The City of Manhattan, Kansas, prepares an annual Budget Book, a comprehensive document that includes a citywide budget, as well as departmental budgets. The city has received the GFOA Distinguished Budget Award for more than 22 years. Following are graphical excerpts from the 2011 Budget Book that disclose typical taxpayer tax payments and primary revenue sources and functional expense categories.

Required
a. Examine the taxpayer calculation for the three-year period. What observations can you make from this illustration? What questions might you ask city budget officials at a public budget hearing?
b. Examine the pie charts and data provided for revenue sources and functional expenses. What are the primary revenue sources? Compare these revenue sources to those predominant in a local government in your area. What are the greatest expenditure categories? Taken together, do you have any questions regarding the city€™sfinances?

Transcribed Image Text:

REVENUES AND EXPENSES BY CATEGORY Primary Government Sources of Revenue 2010 Budget $18,170,858 20,638,076 16,060,492 1,296,787 5,676,905 1,772,500 18,020,755 1,141,367 10,703,559 5,677,151 $99,158,450 2011 Budget Revenues by Source Beginning Fund Balance State and Local Taxes Property Taxes Motor Vehicle Taxes Special Assessments Other Taxes& Fees User Fees& Licenses Investment Income Transfers Grants, Contributions, & Other Rev. S 19,087,521 22,527,216 18,261,755 1,404,168 6,128,164 2,048,500 18,922,203 1,109,027 9,671,967 5,885,017 S105,045,538 Total Revenues Grants, Cont, & Other 2% Beginning Fund Balance 18% 9% 1% User Fees & 18% Other Taxes& Fecs 2% State and Local Spccial 22% Property Taxes 17 Motor Vehicle 0% 1% $1,200 $1,100 $1,000 $900 $800 $700 $600 $500 $1,116 S899 2009 2010 2011