Cincinnati's Budget Developments

Abstract

THE concept and techniques of performance budgeting have gained many converts in Cincinnati. Introduced in 1954, this budget system has satisfied many knowledgeable persons that it possesses potentialities and qualities superior to former systems. Performance budgeting, experience in Cincinnati indicates, is a more searching, systematic and sensible system: making more sense to the press and the public, to the public administrator, to the city manager, and to the legislative body. This description of the conception of, progress with, and conclusions about, performance budgeting represents not only the author's opinions but the thinking of many who have participated in its implementation and of many outside observers. The skeptic may conclude that extravagant claims are made for performance budgeting, for its value as a reporting vehicle, as an aid to budget decision-making, as a clarifier of accountability, and as a spotlight on management. I do not think so. I see performance budgeting as another manifestation of increasing professionalization in the public service and a recognition that modern government is too large, too complex, and too pervasive to be successfully administered and controlled by methods and attitudes out of step with the tempo, scope, and impact of present day government. Performance budgeting strengthens public and legislative control of governmental policies, programs, and expenditures through its insistence on better reporting of fiscal facts in relation to functions, services, and programs and through its emphasis on accountability and achievement. The budget process, culminating in legislative actions which determine the degree of financial burden to be borne by each taxpayer in the community, needs to be fully comprehended if it is to be fully controlled. One of the most important aspects of performance budgeting is the implicit attempt to awaken a real sense of responsibility and man-