Article VII - Finance

SECTION 701. TREASURER

THERE SHALL BE A TREASURER APPOINTED BY THE TOWN MANAGER. HIS COMPENSATION SHALL BE DETERMINED BY THE MAYOR AND COUNCIL. THE FINANCIAL POWERS OF THE TOWN, EXCEPT AS OTHERWISE PROVIDED BY THIS CHARTER, SHALL BE EXERCISED BY THE TREASURER UNDER THE DIRECT SUPERVISION OF THE TOWN MANAGER.

SECTION 702. POWERS AND DUTIES OF THE TREASURER.

THE POWERS AND DUTIES OF THE TREASURER SHALL BE AS PRESCRIBED BY THE MAYOR COUNCIL OR AS INDICATED ELSEWHERE IN

THE CHARTER.

SECTION 703. BOND OF TREASURER.

THE TOWN WILL BEAR THE COSTS OF THE FIDELITY BOND REQUIRED OF THE TREASURER.

SECTION 704. BUDGET.

A. THE MAYOR SHALL PREPARE OR HAVE PREPARED AND SUBMIT A BUDGET TO THE COUNCIL FOR THEIR APPROVAL. ANY BUDGET SUBMITTED SHALL PROVIDE A COMPLETE FINANCIAL PLAN FOR THE BUDGET YEAR AND SHALL CONTAIN ESTIMATES OF ANTICIPATED REVENUES AND PROPOSED EXPENDITURES FOR THE COMING YEAR. THE TOTAL OF THE ANTICIPATED REVENUES SHALL EQUAL OR EXCEED THE TOTAL OF THE PROPOSED EXPENDITURES. ANY BUDGET APPROVED AND ADOPTED BY THE MAYOR AND COUNCIL SHALL BE A PUBLIC RECORD KEPT IN THE OFFICE OF THE TOWN HALL, OPEN TO PUBLIC INSPECTION BY ANYONE DURING NORMAL BUSINESS HOURS.

B. 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 BUDGET YEAR AND THE ACCOUNTING YEAR.

SECTION 705. BUDGET ADOPTION

BEFORE ADOPTING ANY BUDGET SUBMITTED, THE MAYOR AND COUNCIL SHALL HOLD A PUBLIC HEARING THEREON AFTER TWO (2) WEEKS NOTICE THEREOF IN SOME NEWSPAPER OR A NEWSLETTER HAVING GENERAL CIRCULATION WITHIN THE TOWN. 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. THE BUDGET SHALL BE PREPARED AND ADOPTED IN THE FORM OF AN ORDINANCE. A FAVORABLE VOTE OF AT LEAST A MAJORITY OF THE ENTIRE MAYOR AND COUNCIL SHALL BE NECESSARY FOR ADOPTION. THE BUDGET MUST BE ADOPTED AND BECOME EFFECTIVE BEFORE THE FIRST DAY OF THE NEW FISCAL YEAR.

SECTION 706. TRANSFER OF FUNDS

ANY TRANSFER OF FUNDS AMONG APPROPRIATIONS IN THE ADOPTED BUDGET MUST BE APPROVED BY THE MAYOR AND COUNCIL BEFORE BECOMING EFFECTIVE.

SECTION 707. APPROPRIATIONS

NO PUBLIC MONEY MAY, AT ANY TIME, BE EXPENDED WITHOUT FIRST HAVING BEEN APPROPRIATED BY THE COUNCIL.

SECTION 708. OVER-EXPENDITURE 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 AMOUNT WHICH MAY HAVE BEEN 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.

SECTION 709. APPROPRIATIONS LAPSE AFTER ONE YEAR

ALL APPROVED 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.

