(A) All moneys collected from sewer use charges pursuant to this chapter shall be set aside and placed in one of three separate accounts. That portion of the sewer use charge attributable to the operation and maintenance of the sewage treatment and collection facilities shall be deposited in a (non-lapsing) fund to be used only for the purpose of defraying operation and maintenance costs of the treatment and collection facilities. Funds transferred from other revenue sources to meet temporary shortages in the operation and maintenance account shall be refunded following an appropriate adjustment in the portion of the sewer use charge allocated for operation and maintenance of the sewage treatment and collection facilities.
(B) A non-lapsing account shall be established to accrue funds to provide adequate revenues to meet equipment replacement needs of the sewage treatment plant and shall be used for no other purpose.
REPLACEMENT is defined in the Federal Regulations as "Expenditures for obtaining and installing equipment, accessories or appurtenances which are necessary during the service life of the treatment works to maintain the capacity and performance for which such works were designed and constructed."
A non-lapsing account shall be established for the deposit of funds to be used only for the purpose of paying the interest and principal of the revenue bonds issued on the sewage treatment facility. This and the two other accounts shall carry over fiscal year-end balances to meet costs in the subsequent fiscal year.
(Prior Code, § 3-236)
Statutory reference:
Authority, see Neb. RS 16-681