(A) Established. There is hereby established a Debt Service Fund to be used for the payment of the town’s bonded debt service. At the time that the town’s annual budget is adopted, the Town Council may designate that certain funds be set aside in the Debt Service Fund for use as hereinafter specified.
(B) Restricted use of Fund.
(1) The funds in the Debt Service Fund may be used to pay debt service payments on the town’s bonded indebtedness. The Town Council, by resolution, adopted by an affirmative vote of five members of the Council, may, when it deems proper, authorize the expenditure of funds from the Debt Service Fund for the payment of the town’s bonded indebtedness.
(2) The Town Council may authorize the use of the funds in the Debt Service Fund for any other appropriate public purpose of the town upon the adoption of a resolution of the Town Council by an affirmative vote of no less than seven members of the Council.
(C) Budget status report. At the time the annual budget is submitted to the Town Council for its review, there shall be included in the budget a report of the status of the Debt Service Fund.
(D) Interest. At such time as the Town Council adopts the town’s annual budget, any interest that may be earned on the Debt Service Fund may be appropriated to any public purpose other than debt service.
(Ord. 47(1978) § 1; 1997 Code)