The fiscal or budget year and the tax year of the County shall be as established by County or State law. If the fiscal or budget year or the tax year is established by law as beginning on any day other than the first day of July, then all related references to dates in this Charter shall be adjusted accordingly.

The term "capital budget" shall mean the plan of the County to receive and expend funds for capital projects scheduled to begin during the first fiscal year included in the capital program. The term "capital program" shall mean the plan of the County to receive and expend funds for capital projects during the fiscal year covered by the capital budget and the next succeeding five fiscal years thereafter. The term "capital project" shall mean: Any physical public betterment or improvement; The acquisition of property of a permanent nature for public use; and The purchase of equipment for any public betterment or improvement when first constructed. The term "County funds" shall mean any monies received by the County or appropriated or approved by the Council or to which the County may at any time have legal or equitable title. The term "County government" shall include all agencies and their officers, agents, and employees who receive or disburse County funds. The term "general classification of expenditure" shall mean, with respect to the general fund, compensation, operating expense, capital outlay, and recoveries for each agency and subagency unit thereof; total debt service costs; and each item falling within all other nonagency expenditure categories; and with respect to all other funds, the total for each such fund. The term "operating budget" shall mean the plan of the County to receive and expend funds for charges incurred for operation, maintenance, interest, and other charges for the ensuing fiscal year. The term "recovery" shall mean the classification used to account for reimbursement of expenditures incurred by an agency or fund for services it provides to another agency or fund. The term "revenue" shall mean all the funds that the County receives in a fiscal year, including tax payments, fees for specific services, receipts from other governments, fines, forfeitures, shared revenues, interest income, and transfers from other funds.

The County budget shall consist of the current expense budget, the capital budget and capital program, and the budget message. It shall represent a complete financial plan for the County, including all estimated revenues from all sources, all planned expenditures, and the surplus or deficit in the general and all special funds of the County government and shall be presented in such format as the Council may prescribe by resolution.

The County Executive shall hold one or more advertised public hearings on the proposed budget prior to submission to the Council. Not later than March 15 of each fiscal year, the County Executive shall submit to the Council the proposed County budget for the ensuing fiscal year.

The proposed capital budget and capital program shall be so arranged as to set forth clearly the plan of proposed capital projects to be undertaken in the ensuing fiscal year and in each of the next five fiscal years, and also the proposed means of financing the same. The capital budget shall include a statement of the receipts anticipated during the ensuing fiscal year from all borrowing and from other sources for capital projects.

The proposed operating expense budget shall contain the following information: (1) a statement of all revenue estimated to be received by the County during the ensuing fiscal year, classified so as to show the receipts by funds and sources of income; (2) a statement of debt service requirements for the ensuing fiscal year; (3) a statement of the estimated surplus if any, available for expenditure during the ensuing fiscal year, and any estimated deficit in any fund required to be made up in the ensuing fiscal year; (3.1) the proposed expenditures of the Legislative Branch as submitted by the Council; (4) an estimate of the expenditures which the County Executive deems necessary for conducting the business of the County to be financed from and not to exceed estimated revenue for the ensuing fiscal year; (5) a statement of the bonded and other indebtedness of the County government and its agencies, including self-liquidating and special taxing district debt and contingent liabilities; (6) a statement of the proposed contingency reserves, subject to appropriation only in accordance with Section 816 of this Charter, which shall equal five per centum of the general fund, provided, however, that if an emergency results in a depletion of the reserve by more than thirty per centum, the reserve deficit may be refunded within the next two fiscal years; (7) a comparative statement of the actual revenues and expenditures for the last completed fiscal year; the budgeted and estimated revenues and expenditures for the currently ending fiscal year; and the projected revenues and expenditures recommended by the Executive for the ensuing fiscal year; (8) forecast of goods and services that would necessitate competitive bidding for the ensuing fiscal year; and (9) any other material which the County Executive may deem advisable or the Council may require by resolution. Concurrent with the submission of the proposed annual operating budget, the County Executive shall submit to the County Council a report of all exempt positions pursuant to Section 902(2), (3), (4), (5), (9), and (13) of this Charter. The report shall include the name of the incumbent and compensation for all such positions for the six-month period ending the prior March 1. A second report for the six-month period ending September 1 shall be submitted not later than September 15 of each year. A similar report shall be filed in the manner prescribed herein by the County Council for the Legislative Branch.

