(A) A separate special utility account, to be used and applied in the extension, replacement in whole or in part, repair, and operation of the town’s water utility, and to be known as the Depreciation and Replacement Fund, is hereby established.
(1) Earnings from the town’s water utility remaining after:
(a) Payment of operation and maintenance expenses of the utility;
(b) Payment of the interest and principal on revenue bonds and creation reserves for them;
(c) Payment of the interest and principal on general obligation bonds and creation reserves for them bond and interest sinking fund; and
(c) Payment of assessed taxes.
(2) Payments shall be set aside in the Depreciation and Replacement Fund, in amounts sufficient to provide for the extension, replacement in whole or in part, repair, and operation of the town’s water utility.
(B) The Depreciation and Replacement Fund shall be hereafter known as Fund 603.
(Ord. 091018, passed 9-24-2018)