Chapter Fourteen

Key Terms: Chapter 14

1.)   Administrative Regulatory Agency: An agency with combined legislative, executive, and judicial powers.

2.)   Administrative Responsibility: A concept that incorporates the values of accountability, competence, fairness, and responsiveness.

3.)   Clientele Groups: Fervent and substantial constituencies of particular agencies, often where benefits are concentrated but costs widely distributed.

4.)   Complaint Handling: A formal and expeditious way of receiving and processing complaints.

5.)   Cross- Subsidies: Surrogate market regulations that create a condition in which one set of customers pays prices that are intended to subsidize another set of customers.

6.)   Interpretative Rules: Rules that advise clients on how an agency interprets a statute or regulation.

7.)   Legislative Rules: Also known as substantive rules, these rules are authorized by statute and applied by well- established procedure with the full force and effect of law.

8.)   New Public Management (NPM): A general approach to regulation in stark contrast to the traditional managerial model; strongly market- oriented, promotes self- regulation, and trusts that the regulated and government can become partners.

9.)   Procedural Rules: Rules that govern an agency’s internal practices.

10.)  Regulatory Ratchet: Tendency of regulatory agencies to add more and more regulations to their list without deleting those that become obsolete.

11.)  Strategies of Support: Methods used by government agencies to seek regular input from clientele groups.

12.)  Substantive Rules: See legislative rules.

Chapter Thirteen

Key Terms:

1.)   Administrative: Law or regulation created or affected by the activities of governmental agencies that make rules and adjudicate cases concerning private rights and obligations and the limits necessary to control such agencies.

2.)   Dependent Regulatory Agency (DRA): Agency charged with regulating an economic activity but housed within an existing cabinet department.

3.)   Deregulation: Policy or process of reducing the national government’s overall regulatory presence.

4.)   Economic Regulation: Regulation of economic activities that focuses on market aspects of industrial behavior, such as rates, quality or quantity of service, and competitive practices in a particular industry or segment of the economy.

5.)   Independent Regulatory Agency (IRA): Agency charged with regulating some private economic activity and structured to be more or less independent of the executive branch departments or the legislative branch or both.

6.)   Interpretative Rules: An agency’s views of the meaning of its regulations or the statutes it administers.

7.)   Ombudsman: Official charged with processing and examining complaints against a bureaucracy.

8.)   Procedural Rule: Requirement for an agency’s organization, procedure, or practice.

9.)   Rule- Making Authority: Quasi-legislative ability to issue formal rules that cover a general class of activities and give specificity to a general legislative statute.

10.) Social Regulation: Concerns the nature and types of goods and services and the social effects of industrial production processes.

11.) Subsidiary Regulation: All regulatory action accompanying Social Security, Medicine, Medicaid, AFDC (now TANF), food stamps, veterans benefits, IRS regulations, and categorical grant program regulations; clientele are state and local governments.

12.) Tort Action: Civil suit seeking monetary damages for harm allegedly done to a plaintiff by a defendant.

13.) Trust: Psychological state of being willing to be vulnerable based on positive expectations of another’s intentions or behavior.

14.)  Whistle-Blower: Public employee who informs on the action of his or her own department or agency when such action is deemed by the individual to be improper, illegal, or unethical.

Chapter Twelve

Key Terms:

1.)    Asset management: An approach to government planning for the maintenance of public assets throughout their life cycle that (1) views the assets in terms of their return on investment and (2) establishes asset- disposal programs.

2.)    Backdoor Financing: Legislation authorizing a certain level of spending for an agency that can include language ordering the agency to spend the amount of money for specific uses.

3.)    Budget: Plan for projected income and expenditures; estimate of future costs and plan for the use of employees, supplies, and related resources.

4.)    Budget Cycle: Routine steps in the budget process involving the preparation, authorization, appropriation, implementation, and audit of the budget.

5.)    Budgeting: The formal mechanism to obtain, distribute, and monitor the revenues used by governmental administrative agencies.

6.)    Budget Obligation: Budget item that is separate from the actual outlay of funds and requires the future expenditure of funds.

7.)    Budget Process: Governmental decisions on spending needs and how to pay for them.

8.)    Capital Budget: Plans for large expenditures (such as bridges, buildings, fire engines) usually financed over extended periods of time (5 to 30 years).

9.)    Compliance Audit: An examination of the financial records of a government or an agency to assess whether it has financially complied with the law.

