**CLASS IS PUAD 420: Government & Nonprofit Budgeting**

****MUST PICK AN AGENCY FROM THE STATE OR LOCAL GOVERNMENT OR NONPROFIT ORGANIZATION TO ANSWER THE FOLLOWING QUESTIONS. ****

Select either a state or local government agency or a nonprofit organization. Locate the operating budget for this organization.

Based on your review of the operating budget, develop a response to the following:

• Understanding sources and uses of funds:
  • What are the top 3 sources of income or revenue?
  • What percent of total revenue is provided from its top 3 revenue sources?
  • What are the top 3 expenditures (either by line item - i.e. salaries, debts services, rent, etc. or activity - i.e. parks, security, roads, etc.)?
  • What percent of total revenue is provided from its top 3 revenue sources?
• Budget Decision Making:
  • If you selected a state or local government agency: In the formal budgeting process, what entities or individuals decide how (and how much) revenue will be raised in the public sector? What are 2 important factors that affect how these decisions will be made (e.g. public opinion on what types of taxes are least popular)
  • If you selected a nonprofit agency: In the formal budget process, what 2 entities or individuals would be the most important decision-makers in determining how the agency generates revenue and how that income is spent?
• Management Lessons:
  • What do you think are the 3 most important skills or knowledge a budget manager should possess to ensure their agency has sufficient funding to effectively operate and advance its mission? Specifically, in the response, you should address what a manager would need to know and do to ensure:
    • The organization has adequate revenues
    • Important priorities or programs receive adequate funding
    • The organization can meet its short-term financial obligations