Sec. 7. All preliminary expenses actually incurred by such board of directors in providing necessary records, the employment of clerks, engineers, attorneys and other employees, the making of surveys, and all other expenses of whatsoever nature necessary to be paid prior to the actual taking over and operation of any utility plant and the collection of revenues therefrom, shall be met and paid in the following manner: Said board of directors for utilities shall from time to time certify such items of expense to the controller of such city, directing the controller to pay the several amounts of the items of expense, and thereupon said controller shall at once draw a warrant or warrants upon the county treasurer, which warrant or warrants shall be paid out of the general funds of such city not theretofore appropriated, without a special appropriation being made for the payment of the warrant or warrants by the city-county council; or in case there are no such general funds of said city not otherwise appropriated, the city controller shall recommend to the city-county council the temporary transfer of other funds of such city as is necessary to meet such items of expense, or the making of a temporary loan for such purpose, and such council shall, thereupon at once make such transfer of funds or authorize such temporary loan in the same manner that other temporary loans are made by such city. However, the fund or funds of such city from which such payments are made shall be fully reimbursed and repaid with six percent (6%) interest by such board of directors for utilities out of the first receipts from the operation of any such utility by said board which are not needed to defray current operating expenses and the expenses of imperative betterments.

[Pre-Local Government Recodification Citation: 19-3-24-7.]

As added by Acts 1981, P.L.11, SEC.43. Amended by P.L.136-2018, SEC.62.