1. SHOW ME THE KEYS LIBRARY BUDGET SPEAKER JIM SMITH, CPA CHIEF FINANCIAL OFFICER DANIEL BOONE REGIONAL LIBRARY

2. INTRODUCTION Goal of the Library Budget Presentation This presentation focuses on Governmental Funds Particularly the General “Operating” Fund

3. WHY ARE BUDGETS IMPORTANT? Budget is a legal document Budgets are powerful tools Budgets provide valuable trend Information

4. BUDGET POLICY Identify Process Step by Step Identify Opportunities for Stakeholder Input Allow for Monitoring Budget Compliance State Basis of Accounting Address Long-Term Financial Stability

5. THE RIGHT INPUT IS IMPORTANT

7. HOW GOVERNMENT BUDGETS COMPARE TO PRIVATE SECTOR BUDGETING Objective is DIFFERENT Library Budgets have to Comply with Sections 67.010 RSMo. Section 67.020 to Designate a Budget Officer Section 67.030 Authority to Amend Budget Section 67.040 Expenditure budget increase approved by formal motion Section 67.070 Current Budget be Re-appropriated.

8. HOW GOVERNMENT BUDGETS COMPARE TO PRIVATE SECTOR BUDGETING CONTINUED Section 67.080 gives library staff the authority to expend funds as established by the budget but staff can not expend more than the total expenditure budget. Section 67.210 Authority to offer health insurance benefits

9. WHAT MAKES FOR GOOD BUDGET PROCESS? Establishing Principles that include a budget to achieve an organization’s goal Broad Principles include: Governmental Decision Making Approaches to Achieve Goals Budget to Achieve Goals Evaluate Performance Make Adjustments

10. WHAT MAKES FOR A GOOD BUDGET PROCESS? CONTINUED Involve and Promote Communication with Stakeholders Attract Quality Staff Incorporate a long-term perspective

12. NEED QUALITY STAFF

13. OPEN TO QUESTIONS

14. RELATED BUDGET TOPICS Stabilization or “rainy day” Funds Policy Fees and Charges Policy Develop Debt Issuance and Management Policy Develop Debt Level and Capacity Policy Develop Use of One-Time Revenues Policy Develop Use of Unpredictable Revenues Policy Balanced Budget Policy Capital Asset Acquisition, Maintenance, Replacement and Retirement

15. DIFFERENT TYPES OF BUDGET PRESENTATION Line Item Preparation Program Budget Performance Budgeting Focus

16. METHODS OF BUDGET PREPARATION Adjust Last Year’s Budget Zero-Based Budgeting Automatic Increase

17. NOT THE OBJECTIVE

18. SOURCES Government Finance Officers Association (GFOA) Best Practices in Budgeting Website www.gfoa.org www.gfoa.org International Budget Partnership (IBP) Budget Cycle Chart Website http:/internationalbudget.org National Council on State and Local Budgeting Practices (NACSLB)

19. CONTACT INFORMATION Address: Daniel Boone Regional Library 100 W. Broadway PO Box 1267 Columbia, MO 65205-1267 Phone: (573) 817-7012 Email: jsmith@dbrl.org