(a) An annual budget shall become effective after adoption by a majority vote of the Town's legal voters present and voting by Australian ballot at the annual Town meeting. If the voters disapprove the proposed budget at the annual Town meeting, the Selectboard shall proceed to warn a special Town meeting to be held within 60 days of the annual meeting, for the purposes of considering the disapproved budget. An informational meeting regarding the proposed budget shall be held the evening preceding the vote regarding the budget. The vote shall conform to the procedure in use for votes by Australian ballot at the regular Town meeting.

(b) After the annual budget has been adopted, the Selectboard shall not make any single appropriation not set forth in the budget which totals in excess of two percent of the annual operating budget. Any such appropriation made by the Selectboard shall only be done if they deem an emergency situation requires such appropriation. Such emergency appropriations shall be reported to the next annual Town meeting. Any single appropriation in excess of said two percent shall require prior approval by vote by Australian ballot at a duly warned Town meeting. The issuance of bonds or notes, except notes for one year or less or in anticipation of revenue or grants and aid to be paid within the fiscal year in which issued, shall be authorized by Australian ballot at the annual or a special Town meeting. Any article in the warning providing for appropriation of funds in addition to the Selectboard's budget, shall be voted on by Australian ballot. (Amended 2011, No. M-7, § 2, eff. May 17, 2011.)