Monday, June 25, 2007

Local Government Finance – Question 4

Question for Randy L and Sarah L. The next section of the chapter is about sources of revenue for local governmental units. What are the four major groups of revenue that local governments have and what sources fit into each group.

3 comments:

Unknown said...

The four major sources of revenue are state aid and grants, federal aid and grants, own-source revenues, and interlocal revenues. State and federal aid includes loans, reimbursements for tax exemptions, state aid to political subdivisions. Own-source revenues include debt, fines, forfeitures, fees, taxes, charges, licenses, and interest income. Interlocal revenues typically come from other local governments whose services have been contracted out.

-Sarah Luckey

Anonymous said...

Here are the 4 major sources for local government revenue sources.
1) Own-source revenues – refers to revenues that local governments have control over through setting tax rates or a fee or charge. Examples that are typically included are: property taxes; local option taxes; user fees, charges, fines and forfeitures, licenses; interest income and debt.
2 and 3) State aid and grants (and) Federal aid and grants – may be general aid, such as state aid to its political subdivisions.
4) Interlocal revenues – refer to local governments contracting with one another for services.
Randy Lucas

Robert Botsch, USCA Political Science said...

Both of you did a great job -- nothing to add!

Bob B