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"Through the Lens" 
March 28, 2014
Co-founded in 2010 by:
Chris Fabian & Jon Johnson
Volume II, Issue 4
SAVE THE DATE!!!
Center for Priority Based Budgeting


CPBB 2014 Annual Conference! 
Denver, Colorado, August 5-7, 2014 

The Center for Priority Based Budgeting (CPBB) is excited to announce our 3rd annual conference in Denver, Colorado August 5-7, 2014! Be sure to SAVE THIS DATE as the CPBB presents another year of innovative local government tools and concepts designed to position your organization for success!

The ICMA "Leading Practice" of Priority Based Budgeting is fundamentally changing the way local governments are approaching resource allocation, community partnerships, transparency in financial management and literacy, credit rating management, and our very understanding of the modern role of pro-active governance.

For over five-years, communities across the US and Canada have been implementing and evolving our scalable and replicable core fiscal and economic development concepts, and the outcomes have been nothing short of revolutionary! Now, for the first time ever assembled, a robust "user group experience" will bring together the foremost experts in Priority Based Budgeting to share their experiences and pave the way for the "New Wave of local government innovation!"

Building upon the excitement and enthusiasm from the CPBB 2013 "Summit of Leading Practices" Annual Conference, we'll be delivering even more success driven initiatives from the CPBB, our partners and your local government practitioner peers that will provide proven strategies designed to catapult your organization into the innovation stratosphere!

The full conference agenda and conference registration opportunities will be released soon. Conference sponsorship and exhibitor opportunities are now available.

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CPBB 2014 annual conference updates!

We look forward to seeing you at the CPBB 2014 Annual Conference in Denver, Colorado August 5-7 and discussing all the creative and innovative concepts so many local government communities are implementing across the country!

Priority Based Budgeting is a unique and innovative approach being used by local governments across the Country to match available resources with community priorities, provide information to elected officials that lead to better informed decisions, meaningfully engage citizens in the budgeting process and, finally, escape the traditional routine of basing "new" budgets on revisions to the "old" budget.  This holistic approach helps to provide elected officials and other decision-makers with a "new lens" through which to frame better-informed financial and budgeting decisions and helps ensure that a community is able to identify and preserve those programs and services that are most highly valued.   

The Center for Priority Based Budgeting™ (CPBB), established in 2010, provides technical and advisory services to assist local governments, school districts, special districts and other non-profit agencies achieve Fiscal Health and Wellness through Priority Based Budgeting. This creative and innovative process, developed by CPBB, enables communities to reassess their priorities in order to make sound, long-term funding decisions. CPBB's mission is to be a trusted advisor and a dependable, objective resource, assisting local government leaders who are seeking service excellence, transparency to their stakeholders and a strong desire to achieve the Results that are important to their community.

From large organizations (such as the cities of Cincinnati, Ohio, Sacramento, California and Edmonton, Alberta) to mid-sized communities (like the Colorado cities of Boulder, Wheat Ridge and Fort Collins) to smaller communities (such as Blue Ash, Ohio and Douglas County, Nevada), the processes and tools developed by CPBB have proven effective, scalable, and best of all, repeatable. CPBB has already led 60+ communities through this comprehensive body of work.

The Quest to Remake the Motor City!
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Detroit: Through the Lens of the CPBB

At the Center for Priority Based Budgeting (CPBB), we are huge proponents, advocates and supporters of local government and community innovation. We're in the business of assisting local government explore their role in successful economic development, understanding better where public sector investment could inspire a greater private sector contribution and better influence economic health (and clarifying the role of local government). We, like many, are specifically interested in the amazing array of creative resurgence occurring in the City of Detroit. We're seeing Detroit recreating itself through technology innovation, community organization and partnerships, and by implementing many shared service concepts that we fiercely advocate.

The CPBB is a unique, creative group with the philosophy that Cities (and all communities) must do things differently if they are to survive. In particular, Cities must collaborate with their public sector, private sector and non-profit partners to strategically and creatively deliver services.


The CPBB was on the forefront of recognizing Detroit's resurgence when we spent a week last summer in Detroit immersing ourselves in the trenches of critical local government issues, and went straight into perhaps the most interesting experiment in economic development we could imagine: the complete economic redevelopment of a City. As the national media focused on bankruptcy and blight, we overlooked this focus on negativity and turned our lens on what we saw as the building blocks that were being developed to position Detroit for success. Our investigation led to a series of focused articles that were very well received locally and nationally.

