In Week 2, you focused on the way public managers identify and prioritize needs

In Week 2, you focused on the way public managers identify and prioritize needs in the budget process. The costs associated with initiatives are important factors in decision-making.
This week, course materials delve into the economics of decisions needed to finalize the budget. Public budgets incorporate the costs of delivering public goods within the fiscal year, such as the maintenance for a public park, or the licensing operations for automobiles. In addition, budgets need to incorporate the costs of longer-term investments for capital assets, such as the renovation of a city building designed to last 20 years.
Cost analysis requires a detailed projection of the tasks and resources needed to achieve budget goals. In addition to costs, administrators must consider the benefits associated with each project or program of public goods. Quantification of benefits focuses on the economic as well as the potential social value. This estimation relies on models and assumptions about the impact on services.
A cost-benefit analysis of programs will contribute to prioritization and decision-making about the deployment of limited resources. These processes are based on discussions and negotiations as stakeholders express and advocate for different perceptions of the value of public goods, and visions of the economic and social future of the community.
For this assignment, you will create an annotated spreadsheet describing the cost analysis strategies and decision-making approaches of your selected governmental entity.
You will also write a 2-page paper discussing the following:
Evaluate the tools used by the entity to calculate current and project future costs.
Consider the mix of mandatory and discretionary spending.
Assess the alignment of budget decisions and policy goals.
Explain the entity’s approach to capital planning.
Discuss prioritization, compromise, and decision-making approaches.
Provide specific examples where appropriate.
Evaluate the effectiveness of this process; make two or more recommendations to improve the process.
Length: 1 spreadsheet with a 2-page explanatory brief, not including title and reference pages