...deficits, though there have been improvements in the last few years.[2] The Philippine government’s main source of revenue are taxes, with some non-tax revenue also being collected. To finance fiscal deficit and debt, the Philippines relies on both domestic and external sources. Fiscal policy during the Marcos administration was primarily focused on indirect tax collection and on government spending on economic services and infrastructure development. The first Aquino administration inherited a large fiscal deficit from the previous administration, but managed to reduce fiscal imbalance and improve tax collection through the introduction of the 1986 Tax Reform Program and the value added tax. The Ramos administration experienced budget surpluses due to substantial gains from the massive sale of government assets and strong foreign investment in its early years. However, the implementation of the 1997 Comprehensive Tax Reform Program and the onset of the Asian financial crisis resulted to a deteriorating fiscal position in the succeeding years and administrations. The Estrada administration faced a large fiscal deficit due to the decrease in tax effort and the repayment of the Ramos administration’s debt to contractors and suppliers. During the Arroyo administration, the Expanded Value Added Tax Law was enacted, national debt-to-GDP ratio peaked, and underspending on public...
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...Accounting……….…………...………... .pg 3 1.2 Chinese units……………………………………………………... pg 4 2. Public Financial Management Process……………………..……….. pg 4 Conventional Budget Accounting …………………………………………pg 5 1. Overall and Unit Budgets…………………….…………………….. pg 5 2. Characteristics of the Chinese Budget Accounting System ….….…..pg 6 2.1 Accounting as a Budget Tool…………………….…………….. pg 6 2.2 Characteristics…………….…………………….……………… pg 7 The 1994 Budget Law………………………………..…………………… pg 8 1. Scope…….……………………………………………………….....pg 8 2. Institutional structure…………………………………………….....pg 8 3. Budget policy……………………………………………………….pg 9 3.1 General Policy…………………………………………………. pg 9 3.2 Separate Revenue System……………………………………....pg 9 3.3 Dual Budgeting System………………………………………...pg 10 3.4 Functional Classification of the Budget………………………...pg 10 3.5 Increased Budgetary transparency………………………………pg 11 3.6 Increased Effectiveness in resource utilization………………….pg 11 Further development………………………………………………………..pg 12 With almost 1,331,349,519 million people, China has 22 percent of the world population. Among them are 1,800,000 accountants working in the almost 500,000 administrative agencies and public service institutions in the public sector, and many more are in state enterprises. The rapid and sustained growth of the Chinese...
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...Public Budgeting Budgeting is a process that creates a plan to spend money. The spending plan is referenced as a budget. In creating the spending plan it allows an organization to determine in advance if there will be enough monies to carry out tasks. Budgeting is important for many reasons yet; it ensures that funds will always be there for things of need and things that are important. A budget can provide a broader picture on how an organization can use its financial resources. Thus, following a budget or a spending plan can keep an organization out of debt or help an organization to come out of debt. Budgeting can also provide an organization in the involvement process of examining the past financial information. According...
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...Capital Budgeting Ashford University Government Budgeting PPA603 June 16, 2014 Capital Budgeting The main principle of the capital budget is to channel the total distribution of state expenditures for public services. To present the greatest possible outline of current and planned capital investments and assure state governments’ ability to borrow will not increase nor decrease. This paper will discuss how the debt capacity of state is established and then discuss and assess the effect of repaying or reorganizing current debt commitment. This paper will also discuss different funding substitutes that can be used to support debt commitment. This paper will utilized the City of Toledo, whose capital budget is a 4 year plan, which focuses on roads, modernization and police hiring (City of Toledo, 2014). Capital budgeting is the development process used to regulate which of an organization’s extended term assets are worth following according to Devoy & Wise (1979). City of Toledo has one of the most comprehensive capital budgets, encompassing all new construction, including roads and public safety. The City of Toledo policy and process identifies the fiscal year for the City beginning on the first day of January and requires that on or before the fifteenth day of November of each year, the Mayor must prepare a balanced budget estimate of the expenses of conducting the affairs of the City for the following fiscal year (City of Toledo, 2014). While the capital budget...
