(a) There is hereby established a special revenue fund in the City Treasury which shall be designated and known as the City Sales and Use Tax Fund. The City Sales and Use Tax Fund shall consist of:
(1) All revenues received from collection of the City's sales and use taxes, including any interest, additions to tax and penalties deposited with the City Clerk;
(2) All appropriations to the fund;
(3) All interest earned from investment of the fund; and
(4) Any gifts, grants or contributions received and placed by the City into the City Sales and Use Tax Fund.
(b) Revenues in the City Sales and Use Tax Fund shall not be treated by any person to be a general revenue of the City. Revenues in the City Sales and Use Tax Fund shall be disbursed in the manner and consistent with the priorities set forth for in subsection (c) of this section.
(c) Revenues in the City Sales and Use Tax Fund shall be used:
(1) First, to satisfy the debt service requirements each fiscal year on any bonds issued by, or other obligations incurred by, the City, from time to time, allocated or tied to such dedicated revenue account including any refunding bonds; Funds can be used to finance city-wide water, sewer, street infrastructure projects or economic development projects, recreational projects, City civic improvement projects, and for any other economic development or public safety projects, including the funding of any reserve funds relating to any such bonds or other obligations, and/or to make lease payments which secure bonds issued to finance improvement to such projects.
(2) Second, to pay for capital improvement projects on a pay as you go basis; and
(3) Third, after providing for payment of first priority items, any unencumbered revenue in the City Sales and Use Tax Fund may periodically be transferred as necessary or convenient to the City's General Revenue Fund or Account.
(Passed 12-10-20.)