A. It is the intention of this city to hereby adopt and earmark revenue for a capital improvement program which shall consist of a plan for anticipating capital expenditures to be incurred each year over a fixed period of years to meet capital needs arising from long term work programs.
B. A sum not to exceed five percent (5%) of the money received from the all purpose mill levy may be set aside and placed in a separate fund known as the capital improvement program fund, earmarked for the replacement and acquisition of property, plant, and equipment costing in excess of five thousand dollars ($5,000.00) and having a life expectancy of five (5) years or more.
C. Prior to final adoption of a budget each year, the mayor shall present to the commission a proposal for the expenditure of any or all of the monies held in the capital improvement program fund.
D. Money in the capital improvement program fund may be deposited in savings or time deposits in a state or national bank, savings and loan association, or credit union insured by the Federal Deposit Insurance Corporation, Federal Savings and Loan Insurance Corporation or National Credit Union Administration or in direct obligations with the United States government, as seems most appropriate with a view to maintaining the principal of said fund earning the maximum rate of interest consistent with such preservation. (Ord. 162, 1-20-1987)