The document discusses financial management within local government units, detailing the local budget process, management of local funds, and budget types including balanced, surplus, and deficit budgets. It analyzes the implications of each budget type on government spending and economic growth, highlighting their relevance for different economic contexts. Additionally, it defines local funds and outlines four types of grants that local governments may encounter.

1. TOPIC: FINANCE WORK AT LGU’S (
LOCAL BUDGET, SOURCES OF LOCAL
FUNDS, RESTRICTIONS IN THE USE OF
LOCAL GOV’T FUNDS)
Subject: Public Policy And Program Administration (PA12)
Year&Section: BPA B31
School: Taguig City University
Group Members:
• Nantes, Nidzma A Omar
• Patrick Jhon Malabanan

2. LOCAL BUDGET
• A local government budget is a financial plan that details the government's
projected revenues and expenditures for a defined period of time. Local
governments typically have operating budgets and capital budgets. ...
Anything that requires resources from the local government must be paid
for out of the budget.

3. THE THREE TYPES OF BUDGET:
1. BALANCED BUDGET
•
A government budget is said to be a balanced budget if the estimated government
expenditure is equal to expected government receipts in a particular financial year.
Advocated by many classical economists, this type of budget is based on the
principle of “living within means.” They believed the government’s expenditure
should not exceed their revenue.
Though an ideal approach to achieve a balanced economy and maintain fiscal
discipline, a balanced budget

4. SURPLUS BUDGET
A government budget is said to be a surplus budget if the expected
government revenues exceed the estimated government expenditure in a
particular financial year. This means that the government’s earnings from
taxes levied are greater than the amount the government spends on public
welfare. A surplus budget denotes the financial affluence of a country. Such
a budget can be implemented at times of inflation to reduce aggregate
demand.

5. DEFICIT BUDGET
A government budget is said to be a deficit budget if the estimated
government expenditure exceeds the expected government revenue in a
particular financial year. This type of budget is best suited for developing
economies, such as India. Especially helpful at times of recession, a deficit
budget helps generate additional demand and boost the rate of economic
growth. Here, the government incurs the excessive expenditure to improve
the employment rate. This results in an increase in demand for go ..

6. LOCAL FUNDS
• Local funds means funds provided by any city, county or entity (public or
private) for performance of the Work. ... Local funds means funds under the
control or in the custody of any local government or local official that are
not required to meet current expenditures or demands.

7. WHAT ARE 4 TYPES OF
GRANTS?
• Competitive Funding
• Formula Funding
• Continuation Funding
• Pass-Through Funding