12.36.020 Expenditures.
(a) Expenditures from this fund shall be made only for those expenditures as defined in Federal Law Title 31, part 52.40 and 52.43, page 44846, as follows:
(1) In General.
(A) The fund must be used to maintain basic services which have been customarily provided to persons in the area under the jurisdiction of the city.
(B) Payments should be used for the maintenance levels of public employment and of basic services within the governmental expenditure categories outlined in reference above.
(C) The money may not be used to initiate basic services not provided during the last two fiscal years (current and preceding fiscal years).
(2) Acquisition of Supplies, Materials, and Construction.
(A) Payments may be used for the acquisition of supplies and materials only to the extent that such expenditures are incidental and necessary to the continued provision of a basic service.
(B) The expenditure of payments for construction shall be limited to structural repairs or renovations and is permissible only when necessary for the maintenance of a basic service.
(b) No money in the fund shall be used, directly or indirectly, as a contribution for the purpose of obtaining federal funds under any law of the United States which requires a contribution by the city in order to receive federal funds.
(c) The city must appropriate or obligate payments received under the federal act before the end of the six-month period which begins the day following receipt of a payment. (Ord. 624,, 1976.)