The budget message shall contain supporting summary tables and shall explain the proposed operating budget and capital program both in fiscal terms and in terms of work to be done. It shall outline the proposed financial policies of the County for the ensuing fiscal year and describe the important features of the operating budget. It shall indicate any major changes in fiscal policies and in expenditures, appropriations, and revenues as compared with the fiscal year currently ending and shall set forth the reasons for such changes.

The proposed County budget shall be filed with the Clerk of the Council and copies thereof shall be made available to the public upon request.

Upon receipt of the proposed County budget, the Clerk of the Council shall cause to be published a notice of the place and time of at least two public hearings on the budget by the Council. Such public notice shall be published in the County newspapers of record and in media for public notice as defined in Section 1008 of this Charter. The Council may hold such other preliminary hearings on the budget for the purpose of obtaining information as it may determine, but no action shall be taken by the Council on the budget except in public session. After the final public budget hearing, the Council may not add new items but may increase, decrease, or delete any items in the budget except those required by the laws of this State or of this County, and except any provisions for debt service on obligations then outstanding or for estimated cash deficits. The Council shall have no power to change the form of the budget as submitted by the Executive or to alter the revenue estimates except to correct mathematical errors, or, by a vote of two-thirds of the members of the full County Council, adjust the revenue estimates by an increase or decrease of no more than one percent (1%). The adoption of the operating budget, the capital budget and the capital program shall be by the affirmative vote of not less than a majority of the full Council by a law to be known as the Annual Budget and Appropriation Ordinance of Prince George's County. The Annual Budget and Appropriation Ordinance shall be adopted by the Council on or before June 1 of each fiscal year, and if the Council fails to do so, the proposed operating budget submitted by the County Executive shall stand adopted, and funds for the expenditures proposed in the current expense budget shall stand appropriated as fully and to the same extent as if favorable action thereon had been taken by the Council.

The budget as adopted shall be made available to the public upon request.

When the County budget shall have been finally adopted in the Annual Budget and Appropriations Ordinance, the Council shall thereupon by separate resolution levy and cause to be raised the amount of taxes required by the budget in the manner provided by law so that the budget shall be balanced as to proposed income and expenditures.

Except as provided in this Section 812, the Council shall not levy a real property tax which would result in a total collection of real property taxes greater than the amount collected in fiscal year 1979; The Council may levy a real property tax which would result in a total collection of real property taxes greater than the amount collected in fiscal year 1979 if the real property tax rate does not exceed Two Dollars and forty cents ($2.40) for each One Hundred Dollars ($100.00) of assessed value. In the event that any annual collection of real property taxes exceeds the limits set forth in this section as estimated in the annual budget projections, said excess shall be placed in the contingency fund, and, if not used during the current fiscal year, said excess will be included in the budget estimate for real property taxes in the following fiscal year. In the event the County Council shall establish, pursuant to proper authority, any separate class of residential real property tax, then, and in that event, all other classes of real property taxes would be exempt from this section, and the total real property taxes on residential real property shall not exceed the total amount of taxes collected on residential real property in fiscal year 1979. In accordance with the provisions of Section 9-105 of the Tax-Property Article of the Annotated Code of Maryland, on or before January 1 of each year, the County Council shall set, by law, the homestead credit percentage for the taxable year beginning the following July 1. The homestead credit percentage shall be no greater than 100% plus the percentage of increase in the Consumer Price Index for the previous twelve months, rounded to the nearest whole number, but not more than 105%.