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...Budgeting: A Guide for Small Nonprofit Organizations A free resource provided by the Virginia Society of Certified Public Accountants Budgeting: A Guide for Small Nonprofit Organizations A free resource provided by the Virginia Society of Certified Public Accountants Introduction • Selecting the budget committee • The task of the budget committee • Setting budget priorities and realities — revenues • Setting budget priorities and realities — expenses and costs • When to prepare the budget • A budget for cash flow • A budget for capital expenditures — bought or received • Restricted grants • Changes to the budget • Conclusions Introduction Nonprofit organizations (NPO) wrestle continually with maintaining and improving their operations, especially during today’s uncertain economy. In short, NPOs must constantly strive for sustainability. A well-planned budget will focus on the primary goals and objectives of the organization and provide financial and programmatic adaptability — key ingredients to maximize sustainability. Every volunteer brings to a small NPO the enthusiasm and interest necessary to do a good job. These volunteers are critical to an NPO’s success, because most small NPOs lack the funds necessary to seek and pay for professional guidance in the business world. This guide is written to present the theories and practicalities of budgeting for the small NPO staffed by volunteers, whose expertise do not always correspond...
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...variable that permeates through man’s entire life is uncertainty. Uncertainty and man are inseparable. As man builds organizations and institutions that he utilizes to make his existence easier, uncertainties also creep into these organizations and institutions. All human transactions carry these uncertainty traits. These transactions are many and varied but arise essentially, as stated above, as inherently of man and the institution created by him. One of the ways man has tried to manage and control the damaging effects of uncertainty in his institution especially as it relates to his financial transaction in use of budget. These are many varied definitions of budget, according to Obazele (2000:127)in his book titled Accounting for public sector Activities in Nigeria. Budget is defined as a “statement whish express future plans in financial terms.” It is also defined by Okoye (1979: 301). In his book titled Cost Accounting Management Operational Application, as “plans prepared and approved before The of use. A budget is defined in the institution of cost and management Accounting, 1966 edited of Terminology as a financial and/or quantitative statement prepared and approved prior to a defined period of the policy to be pursued during that period for the purpose of attaining a given objective”. Going by the above definitions of budget by previous authors, it could be deduced that a budget as an element of control in it. Control here means a “standard of comparison for checking...
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...The Operating Budget Dr. Marion Lee PAD 505- Public Budgeting and Finance May 4, 2014 Abstract This paper will give the Operating Budget for the City Of New Orleans. It will provide the agencies mission, goals, objectives, departments and strategic plan. It will describe the budget of the agency by addressing the Financial Summary, including revenue expenditures, department budgets, funding, capital projects and debt administration. This paper will also perform a Cost Analysis which will include fixed cost, step-fixed cost, and variable cost. It will identify one to two challenges a Budget Analyst will have in managing the budget. This paper will recommend two to three strategies the agency should review regarding new initiatives and budget cuts over the next five years. Introduction With roots spanning all the way back to the 1700’s, The City of New Orleans is the Largest Metropolitan city in the State of Louisiana. It is a port city, which had a population of 343, 829 as of the 2010 U.S. Census (Bureau, 2012). The mission, goals and objectives of the city are to have more public safety, more job creation, more recreation for the youth, and to reduce blight in the city. New Orleans is still in a transition stage. Even though it has been 9 years after Hurricane Katrina, one of America’s Deadliest Hurricanes, the city is still rebuilding, still restructuring and actually still growing. Hurricane Katrina affected the city’s economic wellbeing. The city has several...
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...Public Budgeting Case Study: Republic of Kosova 9/12/2013 [Type the abstract of the document here. The abstract is typically a short summary of the contents of the document. Type the abstract of the document here. The abstract is typically a short summary of the contents of the document.] Contents 1.0. Introduction 3 1.1. Problem Statement 3 1.2. Report Structure 4 2.0. Methodology 4 3.0. Analyses 4 3.1. Overview of Public Budgeting 4 3.2. Public Budgeting in Kosova 5 Executive Summary Based on ‘Public Budgeting’ book, public budgeting is defined as making and implementing decision regarding the acquisition, allocation, and use of resources by government, with a primary focus on money in the modern age. Similar to budgeting of private companies as well as budgeting of families, public budgeting deals with generation of income, and then planning and monitoring how that incomes are being spent. This study aims to explain and understand the budgeting process in the Republic of Kosova by investigating which are the pros and cons in their process. To compile the report, only secondary data have been used such as literature and publications taken on official websites. Public budgeting, involves in itself some other tasks that sometimes could be incompatible and may erode the ability to perform the other task. These tasks includes: setting goals and priorities, linking goals to actions, managing the economy...
