There shall be a Department of Finance headed by the Councilman-Treasurer.
The financial powers of the city, except as otherwise provided by
this Charter, shall be exercised by the City Treasurer.
The City Treasurer shall have authority and shall be required
to:
A. Disbursements. Supervise and be responsible for the disbursement
of all moneys and have control over all expenditures to assure the
budget appropriations are not exceeded.
B. Accounting system. Maintain a general accounting system for the city
in such form as state law or the Council may require.
C. Monthly statement. Submit to the Council a monthly statement of all
receipts and disbursements in such form as the Council may require.
D. Annual financial report. Submit at the end of each fiscal year a
complete financial report to the Council.
E. Assessments of taxable property. Ascertain that all taxable property
within the city is assessed for taxation.
F. Collection of taxes, etc., and receipt of funds. Collect all taxes,
special assessments, license fees, liens, interest and service charges
and all other revenues, including utility revenues, of the city and
all other revenues for whose collection the city is responsible and
receive any funds receivable by the city, including donations and
gifts.
G. Custody of public money. Have custody of all public moneys belonging
to or under the control of the city, except as to funds in the control
of any set of trustees or special commissions, and have custody of
all bonds and notes of the city.
H. Custody of investments. Have custody of all investments and invested
funds of the city or under the control of the city, except as to funds
in the control of any set of trustees or special commissions; provided,
however, that funds shall be invested or reinvested only by direction
of the Council.
I. Additional duties. Do such other things in relation to the fiscal
or financial affairs of the city as the Council may require or may
be required elsewhere in this Charter.
There shall be a Deputy Treasurer appointed by the Council upon
recommendation of the Treasurer. Such Deputy Treasurer, once appointed,
may be removed only by the same procedure required for removal of
a department head. The salary of the Deputy Treasurer shall be set
by the Council, and the position may be held by the City Clerk or
a City Manager. The Deputy Treasurer, under the direction of the Treasurer,
shall supervise and perform the functions and duties of the Department
of Finance. The Deputy Clerk will be bonded in such amount as the
Council may require.
No public money may be expended without having been appropriated
by the Council.
The city shall operate on an annual budget. Its fiscal, tax,
budget and accounting years shall be the same and shall begin on July
1 and expire the last day of June following.
A. The proposed budget for the next fiscal year shall be jointly prepared
by the Council President and the City Treasurer. The Council President
shall obtain from the head of each office, department and agency detailed
estimates of both expected revenues and proposed expenditures; and
an estimate of all capital projects pending, or which such office,
department or agency head believes should be undertaken within the
budget year and within the five (5) next succeeding years.
B. The Treasurer shall prepare a similarly detailed report of the actual
and expected revenues and expenditures for each office, department
or agency and expenditures currently being made on all capital projects.
C. From the above information and from such other information as they
may prepare or require from other city officials, the Council President
and City Treasurer shall prepare a proposed budget for the ensuing
fiscal year and a five-year capital expenditures budget. Copies of
these proposed budgets shall be distributed to each Councilman at
least sixty-five (65) days before the close of the current fiscal
year.
The budget shall provide a complete financial plan for the budget
year. It shall contain in tabular form a general summary; detailed
estimates of all anticipated revenues applicable to proposed expenditures;
all proposed expenditures; and, in parallel columns opposite the items
of anticipated revenues and proposed expenditures, the comparable
figures for the current fiscal year. Separate sections of the budget
shall show the figures for utility receipts and expenditures. Separate
provisions shall be included in the budget for the following: interest
on public debt; statutory expenditures; judgments; emergency notes;
deficits from operations of public utilities; administration of city
offices; contingent expense; and capital projects.
The proposed budget and all supporting data shall be a public
record, and a copy thereof shall be posted on the bulletin board in
the municipal offices. Sufficient copies of the budget, when approved,
shall be prepared for distribution to all councilmen and for interested
persons.
A public hearing shall be held on the proposed budget on the
second Tuesday in May in each year. At the conclusion of the public
hearing final action on the budget may be taken, and after the budget
has been approved, the annual tax levy shall be made and any changes
required in utility charges or special assessments. A favorable vote
of a majority of the total membership of the Council shall be necessary
for the adoption of the budget. The approved budget shall be filed
in the minutes of the Council and a certified copy filed in the office
of the City Treasurer. Copies shall be made and distributed to city
officials and made available to interested members of the public.
