What is the deadline for municipalities to adopt their budgets?

The correct answer signifies that municipalities must adopt their budgets by the end of the fiscal year. This timing is crucial as it ensures that the local government has a structured financial plan in place before the new fiscal year begins, allowing for proper allocation of resources and funds to meet the services and needs of the community. Adopting the budget at this point also enables municipalities to avoid potential funding gaps that could arise if the budget is not in place to govern financial operations right from the start of the new fiscal year.

This practice aligns with governmental budgeting processes where planning and appropriations are meant to be formalized and executed in a timely manner to support ongoing municipal operations and obligations. The other options do not align with typical regulations concerning budget adoption timelines, as the end of the fiscal year is a definitive cutoff point to ensure financial readiness.