PAD4223 Final Exam

politics of macro change

--actors try to reshape the process to influence broad policy in the direction they espouse (adopt/support); Ex: conservative republicans want to restructure the budget process to encourage tax reduction and scope of government reduction

benefits of capital projects

--adds value to an organization's capital assets (any significant acquisition, construction, replacement or improvement to the physical assets of an organization, including land, property, and equipment) or significantly increase their useful life

open processes (role of the public)

--decisions are made in public view --meetings are held at convenient times for visitors and are announced well in advance --interest groups are invited to share their views during hearings

incrementalism (budget theory)

--accidental results of many small decisions made from bouncing off the base --the result is not a coherent policy, but an accumulation of nickel and dime band-aids

politics of micro change

--actors try to bend, break, and change specific rules in the budget process

NIMBY

--'not in my backyard' --idea that geography matters in the implementation of projects, especially those that are highly visible and irreversible

how do we pay for bridges?

--1. cash: either from current revenues or from money saved from prior years --2. borrowed money: debt will have to be repaid over time with interest costs --3. receipt of money from an outside source: donation from a benefactor or a grant from higher level of government

four stages of executive budgeting process

--1. executive formulation and submission: the first step is to establish the agenda, frames the discussion and dominated the subsequent legislative action; drafted by the chief's executive budget staff at the federal level --2. legislative review and appropriation: associated with bargaining and negotiating because it takes a legislative majority to pass a budget; most important influence on the budget is preexisting conditions; review of executive budget requests; limits on legislative power; line item appropriation and veto power --3. executive implementation: budget implementation is primarily the executive's job; it is less about politics and policy focuses on the mechanics of managing public resources; allotments-the budget office makes funds available to agencies on schedules, usually quarterly installments, helps to prevent agencies from overspending; supplemental appropriations-an authorization to spend that is adopted during the fiscal year for the current budget, usually as a timely response to unforeseen circumstances --4. audit and evaluation: occurs at the end of the fiscal year; it is the single most important control over executive implementation exercised after transactions are made; financial audit-review of the organization's accounting system, usually by an independent accounting firm, to attest that the organization's financial statements present fairly the financial results for the fiscal year (NOT designed to catch fraud, waste, and abuse); performance audit-an audit that is focuses on performance activities and work programs instead of strictly financial matters (can focus on economy, effectiveness, or outcomes)

issues central for actors in the process

--1. liberals: trying to maintain the scope of the government --conservatives: trying to shrink the scope --2. working people and their representatives: want the budget to be used to keep the level of employment high --3. business people and their representatives: want a budget that keeps taxes low --4. each level of government: wants to balance its budget, possibly by shifting the burdens of programs and projects elsewhere --5. interest groups, lobbyists, program beneficiaries, agency heads: trying to protect their programs from getting cut

methods of identifying new capital projects

--A. apply the replacement cycle of major pieces of equipment and facilities (I.e. What is the lifespan of the high volume air conditioner that services the multistory city hall?) --B. compare facilities to legal or professional standards (I.e. Does the recreation buildings still meet the building code or do we have the proper number of parks per thousand residents?) --C. observe the current inventory of capital assets (I.e. Is the bridge deteriorating so bad that it requires replacement?)

revenue plans and spending assumptions

--a balanced budget arises when the government entity estimates the same amount of money from revenue collections as it is appropriate from expenditures --time is an issue because: a. months may pass between the calculation of spending needs to the start of the year; inflations, labor prices, and material costs can change prices b. revenue plans can be very different from the number of dollars actually collected --revisions can be caused by multiple reasons throughout the year: a. most state legislatures are not in continuous session so the power shifts to the governor to make executive budget allocation decisions

balance (5 of 8 focal points)

