Budgeting Model


An Idea for Shared Commitment & Ownership

THE CURRENT STATE During the annual budget process, one of the most important questions district leaders wrestle with is what new investments should be made to accomplish the district’s improvement priorities. With a few exceptions, the options generally originate from each individual department. First, department heads propose investments to address issues that are thought to be under their respective responsibilities. Then, the proposals are reviewed and decision are made by the superintendent and chief financial officer, with or without the involvement of the other senior leaders on the superintendent’s cabinet depending on the local context and nature of the proposals. […]


Re-engineer Choice Architecture to Improve Budget Decisions

Each year, district leaders make many decisions about school and district finances. Hidden behind those myriad decisions is a choice architecture, which, explicitly or implicitly, defines and shapes leaders’ decision-making. Learning from behavioral economics, this article offers a new perspective to look at the functions and tasks school business officials (SBOs) perform in relation to the choice architecture and calls for rethinking the role SBOs can and should play in facilitating those decisions. Specifically, three essential components of choice architecture are highlighted: default, anchor, and framing. For each component, prevalent design features and their impact on budgetary decisions are discussed. […]


Ten Key Concepts of Cycle-based Budgeting — Part I

Cycle-based Budgeting (CBB) is built on ten key concepts, which you will see throughout this web site and in the toolkit. You can use these ten terms to help explain to your colleagues what CBB is about, why it can be helpful, and how to do it.  Due to its length, this post is divided into two parts. In this part, the following five key concepts are presented: Budget as Investment Investment Item Investment Item Owner Investment Cycle Expected Return BUDGET AS INVESTMENT Differentiating certain budget items as investments sets the conceptual foundation for approaching those financial resources differently.  A school […]


Empower Leaders to Make Strong Budget Decisions by Improving System Deficiencies

This article appears in the January 2018 issue of School Business Affairs, published by the Association of School Business Officials International. Please note that the article was originally written in September of 2017. Click on this link to download the published version.    As stewards of the taxpayer money, district leaders often take most, if not all, of the blame for not using those tax dollars effectively and efficiently to improve student outcomes. What the public does not always recognize and appreciate, however, is how difficult it is for district leaders to make informed budget decisions and how much they […]


Cycle-based Budgeting – A Primer 2

How much money has been spent on literacy, student behaviors, etc. respectively by the district over the past five years and what is the return on each of those investments? How do we help leaders take actions so that money will no longer be wasted on ineffective programs year after year, but reinvested to meet the district’s needs instead? An district’s budget should mirror its strategic vision and goals by funding programs that most support these priorities and meet the greatest needs. Accordingly, an effective budgeting process should be engaged with both allocation of new spending and reallocation of existing spending to meet those goals. Generally, […]