A. Purpose: This section establishes a dedicated solid waste capital reserve fund.
B. Findings: The board of directors finds, determines, and declares that the district solid waste transfer station must be maintained in peak operating condition at all times. Replacement of components of the solid waste transfer station over and above regular maintenance will become necessary in the near future. To prepare for this eventuality, adequate reserves must be accumulated and accounted for separately.
C. Fund Established:
1. The district hereby establishes the solid waste capital reserve fund for expansion, major repair or replacement of the solid waste transfer station. The district shall deposit an amount equal to seven percent (7%) of the solid waste fund's annual operating budget each year for ten (10) years beginning in fiscal year 2000-2001. All interest earned on deposits to the reserve fund are part of the reserve fund.
2. The district may use monies deposited in the reserve fund to pay for expansion, major repair or replacement of the solid waste transfer station. The district shall replace any monies expended from the reserve fund by deposit at a minimum rate of ten percent (10%) of the expended amount each year.
3. Funds shall be maintained consistent with the requirements of Government Code section 61112. (Ord. 09-230, 1-8-2009)