Implement performance-based budgeting
Cities will continue to face the challenge of tighter budgets and increased demands from residents. According to the International Monetary Fund, performance-based budgeting can "improve the efficiency and effectiveness of public expenditure by linking the funding of public sector organizations to the results they deliver." This budgeting strategy can help cities maximize cost-efficiency while prioritizing program outcomes.
ASSESSMENT
Some questions to guide your thinking
- What department(s) are best suited to pilot results-based budgeting?
- Who will be responsible for setting performance metrics and keeping accountability?
Reading
Creating a framework for performance budgeting
Organization for Economic Co-operation and Development (OECD) 30 minutes
This report offers advice on seven good principles and practices in the area of performance budgeting.
Reading
Pioneering performance-based budgeting
Houston Public Media 5 minutes
This reading discusses the goals behind Houston mayor Sylvester Turner's 2016 executive order to implement performance-based budgeting (PBB).
- Funding decisions are based on proven success or inefficiency, and should be applied per individual department or program instead of through funding increases across the board.
Reading
Creating a framework for performance budgeting
This report offers advice on seven good principles and practices in the area of …
Reading
Pioneering performance-based budgeting
This reading discusses the goals behind Houston mayor Sylvester Turner's 2016 …