Budget, Finance & Historic Preservation

Question 1

zero-based budget

Answer 1

Zero-based budgeting is a method of budgeting in which all expenses must be justified and approved for each new period.

Question 2

program budget

Answer 2

Programme budgeting, developed by U.S. president Lyndon Johnson, is the budgeting system that, contrary to conventional budgeting, describes and gives the detailed costs of every activity or program that is to be carried out with a given budget.

Question 3

performance budget

Answer 3

Performance-based budgeting is the practice of developing budgets based on the relationship between program funding levels and expected results from that program. The performance-based budgeting process is a tool that program administrators can use to manage more cost-efficient and effective budgeting outlays.

Question 4

budget vs CIP

Answer 4

The operating budget focuses on the day-to-day running of the company and it usually covers a one-year period. … Capital budgets focus on internal investment strategy and are usually long-term, although they may be updated annually. A typical capital budget will extend over five or 10 years.

Question 5

rational nexus

Answer 5

regarding impact fees: Courts generally look for a “rational nexus,” which exists if the jurisdiction (1) shows how the development created the need for the infrastructure, (2) identifies the cost of providing that infrastructure, and (3) bases the fee amount on the extent to which the development benefits from the infrastructure.

Question 6

TIF bonding

Answer 6

Tax increment financing, or TIF, subsidizes companies by refunding or diverting a portion of their taxes to help finance development in an area or (less frequently) on a project site. Usually, TIF helps to pay for infrastructure improvements (streets, sewers, parking lots) in the area near a new development.

Question 7

Fiscal Impact Analysis vs Economic Analysis

Answer 7

Ultimately, both economic and fiscal impacts are important. The consideration of economic impact can help aim economic development efforts to a specific type of outcome while a fiscal impact analysis provides a dollar amount to help you determine when to pull the trigger.

Question 8

Aaron Wildavsky

Answer 8

Aaron Wildavsky was a leading scholar on budgeting and budget theory. His book, Politics of the Budgetary Process, was recognized by the American Society for Public Administration as one of the most influential works of public administration in the last five decades.
“The environmentalist’s dream is an egalitarian society based on: rejection of economic growth, a smaller population, eating lower on the food chain, consuming a lot less, and sharing a much lower level of resources much more equally.”

Question 9

elements of the budgeting process

Answer 9

The federal budget comprises three primary components: revenues, discretionary spending, and direct spending. 
Input. 
Preparation. 
Output. ...
Feedback. ...
Operating Environment. ...
The Future.

Question 10

categorical vs block grants

Answer 10

Block grants (BETTER) provide state and local governments funding to assist them in addressing broad purposes, such as community development, social services, public health, or law enforcement, and generally provide them more control over the use of the funds than categorical grants.

Question 11

special assessments

Answer 11

A special assessment tax is a surtax levied on property owners to pay for specific local infrastructure projects such as the construction or maintenance of roads or sewer lines. The tax is charged only to the owners of property in the neighborhood that will benefit from the project.

Question 12

Community Reinvestment Act (CRA)

Answer 12

The Community Reinvestment Act (CRA) is a federal law enacted in 1977 to encourage depository institutions to meet the credit needs of low- and moderate-income neighborhoods.

Question 13

certified development company (CDC)

Answer 13

A certified development company (CDC) is a nonprofit corporation that promotes economic development within its community by using 504 loans.

Question 14

Disability Discrimination Act (D.D.A.)

Answer 14

The. Disability Discrimination Act (D.D.A.) makes it against the law for real. estate agents, landlords or landladies, and other providers of accommodation. to discriminate against a person because of a disability.

Question 15

Enterprise zones

Answer 15

Enterprise zones are geographic regions that are granted special status by a government in order to encourage development and economic growth. The zones may be granted favorable tax rates, regulatory exemptions, or other incentives to encourage businesses to stay in the area or locate in it.

Question 16

Input - output analysis

Answer 16

Input-output analysis is used to estimate the impacts of positive or negative economic shocks and analyzes the ripple effects throughout the economy.

Question 17

First historic preservation ordinance

Answer 17

new orleans 1937

Question 18

national historic preservation act

Answer 18

1996- preserve historic and archaeological sites in the United States of America. The act created the National Register of Historic Places, the list of National Historic Landmarks, and the State Historic Preservation Offices.

Question 19

secretary of interior’s standards

Answer 19

Under the National Historic Preservation Act (NHPA), the Secretary
of the Interior is responsible for establishing professional standards
and for providing guidance on the preservation of the nation’s
historic properties

Question 20

Pay as you go

Answer 20

Pay as you go is the financing of improvements from current revenues such as general taxation, fees, service charges, special funds, or special assessments.

Question 21

reserve funds

Answer 21

In reserve fund financing, funds are accumulated in advance for capital construction or purchase. The accumulation may result from surplus or “earmarked” operational revenues, funds in depreciation reserves, or the sale of capital assets.

Question 22

General obligation (GO) bonds

Answer 22

Some projects may be financed by general obligation bonds. Through this method, the taxing power of the jurisdiction is pledged to pay interest upon, and retire the debt. General obligation bonds can be sold to finance permanent types of improvements such as schools, municipal buildings, parks, and recreation facilities. Voter approval may be required.

Question 23

revenue bonds

Answer 23

Revenue bonds frequently are sold for projects, such as water and sewer systems, that produce revenues. Such bonds usually are not included in state imposed debt limits, as are general obligation bonds, because they are not backed by the full faith and credit
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of the local jurisdiction, but are financed in the long run through service charges or fees. The interest rates are almost always higher than are general obligation bonds’ interest rates, and voter approval is seldom required.

Question 24

lease purchase

Answer 24

Local governments using the lease purchase method prepare specifications for a needed public works project that is constructed by a private company or authority. The facility is then leased by the municipality. At the end of the lease period, the title to the facility can be conveyed to the municipality without any future payments. The rental over the years will have paid the total original cost plus interest. This method has been used successfully in park land purchases.

Question 25

authorities and special districts

Answer 25

Special authorities or districts may be created, usually to provide a single service such as schools, water, sewage treatment, toll roads, or parks. Sometimes they are formed to avoid restrictive local government debt limits and as a way to finance facilities serving more than one jurisdiction. They may be financed through revenue bonds retired by user charges though some have the power to tax to raise funds.

Question 26

special assessments

Answer 26

Public works that benefit particular properties may be financed more equitably by special assessment. i.e., paid by those who directly benefit. Local improvements often financed by this method include street paving, sanitary sewer and water mains

Question 27

management by objective

Answer 27

MBO was first devised as a formal management technique by Peter Drunker in 1954. It can be described as a goal and objective setting process between the individual administrator and subordinates. For effective implementation of an MBO system, the following administrative attributes are necessary:

1. a goal oriented attitude
2. strong visible support by the chief executive.

Question 28

zero-base budgeting

Answer 28

ZBB requires each manager to break up their portion of the budget into small understandable pieces called “decision packages”.

Question 29

market value

Answer 29

Property is taxed on the basis of a property assessor’s estimation of the worth of a property. This estimation is the market value or what assume-ably the property would sell for on the open market.