From the effective date of the budget, the several amounts stated
therein as proposed expenditures shall be and become appropriated
to the several objects and purposes therein named. Upon adoption of
the budget, the City Treasurer shall prepare quarterly allotments
of the amounts appropriated, which shall be reported to the Council
on the second Tuesday of July in each fiscal year. After approval
by the Council, no expenditures shall be authorized by any disbursing
officer of the City of Fruitland except as covered by such quarterly
allotment or upon the specific approval of the Council.
The Contingency Fund authorized by §
FC5-7 shall be under the control of the Council President. Money from the fund may be allocated by him to the various offices, departments or agencies of the city as he deems advisable, or he may authorize its expenditures for public purposes not anticipated at the time of budget adoption.
On the second Tuesday in May in each fiscal year, the Treasurer
shall report to the Council any unencumbered balances in the funds
appropriated to any office, department or agency. Such funds may then
be transferred by resolution of the Council to any other office, department
or agency or to the Contingency Fund. All unspent and unencumbered
appropriations shall lapse at the end of the budget year and shall
be included in the next years' budget as surplus.
All revenues from public utility operations by the city shall
be kept separate from other city funds. These revenues shall be used
for current operating expenses of these utilities, replacement and
extension of facilities and payment of interest and principal on bonds
issued for these purposes. If these revenues are not sufficient, the
deficit must be made up from the general funds of the city. In the
event any utility bond issue requires that certain revenues be segregated
from other utility funds and dedicated to the payment of principal
and interest of that bond issue, a separate account shall be maintained
as required by said bond issue.
[Amended 2-11-1992 by Res. No. 2-1992; 12-14-1999 by Res. No. 1-99]
All assessed and non-tax-exempt property within the limits of
the City of Fruitland, or which may have a situs there by reason of
residence of the owner therein, shall be subject to taxation for municipal
purposes and the assessment for such purposes shall be the same as
that for state and county purposes. The City of Fruitland shall not
tax property for general purposes, other than servicing bonds or notes,
at a rate greater than ten ($10.00) dollars ($10.00) on each one hundred
dollars ($100.00) of assessed evaluation.
[Amended 4-14-1992 by Res. No. 3-1992]
The taxable year shall be the fiscal year beginning on July
1 of each year. Taxes shall be overdue and in arrears on the first
day of the succeeding October and shall bear such interest and other
late charges as the general laws of Maryland shall provide. All taxes
not paid and in arrears after January 1 of the fiscal year for which
assessed shall be collected as the general laws of Maryland shall
provide.
[Amended 3-8-1983 by Res. No. 1-83]
A. To encourage industrial expansion in the City of Fruitland or to
encourage the annexation of adjacent industrial plants and/or sites
into the city, the Council is authorized to exempt from taxation for
corporate purposes the buildings owned and operated by any manufacturing
company or association newly established within or newly annexed within
the limits of the city. Such exemption may also be granted by the
Council for newly enlarged, remodeled or rehabilitated buildings to
the extent that the assessment exceeds the assessable basis of any
building or structure on which an exemption has expired. Such exemptions
shall in no case exceed a maximum of five (5) years.
B. To encourage industrial expansion in the City of Fruitland, all manufacturing
machinery shall be totally exempt from taxation by the City of Fruitland.
For the purposes of this section, "manufacturing machinery" shall
be defined to include all machinery and equipment at a fixed location
within a manufacturing plant which performs a function in the process
of turning the raw material into the finished product, which shall
include canning, bottling and labeling machinery and equipment, but
shall not include machinery or equipment used for transportation of
products or raw materials unless said transportation equipment forms
an integral part of an assembly line.
C. To encourage industrial and warehousing expansion in the City of
Fruitland, all tangible personal property held within the limits of
Fruitland, the sole purpose of which is to be incorporated into and
become a part of a manufactured product, whether or not such product
shall be manufactured within the limits of Fruitland, shall be totally exempt from taxation by the City of Fruitland.
D. To encourage commercial development within the limits of Fruitland
or to encourage the annexation of adjacent shopping centers and/or
sites into the city, twenty-five percent (25%) of the assessed valuation
of the goods, wares and merchandise held within the limits of Fruitland
for resale, either wholesale or retail, shall be exempt from taxation
during the fiscal year beginning on July 1, 1983, and thirty-five
percent (35%) of the assessed valuation of such goods, wares and merchandise
shall thereafter be exempt from taxation by the City of Fruitland.
