Be it enacted by the Senate and House of Representatives
in General Court assembled, and by the authority of the same,
SECTION 1. Notwithstanding the provisions of any general or special law to the contrary, the town of Saugus is hereby authorized to establish and create a separate fund to be known as the Water System Improvement Fund. There shall be credited to such fund an amount from collected water receipts equal to fifteen cents of the water rate, and such further amounts from water receipts or any other source as the town meeting may, from time to time, designate by majority vote. All income earned on amounts deposited in said fund shall be added to and become a part of the fund.
Amounts deposited or credited to said fund shall be appropriated by a majority vote of the town meeting for no other purpose other than for capital improvements to the water system of the town. In no event shall such amounts be used for salaries or expenses relating to the operation or ordinary maintenance of said system.
The treasurer of the town of Saugus shall be the custodian of said fund and may deposit or invest amounts deposited or credited thereto in such manner as may be authorized under section fifty-five of chapter forty-four of the General Laws.
SECTION 2. All votes and acts of the town of Saugus heretofore reserving and appropriating amounts deposited or credited for water improvements are hereby ratified, validated and confirmed.