Government Finance Review

Capital planning for the City of Rockville, MD, meant enacting solid fiscal policies which provided for every imaginable contingency. This policy-making process became integral to monitoring financial developments in the city during the 1980s when its economy boomed. Rockville, as a tangent to policy-making, also commenced publication of the 'Project Status Report' to detail accomplishments of various projects and to provide much needed clarity to the public.

A framework for implementation of diversity initiatives: the case of Edmonton, Alberta.

The City of Edmonton, Canada, has developed a holistic approach in the implementation of its diversity initiatives the objective of which is equality and fairness to everybody. The Diversity Initiatives Office, established in mid-1993, encouraged corporate commitment, clear communication, coordinated efforts and a credible image in achieving its aim of zero tolerance as regards harassment and discrimination.

Helping citizens understand budget decisions: the City of Fort Worth's budget guide and simulator diskette.

Citizens of Fort Worth, TX, make budget decisions via Budgetmaker The City of Fort Worth, TX, has created a budget simulator on a computer diskette called Budgetmaker to facilitate its citizens to make informed decisions regarding the city's recommended budget. Budgetmaker was also intended to enlighten the citizens on the reasons behind the city manager's proposed budget and provide them with sufficient background information to understand any other financial alternative.

Increases in states' health benefit costs on the decline.

Pension and benefits report The 1995 Survey of State Employee Health Benefit Plans revealed that total costs of employee health coverage for the year ended Jan 1995 increased a measly 1.7% while family health coverage increased only by 2%. This could be attributed to the minimal increase in health coverage funding by the states evidenced by the very slight shift toward higher dedcutibles for both individual and family deductibles. Only 24 states in the same period paid the full cost for empl...

Investor and dealer responsibilities in securities transactions: when is redress for loss warranted?

Local government officials should assume responsibility for losses stemming from unsuitable investments since they are mainly responsible for public funds. It is imperative that they take the necessary corrective measures so that such events do not recur. This connotes continual disclosure of information to the public regarding issuance of funds or they could also take redress against a dealer by pursuing arbitration. Some legislative measures such as the voluntary 'Principles and Practices f...

Reengineering: looking sideways at the finance function.

Reengineering emphasizes optimizing business processes so that desired results such as reduced costs, improved service and profitability can be achieved. The method is a more effective means of resolving evolving customer expectations rather than management audits which concentrate on maximizing efficiency but only within departmental boundaries. Reengineering connotes the use of flowcharting to better map out business processes and utilizing technology to boost performance levels.

SEC actions in Orange County investigation: misstatements and omissions alleged in the disclosure material for offerings of more than $2.1 billion in municipal securities.

Includes excerpt of the statement of SEC Chairman Arthur Levitt on Orange County The financial collapse of Orange County can be directly attributed to the misstatements and omissions in disclosure materials by Orange County Treasurer Robert Citron and his assistant Matthew Raabe regarding the county's sale of over $2.1 billion in municipal securities issued in 1993 and 1994. The documents failed to disclose the county's true financial condition. Neither was there any statement regarding Oran...

Tax-exempt financing in the President's budget.

Implications of the provision on corporations The Clinton administrations's proposal to eliminate a corporate tax deduction which it misconstrued as a corporate welfare provision can have an adverse effect on state and local government funding and even on nonfinancial corporations which will be taxed like for-profit entities. The attack on tax-exempt financing is largely contrary to Clinton's stance during the late 1980s when he advocated tax-exempt bonds.

Technology: a challenging tool for improved government effectiveness.

Editorial Advances in information technology should be promptly utilized by the government not just to readily access important information but, rather, to use these information to streamline activities and, hence, improve public service. Government finance officers should use the Internet to address critical issues such as evaluation of the provisions of government services and assessment of the effectiveness of financial operations.

White elephants: why some large projects fail.

Importance of conducting feasibility studies and evaluating finances Feasibility studies that cover every imaginable contingency in the long run and also provide sufficient cushion in cases of down cycles are imperative prior to undertaking costly projects. White elephants such as construction of the Dulles Greenway in Virginia and other toll road projects fail because of insufficient coordination of planning and because tolls were too expensive compared with other routes.