A. Establishment. The City establishes a Water Fund as an income fund to receive all revenues generated by the water service charge system and all other income dedicated to the operation, maintenance and replacement of the water system.

B. Revenue to be held by Clerk/Treasurer. All revenue generated by the water service charge system shall be held by the Clerk/Treasurer separate from all other funds of the City.

C. Expenditures. Revenue generated by the water service charge system shall be used to compensate operation, maintenance and replacement costs.