The fiscal year of the city shall begin on October 1 and end
on September 30 on the next succeeding year. Such fiscal year shall
also constitute the budget and accounting year.
On or before August 15th of the fiscal year, the city manager
shall submit to the city council a budget for the ensuing fiscal year
and an accompanying budget message.
The city manager's message shall explain the budget both in
fiscal terms and in terms of the work programs. It shall outline the
proposed financial policies of the city for the ensuing fiscal year,
describe the important features of the budget, indicate any major
changes from the current year in financial policies, expenditures,
and revenues together with the reasons for such changes, summarize
the city's debt position and include such other material as the city
manager deems desirable.
The budget and all supporting schedules shall be filed with
the person performing the duties of city secretary when submitted
to the city council and shall be open to public inspection by anyone
interested.
At the City Council meeting when the budget is submitted, the
City Council shall name the date and place of a public hearing and
shall have published in the official newspaper of the City, at least
twice (2x), or by such other means as may be allowed by state law,
the time and place, which will be not less than ten (10) days nor
more than thirty (30) days after the date of notice. At this hearing,
interested citizens may express their opinions concerning items of
expenditures, giving their reasons for wishing to increase or decrease
any items of expense.
(Ordinance 19-05-38, prop. L, adopted 5/14/19)
After public hearing, the city council shall analyze the budget,
making any additions or deletions which they feel appropriate, and
shall, at least ten days prior to the beginning of the next fiscal
year, adopt the budget by the affirmative vote of a majority of the
full membership of the city council. Should the city council take
no final action on or prior to such day, the current budget shall
be in force on a month-to-month basis until a new budget is adopted.
On final adoption, the budget shall be in effect for the budget
year. Final adoption of the budget by the city council shall constitute
the official appropriations as proposed by expenditures for the current
year and shall constitute the basis of official levy of the property
tax as the amount of tax to be assessed and collected for the corresponding
tax year. Estimated expenditures will in no case exceed proposed revenue
plus cash on hand. Unused appropriations may be transferred to any
item required for the same general purpose.
Provision shall be made in the annual budget and in the appropriation
ordinance for a contingent appropriation in an amount not more than
three percent of the total general fund expenditures, to be used in
case of unforeseen items of expenditures. This contingent appropriation
shall apply to current operating expenses and shall not include any
reserve funds of the city. Such contingent appropriation shall be
under the control of the city manager and distributed by him only
after prior approval by the city council. The proceeds of the contingent
appropriation shall be disbursed only by transfer to other departmental
appropriation, the spending of which shall be charged to the departments
or activities for which the appropriations are made.
Under conditions which may arise and which could not reasonably
have been foreseen in the normal process of planning the budget, the
city council may, by the affirmative vote of a majority of the full
membership of the city council, amend or change the budget to provide
for any additional expense in which the general welfare of the citizenry
is involved. These amendments shall be by ordinance, and shall become
an attachment to the original budget.
A copy of the budget, as finally adopted, shall be filed with
the person performing the duties of city secretary and such other
places required by state law or as the city council shall designate.
The final budget shall be printed or otherwise reproduced and sufficient
copies shall be made available for the use of all offices, agencies,
and for the use of interested persons and civic organizations.
The city manager shall submit a five-year capital program as
an attachment to the annual budget. The program as submitted shall
include:
(1) A clear
general summary of its contents;
(2) A list
of all capital improvements which are proposed to be undertaken during
the five fiscal years succeeding the budget year, with appropriate
supporting information as to the necessity for such improvements;
(3) Cost
estimates, method of financing, and recommended time schedules for
each improvement; and
(4) The estimated
annual cost of operating and maintaining the facilities to be constructed
or acquired. The above information may be revised and extended each
year with regard to capital improvements still pending or in process
of construction or acquisition.
Errors or defects in the form or preparation of the budget or
the failure to perform any procedural requirements shall not nullify
the tax levy or the tax rate.
Every appropriation, except an appropriation for a capital expenditure,
shall lapse at the close of the fiscal year 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 had been accomplished or abandoned. The purpose of any such
appropriation shall be deemed abandoned if three years pass without
any disbursement from or encumbrance of the appropriation. Any funds
not expended, disbursed or encumbered shall be deemed excess funds.
(1) The city
shall have the right and power, except as prohibited by law or this
Charter, to borrow money by whatever method it may deem to be in the
public interest.
(2) General
obligation bonds:
(A) The
city shall have the power to borrow money on the credit of the city
and to issue general obligation bonds for permanent public improvements
or any other public purpose not prohibited by law and this Charter,
and to issue refunding bonds to refund outstanding bonds previously
issued. All such bonds shall be issued in conformity with the laws
of the State of Texas and shall be used only for purposes for which
they were issued.
(B) Any
bonds issued under the provisions of this section shall not be issued
without an election. The city council shall prescribe the procedure
for calling and holding such elections, shall define the voting precincts
and shall provide for the return and canvass of the ballots cast at
such elections.
(C) If
at such elections a majority of the vote shall be in favor of creating
such a debt or refunding outstanding valid bonds of the city, it shall
be lawful for the city council to issue bonds as proposed in the ordinance
submitting same. However, if a majority of the voted polled shall
be against the creation of such debt or refunding such bonds, the
city council shall be without authority to issue the bonds. In all
cases when the city council shall order an election for the issuance
of bonds of the city, it shall at the same time submit the question
of whether or not a tax shall be levied upon the property within the
city for the purpose of paying the interest on the bonds and to create
a sinking fund for their redemption.
