Local GovernmentLocal Government

Section 2Section 2Services & RevenueServices & Revenue

Local GovernmentLocal Government What services does local

government provide Utilities – services needed by

the public, such as water, gas, and electricity.

Every time officials decide to handle a problem – they make a POLICY.

Policy decisions often depend on money.

Local GovernmentsLocal Governments

Local governments provide many Local governments provide many services that meet many citizens’ services that meet many citizens’ human needs include education, human needs include education, health and welfare and public safety.health and welfare and public safety.

EducationEducation Local governments spend the most money on Local governments spend the most money on

educationeducation Local governments provide all public education from Local governments provide all public education from

elementary to high school.elementary to high school. State government pays about 1/3 of schooling State government pays about 1/3 of schooling

costscosts Make sure state standards are metMake sure state standards are met Equal opportunities for childrenEqual opportunities for children

Federal government helps pay for buildings, Federal government helps pay for buildings, lunch programs and programs for children with lunch programs and programs for children with special needs. special needs.

Health and WelfareHealth and Welfareo Most programs giving public assistance (or welfare) are funded by federal, state and local governments together.

o Local officials carry out the programs.oCommunities also look after public health.

oLocal officials carry out state health laws.oLocal health inspectors inspect restaurants, markets, hotels, and water.

Public SafetyPublic Safety

What do you do in an What do you do in an emergency?emergency? Dial 911Dial 911

Fire, Ambulance, PoliceFire, Ambulance, Police

Also in non-emergencyAlso in non-emergency Also hire people to make Also hire people to make

sure safety rules or codes sure safety rules or codes are being followedare being followed

UtilitiesUtilities Many water and sewage Many water and sewage

treatments plants are treatments plants are owned by local owned by local governments.governments.

Communities often Communities often arrange for private arrange for private companies to supply gas companies to supply gas and electricityand electricity

Utilities are best provided Utilities are best provided at a local level – to meet at a local level – to meet the needs of the local the needs of the local community.community.

Land UseLand Use Zoning – local rules Zoning – local rules

that divide that divide communities into communities into areas and tell how the areas and tell how the land in each area can land in each area can be used.be used. Use to plan and Use to plan and

control growth of control growth of communitiescommunities

Land UseLand Use PlanningPlanning

People who plan People who plan must think about must think about how new roads, how new roads, new factories and new factories and other new other new developments developments affect existing affect existing communities.communities.

Land UseLand Use New Businesses New Businesses

mean more jobs – but mean more jobs – but also more traffic, also more traffic, pollution, water pollution, water usage.usage.

Reno, Nevada – in a Reno, Nevada – in a desert – Uses water desert – Uses water from the Truckee from the Truckee River. River. Can’t make more Can’t make more

water flow from riverwater flow from river

Las Vegas

A Mirage in a DesertA Mirage in a Desert

Las Vegas Water RestrictionLas Vegas Water Restriction Las Vegas to restrict residents' water useLas Vegas to restrict residents' water use March 2006March 2006 U.S. Water News OnlineU.S. Water News Online LAS VEGAS, N.M. LAS VEGAS, N.M. -- Las Vegas is launching water conservation measures -- Las Vegas is launching water conservation measures

because water levels in the city's reservoirs are down to 64 percent of because water levels in the city's reservoirs are down to 64 percent of capacity.capacity.

The city is restricting residents with odd-numbered addresses to watering The city is restricting residents with odd-numbered addresses to watering outdoors only on Tuesdays, while residents with even-numbered addresses outdoors only on Tuesdays, while residents with even-numbered addresses will be allowed to water only on Mondays. will be allowed to water only on Mondays.

The rules prohibit washing cars at home, and restrict car-washing businesses The rules prohibit washing cars at home, and restrict car-washing businesses to four days a week. Residents won't be allowed to fill hot tubs or swimming to four days a week. Residents won't be allowed to fill hot tubs or swimming pools, and may operate ornamental fountains only if the fountains recirculate pools, and may operate ornamental fountains only if the fountains recirculate water.water.

Restaurants are banned from serving water to customers unless the customer Restaurants are banned from serving water to customers unless the customer requests water -- a practice most Las Vegas eateries already follow.requests water -- a practice most Las Vegas eateries already follow.

Under the ordinance, first-time violators get a warning, along with a copy of the Under the ordinance, first-time violators get a warning, along with a copy of the conservation ordinance. Second-time violators can be fined $125 to $150. conservation ordinance. Second-time violators can be fined $125 to $150. Afterward, service can be terminated.Afterward, service can be terminated.

Revenue: Paying for ServicesRevenue: Paying for Services

TaxesTaxes25% of local government revenue comes from 25% of local government revenue comes from

a property tax – a tax on land and buildingsa property tax – a tax on land and buildingsThe county assessor decides how much The county assessor decides how much

the property is worththe property is worthProperty owners are charged a fixed Property owners are charged a fixed

percentage of that valuepercentage of that valueLocal sales taxLocal sales tax Income taxIncome tax

Service Charge and ProfitsService Charge and ProfitsCities often charge money for certain Cities often charge money for certain

servicesservicesInspecting buildings (to make sure they Inspecting buildings (to make sure they

meet code)meet code)Bridge tollsBridge tollsPark Entrance FeesPark Entrance FeesParking MetersParking Meters

BorrowingBorrowing

When Revenue from taxes, fees and City When Revenue from taxes, fees and City owned business isn’t enough to cover costs – owned business isn’t enough to cover costs – local governments borrow moneylocal governments borrow moneyShort term need – borrow from bankShort term need – borrow from bankLong term need – like a school buildingLong term need – like a school building

Sell BondsSell Bonds

Sharing RevenueSharing Revenue

Intergovernmental Revenue – money given by Intergovernmental Revenue – money given by one level of government to another is another one level of government to another is another source of funding for local governments.source of funding for local governments.

Federal and state governments often given Federal and state governments often given money to local communities. This money is money to local communities. This money is called a grantcalled a grant Block grant – general use (education)Block grant – general use (education) Categorical grant (summer job program, building Categorical grant (summer job program, building

projects)projects)

Limits on RevenueLimits on RevenueMost communities face problems paying for Most communities face problems paying for

services.services.Demand for services is greater than the Demand for services is greater than the

available funds.available funds.One of the problems is that States have the One of the problems is that States have the

power to tax. They determine what is being power to tax. They determine what is being taxed and where the funds are going to go.taxed and where the funds are going to go.