(A) Issuance authority. The Town Council shall have the power by ordinance without an election to issue bonds for the purpose of paying all or such portion of the cost of constructing or installing any special or local improvement projects ordered pursuant to the provisions of this chapter, including the costs incidental thereto. The bonds may be of the total principal amount, date, denomination, form, terms and bear such interest as may be prescribed by the Town Council and shall be payable in a sufficient period of years after their date to cover the period of payment of the improvements to be provided. If the Town Council so determines, the bonds may be redeemable prior to maturity with or without the payment of a premium. The bonds may be issued upon estimates approved by the Town Council and may be payable in whole or in part out of the monies collected on account of the assessments made for the authorized improvements. All monies collected from the assessments for the improvements shall be applied to the payment of the bonds so issued, until payment in full is made of all the bonds, both as to principal and interest.
(C) Surplus or deficit fund. Where all outstanding bonds of a special or local improvement district have been paid and any monies remain to the credit of the district, they shall be transferred to a special surplus and deficiency fund, and whenever there is a deficiency in any special or local improvement district fund to meet the payments of outstanding bonds and interest due thereon, the deficiency shall be paid out of the surplus and deficiency fund. Whenever a special or local improvement district has paid and cancelled three-fourths of its bonds issued, and for any reason the remaining assessments are not paid in time to take up the remaining bonds of the district and the interest due thereon and there are not sufficient monies in the special surplus and deficiency fund, then the town shall pay the bonds when due and the interest due thereon, and reimburse itself by collecting the unpaid assessments due the district.
(D) Town payment. In consideration of general benefits conferred upon the town at large from the construction and installation of improvements in improvement districts, the Town Council may levy annual taxes without an election on all taxable property within the town at a rate to be determined by the Town Council, for the purpose of advancing monies to maintain current payments of interest and equal annual payments to the principal amount of bonds issued for any improvement district created pursuant to the provisions of this chapter. The proceeds of the taxes shall be placed in a special fund and shall be disbursed only for the purposes specified in this chapter, provided that in lieu of the tax levies, the Town Council may annually transfer to the special fund any available monies of the town.
(Ord. 9(1976) § 1-10(a–d))