The Fiscal Year of the Town shall begin on the
first day of July and end on the last day of June.
(1)
Not later than 75 days before the Annual Town Meeting,
the Town Manager shall submit to the Board of Selectmen and the Budget
Committee his/her recommendations and a proposed budget for the ensuing
fiscal year.
(2)
At least 45 calendar days before the vote of the Annual
Town Meeting on the budget, the Board of Selectmen shall complete
the proposed Town budget for all the departments for the ensuing fiscal
year, and an accompanying message.
(3)
The Board of Selectmen shall hold a public informational
meeting on the proposed budget at least 10 days before the Annual
Town Meeting.
The budget message shall explain the proposed
budget both in fiscal terms and in terms of the work plans. It shall
outline the proposed financial policies of the Town for the ensuing
fiscal year; describe the important features of the proposed budget;
indicate any major changes from the current year in financial policies,
expenditures, and revenues together with the reason for such changes;
summarize the Town's debt position; and include such other material
as the Town Manager deems desirable.
The proposed budget shall provide a complete
financial plan of all Town funds and activities for the ensuing fiscal
year and, except as required by law or this Charter, shall be in such
form as the Town Manager deems desirable or the Board of Selectmen
shall require. In organizing the proposed budget, the Town Manager
shall utilize the most feasible combination of expenditure classifications
by fund, organization unit, program, purpose or activity, and object.
It shall begin with a clear general summary of its contents; shall
show in detail all estimated income, and all proposed expenditures,
including debt service, for the ensuing fiscal year; and shall be
so arranged as to show comparative figures for actual and estimated
income and expenditures of the preceding year. It shall indicate in
separate sections:
Each budget article presented to the Annual
Town Meeting shall set forth a specific sum to be raised or appropriated
for a specific purpose. Each such article shall be accompanied by
recommendations from the Board of Selectmen and the Budget Committee,
which recommendations shall be printed in the warrant for the Annual
Town Meeting and on the Annual Budget Referendum ballot. If any article
fails to pass, it shall be funded at the previous year's approved
amount.
(1)
Submission to Town Manager. The Board of Selectmen
shall prepare and present a ten-year capital improvement program at
least 90 calendar days prior to the final date for submission of the
proposed budget.
(2)
Contents of Capital Improvement Program. The Capital
Improvement Program shall include:
(a)
A clear general summary of its contents;
(b)
A list of all capital improvements which are
proposed to be undertaken during the five fiscal years next ensuing,
with appropriate supporting information as to the necessity for such
improvements;
(c)
Cost estimates, method of financing and recommended
time schedules for each such improvement; and
(d)
The estimated annual cost of operating and maintaining
the facilities or capital items to be constructed or acquired.
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The above information may be revised and extended
each year with regard to capital improvements still pending or in
process of construction or acquisition.
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(1)
Fiscal cooperation. The Budget Committee shall make
recommendations to the Board of Selectmen to promote coordinated financial
planning and fiscal cooperation among all municipal and quasi-municipal
agencies and organizations within the Town.
(2)
Notice and hearing. The Board of Selectmen shall publish
as soon as possible in one or more newspapers of general circulation
in the Town the general summary of the proposed budget and a notice
stating:
(3)
Amendment before adoption. After the public hearing,
the Board of Selectmen may finalize the proposed budget with or without
amendment. In amending the proposed budget, it may add or increase
programs or amounts and may delete or decrease any program or amounts,
except expenditures required by law or for debt service or for estimated
cash deficit.
(4)
Filing with Town Clerk. The Board of Selectmen must
file with the Town Clerk a certification page of all articles for
the Annual Budget Referendum and any associated appendices for the
warrant at least 45 days before the Annual Town Meeting.
(1)
Adoption by secret ballot referendum at Annual Town
Meeting. The annual budget shall be voted on by secret ballot referendum
on the second Tuesday in June at the Annual Town Meeting.