SECTION 710. CHECKS

ALL CHECKS ISSUED IN PAYMENT OF SALARIES OR OTHER MUNICIPAL OBLIGATIONS SHALL BE SIGNED BY BOTH THE TOWN MANAGER AND THE MAYOR. THE COUNCIL SHALL DESIGNATE ONE OF ITS MEMBERS AS AN ALTERNATE SIGNER. THE ALTERNATE SIGNER SHALL SIGN CHECKS IN THE ABSENCE OF EITHER THE TOWN MANAGER OR MAYOR.

SECTION 711. 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. THE TAX SHALL BE LEVIED ON ALL TAXABLE PROPERTY WITHIN THE TOWN PROVIDED, THAT HOUSEHOLD FURNITURE, AND TANGIBLE PERSONAL PROPERTY NOT HELD OR EMPLOYED FOR PURPOSES OF PROFIT OR IN CONNECTION WITH ANY BUSINESS, PROFESSION, OR OCCUPATION SHALL NOT BE SUBJECT TO TAXATION FOR MUNICIPAL PURPOSES. NO AUTHORITY IS GIVEN BY THIS SECTION TO IMPOSE TAXES ON ANY PROPERTY WHICH IS EXEMPT FROM TAXATION BY AN ACT OF THE GENERAL ASSEMBLY. THE TOWN MAY ALSO COLLECT ALL LAWFUL MUNICIPAL TAXES.

SECTION 712. AMOUNT OF TAX LEVY

FROM THE EFFECTIVE DATE OF ANY 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.

SECTION 713. NOTICE OF TAX LEVY

IMMEDIATELY AFTER THE LEVY IS MADE BY THE COUNCIL IN EACH YEAR, THE TREASURER SHALL GIVE NOTICE OF THE MAKING OF THE LEVY BY POSTING A NOTICE THEREOF IN SOME PUBLIC PLACE OR PLACES IN THE TOWN. HE SHALL MAKE OUT AND MAIL OR DELIVER IN PERSON TO EACH TAXPAYER OR HIS AGENT AT HIS LAST KNOWN ADDRESS A BILL OR ACCOUNT OF THE TAXES DUE FROM HIM. THIS BILL OR ACCOUNT SHALL CONTAIN A STATEMENT OF THE AMOUNT OF REAL AND PERSONAL PROPERTY ON 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 CHARTER ALL TAXES LEVIED ON HIS PROPERTY.

SECTION 714. WHEN TAXES ARE OVERDUE

THE TAXES PROVIDED FOR IN SECTIONS 711 AND 712 OF THIS CHARTER SHALL BE DUE AND PAYABLE ON THE FIRST DAY OF JULY IN THE YEAR FOR WHICH THEY ARE LEVIED AND SHALL BE OVERDUE AND IN ARREARS ON THE FIRST DAY OF THE FOLLOWING OCTOBER. ALL TAXES OVERDUE AND IN ARREARS SHALL BEAR INTEREST AT THE RATE OF TWO-THIRDS OF ONE PERCENT (2/3 OF 1%) FOR EACH MONTH OR FRACTION OF A MONTH, COMPOUNDED MONTHLY, UNTIL PAID. ALL TAXES NOT PAID AND IN ARREARS SHALL BE COLLECTED AS PROVIDED IN SECTION 715 OF THIS CHARTER.

SECTION 715. SALE OF TAX DELINQUENT PROPERTY

A LIST OF ALL PROPERTY ON WHICH THE TOWN TAXES HAVE NOT BEEN PAID AND WHICH ARE IN ARREARS AS PROVIDED BY SECTION 714 OF THIS CHARTER SHALL BE TURNED OVER BY THE TOWN TREASURER 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.

SECTION 716. FEES

ALL FEES RECEIVED BY AN OFFICER OR EMPLOYEE OF THE TOWN IN HIS OFFICIAL CAPACITY SHALL BELONG TO THE TOWN AND BE ACCOUNTED FOR TO THE TOWN.

SECTION 717. AUDIT

THE FINANCIAL BOOKS AND ACCOUNTS OF THE TOWN SHALL BE AUDITED ANNUALLY BY AN INDEPENDENT CERTIFIED PUBLIC ACCOUNTANT SELECTED BY THE MAYOR AND COUNCIL.

