Sec. 790.113. - Use of certain portions of water service tax.

All of that portion of the tax collected upon water services provided by the City which tax is greater than such tax collected in the base year shall be appropriated to a General Fund—Special Council Reserve Account entitled Septic Tank Rehabilitation and Waterline Extension. The base year shall be fiscal year 1992-1993. The Reserve Account shall be used for the cost of constructing sewer lines or water distribution lines to septic tank failure areas upon appropriation by the Council. The funds in this reserve account shall not lapse but shall carry over from year to year. Commencing in fiscal year 1993-1994 and continuing each year thereafter, the water services tax collected in the immediately preceding year shall be increased by an assumed normal growth rate factor of four percent, so that only all of that portion of the water services tax described above which is greater than the increased amount shall be placed in the Reserve Account. To the extent that all or any portion of the water services tax which is to be appropriated or which has been previously appropriated to the reserve fund are needed to satisfy and bond debt service or coverage obligations or other covenants for bonds for which the City's public service tax is now pledged or may be pledged from time to time in the future, the provisions of this Section shall be subordinate to such bond obligations and covenants so that there shall not be appropriated to or there shall be appropriated from, or both, the reserve account any or all of such water services tax as are needed to satisfy such bond obligations and covenants. (Ord. No. 2002-794-E, § 1)