(A) The municipality may establish and construct main, trunk, sanitary, storm and service sewers, and septic or sewage treatment plants, drains, and manholes either within its corporate limits or within ten miles of its corporate limits; may appropriate funds and levy taxes to accumulate funds for such purposes; may establish sewer districts as provided by SDCL Title 9; may acquire any sewer, drain, or system of sewerage and drainage already established and constructed; and may acquire land within or without the municipality for a septic or sewage treatment plant or outlet to any main sewer, and may assess the cost thereof with cost of any necessary extension or connection of such main sewer to all the property within the sewer district benefitted as provided by this chapter.
(B) The proceeds of any taxes levied for the accumulation of funds under this section shall be placed in a separate fund which may not revert at the end of the fiscal year. The municipality shall establish a maximum amount to be accumulated in the fund. The fund shall be established by a resolution adopted pursuant to SDCL Chapter 9-19.
(SDCL § 9-48-2)