AN ACT AUTHORIZING THE TOWN OF MENDON TO ESTABLISH A CAPITAL EXPENDITURE FUND.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
SECTION 1. The town of Mendon may establish and maintain a special account to be known as the Capital Expenditure Fund and may raise and appropriate money for the fund.
SECTION 2. The town may appropriate to the fund by a majority vote at an annual or special town meeting in any year an amount not to exceed $100,000 in each fiscal year.
SECTION 3. The account shall be maintained by the town treasurer as a separate account. The town treasurer may invest the funds in the separate account in the manner provided by sections 55 and 55A of chapter 44 of the General Laws. Any interest earned on the fund shall be credited to and become part of the account.
SECTION 4. The town may appropriate by a 2/3 vote at any annual or special town meeting any principal and interest in the fund for any capital purchase or debt payment for any capital purchase. A capital purchase shall be defined as any item with a life expectancy of more than 5 years and valued at $25,000 or more.
SECTION 5. This act shall take effect upon its passage.