A. The City of Fruitland shall have the power to borrow on the faith
and credit of the city from time to time as may be deemed necessary
for the general welfare of the city and its general corporate purposes;
and without limiting the generality of the foregoing, it shall have
the power to borrow for the encouragement of industrial development
and expansion in the City of Fruitland by providing plants or necessary
facilities therefor, which hereby is declared to be an essential public
and governmental purpose and necessary for the general welfare of
the city. The city may issue and sell bonds to evidence such borrowing
in accordance with § FC5-18 of this Charter or with state
law; and such bonds may be secured by a pledge of the full faith and
credit of the city or of the revenues derived from the particular
project, undertaking or property in connection with which such bonds
were authorized and issued or by a pledge both of the city's
full faith and credit and such revenues.
B. In addition, when the City of Fruitland has received a funded commitment
from the government of the United States or of the State of Maryland,
or any agency of either, for the loan, gift or grant of any funds
to be received at a time certain or upon the request of the City Council
of Fruitland, the City of Fruitland may, upon passage of a resolution
of the City Council of Fruitland with the affirmative votes of a majority
thereof, borrow upon the full faith and credit of the City of Fruitland
from time to time not to exceed eighty-five percent (85%) of the proceeds
of such loan, gift or grant and may issue its notes to evidence such
borrowing and pay such rate of interest on the sums borrowed as shall
be authorized by the resolution of the City Council; provided, however,
that all such sums so borrowed shall be repaid in full out of the
proceeds of the loan, gift or grant aforesaid.
A. Approval of issue. All proposed bond issues shall be approved by
the Council.
B. Form, interest, term, etc., of bonds. Bonds may be either coupon
or registered bonds. All bonds shall have serial maturities or have
the benefit of a sinking fund sufficient to retire the issue at maturity.
They shall be issued in such denominations, at such rates of interest
and for such period of the time as the Council may decide.
C. Signing, etc., of bonds. All bonds shall be signed by the President
of the Council, the seal of the city attached thereto and attested
by the City Clerk, except that the signature of the Council President
and said seal may be facsimiles engraved, printed or otherwise reproduced.
D. Sale of bonds.
(1) The City Treasurer shall sell bonds by sealed bids after giving two
(2) weeks' notice in one (1) or more newspapers of general circulation
in the City of Fruitland and in such other publications as the Council
may decide, except that in the case of the city's revenue bonds
and/or of any bonds for which no sealed bid was received, the City
Treasurer may, with the express advance permission and authority of
the Council in each particular instance, offer and sell such revenue
bonds at private sale, after such negotiation with one (1) or more
prospective purchasers and after such notice of the proposed sale,
to the general public or to one (1) or more prospective purchasers,
by mail or published advertisement, as the Council in its discretion
may approve and authorize. The sale of all bonds shall be carried
on under such rules and regulations as the Council may prescribe.
No bonds shall be sold except at prices approved by the Council and
at not less than their face amount.
(2) Nothing hereinbefore set forth in this subsection shall, however,
prevent the City Treasurer from selling bonds to the United States
of America or to the State of Maryland or to any agency of either
of them duly authorized to purchase municipal bonds, at private sale
upon the same terms and conditions as shall govern other purchases
of municipal bonds by the United States of America or the State of
Maryland or the duly authorized agency of either of them; nor shall
the City Treasurer be required to advertise for and to take bids on
any bond issue before selling the same at private sale to the United
States of America or the State of Maryland or any agency of either
of them.
E. Custody and delivery of bonds. When signed and attested, the bonds
shall be delivered to the City Treasurer, who shall be responsible
for their safekeeping and delivery to the purchaser.
F. Disposition of proceeds of sale. Proceeds from the sale of all bonds
shall be deposited by the City Treasurer to the credit of the City
of Fruitland in such account or accounts and under such rules and
regulations as the Council shall prescribe.
G. Effect of Article 43 of the Annotated Code of Maryland. No provision
or limitation contained in this Charter shall apply to or affect the
issuance and sale of bonds by the city pursuant to the provisions
of Article 43 of the Annotated Code of Maryland, titled "Health,"
or any amendments thereto.