(2)
Articles for Annual Budget Referendum. The ballot
shall consist of up to 20 articles and shall include the following
articles:
(3)
Form of articles for Annual Budget Referendum. In
the warrant, each article shall make reference to an appendix item,
which shall break down the overall expenditure by category and department.
Each article for the Annual Budget Referendum shall contain the recommendations
of the Board of Selectmen and the Budget Committee both in the warrant
and on the ballot. Except when seeking to appropriate funds from the
Undesignated Fund Balance, each article on the Annual Budget Referendum
ballot shall be worded as follows:
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"Shall the Town vote to raise and appropriate
$__________ for _________________."
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Board of Selectmen Recommends
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(Yes/No)
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(# For / # Against)
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Budget Committee Recommends
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(Yes/No)
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(# For / # Against)
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"If this Article is defeated, the appropriation
for this Article shall be the amount approved at last year's Annual
Budget Referendum."
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If the article seeks to appropriate funds from
the Undesignated Fund Balance, the article shall be presented as prescribed
in this subsection except that the question shall read as follows:
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"Shall the Town vote to appropriate and expend
from the Undesignated Fund Balance $ ________________ for _________________."
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(4)
LD-1 override. If the proposed budget would require
an over-ride of the municipal spending limit established by LD-1 [30-A
M.R.S.A. § 5721-A(7), as amended)], an article for that
purpose shall be added to the Annual Budget Referendum ballot. If
the over-ride article is defeated, the Board of Selectmen shall then
take such further action as it deems necessary to prevent or minimize
any deficit and for that purpose it may, by ordinance, reduce one
or more appropriations.
(1)
Projects financed through bonds must be submitted to voters. All capital projects which are to be financed through the issuance of bonds must be submitted to the qualified voters of the Town by secret ballot referendum at the Annual Town Meeting or at a Special Town Meeting, after public hearings in the manner and form prescribed in Section 2.13(2), and shall become effective immediately after such Town Meeting, provided a majority of the legal votes cast shall be in the affirmative.
(2)
Ballots. The Town Clerk shall prepare the necessary
ballots for said secret ballot referendum. The question for each project
proposed shall be as follows:
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"Shall the Town of Wells Board of Selectmen
be authorized to issue bonds in a total amount not to exceed ___________
for the purpose of __________."
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Yes _____ No _____
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Board of Selectmen Recommends
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(Yes/No)
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(# For / # Against)
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Budget Committee Recommends
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(Yes/No)
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(# For / # Against)
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The municipal Treasurer shall prepare a signed
statement which shall be printed on or accompany each ballot. The
statement must set forth:
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(1)
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The total amount of bonds of the municipality
outstanding and unpaid; the total amount of bonds of the municipality
authorized and unissued; the total amount of bonds of the municipality
contemplated to be issued if the project(s) submitted receive voter
approval; and the bonding limit of the municipality;
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(2)
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A brief and general description of each project
together with an estimate and explanation of costs involved including
varying interest rates, the estimated cost of interest on the bond
amount to be issued, the total cost of principal and interest to be
paid at maturity and any other substantive information relating to
the debt of the municipality as the Treasurer may deem appropriate;
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(3)
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A statement that the validity of the bonds and
of the voters' ratification of the bonds may not be affected by any
errors in the estimate made pursuant to Paragraph (2). If the actual
amount of the total debt service for the bonds varies from the estimate,
the ratification by the voters is nevertheless conclusive and the
validity of the bonds is not affected by reason of the variance; and
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(4)
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A listing of proposed revenue sources if the
bonds are to be financed, in whole or in part, by other than general
property taxes.
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Copies of the budget and the Capital Improvement
Program as adopted shall be public records and shall be made available
to the public at suitable places in the Town.
(1)
Supplemental appropriations. If during the fiscal
year the Town Manager certifies that there are available for appropriation
revenues in excess of those estimated in the budget, the Board of
Selectmen by ordinance may make supplemental appropriations for the
year up to the amount of such excess, but not to exceed an aggregate
amount of $50,000.
