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Vermillion council denies ordinance to extend municipal budget-adoption timeline
Summary
The Vermillion City Council voted to deny second reading of Ordinance 15-34, which would have aligned the city's budget-adoption timeline with a 2021 state law; council discussed using a charter review to address the conflict with the city's Home Rule Charter.
The Vermillion City Council on June 16 denied the second reading of Ordinance 15-34, an ordinance intended to extend the city's deadline for introducing and adopting the annual budget to match a 2021 change in state law.
City staff informed the council the city's Home Rule Charter, adopted in 2020, contains date-specific budget-adoption language that conflicts with the timeline extension created by the state law change. Staff recommended the council either table or deny the ordinance and consider a Home Rule Charter amendment if the council wants the state timeline flexibility.
During discussion, staff said the conflict makes the ordinance unrecommendable until the charter language is changed and suggested appointing a charter review committee to propose any amendments for voter consideration. Council members debated whether to postpone the ordinance to a date certain or deny it outright; councilors noted a charter review could be timed with regular elections rather than a special election.
Councilor Murn moved to deny the second reading; the motion was seconded by Councilor Price. On a roll-call vote the council recorded nine yeas and zero nays. The council's action denies Ordinance 15-34, returning the city to its existing Home Rule Charter timeline unless and until the charter is amended by voters.
Council members thanked staff for the research and warned that denying the ordinance will require staff and the council to do additional work if the charter is later amended. Staff said they will review the Home Rule Charter and return with recommendations and a potential timeline for a charter review process.
Background: The ordinance sought to adopt a schedule that would allow municipalities more time to introduce and adopt the next fiscal-year budget, consistent with a 2021 state law change. City staff said the city's 2020 Home Rule Charter contains date-specific language that would conflict with that change.
What's next: Staff will review the charter and, if council gives direction, bring forward options for a charter review committee or proposed charter amendments for voter consideration at a future election.