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...TE AM FL Y THE JOSSEY-BASS Academic Administrator’s Guide to Budgets and Financial Management The Jossey-Bass Academic Administrator’s Guides are designed to help new and experienced campus professionals when a promotion or move brings on new responsibilities, new tasks, and new situations. Each book focuses on a single topic, exploring its application to the higher education setting. These real world guides provide advice about day-to-day responsibilities as well as an orientation to the organizational environment of campus administration. From department chairs to office staff supervisors, these concise resources will help college and university administrators understand and overcome obstacles to success. We hope you will find this volume useful in your work. To that end, we welcome your reaction to this volume and to the series in general, including suggestions for future topics. THE JOSSEY-BASS Academic Administrator’s Guide TO Budgets and Financial Management Margaret J. Barr Copyright © 2002 by John Wiley & Sons, Inc. All rights reserved. Published by Jossey-Bass A Wiley Imprint 989 Market Street, San Francisco, CA 94103-1741 www.josseybass.com No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission...
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...Process of Budget Policy Shiram Sam Economics of Public policy (ECN4010) ANC/EDP 2014 DEFINING THE NATIONAL BUDGET The budget is the most important economic policy tool of the national government. Far from being a mere compilation of income and expenditure, it is the blueprint for a nation's socio economic policies for each fiscal year. The national budget is thus the fundamental indicator of what government proposes to do and what objectives it pursues. It presents the government's financial plans for an upcoming period and is a comprehensive statement of the priorities of the nation. Which sectors of the economy will be expected to pay for said activities; how government will respond to economic disturbances in the short term; and who will be the direct and indirect beneficiaries of public services? The budget is about people and should respond to their needs. It is a way of determining how the Government seeks to fulfill goals for the welfare of people as set out in a country's Constitution/Bill of Rights, in international instruments and standards (e.g. MDGs), and in government policy statements. THE FUNCTIONS OF THE BUDGET The National Budget allocates resources, distributes wealth and income, and stabilizes the economy. The economic stabilisation function of the budget should be balanced against the need to ensure that there are adequate resources (including from external sources) to guarantee the delivery and development of essential services especially...
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...developments. Because budget formats “establish the rules by which the budgeting game is played (the decision rules)” and also “create the standards by which success is measured (rules of evidence),” formats are important to public budgeting. “When we speak of budgeting formats, we are talking about the way in which budgeting information is structured, the kind of information that is required to justify budget requests, and what kind of questions are asked during the budget review process” (Morgan, 2002, p. 71). There are four general types of approaches: line-item, performance, program, and zero-based, plus hybrids. Table 1 compares them and the following discussion describes them in detail. 2 3 Source: 4 Reprinted by permission. Morgan, Douglas, with the assistance of Kent Robinson and support of Drew Barden and Dennis Strachota, 2002. Handbook on Public Budgeting. Portland State University, Hatfield School of Government, State of Oregon edition, Table 7-6, pp. 162–163, http://eli.pdx.edu/erc/morgan/handbook6.doc. Alternative Methods of Budgeting Line-Item Budgeting A line-item budget lists, in vertical columns, each of the city’s revenue sources and each of the types—or classes—of items the city will purchase during the fiscal year. Following is an example of how line-item budgeting would be used in a small town public works department. The line-item budget, which is the most widely used of all budgeting systems, offers many advantages. It is comparatively easy to...
