A. Net income available for disposition is limited by the balance available in the earnings account. Net income available for disposition the next fiscal year is calculated during the budget cycle as of the close of the preceding fiscal year. Income disposition must be authorized in a budget approved by the assembly.

B. Each year, before any other disposition, the inflation-proofing amount calculated in HBC 3.24.070 must be transferred from the earnings account to principal.

C. After the transfer in subsection (B) of this section, net income available for borough expenses may not exceed 3.5 percent of the average total market value of the fund for three of the four fiscal years immediately preceding the budget year. (Ord. 07-08-164 § 5)