H. Payment, effect, terms, conditions, security, etc., of revenue bonds. Revenue bonds issued and sold by the City of Fruitland, whether or not the full faith and credit of the city has been pledged, shall be made payable, both as to principal and interest, solely from the income, rentals, proceeds, revenues and funds of the city derived from the particular project, undertaking or property in connection with which such bonds were authorized and issued, except that payment of such bonds, both as to principal and interest, may be further secured by the pledge of any part or all of any taxes in the form of special assessments upon property in a limited and determinable area connected or associated with or specially benefited by the particular project, undertaking or property, or by a mortgage of all or any part of such particular project, undertaking or property, if title thereto is held by the city, and except that, in case of an issuance of revenue bonds for constructing, improving, equipping and acquiring parking facilities of every type and description (which facilities may include roads, streets, runways, waterways and bridges facilitating the movement of all traffic in the vicinity of parking areas), such ordinance and any trust indenture or mortgage executed pursuant thereto shall establish the security for such revenue bonds, which security may include, in addition to other security permitted by law, the assignment and pledge, in whole or in part, of rates, rentals, fees, charges or other revenues, then being or thereafter to be received by the city from parking facilities, including but not limited to collections from parking meters on public thoroughfares; and an agreement by the city to pay any deficiency in the debt service requirements of such revenue bonds for any year in which there is a deficit, provided that any such payment under any agreement or agreements shall not exceed, but shall be limited and restricted to, the sum which would be received from a tax of two cents ($0.02) per hundred dollars on the assessable basis of the city for any one (1) year. In addition, the city may enter into a trust agreement or trust indenture with any bank or trust company authorized to do business in Maryland and may make in such instrument such covenants and commitments as may be required by any purchaser for the adequate security of said revenue bonds. Revenue bonds issued under this section shall not constitute an indebtedness within the meaning of §
FC5-20 hereof and are hereby specifically exempted from the restrictions contained in Sections 9, 10 and 11 of Article 31 of the Annotated Code of Maryland, 1957 Edition, as amended. Revenue bonds issued under this section shall be authorized by ordinance and issued in one (1) or more series and bear such date or dates, mature at such time or times, bear interest at such rate or rates, not exceeding six per centum (6%) per annum, be in such denomination or denominations, be in such form either with or without coupons or registered, carry such registration privileges, have such rank or priority, be executed in such manner, be payable in such place or places; be subject to such terms of redemption (with or without premium), be secured in such manner and have such other characteristics as may be provided by such ordinances or the trust indenture or mortgage executed pursuant thereto and, in case of an issuance of revenue bonds for industrial development, shall set forth the precise terms and conditions upon which the city shall have agreed to provide a plant or plants or other necessary facilities therefor, as provided by the Council, which terms and conditions may include:
(1) Acquisition, construction and ownership by the city or by a public
nonprofit corporation of all such facilities and the lease thereof
to, or installment purchase thereof by, the industry.
(2) The acquisition, construction and ownership of all such facilities
by the industry, in whole or in part by use of funds supplied by the
city or by a public nonprofit corporation and secured by appropriate
mortgage or other security instrument payable in installments over
a period of years.
(3) The payment by the industry of an annual sum in lieu of taxes on
such facilities if such facilities of same are owned by the city or
by a public nonprofit corporation.
(4) Any other terms, provisions and restrictions which the Council may
determine to be necessary or appropriate in the circumstances.
The City of Fruitland shall have the power to borrow for current
operations in any budget year an amount not to exceed twenty-five
percent (25%) of the revenues to be collected for that budget year,
giving tax anticipation notes for such borrowings. These notes may
be renewed from time to time but must be finally paid off by the end
of the budget year next succeeding the one which the borrowing took
place. In addition, no original borrowing, nor any renewal thereof,
shall be made for an amount that will bring the total outstanding
tax anticipation indebtedness against any budget year in excess of
fifty percent (50%) of the revenues of that budget year uncollected
at the time the borrowing or renewal takes place. All notes or other
evidences of indebtedness issued under the provisions of this section
and the interest thereon shall be paid from the general tax levy of
the city. Levying or collecting any special tax for the payment of
these notes or other evidences of indebtedness is expressly prohibited.
The notes or other evidences of indebtedness issued under this section
shall be sold in the manner provided by the Council.
The issuance and sale of general obligation bonds; bond, loan
or gift anticipation notes; or tax anticipation or emergency notes,
shall constitute a pledge of the full faith and credit of the city
to the prompt payment, when due, from ad valorem taxes and such other
revenues as may be described in the authorizing ordinance or ordinances,
of the principal of and interest on such bonds or notes. The maturing
principal of and interest on any general obligation bonds may be paid
in whole or in part from the proceeds of benefit assessments or other
revenues; but, in any event, the Council shall, if and when necessary,
annually levy, upon all property within its corporate limits subject
to ad valorem taxes, taxes sufficient to provide for the payment of
the maturing principal and interest on any such bonds or notes, without
limitation of law, and the issuance and sale of any such bonds or
notes shall constitute a covenant to that effect.