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...STUDY NOTES FOR GFOA BUDGETING EXAM A. SOURCE: LOCAL GOVERNMENT FINANCE – CONCEPTS & PRACTICES Chapter 4 – Operating Budgets: A budget can be a process, a document, an accounting ledger, a plan, or a system. Local gov’t budgeting process unique – product of geographical, historical, economic, political and social factors peculiar to that jurisdiction. Budgeting is a unified series of steps to line and implement four functions: ❑ policy development – as policy instrument, CEO and legislative body need to articulate the goals, objectives and strategies that underline the budget – the flip side of proposing policy changes is accountability ❑ financial planning – includes gov’t financial condition; current/past-year trend financial act. by dept or prog; formal revenue est; look to the future to anticipate events/conditions; ensure debt service remains under control (while debt service receives first draw on municipal exp, financial plan set a rational debt service level for multi-year period ❑ service/operations planning – blueprint that governs the amount of service provided ❑ communications – way for decision makers to communicate changes in priorities, rationale for decisions and changes to vision in the future The final step in securing a framework w/in w/c the needs of policy setting, financial planning, service planning and communications can work is the development of quantitative performance measures. Environment/actors dictate the extent...
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...protected from harm. Since Covenant House is a non-profit organization, the sources of revenue are purely from grants and donations. This calls for proper management of these funds as the expenditure tends to exceed revenue. Therefore, the organization constantly strives for sustainability in ensuring that the homeless youths are safe. The major expenditures for this organization is on costs of educating the youths, providing food and shelter to them, community participation and the general administration costs. This is why there is need to have a well-planned budget that focuses on the major roles, objectives and key goals of the organization. According to Covenant House plan, funds to run the organization will be received from the sale of the organization’s logo items, contribution from the general public, grants and donations from sponsors and well-wishers. The funds will account for payment of organization’s programs and missions across the United States and Central America. The initial budget planning for Covenant House involves the selection of a budget committee from volunteers. The volunteers have to be members of the organization and be familiar with the operations of Covenant House in the previous years. In addition to that, they must express the desire of serving Covenant House as a whole and be equipped with knowledge of ordinary budgeting either at business or personal level. The budgeting committee will have to define the budget timelines, estimate the cost of resources...
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...Traffic in the City of Kelsey Vernon Colbourne ACC 574 George Holbrook June 22, 2015 The City of Kelsey’s mayor has identified a need to increase funding for the city highways. The reason for this request is the traffic issues the city has seen in the past couple of years. Those traffic issues are road congestion and traffic accidents. This change ultimately affects the City of Kelsey current budget fiscal cycle. The mayor deemed it appropriate to get the city’s budget director involved. The focus of the fiscal budget should be on how additional funds can be added to the fiscal year budget. The most likely revenue source for additional funding will come from the increase in gas taxes. The budget director will have to focus their attention on how well the citizens will respond to the tax increase. The budget director needs to set goals for the budget. Once the goals are set, the city’s budget director meets with the City of Kelsey officials to discuss current and future city policies (Apollo Group, Inc, 2011). Gas Tax Increase The city’s gas tax is at a current rate of 5 cents per gallon (Apollo Group, Inc, 2011). If the proposed budget is approved, the current gas tax will increase to a staggering 20 cents. The budget director understands this will be a hard one for citizens to swallow. Therefore, other areas of the budget may be compromised as well. One option is requesting a lower tax increase because the...
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...protected from harm. Since Covenant House is a non-profit organization, the sources of revenue are purely from grants and donations. This calls for proper management of these funds as the expenditure tends to exceed revenue. Therefore, the organization constantly strives for sustainability in ensuring that the homeless youths are safe. The major expenditures for this organization is on costs of educating the youths, providing food and shelter to them, community participation and the general administration costs. This is why there is need to have a well-planned budget that focuses on the major roles, objectives and key goals of the organization. According to Covenant House plan, funds to run the organization will be received from the sale of the organization’s logo items, contribution from the general public, grants and donations from sponsors and well-wishers. The funds will account for payment of organization’s programs and missions across the United States and Central America. The initial budget planning for Covenant House involves the selection of a budget committee from volunteers. The volunteers have to be members of the organization and be familiar with the operations of Covenant House in the previous years. In addition to that, they must express the desire of serving Covenant House as a whole and be equipped with knowledge of ordinary budgeting either at business or personal level. The budgeting committee will have to define the budget timelines, estimate the cost of resources...
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