(65 ILCS 5/11-130-8) (from Ch. 24, par. 11-130-8)
Sec. 11-130-8.
Rates for water fixed precedent to the issuance of bonds
shall not be reduced until all of the bonds have been fully paid, and,
whenever necessary, may be increased in amounts sufficient to provide for
the payment of the bonds, both principal and interest, and to provide
proper funds for the depreciation account and operation and maintenance
charges.
If any surplus accumulates in the operating and maintenance fund in
excess of the cost of maintaining and operating the waterworks during the
remainder of the then current fiscal year, and during the next ensuing
fiscal year, that excess may be transferred by the corporate authorities
either to the depreciation account or to the bond and interest redemption
account as the corporate authorities may designate. If any surplus
accumulates in the depreciation account over and above that which the
corporate authorities find may be necessary for the probable replacements
which may be needed during the remainder of the then present fiscal year
and the next ensuing fiscal year, that excess may be transferred to the
bond and interest redemption account. If any surplus exists in the bond and
interest redemption account that surplus shall be applied insofar as
possible in the purchase or retirement of outstanding revenue bonds payable
from that account, and for that purpose the corporate authorities are
hereby authorized to purchase bonds not due in the open market at not more
than the fair market value thereof.
(Source: Laws 1961, p. 576.)
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