The city council shall annually or biennially and within the first week of January,
if possible, appropriate money and credits of the city in such amounts as may be deemed
necessary and proper and set the same aside to the following designated funds to be
known as statutory funds: (1) For the fire department of the city, (2) for the police
department of the city, (3) for the health department of the city, (4) for the public
library, (5) for the purposes of the welfare board, and (6) for the purpose of paying
judgments and costs. The amounts so appropriated and set aside to such funds respectively shall be the
maximum amounts that may be appropriated to or expended from such funds within the
fiscal year or biennial period for the purposes for which such funds respectively
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