A. The assembly is authorized to accept grants from the federal government, state government, or other source. All such grants shall become part of a specific fund or group of accounts if readily identifiable to such specific fund or group of accounts. All other such funds shall be deemed initially part of the general fund or unappropriated fund balance of the borough.

B. Authorization for expenditure of grant funds which are limited by the grantor to a specific use or category of use may be authorized by resolution of the assembly. Prior to action on the resolution, interested persons may be afforded an opportunity to testify.

C. Grant funds which are unlimited as to use, or subject only to general limitations, shall be appropriated by ordinance, which shall include an appropriate budget amendment.