Zero-Base Budgeting in the States: 2012

Zero-base budgeting (ZBB) is a term currently used to describe a couple of methods of budgeting. Originally, however, it was used specifically to describe a system of budgeting that begins every budget cycle at zero, rejecting any assumption that the activities that were funded in the last budget will continue in the coming one. It requires a rationale for each activity that will be funded in the new budget. It was intended to foster thorough analysis and prioritization of every program and activity, with an emphasis on cost-effectiveness and economy.

This report includes:

  • ZBB in its original form 
  • Modified ZBB
  • Zero-Base Reviews in Action in Idaho and New Hampshire
  • Lessons learned
  • A summary of 2011 ZBB legislation.

Download the full report (15 pages)