At any time in the budget year the Council may, pursuant to
this section, make emergency appropriations to meet a pressing need
for public expenditures, for other than a regular or recurring requirement,
to protect the public health, safety and welfare. Such appropriation
shall be by resolution adopted by the favorable votes of at least
four-fifths (4/5) of the members of the Council. The total amount
of any emergency appropriations made in any budget year shall not
exceed five percent (5%) of the total appropriations made in the budget
year for that year. In the absence of unappropriated available revenues
to meet emergency appropriations, the Council shall in its resolution
authorize the issuance of notes, each of which shall be designated "emergency
note," but all such notes or renewals thereof shall be paid not later
than the last day of the fiscal year next succeeding the fiscal year
in which the emergency appropriation was made. They shall be sold
in the manner provided by the Council.
[Added 8-2-2005 by Res. No. 1-05]
A. The City of Fruitland shall have the power from time to time as may
be deemed necessary for the general welfare of the City and its general
corporate purposes to borrow money in amounts not to exceed Five Million
Dollars ($5,000,000.00) million per transaction, to be repayable over
a term not to exceed thirty (30) years by the execution of a Note,
Promissory Note, Mortgage or Deed of Trust, or other such instrument
evidencing debt as may be approved by the City Council in the following
manner:
(1) By Resolution: The City Council may, by simple Resolution taken upon
one reading and without requiring advertising or public hearing, authorize
the borrowing of funds for specified capital improvements, capital
projects, the purchase of vehicles, the purchase of equipment, or
some specified and specific purpose as deemed appropriate by the City
Council, PROVIDED that the purpose for which the funds will be borrowed
and spent and the maximum amount to be borrowed and spent along with
a maximum interest rate and a maximum repayment term of years have
been set forth in a previously enacted Budget Ordinance.
(2) By Ordinance: The City Council may, by Ordinance, authorize the borrowing
of funds for specified capital improvements, capital projects, the
purchase of vehicles, the purchase of equipment, or some specified
and specific purpose as deemed appropriate by the City Council, PROVIDED
that the purpose for which the funds will be borrowed and spent and
the maximum amount to be borrowed and spent along with a maximum interest
rate and the maximum repayment term of years are set forth in the
Ordinance and the same is introduced and read, and an advertised public
hearing is held before such passage. The Ordinance procedure must
be used whenever the Resolution procedure set out in A(1) above does
not apply.
B. Whenever the City Council shall authorize the borrowing of funds
and the spending of the same pursuant to this Section, whether by
Resolution or by Ordinance, it shall set forth: (1) the principal
amount of the loan; (2) the term of years upon which it shall be repaid;
(3) the terms of that repayment, including any balloon payment, call
or other such device permitting a mortization over a longer period
of time than the length of the Note with a lump sum payment at a designated
point; (4) shall state whether the full faith and credit of the City
is to be pledged; (5) the purpose for which the loan is being made;
and (6) shall designate the person authorized to execute the Note
or other evidence of indebtedness by name, office or title.
C. In the event that the City Council shall authorize the borrowing
of funds secured by the issuance of a Mortgage, Deed of Trust, Financing
Statement or other such security instrument, in addition to those
items required to be set forth in paragraph B above, the City Council
shall also identify the property that shall be subject to the Mortgage,
Deed of Trust or Financing Statement.
D. The City Council shall be authorized and empowered to approved by
Resolution or Ordinance, as may be provided herein, loans upon terms
and conditions as have been reached through a negotiation by the City
with financial institutions, which shall include, but not be limited
to, local, regional and national banks, savings and loans, savings
banks, insurance companies and other such lenders, without the requirement
that such loans be placed for public bid.
E. Nothing contained herein shall diminish, abrogate nor limit the City's power to borrow money as set forth elsewhere in Article
V of the Fruitland Charter, or in the provisions of Article 23A, or any other provisions of the Maryland Code of 1957, as amended, or elsewhere in the Maryland Code.
F. Nothing contained herein shall in and of itself authorize City to
abrogate, limit or diminish budgetary requirements of the Charter
or the Maryland Code, other than permitting those procedures set forth
herein as a method of financing.