Accounts shall be kept by the finance director, showing the financial transactions of all departments of the city. Forms for all such accounts shall be prescribed by the finance director, with the approval of the city manager. Accounts shall be kept in such a manner as to show fully at all times the financial condition of the city. The finance director shall furnish to the city manager, prior to the first regular meeting of the city council in each month, a report containing in detail the receipts and disbursements of the city on all accounts, the expenditures made and the obligations incurred during the preceding calendar month and a balance sheet showing the financial condition of the city, of the several funds, and the total unexpended balance to the credit of each department.
(Amendment of 11-5-1996)
All the accounts of the city shall be audited annually by a certified accountant to be chosen by the city council.
The finance director shall publish each month a statement of the financial condition of the city. Each of the administrative officers and boards shall annually, on such a date as may be fixed by the city council, render to the city manager a full report of the transactions of his or their department for the year.
On the basis of these reports, the city manager shall prepare and publish an annual report for general distribution.
In addition to a summary of the services rendered by the various departments, the report shall show:
(a) 
Receipts classified according to sources.
(b) 
Expenditures classified according to objects. The classification of receipts and expenditures in the report shall conform in general to the classification in the finance director's books.
(c) 
Balance sheets.
(d) 
Such other financial information as may be required by the city council.
(Amendment of 11-5-1996)
Not later than the second Monday of April prior to the beginning of the fiscal year, the city manager shall submit to the city council, budget estimates for the ensuing fiscal year. This budget shall be compiled from detailed information furnished by the administrative officers and boards on blanks, the forms of which shall be designated by the city manager, and shall contain:
(a) 
Exact statement of the financial condition of the city.
(b) 
Itemized statement of appropriations recommended for current expenses, and for permanent improvements; with comparative statements in parallel columns of expenditures for the current and next preceding fiscal year. An increase or decrease in any item shall be indicated.
(c) 
Itemized statement of estimated revenue from all sources, other than taxation; and a statement of taxes required, with comparative figures from the current and next preceding year.
(d) 
Such other information as may be required by the city council.
A summary of the budget shall be published not later than two weeks after its submission to the city council. The city council shall fix a time and place for holding a public hearing upon the budget, and shall give a public notice of such hearing, which shall be at least 10 days before the final passage of the appropriation resolution.
(Amendment of 11-5-1996)
As early as practicable after the beginning of the fiscal year, the city council shall pass an annual appropriation resolution, which shall be based on the budget submitted by the city manager. The total amount appropriated shall not exceed the estimated revenue of the city.
Before the annual appropriation resolution has been passed, the city council may make appropriations for current departmental expenses, chargeable to the appropriation for the year, when passed, to an amount sufficient to cover the necessary expenses of the various departments until the annual appropriation resolve is in force.
The city council in the appropriation resolution shall provide for a reserve fund from which transfers shall be made only by vote of the city council, and no transfers of any money shall be made from any fund other than this reserve fund until the end of the fiscal year, at which time after all warrants have been paid out of the various funds against which such warrants have been drawn, the finance director shall transfer to the reserve fund any balances or balance then remaining in the various other funds; except balances in the school fund; the council may then authorize a transfer from the reserve fund to any other fund in which there is an overdraft created by any actual emergency.
The city council shall then transfer the remaining balance then in the reserve fund to the sinking fund of the city; provided, however, that the city council may, in special cases, continue any particular fund without transfer temporarily pending the completion of expenditures in process or in contemplation. Provided, further, that when and in case the occasion ceases to exist for maintaining a sinking fund as provided for by section 10 of this article, the portion of this section relating to the transfer of the reserve fund to the sinking fund shall cease to be in effect.
(Amendment of 11-5-1996)
The borrowing of money by and for the city shall be limited as to form and purpose by the provisions of section 8 and section 9 of Article IX of this charter. The credit of the city shall in no manner be loaned to any individual, association or corporation except to the extent set forth in section 7-A of Article IX of this charter.
(Amended 11-7-2017)
Bonds, which are issued in accordance with section 8 of Article IX of this charter for the public purpose of economic development and the proceeds of which are used to make any grant or loan to any individual, association, corporation or other entity in accordance with such terms as may be approved by order of the city council, shall at no time be outstanding in an aggregate principal amount which exceeds $4,000,000.
