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Flashcards in Chapter 12 Chapter review Deck (34)
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1
Q

What is a fiscal year and give examples of two different fiscal years.

A

A budget year is called a fiscal year

operating - 12-month period and is for such things as salaries, fringe benefits, uniforms, crime scene supplies, ammunition, training, and telephone service.
capital-large-scale expenditures that may be “one-time” in nature and take place over several years, such as acquiring land and building a new police station.

2
Q

Define the steps in the budget cycle and briefly describe them.

A

(1) preparation and submission of the budget by all of a city or county’s departments, which includes getting input from stakeholders, such as citizens and advisory boards;
(2) review and approval by the legislative body, which may involve controversies;
(3) execution, doing the things for which public funds have been appropriated; and
(4) the audit and evaluation. 20 Many of these activities are going on simultaneously because the current fiscal year and the next budget cycle overlap or are “scrambled” together.

3
Q

Describe financial and performance audits. Why are performance audits more varied in their approach?

A

annual audits were of a department’s budget, expenditures, and financial management practices

how good of a job an agency was doing

4
Q

Identify the focus of a line item budget and a program budget.

A

The line item is the basic system on which all other budget formats ultimately rest because of its excellence as a control device.

from work by the (New York) Bureau of Municipal Research, which called for a new budget format (1907)—the program budget. Although the term program budget was not initially used, its elements were clearly defined: “For each department, the budget shall be separated to show the kinds of services to be provided.”

5
Q

What is a performance budget and why have performance budgets substantially abandoned cost measures?

A

The 1912 Taft Commission on Economy and Efficiency called for a budget with cost data for the type of work being done. The weight of these two recommendations led to the adoption of what is now called a performance budget in New York City (1913). This format was so complicated and unwieldy that New York City soon dropped it.

6
Q

What are hybrid budgets and why do they exist?

A

The reason for this is that each jurisdiction, and by extension its police department, uses a system that makes sense to it. History, unique city charter provisions, state laws and local ordinance, past practices, the preferences of key people in the budgeting process, and other variables contribute to the reality that many budgeting systems incorporate features from one or more formats. The test of a budget format is how it’s constructed, not what it’s labeled. Many budgets are hybrid budgets, incorporating features of several different types of budget formats.

7
Q

Identify three major ways in which a police budget can be supplemented.

A

asset forfeiture, grants, and police foundations and donation programs.

8
Q

Give three definitions of budget.

A

it is a plan expressed in dollars, it is the use of financial resources to meet human needs, and it is a contract between those who appropriate the money and those who execute the budget.

9
Q

which is true of a budget

A

finance meet human needs
planned expressed in dollars
contract to who appropriate to execute

10
Q

a budget period that runs from july 1 2019 to june 30 2020 is often referred as

A

fiscal year 2020

11
Q

operating budget usually covers a 12 month period and is typically used for which of the following

A

salaries
crime scene supplies
training

12
Q

the ____ provides guidelines covering what types of expenditures should be in the operating budget versus the capital budget

A

city or county finance department

13
Q

the budget cycle

A
consists of 4 sequential steps that repeat every year 
1-preparation
2-review & review
3-execution
4-audit
14
Q

preparation, review and approval execution and _____ are collectively referred to as the budget cycle

A

audit

15
Q

in budges allotments are usually made on which kind of basis

A

quartelry

16
Q

financial auditor systematically collect and examine records to determine which of the following

A

unauthorized transfers of funds between accounts
inaccurate computations
expenditures in excess of appropriations

17
Q

if there is a concern about the budget between the auditor and the chief the chief of police may write

A

a letter of exception

18
Q

the oldest simplest most widely used budget format used from 1915 to WWII is

A

line item

19
Q

police administrators believe that to have excellence in budget control they should have which type of budget format

A

line item budge

20
Q

the disadvantage of a line item budget include what

A

no program structure
not allow for long range planning
no specific measurable goals

21
Q

a program budget includes

A

program structure
attachment of goals to each program
line item budget for control

22
Q

what wast he budget format in 1960’s and early 70’s practiced by fed. gov.

A

PPBS

23
Q

PPBS has which dominant features within its budget format

A

planning

24
Q

a performance based budget

A

expensive
may measure what is easy rather than what is important
may be time consuming

25
Q

the heart of ZB budget

A

decision package

26
Q

the budget format that incorporates features of several different types of budgeting

A

hybrid

27
Q

which of the following is a method for supplementing a departments budget

A

obtaining grants
asset forfeiture
donation programs

28
Q

capital budgets are intended for

A

involves acquisition of land or new police building

29
Q

what is the single most important element in a police budget

A

people, support costs, salaries, insurance, overtime, training

30
Q

3 key aspects of budget execution

A

objectives, adjustments, control

31
Q

what phase is budget execution

A

action phase

32
Q

the pure form of PBB is a ____ _____ ____ designed to relate the amount of various types of work done to the amount of money spent to produce work

A

results oriented tool

33
Q

what does the program budget focus on

A

achieving broad police goals but is labor intensive to develop

34
Q

what is zero based budget (ZBB)

A

every gov. program must justify existence