SECTION 718. TAX ANTICIPATION BORROWING

DURING ANY FISCAL YEAR, THE TOWN SHALL HAVE THE POWER TO BORROW IN ANTICIPATION OF COLLECTION OF THE PROPERTY TAX LEVIED FOR THAT 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 FIRST LIENS UPON THE PROCEEDS OF SUCH TAX AND SHALL MATURE AND BE PAID NO LATER THAN THE END OF THE SUBSEQUENT FISCAL YEAR OR EIGHTEEN (18) MONTHS FROM THE DATE OF ISSUANCE, WHICHEVER COMES FIRST. 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 PERCENT (50%) OF THE PROPERTY TAX LEVY FOR THE FISCAL YEAR IN WHICH SUCH 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 AND SALE OF TAX ANTICIPATION NOTES.

SECTION 719. AUTHORIZATION TO BORROW MONEY

THE TOWN SHALL HAVE THE POWER TO BORROW MONEY FOR ANY PROPER

PUBLIC PURPOSE AND TO EVIDENCE SUCH BORROWING BY THE ISSUE AND SALE OF ITS GENERAL OBLIGATION BONDS, NOTES OR OTHER CERTIFICATES OF INDEBTEDNESS IN THE MANNER PRESCRIBED IN SECTIONS 31 TO 37, INCLUSIVE, OF ARTICLE 23A OF THE ANNOTATED CODE OF MARYLAND (1957)

EDITION, AS AMENDED), TITLE "MUNICIPAL CORPORATIONS," SUBTITLE "CREATION OF MUNICIPAL PUBLIC DEBT."

SECTION 720. 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 PLEDGES BE STATED IN THE BONDS, NOTES, OR OTHER EVIDENCES OF INDEBTEDNESS, OR IN THE ORDINANCE AUTHORIZING THEIR ISSUANCE.

SECTION 721. PREVIOUS ISSUES

ALL BONDS, NOTES, OR OTHER EVIDENCES OF INDEBTEDNESS VALIDLY ISSUED BY THE TOWN PREVIOUS TO THE EFFECTIVE DATE OF THIS CHARTER

AND ARTICLE 23A, SECTION 31 OF THE ANNOTATED CODE OF MARYLAND, 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.

SECTION 722. PURCHASING AND CONTRACTS

THE COUNCIL SHALL HAVE THE POWER TO PROVIDE BY ORDINANCE FOR RULES AND REGULATIONS REGARDING PURCHASING PROCEDURES SUCH AS THE USE OF COMPETITIVE BIDS AND/OR CONTRACTS.

A. ALL EXPENDITURES FOR SUPPLIES, MATERIALS, EQUIPMENT, CONSTRUCTION OF PUBLIC IMPROVEMENTS, OR CONTRACTUAL SERVICES INVOLVING MORE THAN FIVE THOUSAND DOLLARS ($5,000.00) SHALL BE MADE UTILIZING COMPETITIVE BIDS AND WRITTEN CONTRACTS. THE COUNCIL SHALL BE REQUIRED TO ADVERTISE FOR SEALED BIDS IN SUCH MANNER AS MAY BE PRESCRIBED BY ORDINANCE FOR ALL SUCH CONTRACTS. THE CONTRACT SHALL BE AWARDED TO THE BIDDER WHO OFFERS THE BEST BID, WHICH CONSIDERATION SHALL INCLUDE SUCH FACTORS AS THE LOWEST PRICE, QUALITY OF GOODS AND WORK, TIME OF DELIVERY OR COMPLETION, ABILITY TO DELIVER GOODS OR COMPLETE WORK AND RESPONSIBILITY OF BIDDERS BEING CONSIDERED AND ASSURANCE TO PROVIDE OR MAINTAIN THE EQUIPMENT OR SERVICES FOR WHICH THE BID IS SUBMITTED. ALL SUCH WRITTEN CONTRACTS SHALL BE APPROVED BY THE COUNCIL BEFORE BECOMING EFFECTIVE. THE COUNCIL SHALL HAVE THE RIGHT TO REJECT ALL BIDS AND READVERTISE. THE TOWN AT ANY TIME IN ITS DISCRETION MAY EMPLOY ITS OWN FORCES FOR THE CONSTRUCTION OR RECONSTRUCTION OF PUBLIC IMPROVEMENTS WITHOUT ADVERTISING (OR READVERTISING) FOR OR RECEIVING BIDS. THE TOWN COUNCIL BY A TWO THIRDS (2/3) VOTE MAY WAIVER THE BIDDING REQUIREMENTS OF THIS SECTION FOR GOOD CAUSE SHOWN. ALL WRITTEN CONTRACTS MAY BE PROTECTED BY SUCH BONDS, PENALTIES AND CONDITIONS AS THE TOWN MAY REQUIRE.

