[Adopted 12-5-1966]
A.
The purpose of this article is to provide for the
financing of a long-range capital improvement program involving future
expenditures for the purchase and construction of parklands and recreational
facilities, the building of schools and community services buildings,
the construction of new roads and the improvement of the existing
highway system, the acquisition and improvement of public water supply
facilities, the construction of a stormwater drainage system, the
construction of a sanitary sewer system, the construction of new municipal
buildings and other and further capital improvements as may be found
necessary or desirable in the future.
B.
In addition, it shall be the purpose of this article
to provide for the financing of a capital equipment program involving
expenditures for the purchase of automotive equipment and machinery
of every kind whatsoever to be utilized in the construction, maintenance
and repair of any or all municipal facilities and for the purchase
of office equipment and apparatus of every type and description to
be utilized for facilitating the operations of government in correspondence,
communications, billings, purchasing, recording, duplicating and all
other operations necessary or desirable in carrying out the operations
of municipal government generally.
Upon the authority of Chapter 108 of the General
Statutes of the State of Connecticut, as amended, there is hereby
created a Capital and Nonrecurring Expenditures Reserve Fund for the
purpose of financing capital improvement programs.
Such fund may be used for the financing of all
or part of the planning, construction, reconstruction or acquisition
of any specific capital improvement or the acquisition of any specific
item of equipment. No part of the fund shall be used for ordinary
repairs or for maintenance of a recurring nature.
[Amended 9-15-1980]
Appropriation of moneys from such fund shall
be approved by the City Council, provided that after necessary recommendation
and approval an appropriation shall be set up, plainly designated
for the project or acquisition for which it had been authorized, and
such unexpended appropriation may be continued until such project
or acquisition is completed. Any unexpended portion of such appropriation
remaining after such completion shall revert to said Capital and Nonrecurring
Expenditures Reserve Fund.
If any appropriation is duly authorized in accordance
with the provisions of the preceding section and through unforeseen
circumstances the completion of the project or acquisition for which
such appropriation has been designated is impossible to attain, upon
recommendation of the budget-making authority and approval by the
legislative body, such appropriation shall terminate and no longer
be in effect. Any unexpended portion of such appropriation remaining
after such termination shall revert to said Capital and Nonrecurring
Expenditures Reserve Fund.
[Amended 9-15-1980]
If, in the opinion of the City Council, such
reserve fund is insufficient to meet the cost of any capital or nonrecurring
expenditure which it deems immediately necessary, it may authorize
that an appropriation be made therefor, provided that the total of
such fund and the sum anticipated from a tax collected for the purposes
of implementing this article in the year following the date when such
authorization is made is estimated by said City Council to be sufficient
to meet such expenditures. Nothing herein shall prohibit the City
from supplementing said reserve fund to meet the cost of capital or
nonrecurring expenditures by issuing bonds or notes in accordance
with the applicable provisions of the statute.
[Amended 9-15-1980]
A.
Upon the approval of the City Council, there shall
be paid into such reserve fund:
(1)
Amounts authorized to be transferred thereto from
the general fund cash surplus available.
(2)
Amounts raised by the annual levy of a tax not exceeding
two mills for the benefit of such fund, and for no other purpose,
such tax to be levied and collected in the same manner as the regular
annual taxes of the City.
(3)
Surplus cash funds already held in reserve and available for such capital or nonrecurring expenditures as are contemplated by the terms of § 25-3 herein.
(4)
Surplus cash funds received from the state or federal government as grants in aid for capital expenditures otherwise funded and available for such capital or nonrecurring expenditures as are contemplated by the terms of § 25-3 herein.
(5)
Surplus cash funds remaining realized from the issuance
of bonds or notes for the completion of a capital improvement after
all obligations in connection therewith have been discharged.
(6)
Surplus cash funds realized from the sale or leasing
of capital assets, including land, buildings, automotive equipment,
machinery, fixtures and apparatus of every kind.
B.
All moneys so accumulated, together with such funds
as may be accumulated in accordance with the provisions of previous
sections, together with all interest that accrues thereon, shall be
deposited in a separate bank account by the Treasurer, which account
shall be titled "Capital and Nonrecurring Expenditures Reserve Fund
of the City of Meriden."
[Amended 9-15-1980]
The City Council may, from time to time, direct
the Treasurer to invest, in securities which are legal investments
for savings banks, such portion of the fund as in its opinion is advisable,
provided that not less than 50% of the total amount invested shall
be invested in the stocks or bonds on interest-bearing notes or obligations
of the United States, or those for which the faith of the United States
is pledged to provide for the payment of principal and interest, including
the bonds of the District of Columbia.
[Amended 9-15-1980]
The Treasurer shall annually submit a complete
and detailed report of the condition of such fund to the City Council.
Such report shall be made a part of the annual report of the City.
No payment shall be made to the reserve fund
as provided for in the foregoing sections which will cause the amount
of such funds to exceed the current tax levy of the municipality except
the addition of interest and dividends earned by such fund.
[Amended 9-15-1980]
The Capital and Nonrecurring Expenditures Reserve
Fund may be discontinued upon approval of the City Council, and said
fund shall be converted into or added to a sinking fund to provide
for the retirement of its nonserial bonded indebtedness. If the municipality
has no bonded indebtedness, such fund shall be transferred to the
general fund of the municipality.