(3) The city
shall have the power to borrow money for the purpose of constructing,
purchasing, improving, extending or repairing of public utilities,
or any other self-liquidating municipal function not prohibited by
the Constitution and the laws of the State of Texas. With an affirmative
vote of at least five councilmembers, it shall have the power to issue
revenue bonds and to evidence the obligation created thereby. Such
bonds shall be a charge upon and payable from the properties, or interest
therein pledged, or the income therein gained from, or both. The holders
of the revenue bonds shall never have the right to demand payment
thereof out of monies raised or to be raised by taxation. All such
bonds shall be issued in conformity with the laws of the State of
Texas and shall be used only for the purpose for which they were issued.
(4) In any
budget year, the city council may, by affirmative vote of at least
five councilmembers, authorize the borrowing of money. Notes may be
issued which are repayable not later than the end of the current fiscal
year.
(1) The city
council may by ordinance, give the city manager general authority
to contract for expenditure without further approval of the city council
for all budgeted items not exceeding limits set by the city council
within the ordinance.
(2) All contracts
for expenditures or purchases involving more than the limits must
be expressly approved in advance by the city council. All contracts
or purchases involving more than the limits set by the city council
shall be awarded by the city council, in accordance with state law.
(3) Emergency
contracts as authorized by law and this Charter may be negotiated
by the city council or city manager if given authority by the city
council, without competitive bidding, and in accordance with state
law. Such emergency shall be declared by the city manager and approved
by the city council, or may be declared by the city council.
(1) No payment
shall be made or obligation incurred against any allotment or appropriation
except in accordance with appropriations duly made, unless the city
manager, or the city manager's 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 meet the obligation when it becomes due and payable.
(2) 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 payment or obligation, and the
officer shall also be liable to the city for any amount so paid.
(3) This
prohibition shall not 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, time warrants,
certificates of indebtedness, or certificates of obligation, or to
prevent the making of any contract or lease providing for payments
beyond the end of the fiscal year, providing that such action is made
or approved by ordinance.
(4) The city
manager shall submit to the city council each month a report covering
the revenues and expenditures of the city in such form as requested
by the city council.
All monies received by any person, department or agency of the
city for or in connection with the affairs of the city shall be deposited
promptly in the city depository or depositories. The city depositories
shall be designated by the city council in accordance with such regulations
and subject to the requirements as to security for deposits and interest
thereon as may be established by ordinance and law. Procedures for
withdrawal of money or the disbursement of funds from the city depositories
shall be prescribed by ordinance.
At the close of each fiscal year, and at such other times as
may be deemed necessary, the city council shall call for an independent
audit to be all accounts of the city by a certified public accountant.
No more than five consecutive annual audits shall be completed by
the same firm. The certified public accountant selected shall have
no personal interest, directly or indirectly, in the financial affairs
of the city or any of its officers. The report of audit, with the
auditor's recommendations will be made to the city council. Upon completion
of the audit, the summary shall be published immediately in the official
newspaper of the city and copies of the audit placed on file in the
office of the person performing the duties of city secretary, as a
public record.
(1) The city
shall have the power to levy, assess and collect taxes of every character
and type for any municipal purpose not prohibited by the Constitution
and laws of the State of Texas as now written or hereafter amended.
(2) The city
shall have the power to grant tax exemptions in accordance with the
laws of the State of Texas.
There shall be an office of taxation to collect taxes, the head
of which shall be the city tax collector. The city council may contract
for such services.
(1) All taxes
due in the city shall be payable at the office of the city tax collector,
or at such location or locations as may be designated by the city
council, and may be paid at any time after the tax rolls for the year
have been completed and approved. Taxes for each year shall be paid
before February 1 of the next succeeding year, and all such taxes
not paid prior to that date shall be deemed delinquent, and shall
be subject to penalty and interest as the city council shall provide
by ordinance. The city council may provide discounts for the payment
of taxes prior to January 1 in amount not to exceed those established
by the laws of the State of Texas.
(2) Failure
to levy and assess taxes through omission in preparing the appraisal
rolls shall not relieve the person, firm or corporation so omitted
from obligation to pay such current or past due taxes as shown to
be payable by recheck of the rolls and receipts for the years in question,
omitting penalty and interest.
(1) All taxable
property located in the city on January 1 of each year shall stand
charged from that date with a special lien in favor of the city for
the taxes due. All persons purchasing any such property on or after
January 1 in any year shall take the property subject to the liens
provided above. In addition to the liens herein provided, on January
1 of any year, the owner of property subject to taxation by the city
shall be personally liable for the taxes due for that year.
(2) The city
shall have the power to sue for and recover personal judgment for
taxes without foreclosure, or to foreclose its lien or liens, or to
recover both personal judgment and foreclosure. In any such suit where
it appears that the description of any property in the city appraisal
rolls is insufficient to identify such property, the city shall have
the right to plead a good description of the property to be assessed,
to prove the same, and to have its judgment foreclosing the tax lien
or for personal judgment against the owners for such taxes.