(A) There is hereby establishing a rainy day fund to receive transfers of unused and unencumbered funds raised by a general or special tax levy on taxable property within the town whenever the purpose of the tax levy has been fulfilled and an unused and unencumbered balance remains.
(B) The funds on deposit in the rainy day fund may be used for the operation of the town, when the town does not have sufficient levies or funds to pay the costs including, but not limited to, salaries and wages, costs of services, supplies, equipment, capital improvements, repairs and similar expenditures.
(C) On or before December 31 of each year, the Town Council may determine the amount, if any, of any unused and unencumbered funds available to be transferred to the rainy day fund, which transfer may not exceed more than 10% of the town's total budget for that fiscal year.
(D) The Town Council may authorize the expenditure of funds from the rainy day fund by appropriation made in the same manner as other funds that receive tax money, upon finding that the proposed use is consistent with the intent of the fund.
(Ord. 01-06, passed 12-17-2001)