(a) All of the proceeds of the real estate transfer tax shall be specifically pledged for the acquisition of real estate for public purposes for the Town, for capital improvements of the Town or for both such purposes, including, without limitation, payment of any obligations of the Town entered into for such purposes. The proceeds of the real estate transfer tax shall be deposited in the Capital Improvement Fund, or any other special fund of the Town as the Town Council shall determine from time to time.

(b) Five percent (5%) of the unencumbered revenues collected and received by the Town through the real estate transfer tax imposed pursuant to this Article shall be dedicated to and deposited in a separate Open Space Fund as established under Section 4-1-30 of this Code; fifteen percent (15%) of the unencumbered revenues collected and received by the Town through the real estate transfer tax imposed pursuant to this Article shall be dedicated to and deposited in a separate Reserve Capital Improvement Fund as established under Section 4-1-100 of this Code. For purposes of this Section, unencumbered revenues shall mean means those tax revenues not already pledged or dedicated to debt service or obligations created or in effect prior to the collection of said revenues. In no event shall revenues dedicated and transferred into both the Open Space Fund and the Reserve Capital Improvement Fund exceed twenty percent (20%) of the total annual transfer tax revenues collected and received by the Town in any given year absent the express prior authorization of the Town Council by ordinance or resolution. (Prior code 3.12.030; Ord. 1288 §1, 2008; Ord. 1358, 2011; Ord. 1572 §1(D), 2023)