(A) In accordance with the requirements of §§ 36-9-16-2 through 36-9-16-4, there is created a special fund to be known as the Cumulative Capital Improvement Fund of the Town of Kouts, Indiana, into which the cigarette taxes allotted to the Town of Kouts, Indiana, by reason of §§ 6-7-1-31.1 and 6-7-1-30.1, as amended, shall be deposited. The Fund shall be a cumulative fund and all of the monies deposited into the fund shall be appropriated and used solely for capital improvements, as defined in division (B) of this section, and none of such monies shall revert to the General Fund or be used for any purposes other than capital improvements.
(`77 Code, § 16.01)
(B) The term CAPITAL IMPROVEMENTS means the construction or improvement of any property owned by the Town of Kouts, Indiana, including but not limited to streets, thoroughfares and sewers and the retirement of general obligation bonds of the Town of Kouts, Indiana, issued and the proceeds used for the purpose of constructing capital improvements. The term CAPITAL IMPROVEMENT shall not include salaries of any public officials or employees, except those which are directly chargeable to a capital improvement.
(`77 Code, § 16.02)