Notwithstanding the provisions of Section 319 of this Charter, the County Council shall refer to a referendum of the qualified voters of the County, at the ensuing regular general election for members of the House of Representatives of the United States, any ordinance or resolution levying or charging the amount of any tax or fee in excess of the amount levied or charged in the preceding fiscal year. Each such ordinance or resolution shall be subject to a separate ballot question at the referendum. Any ordinance or resolution adopted by the County Council levying or charging any tax or fee which is required to be referred to referendum as provided in this Section shall contain a separate levy or charge in an amount equal to the amount of any tax or fee levied or charged in the preceding fiscal year. Such separate levy or charge shall be effective on the date provided in the ordinance or resolution approving it. Any increase in the amount of any tax or fee over and above the amount levied or charged in the preceding fiscal year shall be of no force or effect unless approved by a simple majority of voters voting on the ballot question at the referendum. Upon the approval of such ordinance or resolution by a simple majority of voters voting on the ballot question at the referendum, such ordinance or resolution shall take effect immediately. The County Executive and the County Council shall inform the general public through public hearings, government media and public print and telecommunication media of the County's intention to levy or charge a tax or fee in excess of the amount levied or charged in the preceding fiscal year, its projected fiscal impact upon taxpayers, and its intended purpose. The County Executive shall budget, and the County Council shall appropriate, the revenue necessary to permit such information to be provided to the general public in the manner prescribed herein. The language of the ballot question at the referendum describing any ordinance or resolution pursuant to this Section shall contain, but not be confined to: A description, in easy to understand language, of the kind or classification of the tax or fee proposed to be levied or charged; The amount of such tax or fee during the preceding fiscal year; The amount of any proposed increase; and The purpose for which such additional tax or fee is being levied or charged. Fees relating to licenses and permits for the following shall be exempt from the requirements of this Section: street privileges, liquor, traders, hawkers and peddlers, refuse, taxicabs, solicitors, marriage, dance, bondsmen, animal registration, mechanics, electrical, building and grading, boiler, apartments, single family rental, sign, utility, towing facilities, heating and air conditioning repair, TV/radio repair facilities, palmists, burglar alarms, benefit performance and casino, sediment control, contractor board of registration, health, and secondhand dealers. Fees relating to charges for services for the following shall be exempt from the requirements of this Section: Sheriff's Department, Zoning Appeals Board, tax collection service, Driving While Intoxicated ("DWI"), inmate commissions, health, appearance and witness, advance life support transport, tax sale cost recoveries, housing—state prisoners, housing—federal prisoners, contractual police services, boiler inspection, DWI work release, County sales, animal control, mosquito control, Circuit Court marriage ceremonies, State's Attorney incentive payments, casino night levies, cable franchises, and local 911. This Section shall not be construed to amend or otherwise modify Section 812 hereof.

Transfers of appropriations between general classifications of expenditures in the current expense budget within the same agency and within the same fund may be authorized by the County Executive; provided, however, that transfers exceeding a $250,000.00 aggregate, or such other sum as may be set by legislative act, in one fiscal year may be made on the recommendation of the County Executive with the approval of the County Council. Transfers between agencies of the County government and within the same fund of the current expense budget may be made on the recommendation of the County Executive and with the approval of the Council. Interproject transfers of appropriations between capital projects in the capital budget may be authorized by legislative act of the Council upon request of the County Executive, but no new project shall be created nor any abandoned except in accordance with Section 818 and Section 820 of this Charter. Nothing contained herein shall be construed to prevent the Council, upon request of the County Executive, from providing by law for interfund cash borrowings to meet temporary cash requirements nor to prevent reimbursements among funds for services rendered.

During any fiscal year, the Council, upon recommendation of the County Executive, may, by resolution, make additional or supplementary appropriations from unexpended and unencumbered funds set aside for contingencies in the County budget, and from Federal, State or private grants which were not included in the budget for the current fiscal year, and may, by legislative act, make additional or supplementary appropriations from revenue received from anticipated sources but in excess of budget estimates therefor, from revenues received from sources not anticipated in the budget for the current fiscal year and from any prior year available and uncommitted fund balance. During any fiscal year, no agency of County government may exceed the number of positions for that agency as approved in the operating budget without the prior approval of the Council.

To meet a public emergency, which constitutes a sudden, unexpected or unforeseen condition or occurrence, creating an imminent hazard to life, health or property and requiring an immediate action, the Council may, by resolution and upon the recommendation of the County Executive, make emergency appropriations from contingent funds, from revenue received from anticipated sources but in excess of the budget estimates therefor, from revenues received from sources not anticipated in the budget for the current fiscal year, or from any prior year available and uncommitted fund balance. To the extent that there may be no available unappropriated revenues to meet such emergency appropriations, the Council may, by legislative act approved by a two-thirds affirmative vote of the full County Council, authorize the issuance of emergency notes which may be renewed from time to time. Such notes and renewals shall be paid not later than the last day of the fiscal year next succeeding that in which the emergency appropriation was made.

If at any time during the fiscal year, the County Executive shall ascertain that the available revenue for the year may be less than the total appropriations, they shall reconsider the appropriations for all agencies, and may revise them so as to forestall expenditures in excess of the income and fund balances. Any reduction in appropriations of the Legislative Branch shall be reviewed and approved by the Council, and a copy transmitted to the County Executive.

Unless otherwise provided by law, all unexpended and unencumbered appropriations in the operating budget remaining at the end of the fiscal year shall lapse into the County treasury. No appropriation for a capital project in the capital budget shall lapse until the purpose for which the appropriation was made shall have been accomplished or abandoned; provided that any capital project shall stand abandoned if three fiscal years elapse without any expenditure from or encumbrance of the appropriation made therefor. The balances remaining to the credit of the completed or abandoned capital projects shall be available for appropriation in subsequent capital budgets.