Our first article, focusing on the neighborhoods of the City of Detroit, Reversing the Trend: Might Corktown Hold the Key to a Greater Detroit Neighborhood Resurgence?, provided background context on the city's challenges and how entrepreneurship is playing a driving role in reshaping the downtown core and, slowly, the inner city neighborhoods. Our second article, Detroit: Bankrupt, but Not Broken, cast a spotlight on city governance through an interview with Nolan Finely of the Detroit Free Press. Our third article, Opportunity Detroit! Future City USA?, focused on Detroit's burgeoning entrepreneurial start-up and tech sector, and how this explosion of new business development is having a transformative effect on the city. 

When most folks think of Detroit, they typically think of bankruptcy, thousands of abandoned homes and structures, a shrinking city and/or a city in an
unavoidable spiral of decline and mayhem. At the Center for Priority Based Budgeting, we see a city bursting with a strong sense of civic pride and very possibly entering a period of significant redevelopment, economic resurgence and endless opportunities for the city and its public/private partners to improve services. We see a city on the verge of joining the Metropolitan Revolution!

To find out exactly what is happening in Detroit, we'll be on the ground for the next month (March 13th through April 12th). We'll be walking neighborhoods, the downtown core (Midtown), interviewing prominent civic leaders, talking to independent business owners, drinking coffee with the new wave of urban pioneers leaving cities like Brooklyn and Portland to relocate to Detroit, cheering the Detroit Red Wings to (hopefully) a playoff berth, attending the Detroit Tigers opening day game and assessing public/private partnerships to better understand what is motivating these opportunities and a possible Detroit resurgence.

We'll also be focusing on the surge of partner and independent services that are occurring as another major research opportunity. We want to find out for ourselves how these models work, are they successful, is there collaboration between the City and non-profit/private sectors, where more successful initiatives can be gained and what is on the horizon. We'll be following up with many folks we initially interviewed last Fall while simultaneously reaching out to others who are committed to their community.

We've also teamed up with the Michigan Municipal League to get a better sense of how local government communities across the state are weathering the economy and to discover all the innovative practices they've implemented. The Center for Priority Based Budgeting is proud to partner with the Michigan Municipal League for a full-day presentation in Ann Arbor, Michigan on April 9th. We'll be presenting Achieving Fiscal Health and Wellness through Priority Based Budgeting. Register and view full workshop agenda here.

We'll be posting updates on our blog and live tweeting as we gain a better understanding of just what's happening in Detroit (and beyond)! Be sure to follow the CPBB investigation into one of the most unique and relevant local government issues facing the nation today!

Detroit clearly has a long way to go and we want to follow this unique "urban experiment" as close as possible. And get involved in any way that we can! Since our last visit, Detroit has elected a new Mayor, a new City Council and has been pushing bankruptcy proceedings through the courts. We now want to follow up on what we previously observed and better understand what more has been accomplished in support of Detroit's continued resurgence. 

We have historic ties to Detroit. CPBB Co-founder Chris Fabian and Chief Creative Officer Erik Fabian were both born in Berkley. Our father worked at SE Michigan Council of Governments (SEMCOG) and the Motor Vehicle Manufacturer's Association in Detroit for many years before moving the family to Denver in the mid-80's. Our Grandma worked for Detroit Elevator for 23 years before passing in Royal Oak in November 2012. We still have other family and friends in Royal Oak, Farmington Hills and Detroit and always make a point of staying abreast of current trends in our native State.

The Center for Priority Based Budgeting prides itself on developing and staying ahead of the latest innovative, creative and effective local government trends across the country. Lately these include:
And now we will be hitting the streets of Detroit in an effort to understand and identify what this city is doing to recover from bankruptcy, decades of political corruption and inefficient government service delivery. The lessons learned will be interesting, and possibly ground-breaking, as Detroit identifies how to thrive once again in this  "New Wave" of Local Government
Bainbridge Island, Washington Joins the

"New Wave" of Priority Based Budgeting

In a recent article in the Bainbridge Island Review, Staff Writer Cecilia Garza writes, Baimbridge Begins Move to Use Priority Based Budgeting. See the full article below.

The city's budget will be recalculated in time for the 2015-2016 budget process, the Bainbridge city council decided Monday.

Like many communities, for years Bainbridge's budgeting process has consisted of simply modifying the previous year's budget. This year, though, City Manager Doug Schulze said the city will conduct a complete overhaul of its budgeting process by partnering up with the  Center for Priority Based Budgeting.

