Budget priorities and community perceptions of service quality and importance Available to Purchase

The increasingly important issues of transparency and citizen involvement have challenged public administrators in the budget process. This paper adopts a contingent valuation approach, surveying citizens in the city of Oshkosh, Wisconsin, on their preferred allocations of both a large city budgetary increase and a large city budget reduction. The results are then used to examine how citizen assessment of service quality and importance are related to their desired changes in net budget allocations. We believe that this is a major improvement in the contingent value approach, and can serve as a useful tool to public administrators for identifying the public’s budget priorities.