(A) Name and purpose. A fund titled “A Rainy Day Fund” shall be created and utilized to receive transfers of unused and unencumbered funds under the following sources:
(1) IC 36-1-8-5, wherein a town may transfer to the Rainy Day Fund not more than 10% of the town’s annual budget that is unused or unencumbered.
(2) All supplemental distributions of CAGIT under IC 6-3.5-1.1-21.1, COIT under IC 6-3.5-6-17.3, shall also be deposited in the Rainy Day Fund.
(3) Proceeds or receipts of miscellaneous revenues (360), and interest or investments (361), other financing sources (390), including (391) interfund operating transfers, and (395) sale of investments.
(B) Disbursements and use of proceeds of the Rainy Day Funds. Use of the Rainy Day Fund shall be used for any purpose permitted by state statues for other revenues of the town.
(C) Appropriations. The Rainy Day Fund is subject to the same appropriation process as other funds that receive tax money. The Town Council shall make a finding that any proposed use of the Rainy Day Fund is consistent with the intent of the fund before making an appropriation.
(D) Transfers. Transfers to the Rainy Day Fund shall be made after the last day of the year and before March 1, of the subsequent calendar year in accordance with IC 36-1-8-5.1.
(Ord. 0401, passed 4-12-04)