B. EXPENDITURES FOR SUPPLIES, MATERIALS, EQUIPMENT, CONSTRUCTION OF PUBLIC IMPROVEMENTS, OR CONTRACTUAL SERVICES INVOLVING FIVE THOUSAND DOLLARS ($5,000.00) OR LESS, BUT MORE THAN ONE THOUSAND DOLLARS ($1,000.00) NEED NOT BE MADE UTILIZING COMPETITIVE BIDS, BUT SHALL BE MADE ON WRITTEN CONTRACTS, APPROVED BY THE COUNCIL. IN THE EVENT THAT ONE THOUSAND DOLLARS OR LESS IS INVOLVED, NO WRITTEN CONTRACT IS REQUIRED.

C. ALL CONTRACTS INVOLVING PROFESSIONAL SERVICES SUCH AS

ACCOUNTING, ARCHITECTURE, AUDITING, ENGINEERING, LAW, PLANNING AND SURVEYING, MAY NOT BE ON A BID BASIS BUT SHALL BE NEGOTIATED BY THE MAYOR AND COUNCIL. THE TOWN MANAGER SHALL ADVERTISE THE INTENTION TO NEGOTIATE FOR SUCH PROFESSIONAL SERVICES PRIOR TO MAKING ANY CONTRACT IN EXCESS OF FIVE THOUSAND DOLLARS ($5,000.00).

D. WHENEVER THE STATE OF MARYLAND OR ANY DEPARTMENT THEREOF, PRINCE GEORGE'S COUNTY, THE METROPOLITAN WASHINGTON COUNCIL OF GOVERNMENTS OR MEMBER GOVERNMENT, OR ANY POLITICAL SUBDIVISION OF THE STATE OF MARYLAND HAS CONDUCTED A BID AND AWARDED A CONTRACT AUTHORIZING LOCAL GOVERNMENTS TO PURCHASE THE ITEM FOR THAT BID PRICE, THE TOWN MANAGER IS AUTHORIZED TO PURCHASE THE ITEM IN QUESTION FOR THAT BID PRICE FROM THE SUCCESSFUL BIDDER, WITHOUT HAVING TO CONDUCT BIDDING FOR THE TOWN OF LANDOVER HILLS, AS LONG AS THE TOWN MANAGER INDEPENDENTLY MAKES INQUIRES AND DOCUMENTS MARKET CONDITIONS INFORMATION AND DETERMINES THAT THE BID PRICE IS COMPETITIVE. NO PURCHASE SHALL BE MADE PURSUANT TO THIS PARAGRAPH WITHOUT THE TOWN MANAGER HAVING, AT LEAST SEVEN (7) DAYS IN ADVANCE OF EXECUTING THE PURCHASE DOCUMENTS, SO INFORMED THE TOWN COUNCIL OF HER INTENTION TO MAKE A PURCHASE.

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