City of Mingus, Texas

Title XIII – Finance and Taxation

Adopted by Ordinance No. 2025-__, effective ________ 2025

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Chapter 13.01 – General Financial Administration

Sec. 13.01.001 Fiscal Policy

The City of Mingus shall maintain sound financial practices in accordance with generally accepted accounting principles (GAAP) and the Texas Local Government Code. All officers and employees responsible for public funds shall act with integrity and fiscal responsibility.

Sec. 13.01.002 Fiscal Year

The City fiscal year shall begin on January 1 and end on December 31 of the following year.

Sec. 13.01.003 Depositories

All City funds shall be deposited in an official depository bank designated by resolution of the City Council and shall be collateralized or insured as required by law.

Sec. 13.01.004 Accounting Records

The City shall maintain accounting records that accurately reflect revenues, expenditures, assets, and liabilities. Records shall be retained in accordance with the Local Government Records Act.


Chapter 13.02 – Budget

Sec. 13.02.001 Annual Budget Preparation

The City Administrator shall prepare an annual budget in accordance with Chapter 102 of the Texas Local Government Code and present it to the City Council for review no later than August 15 of each year.

Sec. 13.02.002 Public Hearing and Adoption

The City Council shall hold a public hearing on the proposed budget and adopt it by ordinance prior to the beginning of the fiscal year. The adopted budget shall remain on file with the City Secretary and posted on the City’s official website.

Sec. 13.02.003 Budget Amendments

The Council may amend the budget during the fiscal year to provide for unforeseen expenditures or changes in revenue, provided the amendment is adopted by ordinance and entered into the official record.


Chapter 13.03 – Purchasing and Expenditures

Sec. 13.03.001 Purchasing Authority

The City Administrator is authorized to approve routine purchases and expenditures up to a limit set by Council resolution. Purchases exceeding that limit require Council approval.

Sec. 13.03.002 Competitive Bidding

All purchases or contracts exceeding the monetary threshold established by Chapter 252 of the Texas Local Government Code shall be awarded through competitive bidding, proposals, or interlocal agreements as permitted by law.

Sec. 13.03.003 Local Vendor Preference

The City may grant a preference to local vendors in accordance with Section 271.9051 of the Texas Local Government Code when bids are within three percent (3%) of the lowest price.

Sec. 13.03.004 Ethics in Procurement

No officer or employee shall have a financial interest in any contract with the City or accept gifts, gratuities, or favors from contractors or vendors.


Chapter 13.04 – Revenues and Fees

Sec. 13.04.001 Sources of Revenue

Revenues of the City include ad valorem taxes, franchise fees, service charges, permits, fines, grants, and other lawful sources as approved by the Council.

Sec. 13.04.002 Fee Schedule

Fees for municipal services shall be set by the Council by resolution and listed in Appendix A – Fee Schedule. The Council may revise fees periodically to reflect costs of operation.

Sec. 13.04.003 Grants and Donations

The City may apply for and accept grants, gifts, or donations of money or property to further public purposes. All such funds shall be used in accordance with grant requirements and donor intent.


Chapter 13.05 – Taxation

Sec. 13.05.001 Tax Year and Roll

All property taxes shall be assessed for the calendar year beginning January 1 and levied based on appraised values certified by the Palo Pinto County Appraisal District.

Sec. 13.05.002 Tax Rate Adoption

The City Council shall adopt the annual tax rate in compliance with Chapter 26 of the Texas Tax Code, following required notice and hearing procedures. The rate shall consist of components for maintenance and operations (M&O) and debt service (I&S).

Sec. 13.05.003 Due Dates and Delinquencies

Taxes shall be due January 1 and delinquent after January 31 of the following year, at which time penalties and interest shall accrue as provided by state law.

Sec. 13.05.004 Exemptions

The City shall honor exemptions provided by the Texas Constitution and Tax Code, including homestead, disabled, and veteran exemptions as authorized by ordinance.

Sec. 13.05.005 Tax Collector

The City may contract with the Palo Pinto County Tax Assessor-Collector or other authorized agent for assessment and collection of taxes.


Chapter 13.06 – Debt and Financial Obligations

Sec. 13.06.001 Authority to Borrow

The City may issue debt obligations as authorized by Chapters 1201–1431 of the Texas Government Code and other applicable laws. Debt may include general obligation bonds, certificates of obligation, or other authorized instruments.

Sec. 13.06.002 Debt Service Fund

A separate fund shall be maintained for payment of principal and interest on outstanding debt. No other use of this fund shall be permitted.

Sec. 13.06.003 Reporting

The City shall maintain a record of all outstanding debt, including purpose, maturity date, and repayment schedule. Annual debt disclosures shall be posted on the City’s website.


Chapter 13.07 – Financial Reporting and Audits

Sec. 13.07.001 Annual Audit

The Council shall engage a certified public accountant to perform an independent audit of all City accounts annually in accordance with Chapter 103 of the Texas Local Government Code.

Sec. 13.07.002 Financial Statements

Quarterly financial statements shall be prepared and presented to the Council showing revenues, expenditures, and fund balances.

Sec. 13.07.003 Transparency

The City shall make annual budgets, audits, and financial statements available to the public via the City Secretary and the City’s official website.


Chapter 13.08 – Enforcement and Penalties

Sec. 13.08.001 Violations

Any officer or employee who knowingly misuses or fails to properly account for City funds shall be subject to disciplinary action, termination, and prosecution under applicable law.

Sec. 13.08.002 Penalties

Violations of this Title are misdemeanors punishable by fines up to $500 per offense, in addition to civil recovery of any misappropriated funds.

Sec. 13.08.003 Severability

If any section or provision of this Title is held invalid, the remaining sections shall continue in full force and effect.


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