Practical Government Budgeting

Susan Riley, MPA , is Budget Supervisor for Volusia County, Florida, and an adjunct faculty member of both Daytona Beach Community College and University of Central Florida. Peter Colby, Ph.D. , is Professor and Director of the Master of Public Administration Program, University of Central Florida.

"Easy to read. Well organized. Most important, it's geared to the practitioner — especially those working in smaller-size governmental units or those students who want jobs in the public sector." — Paul Green, Governors State University"This book is logical and thorough, and a 'kinder gentler...' approach to the subject. I like the approach and the execution." — Daniel M. Barber, Professor, Center for Public Policy, California State University-Long Beach

• Exhibits Preface Acknowledgments 1 How to Read a Government Budget Why You Need to Understand Your Government BudgetHow this chapter will be usefulObjectivesReading and Understanding the BudgetThree types of budgetsThree types of fundsElements of a budget documentExercise: Reading the Annual Budget DocumentNotes2 Coping With the Budget Process Preparing the BudgetHow this chapter will be usefulObjectivesThe Budget ProcessThe phases of the budget cycleThe formal systemAgency needs: Building budgets rationallyExternal impacts on agency budgetsExercise: Mastering the Budget ProcessStep one: HomeworkStep two: Role PlayStep three: AssessmentsOptionsNotes3 Budgeting for Personal Services Preparing an Agency Personnel BudgetHow this chapter will be usefulObjectivesPreparing a Budget for Personal ServicesImportance of personal servicesDescription of position typesPay plansSteps in developing a personal services budgetExercise: Budgeting for PersonnelNotes4 Budgeting for Operating Expenses and Capital Outlay Budgeting Non-Personnel ExpensesHow this chapter will be usefulObjectivesBudgeting for Expenses and EquipmentBudgeting for operating expensesThe incremental methodAnalytic approachesUnit cost calculationsPredetermined charges: internal service fundsStandard costsCapital outlaySome special considerationsExercise: Budgeting Operating Expenses and Capital OutlayNotes5 Defending Budget Proposals Defending Your Agency BudgetHow this chapter will be usefulObjectivesThe Justification and Analysis of Agency BudgetsStrategies versus justificationMandatory, base, and discretionary expendituresThree perspectives of an agency's budget reviewThe central budget office's reviewThe chief executives reviewThe legislature's reviewExercise: Defending and Reviewing Budget RequestsNotes 6 Preparing Revenue Estimates Revenue EstimationHow this chapter will be usefulObjectivesEstimating Revenues by Funds and CategoriesDescription of funds and major revenue categoriesClassification of fundsMajor categories of revenueRevenue estimating considerationsRevenue estimation modelsProcedures for estimating revenuesConclusionExercise: Revenue EstimationsNotes7 Understanding the Property Tax Working with the Property TaxHow this chapter will be usefulObjectivesThe Property TaxStep One—AssessmentStep Two—Exemptions and other reductionsStep Three—CalculationsStep Four—CollectionThree perspectives on the property taxExercise: Property Tax Calculations and Communications8 The Capital Budget Process Capital BudgetsHow this chapter will be usefulObjectivesPreparing Capital BudgetsComponents of the capital budgetAdvantages and disadvantagesDeveloping a capital budgetConclusionExercise: Capital SpendingNotes9 How to Spend Your Budget Wisely Budget ExecutionHow this chapter will be usefulObjectivesPlans, Management and Control in Budget ExecutionThe stages of budget executionSpending moneyExpenditure controlsPurchasingCash managementAccounting and auditingExercise: Budget ExecutionNotes10 Multi-Year Budgets The Case for a Multi-Year Budget PerspectiveHow this chapter will be usefulObjectivesMulti-Year Forecasting and PlanningThe benefits of looking aheadFinancial forecasts and gap analysisImpact analysis of budgetary decisionsMulti-year planning for cyclical expendituresThe politics of multi-year forecastsConclusionExercise: Multi-Year ForecastsNotes