The proceeds derived by the city from its contract for garbage and trash collection service shall be kept in a separate fund, to be known as the City of Paris Combined Utility Fund. Such fund shall be used:
(A) To defray the actual out-of-pocket expenses of collecting the garbage and trash and performing services incidental thereto, including salaries and wages of employees, truck operation, and maintenance and repair;
(B) Sufficient amounts of the funds shall be retained at all times to meet the requirements of any outstanding bonds, and to provide for depreciation of the existing collection and incidental equipment and replacement thereof with more modern equipment;
(1976 Code, § 8-49)