Le#er

 from  Mayor  
  Virtually  every  city  has  a  prefatory  le2er  from  the  mayor  
or  city  manager/business  administrator  introducing  its  
budget,  in  addi:on  to  mission  statement  and  goals.    Why?  

  Way  for  mayor  to  take  ownership  of  budget.  

  Frank  discussion  of  current  fiscal  state  of  city.  
  What  is  being  done  to  address  challenges?  
  Progress  accomplished  from  last  year’s  le2er.  
 
 Le#er  from  Mayor  
  Spokane,  WA  (pop.  203,268),  has  
 an  8-­‐page  le2er  that  provides  a  
 good  example  of  format  and  
 content.  
 
 
 
 
 
 
 
 
 
h#p://www.spokanecity.org/government/budget/  
 Budget  Timeline  
  An  annual  :meline  illustrates  the  budgetary  stages  –  
planning,  review,  approval,  and  implementa:on  –  and  the  
necessary  :meframes  to  advance  the  process:  

  Enhances  transparency  and  accountability.  

  Provides  public  greater  understanding  that  budge:ng  is  
a  year-­‐round,  mul:-­‐phased  ac:vity.  
  Excellent  management  tool  for  internal  controls.  
  Spells  out  respec:ve  Roles  and  Responsibili:es.  
 
 Budget  Timeline  
  Orlando,  FL  (pop.  235,860),  
provides  a  concise  :meline  
of  the  budge:ng  process.  

  h#p://www.cityoforlando.net/admin/cfo/reports/FY1011BUDGETBOOK.pdf  
 Financial  Policies  and  PracKces  
  Norfolk,  VA  (pop.  233,333),  has  an  informa:ve  five-­‐page  
discussion  that  includes:  

  Discussion  of  Reserves,  including  Balances  and  Targets.  

  Defini:on  and  use  of  Surpluses.  
  Debt  Management.  
  Capital  Improvement  Plan.  

  Norfolk’s  Financial  Policies  and  Prac:ces  can  be  found  on  

PDF  pp.  5-­‐9  at:  h#p://www.norfolk.gov/budget/
Budget_2011/4_Budget_Overview.pdf  
 OrganizaKonal  Chart  
  An  Organiza:onal  Chart    for  city  government  gives  a  clear  
delinea:on  of  authority  
       and  repor:ng  structure.  
       Irvine,  CA  (pop.  209,716),  
       provides  a  good  example:  
 
 
 
 
 
 
 
 
  h#p://www.cityofirvine.org/civica/filebank/blobdload.asp?BlobID=15906  
 Goals  and  Accomplishments  
  Baton  Rouge,  LA  (pop.  225,000),  lists  Strategic  Ini:a:ves,  
Prior  3  years’  Accomplishments,  and  Current  Year  Goals  
for:  

  Effec:ve  and  Efficient  Government.  

  Public  Safety.  
  Infrastructure  Enhancement/Growth  Management.  
  Economic  Development.  
  Quality  of  Community  and  Family  Life.  

h#p://brgov.com/dept/finance/pdf/2010%20Budget/10-­‐Mayor%27s
%20Goals%20and%20Accomplishments.pdf  
 Mission/Vision  Statements  
  Durham,  NC  (pop.  229,171),  includes  a  Vision  Statement,  a  
Mission  Statement,  and  also  lists  the  Goals  of  City  Council:  

  City  Vision  Statement:  

“Durham  will  be  North  Carolina’s  leading  city  in  providing  
an  excellent  and  sustainable  quality  of  life.”  

  City  Mission  Statement:  

“The  City  of  Durham  is  dedicated  to  improving  the  quality  of  
life  in  our  community  by  delivering  cost-­‐effecCve,  highly  
responsive  services  with  integrity  and  friendliness.”  
Why  Talk  About  Goals  and  Vision,  etc.?  

  Important  to  communicate  what  the  administra:on  hopes  

to  accomplish  –  can  help  properly  calibrate  expecta:ons.  
  Sets  standards  to  which  benchmarks  can  be  applied.    
  Communicate  accomplishments.  
  Provides  updates  and  direc:on  of  longer-­‐term  projects.  
  Transparency.  
 User-­‐Friendly  PresentaKon  
  Graphs!    Charts!    Tables!    Pictures!    Colors!    Everyone  is  
using  them!    People  examining  a  pie-­‐chart  or  bar  graph  
can  more  quickly  grasp  what  is  being  presented.  

