Federal Budget Process
Delineate and explain the major components of the federal budget process and discuss the details within each phase. The initial purpose of budgeting is to plan and finance the funds the proper way. An overview of the Federal Budget process, the president’s annual budget request is addressed along with what programs should be invested in order to receive the money back. The president turns in his budget to Congress every year and they interpret their own guidelines also known as budget resolution. After the budget resolution, OMB (Office Management of Budget) distributes the funds to agencies and they will be held responsible to control those funds.
Phase 1:Budget Formulation The process begins with an advisement from the central budget office to federal agencies to prepare their own budget requests, which would later be submitted to the OMB. The OMB plays a significant role because they work together with the president to set general guidelines for the budget (Denhardt). Once both the president and the OMB have agreed on a proposition, they consult the agencies whether its top priority for its program. The final step for this phase is to organize the President’s budget as well as a justification for the budget. One of …show more content…
The legislature has the power to add or eliminate programs as well to adjust revenues (Denhardt). Hearings are held within the legislative body, which is also called “budget resolution”. Both senate members and house representatives modify the budget to their best interest and must agree before it goes anywhere else. Any differences are solved at a House-Senate conference and the budget resolution is put into action once both parties have agreed (majority rules) on the conference report (“Center on Budget” 2015). However the budget proposal from the president is more of a suggestion, therefore Congress tends to imply it’s own
Delineate and explain the major components of the federal budget process and discuss the details within each phase. The initial purpose of budgeting is to plan and finance the funds the proper way. An overview of the Federal Budget process, the president’s annual budget request is addressed along with what programs should be invested in order to receive the money back. The president turns in his budget to Congress every year and they interpret their own guidelines also known as budget resolution. After the budget resolution, OMB (Office Management of Budget) distributes the funds to agencies and they will be held responsible to control those funds.
Phase 1:Budget Formulation The process begins with an advisement from the central budget office to federal agencies to prepare their own budget requests, which would later be submitted to the OMB. The OMB plays a significant role because they work together with the president to set general guidelines for the budget (Denhardt). Once both the president and the OMB have agreed on a proposition, they consult the agencies whether its top priority for its program. The final step for this phase is to organize the President’s budget as well as a justification for the budget. One of …show more content…
The legislature has the power to add or eliminate programs as well to adjust revenues (Denhardt). Hearings are held within the legislative body, which is also called “budget resolution”. Both senate members and house representatives modify the budget to their best interest and must agree before it goes anywhere else. Any differences are solved at a House-Senate conference and the budget resolution is put into action once both parties have agreed (majority rules) on the conference report (“Center on Budget” 2015). However the budget proposal from the president is more of a suggestion, therefore Congress tends to imply it’s own