GFOA's distinguished budget presentation program achieves major milestone: more than 1,500 governments participate in GFOA's budget awards program, which was launched in 1984.

• Author: Bailey, Mike
• Position: Management & Careers - Government Finance Officers Association

GFOA's Distinguished Budget Presentation Awards Program, which recognizes excellence in governmental budget documents, achieved a major

milestone when it recently exceeded 1,500 participating governments. This occasion provides an opportunity to look back at how the program has helped encourage financial transparency and excellence in local government.

THE VISION

The vision of the program, which started in 1984, was to recognize governments with budget documents that communicate important financial information clearly.

Best Practices. GFOA provided advice and insight into a variety of budget topics, but before the program began, there was no framework for what a stellar budget document might look like. The Distinguished Budget Presentation Program is now based on GFOA's body of best practices (available at www.gfoa.org). The origin of these best practices is usually the GFOA Committee on Budgeting and Fiscal Policy, which is made up of experienced budget practitioners. An issue will be proposed for consideration, and the committee then develops a recommendation on the issue for the GFOA Executive Board to consider. GFOA currently has 38 best practices related to budgeting and fiscal policy. Each time a new best practice is adopted, the relevant Distinguished Budget Presentation Program award criteria are updated.

Rapid Growth. In its first year, the awards program received approximately 100 submissions. Participation doubled in two years, and it doubled again in three more years, growing tenfold in 10 years. (See Exhibit 1.)

Most governments appreciate the recognition that comes from managing the affairs of their community well. Local government budget staff also realizes that they work in political environments where the recognition of excellence is important to the community and to the policymakers they elect. A recognition program formally acknowledges high-caliber work, setting a standard that staff can work toward.

HOW BUDGETS ARE EVALUATED

Mechanics. Three peer reviewers who are experienced in public-sector budgeting evaluate the documents submitted to the budget awards program, as well as GFOA staff. For each submission, the reviewers provide independent scores and comments on 27 criteria related to the program. Of these, 14 criteria are mandatory, and at least two of the three reviewers must give these mandatory criteria a passing score for the applicant to obtain the award. (Each criterion can be rated "outstanding," "proficient,"...