Upon receipt by the City of the notice referred to in Section 107.06 hereof, the City shall determine, by resolution, whether it will: (i) pay said contract payment from funds legally available to pay the same (hereinafter “Option A”); or (ii) assess said contract payment against the real estate subject to taxation within the corporate limits of the City benefited thereby as aforesaid in the manner provided by and for special assessments as hereinafter provided (hereinafter “Option B”). In the event that the City elects Option “A,” provision shall be made therefor in the budget of the City.