  Budget  is  publicly  available  –  an  opportunity  for  the  city  to  
put  its  best  foot  forward.  
  Technology  to  implement  enhancements  is  ubiquitous.    
  Budget  should  be  easily  iden:fiable  on  homepage  of  city’s  
website.    A  visitor  to  the  Jersey  City  municipal  website  
needs  to  click  three  :mes  to  get  to  the  budget.  
  Use  of  narra:ve.  
 Revenue  Pie  Chart  
  Winston-­‐Salem,  NC  (pop.  229,828)  

  h#p://www.cityofws.org/Assets/CityOfWS//Documents/Budget/FY
%2010-­‐11%20Adopted%20Budget/Total%20Budget%20Summary
%20SecKon.pdf  
 Expense  Pie  Chart  
  Reno,  NV  (pop.  219,636)  

  h#p://www.reno.gov/Index.aspx?page=171  
 Revenue  DescripKon  
  Sco2sdale,  AZ  (pop.  237,844),  provides  detailed  narra:ve  
of  each  of  its  31  revenue  sources  –  including  taxes,  fees,  
fines,  revenue  sharing,  interest  income,  rental  income,  
state  funding.  

  h#p://www.sco#sdaleaz.gov/Assets/Public+Website/finance/Archive/FY
+2010-­‐11/FY_2010-­‐11_Volume_1.pdf  
 Revenue  DescripKon  
  Modesto,  CA  (pop  202,743),  provides  a  27-­‐page  
accoun:ng  of  revenue  by  taking  
 each  line  item  and  it  down  
 breaking  to  its  smallest  
       components  –  some  as  small  as  $1.  
 

  h#p://www.modestogov.com/fin/docs/budgets/opbudget1011/Financial-­‐
Summaries/Adopted%20Revenue%20EsKmates.pdf  
 Departmental  ReporKng  
  Types  of  informa:on  that  may  be  included:  

  What  are  recent  trends  in  a  department?  

  What  is  headcount?  
  What  are  objec:ves  for  the  year?  
  New  ini:a:ves?  
 Departmental  ReporKng  
  Richmond,  VA  (pop.  204,451),  demonstrates  great  
examples,  here  from  the  City  
       A2orney’s  department:  

 
 
 
 
 
 
 
  h#p://www.richmondgov.com/Budget/documents/BiennialPlans/
2010-­‐2011_AdoptedBiennialFiscalPlan.pdf  
 Salary  Tracking  
  Madison,  WI  (pop.  235,419),  provides  Permanent  Salary  
Detail  in  its  budget.    Itemizes  salaries  per  posi:on  for  each  
department:  

  h2p://www.cityofmadison.com/comptroller/budget/2011/ex2011opbud.cfm  
 A  clear  picture  of  the  City’s  debt  
  Understanding  the  debt  burden  is  an  important  
component  in  assessing  the  fiscal  health  of  the  city.  
  Balancing  debt  burden  with  tax  burden.    Is  the  city’s  debt  a  
metaphorical  :cking  :me  bomb?  
  Are  maturi:es  smooth,  or  is  there  a  year  that  represents  a  
large  challenge?  
  Des  Moines,  IA  (pop.  200,538),  presents  a  detailed  
presenta:on  of  outstanding  debt,  next  few  years  of  debt  
service,  amor:za:on,  and  debt  per  department.  

 
Debt  Summary  (Des  Moines,  Iowa)  
Debt  Summary  (Des  Moines,  Iowa)  
Debt  Summary  (Des  Moines,  Iowa)  
Debt  Summary  (Des  Moines,  Iowa)  
 Debt  Management  
  Birmingham,  AL  (pop.  230,131),  provides  a  10-­‐page  sec:on  
that  discusses  Debt  Management.    Reviews  in  detail:  

  Debt  Service.  
  Why  recent  debt  was  issued.  
  Annual  debt  maturi:es  through  2033.  
  Current  Yr.  Principal  and  Interest  for  each  instrument.  
  Analysis  of  Bonded  Debt  to  Assessed  Value  past  10  yrs.  

  h#p://www.informaKonbirmingham.com/pdf/finance/Budget
%2011/2011%20Official%20OperaKng%20Budget/DEBT%20SERVICE.pdf  
 Capital  BudgeKng  
  Madison,  WI,  lists  each  capital  project  over  $10,000  by  
department  and  provides  a  paragraph  descrip:on.    This  
descrip:on  includes:  

  Cost.  
  Source  of  funding.  
  What  work  is  being  done.  

Example  can  be  found    on  PDF  pp.  186-­‐304  of  510  at:    
 
h#p://www.cityofmadison.com/comptroller/documents/2010OpBud/
Adopted/completeBudget.pdf  
 Long-­‐Term  Planning  
  Projec:ons  and  Longer-­‐Term  Financial  Planning  provides  
guideposts  and  help  insure  consistency  over  :me  with  
regard  to  spending.  
  Emphasizes  consistent  revenue  streams.    Over-­‐reliance  on  
non-­‐repeatable  revenues  becomes  apparent.  
  Provides  a  certain  amount  of  con:nuity  for  new  
administra:on.  
  Boise,  ID  (pop.  205,707),  publishes  a  six-­‐year  “Long-­‐Term  
Financial  Projec:on”  in  its  budget.  

  Boise  PDF,  pp.  317  to  322  of  724  h#p://curbit.cityogoise.org/

Budget/PDF/Budget/FY2010_2011/FY2010-­‐2011Workbook.pdf