"I think there are different levels of how cities have used a similar concept in the past, but this is really something that is a relatively new approach to budgeting for local governments," Schulze said. With priority-based budgeting, the city will refocus its financial efforts to how people want their tax dollars spent in this community, Schulze said.

In a unanimous vote, the council approved a contract with the center. The consultant will work with city staff over the course of five to six months to define goals the city hopes to achieve for meeting community expectations.

It will also develop a comprehensive list of city programs and services, identify the costs of those services and help prioritize each one accordingly.

The consultant will additionally develop a web-based Fiscal Health Diagnostic Tool for the city to
help staff properly diagnose future symptoms and causes of a departmental budget issues.

By analyzing the city's financial history, the diagnostic tool will help staff communicate the city's fiscal health to elected leaders, administration officials and other community stakeholders. It will likewise allow staff to graphically depict how ongoing and one-time funding sources line up with the city's expenditure needs.

The new approach will give staff a way to monitor the city's budget and gauge long-term impacts.

During Monday's city council meeting, Councilman Wayne Roth - who promoted priority-based budgeting during his campaign for council last year - questioned what kind of budgeting method the city has previously relied on.

"I can't imagine ever doing a budget without a developed strategic priority and setting a budget to address the priorities," Roth said.

"I'm reading this more as a way to have a third-party guide us through something intuitive we all know how to do, even if we haven't done it exactly," Roth added.

Schulze said that cities commonly make adjustments to preexisting budgets. Taking it to this level of prioritizing will be an overhaul for the city's finance department in how it distributes resources.

Finance Director Ellen Schroer further explained how the consultant would be offering valuable training.

"The tool for fiscal health gives, I think, the council and the community and the staff a shared vocabulary to talk about some concepts that we've discussed in the past, using terms like recurring revenues and recurring expenses," Schroer said.

"But they also have some tools that allow maybe better recording than we have right now, or web-based sort of scenario analysis which we don't do right now," she said.

Schulze also noted the consultant will open the opportunity for public dialogue to identify the needs of the community, and it will provide added staff support at a time when the city is not only setting up a new process but also gathering data for next year's budget.

The Center for Priority Based Budgeting is a Colorado-based organization. Its approach has received endorsement from the International City/County Management Association.
Douglas County, NV Wins Good Governance Award

Through the Power of Priority Based Budgeting

"We have a culture of leadership and high performance in Douglas County," said County Manager Steve Mokrohisky. "This award is dedicated to the leadership of the Board, the hard work of our employees and the thoughtful engagement of our residents."

The Center for Priority Based Budgeting  wishes to congratulate Douglas County, NV for being awarded the Cashman Good Government Award for the County's innovative budget solutions. Per the Carson Valley Times article, "In 2012, Douglas County became the first county in the nation to implement Priority-Based Budgeting, which shifts the annual budget process from across the board allocations to investing in the community's highest priorities. Priority Based Budgeting has since been adopted by the International City/County Management Association and the Alliance for Innovation as a leading practice in local government.

Douglas County has used the process over the past two years to balance a $3 million annual structural deficit, invest over $1 million annually in existing revenue to road maintenance, and increase its bond rating for the first time in ten years and the highest in history."

Douglas County, Nevada has been one of the most successful implementers, and now practitioners, of Priority Based Budgeting. In fact, they were the first county in the nation to implement Priority Based Budgeting. Douglas County has also implemented a game-changing approach to citizen engagement. In 2012, the County embarked on the Priority Based Budgeting process with one of the primary objectives being to bring their community into an ownership position with respect to decision making. What unfolded in their groundbreaking use of an online tool to engage citizens sets the bar at a whole new level in participatory budgeting (see story here). Not only that, but the County's bond rating was affirmed as a result of their work. 

Another example of the County's success is how they prioritized spending to fund long-awaited transportation infrastructure needs with their shift to priority based budgeting (see Douglas County newsletter article "Priority Budgeting Leads to $1 Million for Roads.") Based on their progressive series of successes, the County was asked to present a case study at CPBB's "Summit of Leading Practices" conference held in July 2013. See the full Douglas County, NV slide presentation here.  

Douglas County Manager Steve Mokrohisky has been integral to the success of the County he serves. Through his leadership, Douglas County continues to innovate and prioritize spending to the benefit of the citizens of the community. Steve is frequently called upon by his peers to outline how Douglas County has achieved Fiscal Health and, due to a recent appearance on a regional local government panel discussion, is once again in the news. 

