(A) Receiving Fund. The revenues of the system shall be set aside as collected and deposited in a separate depository account at a bank qualified to do business in the State of Michigan and designated by resolution of the Township Board. The account shall be designated as the "Receiving Fund" and the revenues so deposited shall be transferred from the Receiving Fund periodically in the manner and at the times hereinafter specified.
(B) Debt Retirement Fund. Out of the revenues of the Receiving Fund, there shall be set aside a fund designated as the "Debt Retirement Fund" a sum sufficient to provide for the retirement of debt due.
(C) Replacement Fund. The township shall verify annually that the city has established and maintained a fund designated as "Wastewater Plant Replacement Fund" which shall be used solely for replacement of equipment at the new pumping stations. The amount set aside each year shall conform to the established schedule. The Replacement Fund shall be collected and deposited in a depository bank account separate from the Receiving Fund account.
(D) Improvement Fund. There shall be next established and maintained a fund designated as the "Improvement Fund" which shall be used solely for the purpose of making improvements, extensions and enlargements to the system. There shall be deposited into the fund the revenues as collected from the Improvement Fund charges. The charges shall be determined by the Township Board.
(E) Surplus Fund. Monies remaining in the Receiving Fund at the end of any operating year after full satisfaction of the foregoing funds shall be hereafter used in connection with any other project of the township directly related to the purposes of the system.
(F) Bank accounts. All monies belonging to any of the foregoing funds or accounts may be kept in one bank account in which event the money shall be allocated on the books and records of the township within the single bank account in the manner set forth above.
(G) Deficiencies in funds. In the event the monies in the Receiving Fund are insufficient to provide for the full satisfaction of the foregoing funds, any monies and/or securities or other funds of the system may be transferred to such fund, to the extent of any deficiency therein.
(H) Investment of funds. Monies in any fund or account established by the provisions of this chapter may be invested or deposited in any lawful investments or deposits and may be invested in obligations of the United States of America in a manner and subject to any limitations set forth in the laws of the State of Michigan. Income received from the investments shall be credited to the fund from which the investments were made or pro rata in the case of a single bank account.
(I) Insurance. The township shall maintain and carry insurance on all physical properties of the system which the township owns, of a kind and in the amounts normally carried by public utility companies and municipalities engaged in the operation of sanitary sewage disposal systems. All monies received from losses under the insurance policy shall be applied solely to the replacement and restoration of the property damaged or destroyed.
(Ord. 26, eff. 6-19-1982; Ord. rev. 9-5-1989)