All special or local improvements, except as the City may contribute to the cost thereof, shall be paid for by the proceeds from public improvement bonds. All moneys collected on account of the assessments for any improvements shall be applied to the payment of the bonds and interest, issued therefor, until the payment of all the said bonds. Whenever all outstanding bonds of a special or local improvement district have been paid, any moneys remaining to the credit of the district shall be transferred to a special surplus and deficiency account. Whenever there is a deficiency in any special or local improvement district account to meet the payments of outstanding bonds and interest due thereon, the deficiency shall be paid out of said surplus and deficiency account. Whenever the moneys in the surplus and deficiency account exceed 25% percent of the original principal amount of all outstanding special or local improvement district bonds issued subsequent to November 6, 1990, the Council, by ordinance, may transfer the excess over the 25% to the general fund of the City. No transfer shall occur, however, until all bonds issued prior to November 6, 1990 have been retired and paid. Whenever a special or local improvement district has paid and canceled three-fourths of its bonds issued, and for any reason the remaining assessments are not paid in time to repay the remaining bonds of the district and the interest due thereon, and there is not sufficient moneys in the surplus and deficiency account, then the city shall pay the bonds when due and the interest due thereon, and reimburse itself by collecting the unpaid assessments due the district. (Amended at election held Nov. 6, 1990)