[Amended 5-13-1986, effective 6-22-1986]
The Town Clerk/Manager shall serve as the Town Clerk and shall perform the duties of the Town Clerk under this Article
V.
Under the supervision of the Commission, the
Town Clerk shall have authority and shall be required to:
A. Prepare at least 45 days before the beginning of the
fiscal year an annual budget to be submitted to the Commission.
B. Assure that budget appropriations are not exceeded.
C. Maintain a general accounting system for the Town
in such form as the Commission may require, not contrary to state
law.
D. Submit at the end of each fiscal year, and at such
other time as the Commission may require, a complete financial report
to the Commission.
E. Ascertain that all taxable property within the Town
is assessed for taxation.
F. Collect all taxes, special assessments, license fees,
liens, and all other revenues (including utility revenues) of the
Town, and all other revenues for whose collection the Town is responsible,
and receive any funds receivable by the Town.
G. Have custody of all public moneys belonging to or
under the control of the Town, except as to funds in the control of
any set of trustees, and have custody of all bonds and notes of the
Town.
H. Do such other things in relation to the fiscal or
financial affairs of the Town as the Commission may require or as
may be required elsewhere in this Charter.
The Town Clerk shall provide a bond with such
corporate surety and in such amount as the Commission by ordinance
may require.
The Town shall operate on an annual budget.
The fiscal year of the Town shall begin on the first day of July in
any year and shall end on the last day of June in the following year.
The fiscal year constitutes the tax year, the budget year, and the
accounting year.
The Commission, on such date as the ordinance
determines but at least 45 days before the beginning of each fiscal
year, shall review the budget submitted by the Town Clerk. The Commission
will ensure that the budget provides a complete financial plan for
the budget year, contain estimates of anticipated revenues and proposed
expenditures for the upcoming budget year, and that the total of anticipated
revenues equals or exceeds the total of proposed expenditures. The
budget shall be a public record in the office of the Town Clerk, open
to public inspection by anyone during normal business hours.
[Amended 8-26-2009 by Res. No. 2009-18, effective 10-6-2009]
Before adopting the budget the Commission shall
consider the budget at a regular or special public meeting of the
Commissioners. Said consideration of the budget shall take place after
notice of said meeting, and the purpose thereof, is published at least
once in a newspaper having general circulation within the municipality
at least six days before said meeting. The Commission may insert new
items or may increase or decrease the items of the budget. If the
Commission increases the total proposed expenditures, it shall also
increase the total anticipated revenues in an amount at least equal
to the total proposed expenditures. The budget shall be prepared and
adopted in the form of a resolution. A favorable vote of at least
a majority of the total membership of the Commission is necessary
for adoption of the budget.
No public money may be expended without having
been appropriated by the Commission. 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
named therein.
Any transfer of funds between major appropriations
for different purposes must be approved in the form of a resolution
by the Commission before becoming effective.
No officer or employee during any budget year
may 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 is null and void. Nothing in this section 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 or other
evidence of indebtedness, nor the making of contracts for lease or
services for a period exceeding the budget year in which the contract
is made.
[Amended 8-23-2017 by Res. No. 2017-05, effective 10-13-2017]
All appropriations lapse at the end of the budget year to the
extent that they are not expended or lawfully encumbered. Any unexpended
and unencumbered funds shall be considered a surplus at the end of
the budget year and shall be either included in the anticipated revenues
for the next budget year or otherwise included in a specific Town
fund to be determined by the Town Commissioners.
[Amended 5-13-1986, effective 6-22-1986; 12-12-1989 by Res. No.
89-2, effective 1-31-1990; 8-23-2006 by Res. No. 2006-21, effective 10-12-2006]
All checks, drafts and withdrawals drawn on
any account containing funds of the Town shall be signed by two authorized
signers. The persons authorized to sign checks, drafts and withdrawals
drawn on any account containing funds of the Town shall be the five
Commissioners and the Town Clerk/Manager.
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, is 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.
From the effective date of the budget, the amount
stated therein as the amount to be raised by the property tax constitutes
a determination of the amount of the tax levy in the correspondent
tax year.
Immediately after the levy is made by the Commission
in each year, the Town Clerk shall give notice of the making of the
levy by posting a notice thereof in some public place in the Town.
He or she shall make out and mail or deliver in person to each taxpayer
or his or her agent at his or her last known address a statement of
the amount of real and/or 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 this Charter
all taxes levied on his or her property.
