Podcast
Questions and Answers
What type of fund is utilized when implementing a transportation tax for a specific purpose?
What type of fund is utilized when implementing a transportation tax for a specific purpose?
- Debt Service Fund
- General Fund
- Special Revenue Fund (correct)
- Capital Project Fund
Which of the following is NOT a key consideration in the budgetary process?
Which of the following is NOT a key consideration in the budgetary process?
- Expected changes in revenue
- Approval from the public (correct)
- Expected current year surplus/deficit
- Unusual expenditures expected
What is the purpose of an appropriation ordinance in the budget process?
What is the purpose of an appropriation ordinance in the budget process?
- To present the budget to the public
- To approve modifications to the budget
- To draft tax levy ordinances
- To set ceilings on expenditures (correct)
Which document is prepared to summarize the budget for legislative review?
Which document is prepared to summarize the budget for legislative review?
What is the primary role of the budget officer in the budgetary process?
What is the primary role of the budget officer in the budgetary process?
What process follows the budget's presentation by the CEO?
What process follows the budget's presentation by the CEO?
What is essential for ensuring the effectiveness of a governmental budget?
What is essential for ensuring the effectiveness of a governmental budget?
What percentage of your property tax bill does the Village of Bolingbrook represent?
What percentage of your property tax bill does the Village of Bolingbrook represent?
What percentage of the annual bill supports the Village of Bolingbrook's services?
What percentage of the annual bill supports the Village of Bolingbrook's services?
Which group receives the largest portion of the average property tax bill in Bolingbrook?
Which group receives the largest portion of the average property tax bill in Bolingbrook?
What was the median sale price of homes in Bolingbrook during the first half of 2018?
What was the median sale price of homes in Bolingbrook during the first half of 2018?
What is the average effective property tax rate in the U.S.?
What is the average effective property tax rate in the U.S.?
Which type of exemption is automatically renewed for persons with disabilities?
Which type of exemption is automatically renewed for persons with disabilities?
Which of the following most accurately describes the role of citizens in the city government activity?
Which of the following most accurately describes the role of citizens in the city government activity?
How many properties were sold in Bolingbrook during the first half of 2018 to gather the median sale price data?
How many properties were sold in Bolingbrook during the first half of 2018 to gather the median sale price data?
Flashcards
Governmental Budget
Governmental Budget
A formal plan outlining expected revenues and expenditures for a government entity during a fiscal year.
Estimated Revenues
Estimated Revenues
Estimates of income the government expects to receive during the budget period.
Estimated Other Financing Sources
Estimated Other Financing Sources
Potential sources of funding beyond regular revenues, like grants or borrowing.
Appropriations
Appropriations
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Budgetary Fund Balance
Budgetary Fund Balance
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Encumbrance
Encumbrance
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Levy
Levy
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Budgetary Process
Budgetary Process
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Village of Bolingbrook Annual Cost
Village of Bolingbrook Annual Cost
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What percentage of property taxes fund the Village of Bolingbrook?
What percentage of property taxes fund the Village of Bolingbrook?
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Largest Recipient of Property Taxes in Bolingbrook
Largest Recipient of Property Taxes in Bolingbrook
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Homestead Exemption for Persons with Disabilities
Homestead Exemption for Persons with Disabilities
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Standard Homestead Exemption for Veterans with Disabilities
Standard Homestead Exemption for Veterans with Disabilities
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Senior Citizen Assessment Freeze Homestead Exemption
Senior Citizen Assessment Freeze Homestead Exemption
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Median Home Sale Price in Bolingbrook
Median Home Sale Price in Bolingbrook
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Median Property Tax Bill in Bolingbrook
Median Property Tax Bill in Bolingbrook
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Study Notes
Governmental Accounting - Budget Process
- Course covers business, not-for-profit, and government areas
- Canvas/Pages and Tophat are organized by class and topic
- Exercise: Identifying the Correct Fund
Bolingbrook, IL Case Study - Budget Process
- Bloomington, IL dedicates resources to improving Kirkwood area
- 3% increase in transportation tax, earmarked for improvements
- Transaction falls under a special revenue fund, used for non-debt/capital projects
Budget Process - Budgetary Policy Guidelines
- Authors: CEO, legislative body, budget officer
- Considerations: revenue changes, unexpected expenses, surplus/deficit, economic conditions
Budget Process - Budgetary Review
- Checks for errors
- Verifies appropriateness, justification, and realism
- Balances the budget
- Ensures goal congruence
- Creates budget summary for CEO to prepare for legislative review
Budget Process - Budget Document
- Contains a budget message
- Budget summary
- Capital projects schedule
- Detailed supporting schedules
- Drafts of tax levy ordinances/acts
Budget Process - Legislative Review
- Copies are distributed in advance
- Presented by CEO
- Public hearings
- Modifications
- Enactment of appropriation ordinance to set ceilings
- Budget is published and entered into the system
Property Tax Information
- Bolingbrook's property tax is 9.5% of the total bill (~$664 annually)
- Covers village services (police, fire, EMS, etc.) and public services like snow removal
- Remaining 90% goes to school district, county, community college, etc.
Exemptions
- Homestead exemption for people with disabilities
- Standard and senior citizen exemption available
- Automatic renewal process for 2020 exemptions
Headline - Will County Gazette
- Bolingbrook's population is 74,518
- Median sale price of homes in 2018's first half was $227,750
- Median property tax bill in 2017 was $6,052.98, which is 2.66% of the community's median home value.
- The national average effective property tax rate is 1.19%, vs Bolingbrook's 2.66%.
In-Class Activity
- Students read Chapter 7
- Complete lecture slide questions on Tophat
- Finish Class 20 Quiz on Use of Funds after reviewing the lecture.
- Class has groups (Citizens, Mayor & Council, Department Heads)
Round 1
- Citizens list needed services
- Department heads provide planned expenditures
- Legislative group provides vision/mission for community
Round 2 - Public Hearing
- Executive presents the budget and gathers citizen feedback
- Department heads provide support (research and comparative data)
- The executive presents a balanced budget
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Description
This quiz covers the essential aspects of the budget process in governmental accounting, including fund identification and policy guidelines. Explore case studies, budgetary reviews, and the importance of documentation in the budgeting framework. Assess your understanding of how budgeting affects financial management in public and non-profit sectors.
