2005 California Streets and Highways Code Sections 19200-19202 CHAPTER 11. DISPOSITION OF FUNDS

19200.  The revenue derived from the special tax, together with all
other moneys acquired by the district, shall be paid into the county
treasury to the credit of the lighting fund of the district subject
only to the order of the governing body and shall be expended by it
only for and on behalf of the district.
19201.  Any funds arising from assessments made under this part
remaining in the county treasury after the payment of all outstanding
legal obligations incurred by the district, shall be ordered
transferred by the governing body to the city treasurer of any city
that has been incorporated since the formation of the district, and
which includes the district or a considerable portion thereof within
its corporate limits.  If no such city has been incorporated then the
funds so remaining in the county treasury shall be transferred to a
separate fund and upon the order of the governing body shall be
repaid pro rata to the persons by whom the assessments were
originally paid.
19202.  The governing body of any highway lighting district may
provide for the establishment of an accumulative capital outlay fund
for the replacement of obsolete lighting system equipment. The fund
shall be kept in reserve until appropriated in whole or in part to a
specific project.
   At any time after the creation of the fund the governing body may
transfer to it any unencumbered surplus funds remaining on hand at
the end of the fiscal year after the payment of the expenses of the
district.