The taxes provided for in § C-52 (Budget
authorizes levy) of this Charter are due and payable on the first
day of July in the year for which they are levied and are overdue
and in arrears on the first day of the following October. They shall
bear interest while in arrears at the rate as may from time to time
be established by the Commission, provided that said rate does not
exceed the maximum interest rate permissible under Maryland law, for
each month or fraction of a month until paid. All taxes not paid and
in arrears after the first day of the following January shall be collected
as provided in § C-55 (Sale of tax-delinquent property)
of this Charter.
[Amended 5-13-1986, effective 6-22-1986; 8-23-2017 by Res. No. 2017-05, effective 10-13-2017]
A list of all property on which the Town taxes have not been
paid, or on which the Town has any lien for water, sewer, or other
charges which have not been paid, and which are in arrears as provided
by § C-54 (When taxes are overdue) of this Charter, shall
be turned over by the Town Clerk to the official of Talbot County
responsible for the sale of tax-delinquent property as provided by
state law. All such property for which Town taxes, water, sewer, or
other charges remain in arrears shall be sold for taxes by that county
official, in the manner prescribed by state law.
All fees received by an officer or employee
of the Town government in his or her official capacity shall belong
to the Town government and be accounted for to the Town.
The financial books and accounts of the Town
shall be audited annually as required by Maryland law.
During the first six months of any fiscal year,
the Town may borrow in anticipation of the collection of the property
tax levied for that fiscal year, and may issue tax anticipation notes
or other evidences of indebtedness as evidence of such borrowing.
Such tax anticipation notes or other evidence of indebtedness shall
be a first lien upon the proceeds of such tax and shall mature and
be paid not later than six 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 50% of the property
tax levy for the fiscal year in which the 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 Commission shall have the power to regulate all matters concerning
the issuance and sale of tax anticipation notes.
[Amended 1-11-2006 by Res. No. 2005-24, effective 3-22-2006; 5-3-2006 by Res. No. 2006-13, effective 6-22-2006]
A. In addition to the authority provided for in § C-58
of this Charter with respect to tax anticipation borrowings, the Town
shall have the power to borrow money for any proper public purpose
and to evidence such borrowing by the issuance and sale of its general
obligation bonds, notes or other evidences of indebtedness in the
manner prescribed in this section.
B. As determined by or provided for in the authorizing
ordinance and/or resolution of the Commissioners, the general obligation
bonds, notes or other evidences of indebtedness of the Town may be
issued and sold:
(1) By private (negotiated) sale without advertisement
or solicitation of competitive bids or by the solicitation of competitive
bids at public sale after publication or dissemination of the notice
of sale, as determined by the Commissioners by ordinance or resolution;
(2) For a price or prices that may be at, above or below
the par value of the bonds, notes or other evidences of indebtedness;
(3) At a rate of interest or rates of interest that may
be fixed or variable or may be determined by a method approved or
provided for by the Commissioners; and
(4) For cash or other valuable consideration.
C. The ordinance or resolution that authorizes the general
obligation bonds, notes or other evidences of indebtedness may provide
for their redemption prior to maturity, at such price or prices at,
above or below par value as determined or provided for by the Commissioners,
and for the manner of publishing or otherwise giving notice of such
redemption.
D. The Town may enter into agreements with agents, banks,
fiduciaries, insurers or others for the purpose of enhancing the marketability
of or as security for the general obligation bonds, notes or other
evidences of indebtedness and for securing any tender option granted
to holders thereof.
E. The official signatures and seals affixed to any of
the general obligation bonds, notes or other evidences of indebtedness
may be imprinted in facsimile.
F. In connection with any sale of general obligation
bonds, notes or other evidences of indebtedness by the solicitation
of competitive bids at public sale, any such competitive bids may
be delivered by electronic and/or facsimile means and/or by any other
then-commercially reasonable manner for the sale of municipal obligations
at competitive bid; and any notice of sale may be published solely
in summary form in a newspaper of general circulation in the Town
and/or in a generally recognized financial journal such as The Bond
Buyer, or any notice of sale may be disseminated solely in electronic
form and/or by any other then-commercially reasonable manner for the
sale of municipal obligations, as determined by the Commissioners
by ordinance or resolution.
G. Any resolution adopted by the Commissioners pursuant
to this § C-59 may be introduced and adopted in a single
session and shall not be subject to petition to referendum, notwithstanding
the provisions of any other section of this Charter.
H. In connection with the authorization of its general
obligation bonds, notes or other evidences of indebtedness, the Town
may pledge to the payment thereof, or provide that such obligations
shall be payable in the first instance from, any other sources of
revenue available to the Town.
I. The power conferred on the Town under this § C-59
of the Charter shall be deemed to be additional and supplemental to
any other general obligation borrowing authority granted to the Town
by Maryland public general or public local law, and the Town may authorize,
issue and secure any such general obligation debt in conformity with
this Charter and/or any other applicable law.
