an amount equal to $2.00 for each paid dog license for an unaltered dog and an amount equal to $7.00 for each paid dog license for an altered dog issued during that calendar quarter. Any additional allocations for animal sterilization services shall be transferred from the General Fund to the Fund. (h) Subject to the prior approval of the Board of Animal Services Commissioners, expenditures may also be authorized for the following purposes: establishing and financing a public education program to prevent overpopulation of dogs and cats; a follow-up program to assure that animals sold or given away by the Department are spayed or neutered; and for any additional costs incurred by the City of Los Angeles because of the enactment of Sections 30503 and 31751 of the California Food and Agricultural Code. (i) Spaying and Neutering Fees. The Department may enter into cooperative agreements with other animal control agencies, society for prevention of cruelty to animal shelters, humane society shelters and rescue groups and with veterinarians licensed to practice veterinary medicine in this state, in lieu of requiring spaying and neutering prepayments in order to carry out the requirements of this Section. (1) Fee Amounts. The Department shall not sell or give away any dog, cat or rabbit that has not been spayed or neutered before placement with the owner. A fee of $40.00 for spaying or neutering shall be collected by the Department at the time of adoption or sale for any dog, cat or rabbit that is a suitable candidate for spaying or neutering surgery. The fee will be used to pay for veterinary services. (2) Prepayment Alternative. If a veterinarian licensed to practice veterinary medicine in this state certifies that a dog, cat or rabbit is too sick or injured to be spayed or neutered or that it would otherwise be detrimental to the health of the dog or cat to be spayed or neutered, at the time of adoption or sale, the Department shall collect a prepayment fee of $40.00. All such prepayment fees shall be deposited in the Fund. (3) Prepayment of Spaying and Neutering Fees.