Town of Manchester, MD Finance

[Amended 1-13-2015 by Res. No. 01-2015]

There shall be a Director of Finance appointed by the Mayor with the affirmative vote of three-fifths (3/5) of the Council. The Director of Finance shall be subject to removal by the Mayor with the affirmative vote of three-fifths (3/5) of the Council, or by a vote of four-fifths (4/5) of the Council.

§ C6-2 Powers and duties of Director of Finance.

[Amended 12-28-2005 by Res. No. 01-2005; 8-8-2006 by Res. No. 01-2006]

The Director of Finance shall have authority and shall be required to:

Be responsible for the daily recording of the financial operation of the Town, including accounting, payroll and revenue collection. The Director of Finance may issue checks in payment of salaries or other municipal obligations as may have been counter-signed by the Mayor.

Prepare, with the assistance of staff members, the annual budget for submission by the Mayor to the Council.

Disburse all moneys and maintain records of expenditures versus budget appropriations.

Maintain a general accounting system for the town in such a form as the Council may approve, not contrary to state law.

Prepare, with the assistance of staff members, the reports on the financial status of the town.

Ascertain that all taxable property within the town is assessed for taxation.

Collect all taxes, special assessments, license fees, liens and all other revenues and funds receivable by the town.

Act as custodian of all public moneys, bonds, notes, and other evidence of indebtedness belonging to or under the control of the town.

Do other such things in relation to the fiscal or financial affairs of the town as the Town Administrator, the Mayor or the Council may require or as may be required elsewhere in this Charter.

§ C6-3 Bond of Director of Finance.

The Director of Finance shall provide a bond with such corporate surety and in such amount as the Council by ordinance may require, the cost thereof to be an expense of the town.

§ C6-4 Fiscal year.

The town shall operate on an annual budget. The fiscal year of the town shall begin on the first day of July and shall end on the last day of June in each year. Such fiscal year shall constitute the tax year, the budget year and the accounting year.

§ C6-5 Budget.

The Mayor, on such date as the Council by ordinance shall determine but at least thirty-two (32) days before the beginning of any fiscal year, shall submit a budget to the Council. The budget shall provide a complete financial plan for the budget year and shall contain estimates of anticipated revenues and proposed expenditures for the coming year. Each proposed budget shall be classified as and in the form and with the detail that the Mayor requires unless otherwise required by ordinance. The total of the anticipated revenues shall equal or exceed the total of proposed expenditures. The budget shall be a public record in the office of the Director of Finance, open to public inspection by anyone during normal business hours.

§ C6-6 Adoption of budget.

Before adopting the budget the Council shall hold a public hearing thereon after two (2) weeks' notice thereof in some newspaper or newspapers having general circulation within the municipality. The Council may insert new items or may increase or decrease the items of the budget. Where the Council shall increase the total proposed expenditures, it shall also increase the total anticipated revenues in an amount at least equal to such total proposed expenditures. A favorable vote of at least a majority of the total membership of the Council shall be necessary for adoption. The budget shall be prepared and adopted in the form of an ordinance which shall be submitted to the Mayor for approval or disapproval, after the approval of the Council, as provided in § C3-11.

§ C6-7 Appropriations.

From the effective date of the budget, the several amounts stated therein as proposed expenditures shall be and become appropriated to the objects and purposes named therein.

§ C6-8 Transfer of funds.

Any transfer of funds between major appropriations for different purposes must be approved by the Council by a three-fifths (3/5) vote before becoming effective.

§ C6-9 Overexpenditures forbidden.

No officer or employee shall, during any budget year, expend or contract to expend any money or incur any liability or enter into any contract which by its terms involves the expenditure of money for any purpose in excess of the amounts appropriated for or transferred to that general classification of expenditure pursuant to this Charter. Any contract, verbal or written, made in violation of this Charter shall be null and void. Nothing in this section contained, however, shall prevent the making of contracts or the spending of money for capital improvements to be financed in whole or in part by the issuance of bonds, nor the making of contracts of lease or for services for a period exceeding the budget year in which such contract is made, when such contract is permitted by law.

§ C6-10 Appropriations lapse.

All appropriations shall lapse at the end of the budget year to the extent that they shall not have been expended or lawfully encumbered. Any unexpended and unencumbered funds shall be considered a surplus at the end of the budget year and shall be included among the anticipated revenues for the next succeeding budget year.

§ C6-11 Checks.

[Amended 8-8-2006 by Res. No. 01-2006]

All checks issued in payment of salaries or other municipal obligations shall be issued and signed by the Director of Finance or the Town Administrator and shall be countersigned by the Mayor or by his facsimile.

§ C6-12 Taxable property.

All real property and all tangible personal property within the corporate limits of the town, or personal property which may have a situs there by reason of the residence of the owner therein, shall be subject to taxation for municipal purposes, and the assessment used shall be the same as that for state and county taxes. No authority is given by this section to impose taxes on any property which is exempt from taxation by any act of the General Assembly.

§ C6-13 Budget authorizes levy.

From the effective date of the budget, the amount stated therein as the amount to be raised by the property tax shall constitute a determination of the amount of the tax levy in the corresponding tax year.

§ C6-14 Notice of tax levy.

