§ 57-15-39 — Disposition of construction fund tax

Revenues raised for construction purposes must be disposed of as follows:
1. All revenues accruing from appropriations or tax levies for a construction fund,
together with such amounts as may be realized for construction purposes from all
other sources, must be placed in a separate fund known as a city construction fund,
and must be deposited and held as the sinking funds of such cities are held. Such fund
must be used solely and exclusively for the purpose of constructing waterworks
systems, sewage systems, public buildings, or such other public improvements as the
electors may have authorized and must be paid out by the custodian thereof, only
upon order of the governing body of such city, signed by the mayor or president of the
board of city commissioners and the city auditor of said city; such order must recite
upon its face the purpose for which such payment is made.
2. Any moneys remaining in a construction fund, after the completion of the payments for
any city construction fund project which has cost seventy-five percent or more of the
amount in such construction fund at the time of letting the contracts therefor, must be
returned to the general fund of the city upon the order of the governing body of such
city.
3. Upon the first day of June of each year, the custodian of any city construction fund
shall pay into the general fund of such city any moneys which have remained in such
fund for a period of ten years or more. The custodian shall consider that all payments
which have been paid from the city construction fund for building purposes have been
paid from the fund first acquired.