El Paso herald. (El Paso, Tex.) 1901-1931, 1918-01-26
PAXTON GIVES
BUDGET BASIS
Texas University Expert
Says It Will Put Ell Paso
in the Front Rank.
By T. z. PAXTON,
University of Texas Municipal Re
search Department.

search Department.
The preparation Of the annual
budget for the city of FL Paso will
hereafter take place during the weeks
that Immediately precede the begin
ming of the citys fiscal year. so that
the budget, which is the city's
financial plan or program for the
year. can be put in force as nearly as
possible on the first day OF the year
to which it is to apply. This alone
will be 4 faat that will put FL Paso
I far ahead Of most citiees, as far as
financial management is concerned,
! though Dallas has recently accom- .
plished IL and just now is setting the
pace for other Texas cities.
FL PasO's present budget Is not
adopted until six or eight months
after the beginning Of fiscal year,
and the result is that it IS not able
to serve the purposes of a plan or pro-
gram by which the years expendi-
lures can be regulated To remedy
this defect is the principal reason
for the city councils action in secur-
ing the services Of the Taxpayers
association in assisting it to design
4 new budget system
Points Out Defects.
Other defects in the present sys-
TEN are, that the present budget is
not made up until after the tax rate
has been fixed, whereas the budget
should be made first and should de-
termine the tax rate. The present bud
get is not binding on the departments,
because department can spend more
than the amount allotted to II, If it so
desires. The present budget system
does not give the department heads
an adequate say in recommending
what expenditures they shall under
take, nor does il require them to
make their recommendations in such
detail that the city council can Judge
their Resemblance The present
system also fails to provide an easy
method for the council to know the
exact standing OF the departments
funds and expenditures each month,
and it also fails to give the people
OF the city a chance to read and com
ment on a proposed budget before it
is adopted.
signed for the city follows the sue
cessful experience Of many cities Of
the north, the east, and the Pacific
coast
Made By Regular Steps.
Under it. the annual su6get will be
hade by the following steps:
/ A statement viii be presented
from each department. showing what
that department has done during the
past year and what its activities have
cost This will be accompanied by a
recommendation OF what that de-
partment shall undertake during the
coming year, with a careful estimate
Of the cost.
These statements. recommendation
and estimates Will be prepared by the
actual superintendents of the various
departments. such as the police chief.
fire chief. etc. and will be presented
to the council member who has charge
p NM - mi -HasaI
the estimates OF all the departments
and branches under his charge, and
transmit them to the mayor.
Statement Goes to Mayor.
= At the same time. 4 financial
statement will be prepared by the
finance department and presented TO
the mayor. This statement will show
a summary Of the revenues and ex-
penditures for the past year, the
present debts and assets, the present
surplus or deficit, and an estimate OF
the revenues for the coming year.
8. With the revised departmental
estimates to show the city's proposed
expenditures, and this financial state
ment TO show the city's financial con-
dition- the mayor Will prepare the
first draft Of the budget, or program
OF work and spending. and present
II TO the city council This is a duty
imposed on the mayor by the city
charter
Mayor VIII Make Alterations.
While the budget as thus prepared
VIII in the main follow the recOmmen-
d1tions made by the department heads
and revised by the individual alder
men. it is expected that the mayor
viii make many alterations, for he
VIII face the task of coordinating all
the recommendations 1 nthe light of
the recommendations in the light Of
OF the city and the revenues that are
likely to be available.
T. The council. the city's policy
determining body, will consider and
act on the mayors recommendations
and the budget that results firm their
and the budget that results from their
inspection Of the citizens OF the CITY.
who viii then be afforded opportunity
the council, before the budget is fl
nally adopted.
Finally Up to Council.
.. After such an open meeting has
been held, the council will finally
adopt the budget. which will then be
binding upon all departments OF the
city government. and each department
VIII be limited in its expenditures TO
the amount allowed IL in the budget I
To put the budget system into ef-
feet, some simple notifications of the
accounting system are being designed. I
which will enable the finance depart
ment to furnish each department su-
perintendent. on the first Of each
month, with a statement Of the finan-
cial condition Of his department. and
VIII furnish to the mayor and coun-