
Toward A Zero Base Budgeting Process, Part II
Let’s refresh what we learned in our Budgetese as a Second Language (BSL) lesson yesterday:
Base – what the government agency spent last year
Budget Change Proposal (BCP) – what the government agency wants to spend this year.
Baseline Budget – the base plus the BCP number
Budget Cuts – Cuts to the Baseline Budget, usually a reduction in the amount requested in the BCP
Line item – each individual BCP request per program
Legislative Action – the vote by the decision makers on the BCP requests.
Now, with that refresher, we are ready to talk about zero base budgeting. Simply stated, a zero base budget process requires the bureaucracy to assume a zero base when it prepares its BCP. What that means is that expenditures for personnel, equipment, logistics, real estate leasing or purchase costs, plus transfers made to accomplish the mission of the bureaucracy are listed in the BCP, and the decision maker, that is, legislator or member of Congress can see everything on which the bureaucracy is spending to accomplish its purpose, not just want they want is the coming… Read More