Rethinking Budgeting Self Assessment Tool
Rethinking Budgeting addresses challenges that local government budgeting often cannot respond to effectively. Yet, traditional budgeting endures because it has certain strengths. Therefore, we should ask how Rethinking Budgeting compares to these strengths. After we review the strengths, we highlight the advantages of Rethinking Budgeting that are unmatched by the traditional budget.
Overview
This assessment was developed to be a participatory tool whereby budget stakeholders convene to discuss the current state of their budget process and then identify important pathways for improvement.
It is a tool useful for evaluation, planning, and dialogue geared toward organizational change. The assessment invites budget stakeholders to answer the questions such as:
- What are we doing well in our budget process?
- In what areas could we improve our budgeting process?
- What are the first steps we can take to evolve our budgeting process?
While this first version of this tool is geared at organizational dialogue, future versions will build on the index with the additional input from local governments across the nation and additional analyses of promising practices in budgeting.
0:00-0:05 Workshop introduction and setting of context.
0:05-0:20 Individual assessments.
0:20-2:00 Group discussion and completion of group assessment of 10 dimensions. (10 minutes per dimension.)
2:00-2:15 Identification of key focus areas.
2:15-2:30 Closing and next steps.
Traditional local government budgeting methods are felt to be outdated, too slow, and too inflexible to address the rapidly changing nature of our current times.
From the work of the Rethinking Budgeting team and the results of the Local Government Budget Survey, we identified 10 vital dimensions that constitute key budget processes or organizational strengths to build. A local government that is ready to undertake the rethinking budgeting process:
1. Is aligned to a strategic plan and/or current organizational priorities
2. Relies not only on organization inputs and outputs, but also focuses results
3. Encourages collaboration across departments
4. Promotes collaboration with elected officials
5. Is created through a strong engagement with constituents
6. Is transparent and provides opportunities to build trust
7. Has leaders who support innovation and are skilled at change management
8. Empowers its budget staff
9. Dedicates appropriate human capital
10. Uses integrated, agile technology
These are the areas covered in the assessment.
A successful Readiness Assessment Workshop involves a diverse group of budget stakeholders and representative voices. The assessment will be the most accurate and actionable if members from multiple segments of your organization participate. Consequently, we recommend including representatives from the city management office, the finance office/budget department, the community engagement team, the strategy/innovation team, etc. You may also choose to invite members of your council/ board, and external stakeholders such as members of your business community, nonprofits, and residents from a wide range of demographics.
GFOA would like to thank the following firms for helping to develop and test this assessment:
Polco provides next-generation engagement solutions and data-driven insights that unite governments and residents for stronger, healthier communities. Polco’s industry-leading surveys, government performance data and interactive simulations engage residents and provide government leaders with clear insights that inform and help prioritize community decisions and build trust - all within a single award-winning platform. Thousands of government leaders rely on Polco to connect with constituents and make data-driven decisions that align communities, grow local economies, and improve outcomes. Polco is an eight-time GovTech 100 company.
Envisio is the most widely used strategic planning and performance management solution in local government. Leaders from more than 200 cities, counties, and school districts use Envisio to execute plans, measure and report on performance, make evidence-based decisions, and build trust and transparency with elected officials and communities. Envisio is an award-winning company recognized on the GovTech 100.
Tyler Technologies (NYSE: TYL) is a leading provider of integrated software and technology services for the public sector. Tyler’s end-to-end solutions empower local, state, and federal government entities to operate efficiently and transparently with residents and each other. Tyler has more than 44,000 successful installations across 13,000 locations, with clients in all 50 states, Canada, the Caribbean, Australia, and other international locations. Tyler has been recognized numerous times for growth and innovation, including on Government Technology’s GovTech 100 list.