(Added 11-7-2017)
Money may be borrowed in accordance with the constitution and statutes of the state now or hereafter applying to Old Town by the issue and sale of bonds or notes pledged on the credit of the city, or on the revenues and assets of the projects financed with the proceeds of any such borrowing, or on the revenues of the City specified by order of the city council, the proceeds to be used for any public purpose determined by the city council, including for the acquisition of land, the construction and equipment of buildings, the construction of streets and roads, and other permanent public improvements, for economic development to the extent determined by the city council to serve a public purpose, and for the payment or refunding of bonds, notes and certificates of indebtedness previously issued. No order providing for the issue of bonds shall be passed without public notice given by posting notice of the same in two public places in the City of Old Town, and publishing said notice in at least two newspapers published in said Penobscot County at least two weeks before the final action by the city council, and the approval of a majority of all the members of the city council. Every issue of bonds shall be payable within a fixed term of years; if said bonds are issued for the purpose of financing a capital asset, the term of such bonds shall not exceed the estimated period of utility of said asset but the declaration of the city council embodied in the order authorizing the issue shall be a conclusive determination of the estimated period of utility thereof; and the term within which all bonds shall be made payable shall in no case exceed 30 years. Bonds issued after the adoption of this charter shall be made payable in equal, annual, serial installments as pertains to principal, and interest shall be made payable semiannually, provided that principal installments of bonds issued for economic development purposes need only be in amounts consistent with state law. Every order for the issue of bonds shall provide for a levy of taxes, an appropriation of revenues or both for each year of an amount necessary for the payment of the annual, serial installment of principal and interest; and such amounts shall be included in the tax levy for each year until the debt is extinguished; provided, however, that the provisions for payment of any bonds of the city issued prior to the adoption of the 2017 amendment of this section 8 of Article IX of this charter shall not be altered by such 2017 amendment.
(Amended 11-7-2017)
Money may be borrowed in anticipation of receipts from taxes during any fiscal year after said fiscal year begins, but the aggregate amount of such loans outstanding at any one time shall not exceed 80% of the revenue received from taxes during the preceding fiscal year. All such loans shall be paid within the year out of receipts from taxes for the fiscal year in which said loans are made. Money may be borrowed in anticipation of money to be received from the sale of bonds to be issued, in case such bond issue has been authorized; all such loans shall be paid within one year and are subject to the provisions of laws of the State of Maine in relation thereto. This section shall not limit in any way the power granted to towns and cities to borrow money as contained in the revised statutes of Maine and acts amendatory thereof and additional thereto.
Notwithstanding the provisions of section 9, money may be borrowed in anticipation of receipts from taxes during any fiscal year and the aggregate amount of such loans outstanding at any one time shall not exceed 100% of the total tax levy of the preceding fiscal year.
(P.&S.L. 1963, Ch. 137, 4-19-1963)
Until the bonded indebtedness of the City of Old Town in force at the time of the adoption of this charter together with any renewals thereof is fully paid, the city council shall raise and set apart each year for a sinking fund a fund not less than 2% of the total amount of appropriations for that year. The sinking fund shall be applied only to the payment of that bonded indebtedness of the city, the payment of which has not been provided for by payments in serial installments. The sinking fund shall be invested as provided by the revised statutes of the State of Maine and all acts in addition thereto and in amendment thereof.
Money shall be paid out only on warrants on the city treasurer issued by the finance director and countersigned by the city manager and a member of the city council to be designated from time to time by said city council. The finance director shall examine all payrolls, bills, and other claims and demands against the city, and shall issue no warrants for payment until he finds that the claim is in proper form, correctly computed, duly certified and legally due and payable.
The finance director may require any claimant to make oath to the validity of his claim, may investigate any claim, and for each purpose or purposes may examine witnesses under oath.
(Amendment of 11-5-1996)
The city council shall require a bond with sufficient surety or sureties, satisfactory to the city council, from all persons trusted with the collection, custody or disbursements of any of the public moneys; and may require such bond from such other officials as it may deem advisable; the premium charges for said bonds to be paid by the city.
All moneys received by an officer, employee or agent of the city belonging to the city, or for or in connection with the business of the city, shall forthwith be paid by the officer, employee or agent receiving the same into the city treasury, and shall then be deposited by the city treasurer with some responsible banking institution or institutions to be chosen by said city council. All interest from all deposits of money belonging to the city shall accrue to the benefit of the city.
The purchasing agent shall purchase all supplies for the city and for the several officers and boards thereof, excepting for supplies for the city schools, which school supplies he shall purchase only upon requisition by the school board.
The purchasing agent shall see to the delivery of supplies to each officer and department to whom they belong, and take and file receipts therefor. He shall conduct all sales of property belonging to the city which are unfit or unnecessary for the city's use, but only after such sale has been authorized by the city council, and subject to such restrictions as the city council may by ordinance provide.
The city manager shall act as purchasing agent until the city council by ordinance shall provide for the appointment of a purchasing agent.