In this Article, the following terms have the meanings indicated: (a) "Aggregate capital budget" means all capital budgets approved by the County Council. (b) "Capital improvements program" means the comprehensive 6-year program for capital improvements submitted by the County Executive to the County Council under Section 302 of the Charter. (c) "Council" means the County Council sitting as a spending affordability committee under Section 305 of the Charter.

(a) General. The Council must adopt spending affordability guidelines for the aggregate capital budget under this Article. (b) Content. The guidelines for the aggregate capital budget must specify the: (1) total general obligation debt issued by the County that may be planned for expenditure in the first fiscal year under the capital improvements program; (2) total general obligation debt issued by the County that may be planned for expenditure in the second fiscal year under the capital improvements program; (3) total general obligation debt issued by the County that may be approved under the 6-year capital improvements program; (4) total amount of debt, except refunding bonds, issued by the Maryland-National Capital Park and Planning Commission that may be planned for expenditure in the first fiscal year under the capital improvements program for projects in the County; (5) total amount of debt, except refunding bonds, issued by the Maryland-National Capital Park and Planning Commission that may be planned for expenditure in the second fiscal year under the capital improvements program for projects in the County; and (6) total amount of debt, except refunding bonds, issued by the Maryland-National Capital Park and Planning Commission for projects in the County that may be approved under the 6-year capital improvements program. (c) Procedures. (1) The Council must adopt spending affordability guidelines for the aggregate capital budget, by resolution, not later than the first Tuesday in October in each odd-numbered calendar year. (2) The council must hold a public hearing before it adopts guidelines under paragraph (1). (3) The Council may delegate responsibility for monitoring relevant affordability indicators to its standing committee with jurisdiction over spending affordability matters. (4) Not later than the first Tuesday in February of each year, the Council may, subject to paragraph (5), amend the resolution establishing the guidelines to reflect a significant change in conditions. An amendment may alter a guideline by either an upward or downward adjustment in dollar amount. (5) Any upward adjustment of a dollar amount under paragraph (4) for a guideline required by subsection (b)(1), (b)(2), (b)(4), or (b)(5) must not exceed 10%.

In adopting its guidelines, the Council should consider, among other relevant factors: (a) the growth and stability of the local economy and tax base; (b) criteria used by major rating agencies related to creditworthiness, including maintenance of a "AAA" general obligation bond rating; (c) County financial history; (d) fund balances; (e) bonded debt as a percentage of the full value of taxable real property; (f) debt service as a percentage of operating expenditures; (g) the effects of proposed borrowing on levels of debt per-capita, and the ability of County residents to support such debt as measured by per-capita debt as a percentage of per-capita income; (h) the rate of repayment of debt principal; (i) availability of State funds for County capital projects; (j) potential operation and maintenance costs relating to debt financed projects; and (k) the size of the total debt outstanding at the end of each fiscal year.

Any aggregate capital budget that exceeds the spending affordability guidelines in effect after the first Tuesday in February requires the affirmative vote of 8 councilmembers for approval.