A leap forward for state and local government budgeting.

• Author: Tigue, Patricia

Budgeting is one of the most important activities undertaken by state and local governments. Practitioners and observers alike have recognized the potential of the budget process to raise the quality of government decision making and to enhance citizens' impressions of government. In many governments there is a desire to make improvements to the budget processes. Without a common framework as to what constitutes good budgeting, government officials have had to struggle on their own to develop processes that work.

The National Advisory Council on State and Local Budgeting (NACSLB) was formed to provide practical guidance on state and local governmental budgeting. Since its inception in the spring of 1995, the Council has worked to identify issues and topics and develop a set of recommended budget practices. The Council recently unveiled nearly 60 draft budget practices for state and local governments. The practices are being released in draft form to provide an opportunity for public comment.

The NACSLB's budget practices are intended to:

* educate governments and budget participants about the potential of budget systems;

* help governments assess the adequacy of their own budgetary systems;

* provide guidance to governments that want to improve their budget processes; and

* promote education, training, and further experimentation and research on techniques that work.

Approach of the Council

In developing practice statements, the Council has been guided by certain core philosophies. First, practices are intended to be voluntary guidelines, not mandatory standards. The complex, evolving nature of budgeting makes it likely that some governments will find alternative approaches to good budgeting, which may become the basis for modifying practices identified by the NACSLB in the future.

Second, the Council has deliberately avoided prescribing how practices should be implemented. The recommended budget practices take account of differences in customs, functions, laws, and budgetary resources. Examples are intended to provide illustrations, only, of the manner in which a variety of governments are carrying out a practice.

Third, the practices reflect the diversity of interests in budgeting. The Council itself is made up of individuals representing many of the major players in budgeting (e.g., elected officials, government administrators, and finance officers) and has operated with an emphasis on understanding one another's points of view and...