[Amended 2-8-2000 by Res. No. 03-2000]

Immediately after the levy is made by the Council in each year, the town shall give notice of the making of the levy by posting a notice thereof in some public place or places in the town. The town shall cause to be made out, mailed or delivered in person to each taxpayer or his or her agent at their last known address a bill or account of the taxes due. This bill or account shall contain a statement of the amount of real and personal property with which the taxpayer is assessed, the rate of taxation, the amount of taxes due and the date on which the taxes will bear interest. Failure to give or receive any notice required by this section shall not relieve any taxpayer of the responsibility to pay on the dates established by the Carroll County Commissioners all taxes levied on the taxpayer's property.

§ C6-15 When taxes are overdue.

[Amended 2-8-2000 by Res. No. 03-2000]

The taxes provided for in § C6-14 of this Charter shall be collected by Carroll County. These collected taxes shall be remitted to the Town by the 10th day of the following month. Taxes shall be overdue on the dates established by the Carroll County Commissioners. They shall bear interest and be subject to a penalty in the amounts specified from time to time for taxes due to Carroll County, Maryland. All taxes not paid and in arrears shall be collected as provided in § C6-16.

§ C6-16 Tax sales.

A list of all property on which the town taxes have not been paid and are in arrears as provided by § C6-15 of this Charter shall be turned over by the Director of Finance to the official of the county responsible for the sale of tax-delinquent property as provided in state law. All property listed thereon shall, if necessary, be sold for taxes by this county official in the manner prescribed by state law.

§ C6-17 Fees.

All fees received by an officer or employee of the town government in his official capacity shall belong to the town government and be accounted for to the town.

§ C6-18 Audits.

The financial books and accounts of the town shall be audited annually as required by Section 40 of Article 19 of the Annotated Code of Maryland (1957 Edition) as amended from time to time.

§ C6-19 Tax anticipation borrowing.

During the first six (6) months of any fiscal year, the town shall have the power to borrow in anticipation of the collection of the property tax levied for the fiscal year, and to issue tax anticipation notes or other evidences of indebtedness as evidence of such borrowing. Such tax anticipation notes or other evidences of indebtedness shall be a first lien upon the proceeds of such tax and shall mature and be paid not later than six (6) months after the beginning of the fiscal year in which they are issued. No tax anticipation notes or other evidences of indebtedness shall be issued which will cause the total tax anticipation indebtedness of the town to exceed fifty per centum (50%) of the property tax levy for the fiscal year in which such notes or other evidences of indebtedness are issued. All tax anticipation notes or other evidences of indebtedness shall be authorized by ordinance before being issued. The Council shall have the power to regulate all matters concerning the issuance of sale of tax anticipation notes.

§ C6-20 Payment of indebtedness.

The power and obligation of the town to pay any and all bonds, notes or other evidences of indebtedness issued by it under the authority of this Charter shall be unlimited, and the town shall levy ad valorem taxes upon all the taxable property of the town for the payment of such bonds, notes or other evidences of indebtedness and interest thereon, without limitation of amount. The faith and credit of the town is hereby pledged for the payment of the principal of and the interest on all bonds, notes or other evidences of indebtedness hereafter issued under the authority of this Charter, whether or not such pledge be stated in the bonds, notes or other evidences of indebtedness or in the ordinance authorizing their issuance.

§ C6-21 Prior bond issues.

All bonds, notes or other evidences of indebtedness validly issued by the town previous to the effective date of this Charter and all ordinances passed concerning them are hereby declared to be valid, legal and binding and of full force and effect as if herein fully set forth.

§ C6-22 Purchases and contracts.

[Amended 8-8-2006 by Res. No. 01-2006; 3-10-2009 by Res. No. 01-2009]

Under $15,000. All capital items purchases and contracts under $15,000 shall be made by the Town Administrator in accordance with the approved budget. All such purchases and contracts shall be approved by a majority of the Council before becoming effective.

$15,000 and over. All purchases and contracts for the town government shall be made by the Town Administrator. All expenditures for supplies, materials, equipment, construction of public improvements or contractual service involving more than fifteen thousand dollars ($15,000.) shall be made on written contract. The Town Administrator shall be required to advertise for sealed bids in such manner as may be prescribed by ordinance for all such written contracts. Such written contracts shall be awarded to the bidder who offers the lowest or best bid, quality of goods and work, time of delivery or completion and responsibility of bidders being considered. All such written contracts shall be approved by a majority of the Council before becoming effective. The Town Administrator shall have the right to reject all bids and re-advertise. The town at any time in its discretion may employ its own forces for the construction or reconstruction of public improvements without advertising for (or re-advertising for) or receiving bids. All written contracts may be protected with bonds, penalties and conditions as the town may require.

Negotiated contracts. All contracts involving professional services such as accounting, architecture, auditing, engineering, law, planning and surveying shall not be on a bid basis, but shall be negotiated by the Town Administrator with approval of the Mayor and Council.

Cooperative purchasing. In lieu of the competitive bid process outlined in § C6-22B, the Town Administrator may participate in cooperative or "piggyback" purchasing with other governments or intergovernmental associations providing the public notice for the bid or contract is in accordance with the rules and regulations of the soliciting entity.

Emergency purchasing. In the event of an emergency, the Mayor with the concurrence of the Vice President of the Council shall have the power to suspend the Charter requirements for purchases and contracts to secure such goods and services as deemed immediately necessary to protect public health, safety and welfare. After any instance where the Charter requirements for purchases and contracts are suspended, the Mayor shall make a full report to the Town Council on any emergency expenditure at the next scheduled Council meeting.