No agency of the County government shall during any fiscal 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 amounts appropriated in the budget for such fiscal year, or in any supplemental appropriation as herein provided; and no such payment shall be made nor any obligation or liability incurred, except for purchases in an amount to be fixed by legislative act, unless the Director of Finance or their designee shall first certify that the funds for the designated purpose are available. If any officer, agent or employee of the County government shall knowingly violate this provision, they shall be personally liable and such action shall be cause, after public hearing, for their removal from office by the County Executive or by majority vote of the Council, notwithstanding the provisions of Article IX of this Charter. Nothing in this Charter shall authorize the making of contracts providing for the payment of funds at a time beyond the fiscal year in which such contracts are made for personal service contracts exceeding an aggregate of One Hundred Thousand Dollars ($100,000.00) per contractor, or such other sum as may be set by legislative act, and an aggregate of Five Hundred Thousand Dollars ($500,000.00) for all other multiyear contracts, or such other sum as may be set by legislative act, provided the nature of such transactions reasonably requires the making of such contracts, unless such contracts are approved by resolution of the County Council upon notice and public hearing. No language in such contract, including language subjecting the contract to further funding availability, shall obviate the requirement that all multiyear contracts shall be approved by resolution of the County Council upon notice and public hearing. Any contract, lease, or other obligation requiring the payment of funds from the appropriations of a later fiscal year shall be made or approved by resolution of the County Council upon notice and public hearing. No contract for the purchase of real property shall be made unless the funds therefor are included in the capital budget.

No obligations of the County shall be authorized in any fiscal year for or on account of any capital project not included in the County budget as finally adopted for such year; provided that upon receipt of a recommendation in writing from the County Executive, the Council may, after public hearing and with the affirmative vote of two-thirds of its members, amend the County budget in accordance with such recommendation.

All revenues and receipts from utility assessments, self-sustaining public service enterprises, and refuse collection; from monies held by the County as trustee or agent; or from bond proceeds shall be paid into and appropriated from special funds created therefor. All other revenues and receipts of the County from taxes, grants, State revenues and other receipts shall be paid into and appropriated from the general fund which shall be the primary fund for the financing of current expenses for the conduct of County business. Upon request of the County Executive, the Council may, by the Annual Budget and Appropriation Ordinance, or by other legislative act, provide for the establishment of working capital or revolving funds for the financing of central stores, equipment pools, or other services common to the agencies of the County. Notwithstanding other provisions of this Article, the Council may establish a Reserve Fund for Permanent Public Improvements, and self-insurance of County property into which there may be paid by the Annual Budget and Appropriation Ordinance cash surpluses not otherwise appropriated, or toward the financing of which taxes or other sources of revenue may be dedicated.

All general obligation bonds shall be in serial and/or term form and payable as consecutively numbered, in annual installments, the first of which shall be payable not more than two years from the day of issue. Bonds shall be properly authenticated. All bonds shall be made payable within the probable useful life of the improvement or undertaking with respect to which they are to be issued, or, if the bonds are to be issued for several improvements or undertakings, then within the average probable useful life of all such improvements or undertakings. No bonds shall mature and be payable more than forty years after their date of issuance.

Any borrowing to finance capital projects must be authorized by an existing law of the General Assembly of Maryland or by a law of the Council adopted in accordance with this Charter. The Council may adopt from time to time bond issue authorization ordinances pursuant to an enabling law or laws then in force and in effect to provide the means of financing such capital projects as are to be financed from borrowing. Each Bond Issue Authorization Ordinance shall include a statement of the purpose or purposes of the issue, and if the purpose is to finance one or more capital projects, it shall describe each of them sufficiently for purposes of identification, but no capital project shall be included unless the amount included therein shall be deemed sufficient to complete at least a usable portion of such project. The Ordinance shall estimate the cost of the project or projects and the portion thereof to be defrayed from sources, specifically named, other than the proposed bond issues. The Ordinance shall also include the amount of the proposed issue; a statement showing that the proposed issue is within the legal limitation on the indebtedness of the County; the probable useful life of the project or average probable useful life of the projects to be financed; a statement of the tax or other revenues of the County pledged to the payment of the principal of, and interest on, the bonds; and that the full faith and credit of the County are pledged to such payments.

The Council may adopt such budget and fiscal laws to implement the objects and purposes of this Article as it shall deem necessary.