A. The board of directors may establish a fund for capital outlays. After a capital outlay fund is established, the board of directors may transfer to the fund any unencumbered surplus monies remaining on hand in the district at the end of a fiscal year.

Terms Used In Arizona Laws 48-5570

  • Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
  • Outlays: Outlays are payments made (generally through the issuance of checks or disbursement of cash) to liquidate obligations. Outlays during a fiscal year may be for payment of obligations incurred in prior years or in the same year.

B. If a capital outlay fund is established, it shall be used only for capital outlay purposes, but if the board of directors finds that the fund is no longer necessary or that monies remain in the fund that are no longer required for capital outlay purposes, the board of directors, by a four-fifths vote of all members, may discontinue the fund or transfer as much of it as is no longer required for capital outlay purposes to the payment of outstanding bonds, or if there are none, to any fund for payment of current expenses of the district.

 

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