--a balanced budget is a core feature of professional standards and credit rating, so a balanced budget is important --a budget is in formal balance when revenues equal expenditures --most often, the proposed and adopted budgets are in balance, but many governments and nonprofits are required by law to end the fiscal yea in balance a. florida law says that nonprofits cannot make more than a 5% profit in retained earnings

budget sustainability

--a budget balanced for the current year does not mean that it will be balanced next year --the general rule is that one legislature cannot bind its successors because then there would be little left for a new legislature to do because options for changes in the budget would be lost --change can occur quickly if the votes are there to do it

executive budgeting

--a budget process in which the executive formulates and submits the budget to the legislature and then implements the adopted budget --a. executive budgeting aimed for better planning, accountability, and control for public resources --b. it began in NYC and then adopted by municipal governments run by professional city managers --c. the budgeting and accounting act was passed in 1921 and was the adoption of executive budgeting by the federal government --the move to executive budgeting was part of the ongoing tug-of-war between the executive and legislative branches that explains much of budgetary politics over the past century --the purpose of executive budgeting is efficiency and stewardship; as defined by president taft's commission on economy and efficiency

budget drivers

--a budget's strength is that it expresses political choices and priorities in dollars so that comparisons can be made among different organizations from one year to the next --drivers: the categories or departments that are taking most of the budget and are growing the fastest a. however, a category showing little to no dollar changes over time may mask substantial or material policy shifts b. the costs associated with employees drive local budgets

what fund applies?

--a fund is a self-balancing set of accounts established by law and dedicated to a specific purpose --3 main types of funds for state and local governments are: a. proprietary funds: account for resources held in trust b. enterprise funds: handle business like operations c. governmental funds: debt service funds, special revenue funds, and general funds

taking a political perspective: know the players

--a political perspective on decision making defines a good budget, policy, or program by its political success: the fact that it musters the support that translates into a legislative majority and executive signature; a political perspective emphasizes today's wins and losses in the competition for resources a. advocates: individuals and institutional participants in the budget process that promote a particular program and push for funding b. guardians: the budget role characterized by protecting public resources by saying no to spending advocates and opposing spending increases c. chief executive, agency bureaucrats, professional budgeters, legislators, lobbyists, advocacy and public interest groups, employee associations, taxpayer groups, media

budget strategies

--a. ask: YOU MUST HAVE CREDIBILITY POLITICALLY --b. expand little by little --c. ask for more --d. padding: when budget estimates are fudged and distortions are hidden in order to build some insurance against anticipated cuts made by the chief executive or legislature (this sacrifices accuracy, accountability, credibility, and honesty on the altar of budget success)

audits

--an audit stage occurs at the end of the fiscal year. it is the single most important control over executive implementation exercised after transactions are made --financial audit: a review of the organization's accounting system, usually by an independent accounting firm, to attest that the organization's financial statements present fairly the financial results for the fiscal year; it is NOT designed to catch fraud, waste, and abuse --performance audit: an audit that is focused on performance activities and work programs instead of strictly financial matters; can focus on economy, effectiveness, or outcomes

the dynamics of control

--an initial grant of broad discretion to the agencies --a perception of abuse --increased budgetary control a. in the form of increased supervision and oversight b. increased reporting responsibilities c. additional constraint written into committee --agency reaction to reduced flexibility --a gradual reduction in the level of implementation of budgetary controls

capital assets

--any significant acquisition, construction, replacement, or improvement to the physical assets of an organization, including land, property, and equipment --Ex: China's great wall is considered their greatest capital asset -a comprehensive plan of development links the appropriate use of land with a community's long-range growth goals, in a "build-out" schedule that is affordable, doable, an commands a community's political consensus --public facilities also play a key role in economic growth

inspector general system

--auditors who work with a team to increase the overall accountability of the budget and control waste and fraud --it was created by congress in response to perceive abuses a. the ability of the system to work as planned was questionable because of it's odd structure and need for independence in order to function --in 1978 legislature enacted a law to further its independence by having the inspector general report both to the department head and the president (called dual reporting) a. this dual reporting system was supposed to make them more independent, but inevitably made them more political

the tasks of the budget process

--balancing professionalism --executive policy making --direct citizen participation

direction of procedures (element of the budget process)

--bottom up procedures: a. begin with budget requests of bureau chiefs; requests are scrutinized by chief executive or budget staff b. requests form the framework of decision making and set the agenda c. there is no prioritizing between programs in this model d. loose coordination achieved by setting revenue or spending limits --top down procedures: a. virtually ignores the bureau chiefs b. proposals often come from previous years budgets c. a more moderate top down procedure take the bureaus requests after giving detailed instructions on how to formulate requests --budgeting processes normally combine some variation of top down elements and bottom up elements a. budgeting tends to become more top down when there is a revenue problem or a defined budget crisis b. top down budgeting is associated with spending control and policy orientation

goals of the budget process

--budget balance --spending or tax reductions --productivity, efficiency, and effectiveness --management improvements

whose responsibility is the implementation?

