1. Municipal Budget Process Governmental Procedures and Structure Committee Taxation and Budget Reform Commission August 10, 2007 By: Diane Reichard, CPA, CGFO

2. Functions of Budget Within the Finance/Accounting Department or reports to City Manager Prepares revenue forecasts Prepares budget document & CIP Monitors budget spending and position control Grant administration

3. Key Players

4. Budget Office Coordinates all key players Communicates Council’s goals & priorities Provides direction to departments Understands the needs & wants of citizens Presents document to all

5. Chief Executive Office Weekly meetings to understand goals and direction Establish priorities Keep calendar moving

6. Calendar TRIM Deadlines May 31 st – Property appraiser June 30 th – Updated Very important to follow deadlines Budget 95%

7. Internal Departments Directors/Liaisons Understand balance between City Manager directives and available sources Assisting Departments Accounting (revenue projections, grants) Human Resources (employee information) Planning (Capital Improvement Plan) Public Works (CIP & infrastructure )

8. External Departments Citizens – Advisory groups – Civic organizations CRA districts State-revenue estimates

10. I. Develop Your Plan II. Work Your Plan III. Present Your Plan Plan, Plan, Plan and one thing for sure “Things will change.”

11. Budget Process May March Finance analyzes & projects revenue estimates Finance and City Manager prepare proposed budget. April City Manager meets with Departments. June May City Manager submits proposed budget to Council and releases to public. July City Council holds budget workshop. August City Council holds public hearings to adopt budget. September BUDGET KICK-OFF July City Council holds goal-setting session. Departments submit budgets to Finance.

12. I. Develop Your Plan Deadlines Budget Responsibility Details

13. Deadlines Provide date/ responsible party/ task Check list Refer to NACSLB 8.1 & other guidance Narratives, numbers, personnel summaries, performance measures, and numbers must align

14. Budget Responsibility Revenue = Appropriation Fiscal Year = October 1 – September 30 Compare programs to revenue Departments are responsible to monitor by category Personal Services Operating Expenses Capital Outlay Enter line items

15. Details Details are important – list with amounts Personnel - # of positions evaluated Changes are documented Plan diligently and plan for change Monitor monthly Capital outlay Specific item and amount Request to change or add if not in budget Delayed if funding is tight

16. II. Work Your Plan Manage the calendar Adhere to deadlines Utilize resources

17. Manage the Calendar Stay Focused Allow time for specific tasks Depend on those who have information Revenue projections Bond documents Interest Calculations Debt Service Requirements

18. Adhere to Deadlines Beware of changes NOW or LATER Decide when to STOP

19. Utilize Resources Recommended Budget Practices Internet for example Budget Policy Revenue sources Enterprise funds – outside agencies

20. III. Present Your Plan Organize thoughts Simple to decipher Easy to understand

21. Conclusion Budget Function The way the budget function operates has a wide-ranging effect on the budget itself 5 Dimensions: Financial Political Planning Communication Managerial

22. Knowledge Government Structure Accounting system Budget Process Operating Departments Legal & Regulatory Impacts

23. Skills People/Interpersonal networking persuasion negotiation interviewing oral/written communication Analytical complex problem into parts and solve proficiency with tools and techniques

24. Ability Creative/ Innovative Organize tasks/ juggle priorities Follow through with commitments Good judgment (fiscal/policy/political)