In an interview with The Record-Courier, Steve states, "I spoke on a panel with the Las Vegas City Manager about budget innovations in local government. Douglas County is the first county in the nation to implement Priority Based Budgeting and has had some early success in stabilizing our revenues and expenses through five year financial forecasting, engaging taxpayers in how limited resources should be spent, and shifting our budget process to focus on investing in the areas of highest priority to the community. 

The board's action this year to shift over $1 million in property tax funds to road maintenance, as well as ending some lower priority programs, are good examples of how we can and should be spending tax dollars in a responsible and accountable fashion. We are now seeing other cities and counties around the country follow our lead. Placer County, Calif., and others have asked us to present our story to their leadership teams." Read the full interview here.

Congratulations again to Douglas County, Nevada, for using priority based budgeting to achieve Fiscal Health and responsibly allocate scarce resources for the overall benefit of the community!

The Center for Priority Based Budgeting
Fiscal Health Diagnostic Tool


The Most Effective and Affordable Local Government Fiscal Tool Available

  

"In the midst of serious fiscal challenges, it will be particularly important to stay true to the values that will carry us through these difficult times. The goal of fiscal health was established in consideration of the need to adjust the budgeting process to more effectively align resources with the City's priorities."
 -City Manager's Budget Message - City of Seaside, California

  

The Center for Priority Based Budgeting has seen its diagnostic approach to achieving Fiscal Health and the development and utilization of its unique and innovative "Fiscal Health Diagnostic Tool" profoundly change the conversation between local government managers, finance professionals and elected officials.  These are but a few of the powerful ways Fiscal Health has been used to help local government leaders achieve long-term financial sustainability.

Find out MORE and contact US about the Fiscal Health Diagnostic Tool

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CPBB + ICMA's Center for Management Strategies  
 
CPBB is pleased to be a partner of ICMA's Center for Management Strategies. CMS and its service provider partners assist local government managers in identifying and implementing those leading practices that can address organizational efficiency and effectiveness. The Center for Management Strategies now has a new Twitter account. Follow them at @ICMAcms to see how CMS delivers the latest research, validated techniques and current, relevant content through twitter and the CMS Blog.



To learn more about the Center for Management Strategies, visit its webpage or visit the CMS Blog and CMS Group on the AFI/ICMA Knowledge Network.

The CPBB is thrilled to be a part of CMS and proud to be recognized by ICMA as a leading practitioner in Fiscal Health & Wellness through Priority Based Budgeting for local governments. Support the Center for Management Strategies.
The Center for Priority Based Budgeting

ON... THE.... MOVE.....
 
  
April 9, 2014 - Ann Arbor, Michigan
On April 9th, CPBB will be presenting Fiscal Health and Wellness through Priority Based Budgeting in partnership with the Michigan Municipal League. Register here!

April 15, 2014 - Brunswick, Ontario, Canada
On April 15th, CPBB will be presenting Fiscal Health and Wellness through Priority Based Budgeting in partnership with the Alliance for Innovation and the Ontario Municipal Leadership Institute.  Register here!

April 23-25, 2014 - Denver, Colorado

From April 23-25, CPBB communities Douglas County, NV and the City of Wheat Ridge, CO will be presenting and CPBB will be networking at the Alliance for Innovation Transforming Local Government Annual Conference. Sign up here !

The speakers:
-    Jon Johnson, co-founder, Center for Priority-Based Budgeting
-    Chris Fabian, co-founder, Center for Priority-Based Budgeting
-    Kathie Novak, former elected official, 2009 president of the National League of Cities and Senior Adviser, Center for Priority-Based Budgeting

Please Contact Us if you'd like to join any of these exciting upcoming presentations or to schedule a free webinar and identify the best CPBB service option(s) to meet your organization's particular needs.

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Using a Unique Lens to Focus Community Resources on Results.

The Center for Priority Based Budgeting™ (CPBB), a Denver, Colorado-based mission focused organization established in 2010, provides technical and advisory services to assist local governments, school districts, educational institutions, special districts and other non-profit agencies in the achievement of Fiscal Health and Wellness through Priority Based Budgeting. This creative and unique process, developed by CPBB, enables communities to reassess their priorities in order to make sound, long-term funding decisions. CPBB has already led over 40 communities through this comprehensive body of work. Learn More 



Erik Fabian
Chief Creative Officer
503.866.4580
[email protected]

Using a Unique Lens to Focus
Community Resources on Results

The Center for Priority Based Budgeting is a proud partner in the success of local government communities
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