--budget implementation is primarily the executive's job

temporary and chronic deficits

--budgets can be temporary or chronic: temp: emergencies, decline in economic activity chronic: unwillingness to make politically difficult situation a. chronic deficits are embarrassing and those responsible ten to deny them or minimize their size and importance; the quality of the budget number suffer under these conditions and it can be difficult to determine the real size of the deficit

who is in the spotlight?

--budgets turn the spotlight on concerns usually selected by the chief executive, whose budget proposal sets the agenda --pay attention to politically and financially hot issues in the budget message or introduction: these spotlights are important to understanding the politics local budgeting --what and who are overlooked today may very well affect future budgets

capital budgeting vs. operating budgeting

--cap. bud.= major capital or investment spending on infrastructure, which can also be referred to as durable goods (these investments have a life span of more than several years) and on mega-projects (long-term impacts and very costly) --oper. bud.= day to day expenses (wage, salary, utility fees, purchased items intended to operate for less than a year); budgeting accounts for expendables --the annual operating budget focuses on consumption, while the capital budget focuses on additions to capital assets

politics of strategies (independence and cooperation)

--carrying out the intent of the budget may seem technical, but it is also political: a. the chosen auditor must have INDEPENDENCE to be credible, but have enough COOPERATION to get reliable information and carry out recommendations for improvement b. gaining independence and negotiating for cooperations are political efforts

fiscal and policy control

--changing the budget during the fiscal year raises problems a. violation of fiscal control: results in overspending or waste, fraud, or abuse b. violation of policy control: implementation of policy without whole formal process of lawmaking

executive dominated process

--chief executive is responsible for formulation

costs of capital projects

--considered high risk because: a. long time frame from planning to implementation b. large price tag for each project compared with smaller amounts for most items in the operating budget c. almost irreversible nature of capital projects once they are built d. political coalitions necessary to get the project approved in the first place

characteristics of budgeting

--constraints --multiple actors with various goals --openness to the environment --resolves the separation of taxpayer and budget decision maker --accountability and acceptability

role of capital improvement planning

--creating a plan of spending for repair or replacement of existing infrastructure, as well as development of new facilities to accommodate growth --Ex: the Leaning Tower of Pisa; it was built over 199 years ago, long planning process, it was then determined that it was destabilizing; restoration was undertaken by the area of Tuscany from 1990-2001 --makes it easier to plan for large sums and trade-offs that may be necessary --capital planning principles help to shape and steer its goal focused behavior

deficits and debt (securities and foreign investors)

--deficit: occurs when outlays exceed revenues and requires the government to borrow money a. the US treasure issues securities, which are obligations to pay in the future, to investors who are willing to lend money to the US government --debt ceiling: an upper limit on the amount of money that may be borrowed; a fiscal constraint rule on how much debt can be incurred a. can either be a hard or soft rule b. usually legally imposed but can be set by market expectation c. the US government has a statutory debt ceiling

program budget (format)

--divides expenditures by activities so that the costs for juvenile counseling are separate from traffic control, from crime detection, etc. a. the emphasis in this format is on the appropriateness of current spending priorities and the possible need for tradeoffs between programs b. program budgets have the most potential for allowing legislators to review the policy implications of spending decisions

the functions of the budget process

--divides the work of budgetary decision making --assigns particular decisions to particular actors --coordinates decision making among actors --influences the distribution of power between and within the branches of government and the public --can itself be an outcome --open to the environment --involve a variety of claimants who want different things --requires prior controls --clearly represents constraints --often set limits to expenditures or to revenues at the start of the budget process so that the decision making has to take place within these constraints

waste, fraud, and abuse

--efforts to control waste, fraud, and abuse illustrate a second strategy to maintain budgetary accountability --accountability is threatened by: a. accounting systems that do not work b. programs that are poorly designed c. excessive claims for funding

soft fiscal constraint rules

--enacted by a governing body or imposed by the executive, easier to change than having to appeal to the voters --imposed by either congress or the president and are statutes that are frequently changed by lawmakers state level: can amend statutes to exempt items from the retail sales tax or raise tax rates (if permitted in state's constitution) --local level: local officials may have the latitude to raise the property tax rate and capture the full extent of property value increases

mandatory spending

--federal budget concept meaning spending is controlled by federal laws other than appropriations acts; includes spending for entitlement programs and interest on the national debt --the government can't control total spending on mandatory spending because: a. the federal government is legally obligated to pay eligible recipients b. there is no cap on the total spending the government is obligated to pay for these programs

formal and informal rules

--formal: embedded in written rules and sometimes in laws, charters, or constitutions --informal: the products of habit, custom, preference, or on-the-fly adjustments to circumstances, such as political advantage --while the formal elements are easier to identify and trace, both the formal and informal elements are important to budgeting

can we manipulate budget constraints?

