State and Local Government Budgets Chapter 14 Section 3 and Chapter 25 Section 2.
-
Upload
adela-mccarthy -
Category
Documents
-
view
216 -
download
3
Transcript of State and Local Government Budgets Chapter 14 Section 3 and Chapter 25 Section 2.
State and Local State and Local Government BudgetsGovernment Budgets
Chapter 14 Section 3 andChapter 14 Section 3 and
Chapter 25 Section 2Chapter 25 Section 2
State BudgetState Budget
BudgetBudget
Budget- plan for managing and spending Budget- plan for managing and spending moneymoney
Part I: How much money is expected to come Part I: How much money is expected to come in (Revenue)in (Revenue)
Part II: How much money to spend Part II: How much money to spend (Expenditures)(Expenditures)
Fiscal year- state and local budgets begin on Fiscal year- state and local budgets begin on July 1July 1stst and last to June 30 and last to June 30thth
Budget Surplus- amount by which the Budget Surplus- amount by which the government’s income exceeds its spendinggovernment’s income exceeds its spending
State BudgetState Budget Governor and budget staff meet to discuss revenue Governor and budget staff meet to discuss revenue
and expendituresand expenditures Governor approves a balanced budgetGovernor approves a balanced budget
NC law requires that the budget must be balanced (can’t NC law requires that the budget must be balanced (can’t spend more then they take in)spend more then they take in)
Governor proposes the budget to the General Governor proposes the budget to the General AssemblyAssembly
General Assembly proposes ways to raise revenue or General Assembly proposes ways to raise revenue or cut expenditurescut expenditures
General Assembly passes the budgetGeneral Assembly passes the budget General Assembly frequently has trouble agreeing on the General Assembly frequently has trouble agreeing on the
budget and it does not usually pass by July 1budget and it does not usually pass by July 1stst
State Budget cont.State Budget cont. RevenuesRevenues Intergovernmental RevenueIntergovernmental Revenue
Money that one level of government receives from Money that one level of government receives from another level of governmentanother level of government
States receive most of their revenue from the States receive most of their revenue from the federal governmentfederal government
Money to pay for welfare, highways, hospitals, etc.Money to pay for welfare, highways, hospitals, etc. TaxesTaxes
Sales tax on nearly all consumer purchasesSales tax on nearly all consumer purchases Income tax from state residents paychecksIncome tax from state residents paychecks Gas tax goes to a special fund to pay for streets, Gas tax goes to a special fund to pay for streets,
roads, and highwaysroads, and highways
State Budget cont.State Budget cont. ExpendituresExpenditures EducationEducation
Public schools, universities and community Public schools, universities and community colleges, subsidize payments for state residents colleges, subsidize payments for state residents to attend state public collegesto attend state public colleges
Health and Human ServicesHealth and Human Services Disability, welfare, etc.Disability, welfare, etc.
Public safety and justice systemPublic safety and justice system Police and fire protection, court systemPolice and fire protection, court system
State employees retirementState employees retirement
Municipal and County Municipal and County BudgetsBudgets
Each NC county and municipality must Each NC county and municipality must adopt a budget every yearadopt a budget every year
Local governments are required by NC Local governments are required by NC law to pass a balanced budget by the law to pass a balanced budget by the beginning of the fiscal year (July 1beginning of the fiscal year (July 1stst))
Almost all local governments meet the Almost all local governments meet the deadlinedeadline
Municipal and County Municipal and County Budgets cont.Budgets cont.
RevenuesRevenues Intergovernmental RevenueIntergovernmental Revenue
Money that one level of government receives from Money that one level of government receives from another level of governmentanother level of government
TaxesTaxes Property taxes are paid on property owned: land, Property taxes are paid on property owned: land,
houses, etc.houses, etc. Collect a portion of sales and income taxes as wellCollect a portion of sales and income taxes as well
Utility user fees (water, sewer, etc.)Utility user fees (water, sewer, etc.)
Municipal and County Municipal and County Budgets cont.Budgets cont.
ExpendituresExpenditures EducationEducation
Pays for local public schoolsPays for local public schools
Public SafetyPublic Safety Police and fire protectionPolice and fire protection
UtilitiesUtilities Water, sewage, and sanitationWater, sewage, and sanitation
Human services, public health, mental Human services, public health, mental health and social serviceshealth and social services