(A) (1) The Town of Hagerstown hereby establishes a Rainy Day Fund, pursuant to I.C. 36-1-8-5.1, and the Clerk-Treasurer of the Town of Hagerstown is hereby empowered to establish a Rainy Day Fund for purposes of receiving monies authorized by Indiana law to be deposited into the Rainy Day Fund.
(2) The Clerk-Treasurer is hereby empowered to take receipt of monies ordered by the Town Council to be transferred to the fund, pursuant to I.C. 36-1-8-5, I.C. 36-1-8-5.1, and any other applicable section of Indiana law.
(B) (1) The Rainy Day Fund shall be used to receive funds pursuant to I.C. 36-1-8-5, which is applicable to all funds raised by a general or special tax levy on all the taxable property of the town. Additionally, the Rainy Day Fund shall be used to receive any and all other funds authorized by state law, including, but not limited to, I.C. 36-1-8-5.1.
(2) The town shall, whenever the purposes of a tax levy have been fulfilled and an unused and unencumbered balance remains in a fund (the fund being raised by a general or special tax levy as set forth above), order the balance of that fund be transferred as follows, unless a statute provides that it be transferred otherwise: to the General Fund or Rainy Day Fund of the town.
(3) The town, pursuant to I.C. 36-1-8-5.1, may transfer not more than 10% of the town’s total budget for that fiscal year to the Rainy Day Fund.
(4) The Rainy Day Fund is subject to the same appropriation process as other funds that receive tax money, and before making an appropriation from the Rainy Day Fund, the Town Council shall make a finding that the proposed use of the Rainy Day Fund is consistent with the intent of the Fund.
(C) (1) The intent of the Rainy Day Fund is that the funds therein shall be used by the Town of Hagerstown in the area of capital outlays, including, but not limited to, the purchase of land, buildings, improvements other than buildings, and machinery and equipment, and to provide for improvements to be made to capital equipment, including, but not limited to, existing land, buildings, improvements other than buildings, and machinery and equipment, and the costs and expenses directly related thereto. This intent is subject to future amendments by the Town Council.
(2) In order to make an appropriation from the Rainy Day Fund, the Town Council must make a finding that the proposed use of the Rainy Day Fund is consistent with the intent of the Fund.
(Ord. 3-2004, passed 3-1-2004)