Bu et dg en t ag em an

Bu et dg en t ag em an M

Amy Strange NCSBEE | Deputy Director Campaign Finance & Operations

Benefits of Good Budgeting

Benefits All of Us Good Credit Ratings Lower Taxes Low Borrowing Costs Strong Local Economies Infrastructure Investments Economic Development

NC Credit Rating • Highest Rating Available üStandard & Poor’s üMoody’s üFitch Group • One of Strongest in US • Maintained for 50 years

Credit Ratings

How did we get here? NC Local Government Budget & Fiscal Control Act

Basis of Accounting • Cash • Receipts – added to accounts upon receipt • Expenditures – added to accounts upon check -write • Accrual • Receipts – added to accounts when incurred • Expenditures – added to accounts when obligated

Most cautious? • Receipts Cash? • Expenditures Cash? Accrual?

Modified Accrual • Receipts – Cash Basis • Expenditures – Accrual Basis • Required for gov’ts in NC

Defines Fiscal Year • Same for all gov’ts in NC • July 1 – June 30

Sets Budget Process • Budget Office Guidelines • Base budget + reduction requests • Capital request guidelines • Elections Board/Staff • Develop revenue estimates & expenditure requests • Continuation vs. Expansion • Tie requests to services, strategic goals • Budget Officer prepares recommended budget • Public hearings on proposed budget • County commissioners adopt budget

Budgeting Deadlines • Department Requests due to Budget Officer • April 30 • Recommended Budget due to County Commissioners • June 1 • Enact Budget Ordinance • July 1

Budgeting Deadlines • Administrative Budget Calendar • Can set earlier deadlines for budget requests • Larger, more complex budget = longer lead time • More inclusive process = longer lead time

Balanced Budgets

Contingency Funds • Often budgeted for county as a whole, not by department • Amend Budget Ordinance

Budget Ordinances üCan only spend what is authorized by ordinance üCan be amended by County Commissioners üExceeding authorized budget is legal violation!

Impacts of Poor Budgeting

Worst Case Scenarios • Detroit, MI • Dallas, TX • Puerto Rico

Staying Afloat

Activity Our combined efforts help everyone

The Surplus How would you spend it? Copier Chairs

Contact Us Amy Strange amy. strange@ncsbe. gov