§ 7.06. Administration of operating and capital budgets.

A.

No payment shall be made or obligation incurred against any allotment or appropriation except (a) in accordance with the approved operating and capital budgets and appropriations duly made and (b) unless the president first certifies that there is a sufficient unencumbered balance in such allotment or appropriation and that sufficient funds therefrom are or will be available to cover the claim or meet the obligation when it becomes due and payable. However, this provision shall not limit the authority of the council to borrow funds in anticipation of revenue as provided in the general laws of the state. Any authorization of payment or incurring of obligation in violation of the provisions of this Charter shall be void and any payment so made illegal; such action shall be caused for removal of any official, officer or employee who knowingly authorized or made such payment or incurred such obligation or who caused such payment to be authorized or made or obligation to be incurred. Such person shall also be personally liable for reimbursement, with interest, to the parish government of any amount so paid.

B.

Nothing in this Charter shall be construed so as to prevent the making or authorizing of payments or making of contracts for capital improvements to be financed wholly or partly by the issuance of bonds or to prevent the making of any contract or lease providing for payments beyond the end of the fiscal year, provided that such action is authorized by ordinance, except that contracts for services not covered by the public bid law (R.S. 38:2181 et seq., as amended) shall not be for a period in excess of two (2) years.

C.

Deficit spending is prohibited.

D.

All parish budgets shall be audited annually in accordance with generally accepted accounting principles.