--government defines what "balance" means --they include or exclude savings from prior years when they calculate balance --the requirement for balance may include all funds or only some --surpluses from one fund can be used to defray shortages in another fund --some governments allow the budget to be balanced against borrowed money --can adjust when the budget must be balanced a. Ex: in CA, the governor is only required to present a balanced budget to the legislature --the size of the margins required for balance may vary a. Ex: in some states the revenues required to balance the budget must exceed expenditures by a specified margin (ex. 5%)

general fund

--greatest part of the operating budget --accounting fund to account for all financial resources relating to transactions that the organization can legally engage in, except those resourced legally required to be accounted for in a more specialized fund --it is usually the largest fund and accounts for most routine government activities and resources, thereby making it the most visible and competitive avenue for funding a program

handcuffing

--involves writing detailed constraints into legislation and thereby reducing the agency's discretion over budget implementation

pork barrel politics

--it means the politics surrounding spending designed to support incumbent's reelection by letting them direct spending to their districts, usually through tacit agreement among legislators not to question public spending in each other's districts --Ex: the alaska bridge in 2005 costed $320 million when there was only 50 residents that live on one side of the bridge; this was the year Hurricane Katrina happened and there was a significant additional amount of money that was needed for those victims

line-item budget (format)

--lists each department and assigns a sum of money to that department a. money is not granted in lump sum, but instead divided into specific expenditures b. emphasizes financial control c. plays down competition because it never compares programs

performance budget (format)

--lists what each administrative unit is trying to accomplish, how it is planning to do so, and with what resources a. reports on how well it did with the resources it had last year b. emphasis is on getting the most service for the dollar

capital project

--major construction, acquisition, or renovation activities in a onetime expenditure that adds value to an organization's capital assets or significantly increase their useful life; the value of which is not consumed in a year (I.e. facilities, equipment, and infrastructure)

what are supplementals?

--supplemental appropriations: an authorization to spend that is adopted during the first fiscal year for the current budget, usually as a timely response to unforeseen circumstances and emergencies, such as natural disasters; permit flexible and timely responses but at the cost of side-stepping the regular funding process with its deliberation, competition, and trade-offs --emergency supplementals: additions to the regularly adopted budget that is passed in response to or under rules applicable to usual or unforeseen consequences 1. can be fast tracked 2. can be agents for unrelated non-emergency funding 3. can be bundled so as to force presidential passage

borrowing, using debt, and bonds to pay for capital projects

--makes economic sense when the loan's repayment period is no longer than the economic life of the funded project --when a city wants to borrow money, it pays a fee to one or more of the three dominant credit-rating firms for an independent assessment of credit risk; the lower the rating the higher the cost of borrowing money --debt rules, such as limits to borrowing, are imposed by constitution, statutes, and policy --the primary reason that state and local governments borrow domestically is due to the federal tax exemption for bond holders; the interest paid by borrowing government is exempt from the lender's federal income tax; for this reason, American state and local governments issue tax-exempt bonds, which are also known as municipal securities --a general obligation bond is a debt secured by the full-faith and credit guarantee; property taxes are the main revenue used to repay local government general obligation bonds --revenue bonds are secured by the pledge of specific revenues to pay the principal and interest, but not secured by the full faith and credit of the debt issuer --bondholders want to be compensated for taking the additional risk of buying these bonds, thus interest rates are higher; households buy the majority of municipal bonds and will hold them to maturity

balance

--means that decision makers just adjust revenues and spending to each other --balance budget: arises when the government entity estimates the same amount of money from revenue collections as it is appropriate from expenditures a. set by the constitution or statue b. may or may not be allowed to carry a deficit c. consists of many political and economic trade-offs and compromises d. can be achieved by balancing on one-time money (problematic)

