Brandon J. McGruder
This focus of this paper is to assess the current sources of revenue for the local government in Chicago. Therefore, it will evaluate the current financial management procedures used in Chicago Municipality and establish the loophole that needs to be addressed in order to have better utilization of resources so as to benefit the people. Chicago as a municipality generates revenues from tax, personal and utility tax, and grants among others.
Keywords: Chicago, Municipality, Tax Revenues, Social Contract
Finance and Accounting in Public Administration
In this project, the main focus will be to research, evaluate, and report on the financial management procedures in Chicago Municipality. Among the issues that will be captured include financing methods for the local government, the expenses through which it supports the local community, and the nuances that make the city unique. Essentially, this reader will be furnished with information on how the local government is financed or how its funds are spent. The researcher will also identify the financial management procedures used to run Chicago Municipality, the financing of the local government, including the major sources of revenues and expenditures. Therefore, it will be critical to closely evaluate the local budget breakdowns and the trend of revenues in terms of growth (or which revenues are increasing or decreasing and the implications). The other examination should be focused on the proposed changes in regard to revenues or expenditures and whether Chicago Municipality uses taxes or fees or both to accumulate revenues and how such impacts the community.
Purpose of the Research
To evaluate the current financial management procedures used in Chicago Municipality and establish the loopholes that needs to be addressed in order to have better utilization of resources so as to benefit the people.
The researcher perceives the greatest problem as deriving from the system of devolution itself. Well, this is more a political stance but it has significant implications on the financial management procedures. The issue is that the local government may not be in a position to implement its financial policies as they deem it appropriate if the centralized government does not support them fully in terms of revenues. This may not be a problem in the case of Chicago Municipality because U.S. is already a mature, democracy where devolution is not a challenge. However, these are the problem that the reader should have in mind and probably illustrate how it has been addressed in as far as the Municipality of Chicago is concerned. Of course, there are other problems, for instance, the hindrances that prevent the local government to achieve focused and meaningful management of resources.
Q1. What are the current financial management procedures being applied in Chicago Municipality?
Q2. What are the current trends on Chicago’s revenues and the changes being proposed to revenues and expenditures?
Research Objectives 1. To investigate the financing process of Chicago Municipality and the expenses through which it supports the local community 2. To understand the different ways Chicago’s local government supports the local community
Research Conceptual Framework
It is important to present in general the underlying financing process of a municipality. As the reader had mentioned earlier, this is a financial evaluation but one cannot assume the political issues that accompany it. For instance, it all depends with the constitutional position on the role of local government. In this regard, if it is centered more on centralization then the local government would not have autonomy to raise its revenues or manage its finances since it has to receive approval and guidance from the Central government. On the contrary, if it a mature democracy where devolution reigns, then…