J. The provisions of this § C-59 shall not
apply to any tax anticipation borrowing incurred in accordance with
§ C-58 of this Charter.
K. All general obligation bonds, notes or other evidences
of indebtedness validly issued by the Town previous to the effective
date of this Charter, as amended, and all ordinances and resolutions
passed concerning them, are hereby declared to be valid, legal and
binding and of full force and effect as if herein fully set forth.
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 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.
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.
[Amended 9-8-1998 by Res. No. 1998-6,
effective 10-28-1998; 9-27-2006 by Res. No. 2006-27, effective 11-17-2006]
All purchases and contracts for the Town government
shall be made by the Commission. The Commission may provide by ordinance
for rules and regulations regarding the use of competitive bidding
and contracts for all Town purchases and contracts.
A. Except as provided in §
C-62B, C and D below, all expenditures for supplies, materials, equipment, construction of public improvements, or contractual service involving $5,000 or more shall be made on written contract. The Commission shall obtain sealed bids, in such manner as may be prescribed by ordinance, for all such written contracts. The 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 the Commission before becoming effective. The Commission may reject all bids. The Town at any time in its discretion may employ its own forces for the construction or reconstruction of public improvements without receiving bids. All written contracts may be protected by such bonds, penalties, and conditions as the Town may require.
B. Purchases and contracts under $5,000 may be made by
the Commissioners and/or the Town Clerk/Manager, provided the funds
have been appropriated in the budget for the use intended.
C. All contracts involving professional services, such
as accounting, architecture, auditing, consulting, computer maintenance
and support services, engineering, law, planning, and surveying, may
not be subject to competitive bidding, but may be negotiated by the
Town Clerk/Manager with the approval of the Commission or by the Commission
itself.
D. The Town may contract with any contractor who offers
goods, services, insurance, or construction on the same terms as provided
to (i) the State of Maryland; (ii) any other state of the United States
of America; (iii) any county or local governments or agencies of the
State of Maryland or any other state of the United States of America
[the entities listed in (i), (ii) and (iii) shall collectively be
referred to as “governmental entities”], which governmental
entities have arrived at those terms through a competitive procurement
procedure requiring bids, proposals from bidders, and analysis of
responsive bids in accordance with the applicable laws of such governmental
entities.
[Added 3-19-2008 by Res. No. 2008-03, effective 5-9-2008; amended 8-23-2017 by Res. No. 2017-05, effective 10-13-2017]
After the Town has ceased to own and ceased to have any responsibility
for operating the St. Michaels electric distribution system (the "System"),
after the Town has received all payments due to it relating to the
lease and/or sale of the System, and after the Town has made all payments
due from it relating to the System, then the balance of all such revenues,
and the balance the Town's sinking fund relating to the System, after
payment of all expenses of the Town relating to the termination of
the lease of the System to Delmarva Power & Light Company and
the sale of the System to Choptank Electric Cooperative, Inc., shall
be transferred to the Town's general fund. The funds thus transferred
to the Town's general fund shall be segregated and such funds, together
with all earnings thereon, shall be used solely for such Town capital
improvements, repairs and maintenance as deemed appropriate by the
Town Commissioners from time to time.
[Added 8-23-2017 by Res.
No. 2017-05, effective 10-13-2017]
The Town Commissioners shall segregate Town monies into separate
funds to help ensure the Town's long-term financial stability. Upon
the Town Clerk's recommendation, the Town Commissioners shall establish
by resolution the balances maintained in such funds and the methods
for maintenance. The following funds shall be established and maintained
as the Town Commissioners deem appropriate from time to time:
A. General Operating Fund. A fund used to account for all activity,
assets and liabilities of the Town except those assigned for other
purposes in another specific fund. This fund is the primary operating
fund that contains uncommitted resources that may be used for the
Town's general purposes.
B. Repair and Replacement Fund. A fund used to cover anticipated expenses
for the repair and replacement of Town facilities, equipment, and
infrastructure, otherwise known as reserve elements, as identified
in a formal reserve study, which may be updated from time to time
at the Town Commissioners' discretion and may be further defined and
described by resolution. This fund's purpose is to maintain adequate
reserves for the repair, maintenance and replacement of Town assets
over time.
C. Capital Fund. A fund used for capital projects and improvements,
including the acquisition of property and assets not accounted for
in the Repair and Replacement Fund.
D. Contingency Fund. A fund used to manage uncertain or unexpected emergencies,
events, and risks.
E. Water System Enterprise Fund. A fund used to manage the Town's water
system finances. This fund may be used for all activity related to
the Town's water system, including capital expenditures.