The US government’s budget system provides the means for the president and Congress to deliberate on major expenditures, including the sources of raising such financial resources. The decisions associated with the budget have significant implications concerning the country’s running, including various sectors and departments—the budgeting process in the US began in the federal government.
The Taft Commission’s recommendations formed the main foundation for the Budget and Accounting Act (1921)—the primary aim was to be an executive budget at the national level in the US, thus becoming contemporary budgeting at the federal level. Currently, the legislative and executive branches play important roles in influencing public expenditure and collecting financial resources.
The legislative and executive branches play critical functions in the budgeting process. In this duality of roles, the administrative branch agencies provide information concerning the proposed budgeting to the state governors—who then suggest budgets before submitting the same to the legislative branch.
The principle of separation of powers makes budgeting in the US unique as compared to other countries. The formulation stage, presidential, and congressional phases help enhance accountability in public spending and management of government affairs.
The entire process is codified through procedural rules—as reflected in the statutes in both the executive branch and congressional legislature. The latter is mainly responsible for formulating policies and ensuring the appropriation of funds. Such fundamental contributions are necessary for promoting transparency and accountability in the public budgeting processes.