(2)
Emergency appropriations. To meet a public emergency affecting life, health, property or the public peace, the Board of Selectmen may make emergency appropriations. Such appropriations may be made by emergency ordinance in accordance with the provisions of Section 2.14. To the extent that there are no available unappropriated revenues to meet such appropriations, the Board of Selectmen may by such emergency ordinance authorize the issuance of emergency notes, which may be renewed from time to time, but the emergency notes and renewals shall be paid not later than the last day of the fiscal year in which the emergency appropriation was made.
(3)
Reduction of appropriations. If at any time during
the fiscal year it appears probable to the Town Manager that the revenues
available will be insufficient to meet the amount appropriated, he/she
shall report to the Board of Selectmen without delay, indicating the
estimated amount of the deficit, any remedial action taken by him/her,
and his/her recommendations as to any other steps to be taken. The
Board of Selectmen shall then take such further action as it deems
necessary to prevent or minimize any deficit and for that purpose
it may, by ordinance, reduce one or more appropriations.
(4)
Transfer of appropriations. At any time during the
fiscal year the Town Manager may transfer part or all of any unencumbered
appropriation balance among programs within a Department or office
and, upon written request by the Town Manager, the Board of Selectmen
may by ordinance transfer a part or all of any unencumbered appropriation
balance from one department or office to another.
(5)
Limitations; effective date. No appropriation for
debt service may be reduced or transferred, and no appropriation may
be reduced below any amount required by law to be appropriated or
by more than the amount of the unencumbered balance thereof. The supplemental
and emergency appropriations and reduction or transfer of appropriations
authorized by this section may be made effective immediately upon
adoption.
Except as otherwise provided in this Charter
or by law, every appropriation, after review by the Board of Selectmen,
may lapse at the close of the fiscal year into the Undesignated Fund
Balance to the extent that it has not been expended or encumbered.
An appropriation for a capital expenditure shall continue in force
until the purpose for which it was made has been accomplished or abandoned.
(1)
Work plans and allotments. At such time as the Town
Manager shall specify, each department or office shall submit work
plans for the ensuing fiscal year showing the requested allotments
of its appropriation by periods within the year. The Town Manager
shall review with the Board of Selectmen and authorize such allotments
with or without revision as early as possible in the fiscal year.
The Town Manager may revise such allotments during the year if he/she
deems it desirable and shall revise them to accord with any supplemental,
emergency, reduced or transferred appropriation.
(2)
Payments and obligations prohibited. No payment shall
be made or obligation incurred against any allotment or appropriation
except in accordance with appropriations duly made and unless the
Town Manager or his/her designee first certifies that there is a sufficient
unencumbered balance in such allotment or appropriation and that sufficient
funds therefrom are or will be available to cover the claim or to
meet the obligation when it becomes due and payable. Any authorization
of payment or incurring of obligation in violation of the provisions
of this Charter shall be void and any payment so made illegal. Such
action shall be cause for removal of any officer who knowingly authorized
or made such payment or incurred such obligations, and the officer
shall also be liable to the Town for any amount so paid. However,
except where prohibited by law, nothing in this Charter shall be construed
to prevent the making or authorizing of payments or making of contracts
for capital improvements to be financed wholly or partly by the issuance
of bonds or to prevent the making of any contract or lease providing
for payments beyond the end of the fiscal year, provided that such
action was made or approved by ordinance or by Town Meeting vote.
The Board of Selectmen shall provide for an
independent annual audit of all Town accounts and may provide for
such additional audits as it deems necessary. Such audits shall be
made by a certified public accountant or firm of such accountants
who have no personal interest, direct or indirect, in the fiscal affairs
of the Town government or any of its offices.
Prior to the end of the fiscal year, the Board
of Selectmen shall designate a firm of certified public accountants
to make an independent audit of accounts and other evidence of financial
transactions of the Town government for the current fiscal year and
to submit their report to the Board of Selectmen. Such accountants
shall not maintain any accounts or records of Town business, but shall
post-audit the records and documents maintained by the Town and any
separate or subordinate accounts maintained by another office or department
of Town government. This information shall be published in the Annual
Town Report.
