The city may provide by resolution or ordinance for the borrowing of funds to provide interim financing for special assessment district improvements. The amount borrowed shall bear interest at a rate or rates authorized by the council. Principal of, interest on and all costs of such financing shall be paid out of the proceeds of the sale of the special assessment district bonds issued to fund, refund or reimburse such principal, interest and costs, or out of other funds paid into the special assessment district fund. (Prior code § 2.60.090)