the operation or development of the sewerage system shall be accounted for in the sewerage development account.

1.

The money in the water development account shall be used only for paying the cost of extensions, additions and capital improvements to, or purchasing and installing new equipment for, the water system of the metropolitan government and for making such reimbursements of excess contributions in aid of construction and of receipt from tapping fees as shall be required by contracts relating to the extension or development of the water system.

2.

The money in the sewerage development account shall be used only for paying the cost of extensions, additions and capital improvements to, or purchasing and installing new equipment for, the sewerage system of the metropolitan government and for making such reimbursements of excess contributions in aid of construction and of tapping fee receipts as may be required by contracts relating to the extension or development of the sewerage system.

3.

Upon the recommendation of the director and with his consent, the mayor may authorize money not needed for the purposes of one of such accounts to be used for the purposes of the other account.

4.

The fund balances and the obligations of the Nashville suburban area fund and of the water main fund shall be transferred to the water development account of the water and sewerage development fund herein created, and the Nashville suburban area fund and the water main fund shall be abolished and all transactions which formerly have been accounted for through the Nashville suburban area fund and the water main fund shall be accounted for and flow through the water development account of the water and sewerage development fund.

B.

The income from the investment of funds of the department of water and sewerage services, the disposition of which has not been specifically provided for by water and sewer revenue bond resolutions of the metropolitan government, shall be used to discharge the obligations of the metropolitan government to the department of water and sewerage for services not otherwise provided for, and the balance of such investment income shall be deposited in the surplus revenue reserve fund.

(Prior code § 40-1-6.1)