four main parts of the budget

--message: always a political statement of the chief executive's statement of accomplishments and priorities; tips for analyzing the budget message include: a. look for finger-pointing b. look for praise c. sacred cows d. look for how competition is structured e. determine who is the audience f. look of points likely to be picked up by the media --summary: shows major revenues and expenditures and sums up the overall budgetary picture of all budgeted resources --detailed schedules: schedules are tables showing financial data a. the information is more detailed b. there is department by department information on expenditures, revenues, and staffing c. format varies by government and agency --supporting documentation: a. information about employees b. labor contracts c. demographics d. changes in state aid e. economic conditions f. other factors (considered directly relevant to budgetary decision making)

operating vs. capital budget (3 of 8 focal points)

--most governments use two broad types of budgets, the operating and capital budget: --operating: finances the goods and services consumed --capital: accounts for resources devoted to long-term projects a. the capital budgeting affects the operating budget directly through debt services

line-item appropriations and veto power

--part of the second stage of the executive budgeting process --line-item appropriation can be broad or narrow and is the legislature's most important control over executive operations during the implementation stage --in 43 states (including FL) and many local governments, the chief executive has the authority to veto specific portions of the spending bill --the president does not have line-item veto power over appropriation bills because it violates the US constitution which states that laws are passed and vetoed as a whole; EVEN THOUGH POLLS SHOW THAT THE MAJORITY OF THE US BELIEVES THERE SHOULD BE LINE ITEM VETO POWER FOR APPROPRIATIONS

paying with cash for capital projects

--pay-as-you-go basis: means having more cash in the operating budget that can be put towards capital projects; yet, not all projects provide immediate benefits, some have a later payoff' government leads investment in economic growth and development to invest in the future of a community

closed processes (role of the public)

--press and interest groups not permitted to watch the decision making or allowed to express their views during the budget process --views may be solicited but disregarded

who are the actors?

--public: favors a balanced budget 2 to 1 --interest groups: can make it difficult to raise taxes or cut programs --public officials: officials at different levels of government are also actors in the politics of deficits because it is possible for one level of government to balance its budget at the expense of another level of government

rational choice (budget theory)

--reflects decision of individuals to serve economic and political self-interests; also focuses on citizen preferences for low-cost public sector that provides quality services

government deficits (when can they be intentional?)

--sometimes governments run deficits intentionally, due to emergency situations, to moderate negative trends in the economy, or to maintain spending for unemployment benefits and welfare during recessions; sometimes its due merely to actors being unwilling to make difficult choices

discretionary spending

--spending controlled through annual appropriations, which represents about one third of federal spending; includes defense spending and education and housing programs

veto power (element of the budget process)

--strong executive veto power usually indicates a strong executive and a weak legislature --the president has to either veto the whole bill or none of it --43 states have line-item veto power, 35 states allow governors to veto funding an entire agency

where are the challenges on decision making about the budget coming from?

--structural strains between demands and financial resources --new tools for transparency and accountability --new demands --accumulated rules and procedures --buildup of financial commitments that reduce responsiveness and accountability

hard fiscal constraint rules

--such as constitutions are imposed directly by voters, making them difficult to change --rules imposed by another level of government or rule that cannot be changed by government officials on their own, but rather voters have to ratify changes --federal level: art 1 sec.9 of the US constitution says no capitation or other direct taxes shall be laid unless in proportion to the census or enumeration herein before directed to be taken --state level: a tabor is a tax payer's bill of rights local level: ability to enact a local income tax or impose a limit on the sales tax rate lower than that imposed by the state constitution

budgetary changes for noneconomic reasons midyear

--supplemental appropriations: formal additions to the budget after the initial budget has been passed a. can be used to fund programs that were cut during the year --recessions: occur when law authorizing an expenditure is nullified and thus permission to spend that money for that purpose is withdrawn a. can be used to allow a new president to reshape the budget of the current year when he begins his term in office b. can be used to drain funds from programs that are less population --deferrals: some or all of the money for a particular program could be delayed for some specified period of time a. less permanent than recessions, easier to get because they involve only a temporary delay in spending b. common at all levels of government c. classified as routine, technical, or policy related --reprogramming: taking some or all of the money that has been budgeted to one program or project and transferring it to another in the same account or fund during the same fiscal year a. makes good managerial sense if all of the money budgeted cannot be used b. can help an agency adapt to unexpected contingencies without requiring supplemental appropriations --contingency funds: sums of money budgeted for unknown or unstated purposes a. more important at the state and local levels --interfund transfers: shift of money between appropriation accounts of funds

