(A) Establishment. There is hereby established the Permanent Improvement Revolving Fund of the city to be held and administered by the Finance Director separate and apart from all other funds of the city, for the purpose of financing local improvements.
(B) Source of funds. The Fund shall be a permanent fund of the city and the moneys necessary for its maintenance shall be provided by taxation, by the appropriation of available moneys from other funds of the city and/or by the issuance and sale of permanent improvement revolving fund bonds of the city as deemed necessary from time to time by the Council.
(C) Disposition of funds. Moneys in the Fund shall be used only as directed by resolution of the Council for the purpose of advancing to local improvement funds the cost of improvements for which assessments are to be levied. All such moneys so advanced to an improvement fund shall be restored as soon as sufficient moneys are received in the improvement fund, together with interest at a rate fixed by the Council at not less than 6% per annum during the time for which such moneys have been so furnished.
(D) Investment. Whenever there are moneys in the Fund not immediately needed for local improvements, such moneys shall be invested by the Finance Director under the direction of the Council in any securities authorized for investment of municipal sinking funds by law.
(E) Transfer of surplus. When the Fund accumulates moneys in excess of any amounts reasonably anticipated to be needed for local improvement fund advances, the Council may, by resolution adopted by a four-fifths vote, declare any part of such excess to be surplus and transfer it to the General Fund.
(1978 Code, § 304.12)