Paul working for you.

Thursday, May 1, 2014

AN ACT RELATIVE TO THE FINANCIAL CONDITION OF THE TOWN OF TEMPLETON. (Draft)

AN ACT RELATIVE TO THE FINANCIAL CONDITION OF THE TOWN OF TEMPLETON. (Draft)




Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same as follows:

SECTION 1. (a) Notwithstanding any general or special law, town charter provision or local bylaw to the contrary, the town of Templeton, with the approval of the commissioner of revenue, in this act called the commissioner, may borrow up to $600,000, as approved by the town and the commissioner, for the purpose of achieving a balanced budget for fiscal year 2014. The commissioner may limit this borrowing to an amount or amounts less than the amount or amounts approved by the town. Notwithstanding chapter 44A of the General Laws, bonds or notes issued under this act for the above purposes may be issued for a term of not more than 5 years and shall be backed by the full faith and credit of the town and the bonds and notes shall be eligible to be issued as qualified bonds or notes. Indebtedness incurred under this act shall not be included in determining the statutory limit of indebtedness of the town under section 10 of chapter 44 of the General Laws but, except as provided in this act, shall otherwise be subject to said chapter 44. Amounts raised to pay indebtedness incurred under authority of this section shall be subject to section 21C of chapter 59 of the General Laws.


(b) The maturities of each issue of bonds or notes authorized under this act, including any refunding bonds, may, if approved by the town officers authorized to issue and approve these bonds or notes, and by the commissioner, be arranged so that for each issue the amounts payable in the several years for principal and interest combined are as nearly equal as is practicable in the opinion of the officers authorized to issue and approve the bonds or notes, or in the alternative, in accordance with a schedule providing for a more rapid amortization of principal.

(c) All proceeds of any loan authorized by this act shall be deposited in the general fund of the town of Templeton.

(d) The director of accounts in the department of revenue, in this act called the director, may establish rules and procedures that he considers appropriate relating to the accounting standards applicable to the town of Templeton for the purposes of this act and otherwise.

SECTION 2.  Notwithstanding any general or special law, town charter provision or local bylaw to the contrary, and as an alternative to borrowing authorized under section 1, the town of Templeton may capitalize a sum not to exceed $600,000, for the purpose stated in Section 1, the amortization amount, and fund the amortization amount in equal or decreasing annual installments over a period starting with fiscal year 2015 and not exceeding 5 years. For fiscal year 2015, and fully subject to section 21C of chapter 59 of the General Laws, the board of assessors of the town of Templeton, may, subject to the approval of the commissioner, deduct such portion of the amortization amount as the commissioner approves as consistent with this act, from the amount to be assessed under section 23 of chapter 59. Under the conditions imposed in this act, the assessors of the town of Templeton may similarly deduct such portion of the amortized amount in any year until the amortization is completed not later than fiscal year 2019.

SECTION 3. (a) With respect to fiscal year 2015, and in any other year in which bonds, notes or an amortization amount authorized under this act remain outstanding, not later than 10 days after the adoption of the town budget, or July 1, whichever is earlier, the assessors and selectman shall submit to the director a pro forma tax rate recapitulation for the following fiscal year, together with a copy of the adopted budget and such supporting revenue and expenditure information as the director may prescribe. The director shall ascertain whether the town budget for that fiscal year contains reasonable revenues from taxation and other sources to meet the appropriations and other amounts required by law to be raised under section 23 of chapter 59 of the General Laws, and the director shall report his findings to the town administrator and board of selectmen. In no event shall the tax rate for the year be approved until submission of an annual tax rate recapitulation based on the actions the town has approved or taken to achieve a balanced budget.

(b) In any year during which bonds, notes or an amortization amount authorized under this act remain outstanding, the commissioner of revenue shall not certify the annual tax rate of the town of Templeton until an audit report for the preceding fiscal year has been received and accepted by the director. The audit report shall be prepared by a certified public accountant in accordance with generally accepted auditing standards and shall include accompanying financial statements.

(c) In any year during which bonds, notes or an amortization amount authorized under this act remain outstanding, the town shall submit to the director quarterly reports presenting a budget to actual comparison of revenues and expenditures. The written reports shall be submitted within 30 days after the conclusion of each fiscal quarter and shall be in such form and include such information and detail as the director may prescribe.

(d) In any year during which bonds, notes or an amortization amount authorized by this act remain outstanding, the town shall not issue any bond, note or other form of indebtedness without written notification to, and the approval of, the director.

(e) In any year during which bonds, notes or an amortization amount authorized by this act remain outstanding, the town shall submit to the director a balance sheet, and have its free cash certified prior to the setting of the annual tax rate.

(f) The director may waive any reporting or filing requirements contained in this section.

SECTION 4. No official of the town of Templeton, except in the case of an emergency involving the health and safety of the people or their property, shall knowingly expend or cause to be expended in any fiscal year any sum in excess of that official's departmental or other governmental unit's appropriation duly made in accordance with the law, nor commit the town, nor cause it to be committed, to any obligation for the future payment of money in excess of that appropriation, with the exception of court judgments.

Any official who intentionally violates this section shall be personally liable to the town for any amounts expended in excess of an appropriation to the extent that the town does not recover these amounts from the person or persons to whom the amounts were paid. The superior court or a single justice of the supreme judicial court shall have jurisdiction to adjudicate claims brought by the town, or the attorney general, under this act and to order relief that the court finds appropriate to prevent further violations of this section.  Any violation of this section shall be considered sufficient cause for removal.

SECTION 5. For the purposes of this act, the word "official" shall mean a permanent, temporary or acting town department head, including the members of the board of selectmen who recommend, authorize or approve the expenditure of funds, and the word "emergency" shall mean a major disaster, including, but not limited to, flood, drought, fire, hurricane, earthquake, storm or other catastrophe, whether natural or otherwise, which poses an unexpected and immediate threat to the health and safety of persons or property.

SECTION 6. This act shall take effect upon its passage.


No comments:

Post a Comment