scope and role of governments

--the appropriate size of government: requirement for balance can be used to manage the scope of the government --budgets may be balanced by: a. allowing revenues to increase b. freezing revenues at current levels and cutting expenditures to match c. reducing revenues and cutting expenditures deeply --each level of government has a role in the budget process; in theory each level of government has an interest in passing on expenditures to other levels of government, and preventing expenditures from being passed to themselves

legislative dominated process

--the bureau chiefs write up their requests with help from legislators who want particular expenditures --formally and legally legislatures have the power to initiate spending and approve taxation and proposals for spending; legislature may delegate that authority if expenditures are out of control and the legislature cannot discipline itself

demand driven expenditures

--the costs depend on demand, the supply of the service is not determined by how much money is budgeted --Ex: fire departments are demand driven in that they respond to calls and the calls are not limited to or even related to the supply --solutions include: a. create an overcapacity and budget for it so that no matter the demand, it's budgeted for; problem is that it is very expensive

Degree of centralization (element of the budget process)

--the degree to which the budget process is bottom up or top down --the degree to which power is scattered among independent committees, commissions and elected officials

fiscal year (2 of 8 focal points)

--the fiscal year tells you the correct fiscal year a. this is critical because legal authority to tax or spend is often limited to a specific fiscal year

formats

--the key goals of the budget are reflected in the budget format and its relative emphasis on expenditure, control, management improvement and cost effectiveness, and policy and planning --the major budget formats are the line item budget, performance budgets, and program budgets

legal status (4 of 8 focal points)

--the legal status of the document: adopted or proposed? a. typically, the last column on the right hand side answers this question b. budgets will show earlier budgets, along with actual versus estimated costs c. almost 3 calendar years elapse to complete a full cycle from departments' requests to the audited or actual figures

how do we determine a capital project?

--the monetary value and life span of an item determine its status as a capital project --each capital project has to be evaluated in terms of its initial cost to purchase or build it, its operating costs, and the potential benefits to be gained --in strictly economic terms, a project would "pass" if its benefits offset its costs

enacting and implementing a budget

--the passing of the budget is not the end point, it's the beginning point --the implementation stage often involved formulas for disbursements and rules about how much money can be shifted from one item or program to another after the budget has been passed --the emphasis is on carrying out the budget exactly as it was enacted, which makes budget executions seem highly technical, devoid of political content --budget execution is also political because it regulated the degree of public accountability in the budget, it also involves battle for policy control between the executive and the legislature, and because even the most technical issues may become part of the political campaigns

why do budgets change during the year?

--the people who drew up the budget have to make predictions about revenues and expenditures, predictions based on guesses about the future performance of the economy, the rate of inflation, and even the weather a. a changing economy b. political battles c. changed leadership d. altered salience of public problems

how is the budget game played?

--there are formal and informal elements in the decision making process; the government budget process results in a law, it much be passed by a governing body and signed by the chief elected official --formal procedures for adopting a budget vary by governing body but the basis of public budgeting as it differs from private budgeting is the same: a. there is greater accountability; public information and scrutiny b. there are dedicated are segregated resources c. there are political processes which are open and include many players d. there is a separation of powers, with checks and balanced in place as controls e. there is a legal requirement to not spend more than appropriated

"free money"

--there is no such thing as free money, there is always a catch --federal aid requires a plan for spending and often the plan is quite detailed --Ex: even federal assistance after a natural disaster requires local money to be spent first; only then can the locals request reimbursement from the federal government

how do agencies try to influence budgetary decision making?

--through appealing to reason, emotion, and political support; special interest groups-public supported lobbied around an issue or agency-example of the AREA AGENCY ON AGING

who, what is the legal entity ( 1 of 8 focal points)

--who is the legal government or organization? --what are the missions, functions, and services; and how have they changed? --what are the hard and soft rules affecting the budget?

politics of budgeting (what are some of the questions?)

--whose programs should be cut back and by how much? --where can cuts legally be made? --how can resistance from interest groups be minimized? --whose taxes should be raised and by how much? --can expenditures be shifted to other levels of government? --how can appropriate actions be taken while maintaining accountability and acceptability to the public?