10.) Continuing Resolution: Authority Congress grants to agencies, in the absence of annual appropriation legislation, to continue spending funds based on the previous year’s budget.

11) Debt: Total amount of money owed by a government plus the accumulated interest owed on the total; accumulated unpaid yearly deficits plus interest.

12.) Decremental Budgeting: The opposite of incremental budgeting; budget makers seek to cut spending by concentrating on small reductions rather than on any agency’s program base.

13.) Deficit: The amount of money a government spends in a given fiscal year above what it collects from all revenue sources for that same period.

14.) Earmarked Funding: Legal requirement that revenues from a given source be expended for a given function or purpose--- such as gasoline taxes on highway construction or maintenance.

15.) Energy Audit: An assessment of how well an agency uses or wastes its energy resources.

16.) Entitlement: Legal obligation created through legislation that requires the payment of benefits to any person or unit of government that meets eligibility requirements set in the law.

17.) Excise Tax: Tax placed on the manufacture, sale, or consumption of various commodities.

18.) Executive Budget: Budget document prepared by the chief of the executive branch and submitted to the legislature for review, modification, and adoption.

19.) Fiscal Policy: Government actions designed to stabilize the private economy by manipulating taxing or spending policy and managing debt.

20.) Gross National Product (GNP): Total value (in constant dollars) of all goods and services produced by a nation in a given fiscal year.

21.) Incremental Budgeting: Method of budget preparation and review stressing small increments in existing budget allocations for current programs (referred to as the budget base).

22.) Indexed Costs: Policy or law ties awards or benefits to the cost of living; they go up automatically as the cost index increases.

23.) Legislative Budget: A type of budget in which the legislative body (state legislature, county board of supervisor, or city council) prepares the budget document after departments submit their budget requests directly to the body (usually to a specific committee).

24.) Line-Item Budget: Classification of budget accounts to narrow, detailed objects of expenditure used by an agency, typically without reference to the ultimate purpose or objective served by the expenditure.

25.) Monetary Policy: Efforts to control the supply of money available to an economy by regulating the supply of currency in circulation and manipulating (credit) interest rates.

26.) Operating Budget: A budget, or plan of revenues and expenditures, that concerns the annual expenditures for such expendable items as salaries, wages, pensions, employee benefits, supplies, contracts for equipment repair and maintenance, new-equipment purchases, and utilities.

27.) Performance Audit: An assessment of an agency’s efficiency and how well it has achieved its stated program goals.

28.) Performance Budget: Budget that focuses on an agency’s objectives and accomplishments; used to increase management responsibility and accountability.

29.) Priorities: The values of government expressed in its expenditure and revenue decisions.

30.) Privatization: When a service previously provided by a government agency is now produced by a nongovernment organization (also often referred to as contracting out).

31.) Program Budget: Budget focusing on an agency’s programs, as in Planning Programming Budget System (PPBS); a tool for defining priorities and evaluating accomplishments.

32.)  Progressive Tax: Any tax in which people with higher incomes pay a larger percentage in taxes than do people of lesser means; generally, graduated income taxesare progressive.

33.) Recisions: The actual cancellations of appropriated funding.

34.) Regressive Tax: Any tax in which people with lower incomes pay a higher overall percentage of their income in taxes than do people of greater income. Generally, sales taxes are regressive.

35.) Sequestration: Congressional mandates that defer spending of funds from one fiscal quarter to another to build cash reserves or to slow down the effects of spending on an economy.

36.) Social Audit: An assessment of how well an agency copes with social issues in an organizational context.

37.) Tax Expenditure: Practice of giving favorable tax breaks (loopholes) for certain kinds of spending by individuals as well as to nonprofit or for-profit organizations.

38.) Zero-Based Budgeting: Budget process that rejects incremental budgeting by demanding a justification of the entire budget (base and incremental increases).

Chapter Eleven

Key Terms:

1.      Communication: the exchange of information and the transmission of meaning; the very essence of organization and a social process that influences the functioning of any organization; best viewed in relation to the social system in which it occurs and the particular function it performs in that system.

2.      Coding Process: any system that receives information has a characteristics coding process, a limited set of coding categories to which it assimilates the information received; results in omission, selection, refinement, elaboration, distortion, and transformation.

3.      Crisscrossing information: A subordinate in one unit talks to a boss in another unit, or vice versa.

4.      Downward Communication: From superior to subordinate, following the authority pattern of hierarchical positions; used to direct, coordinate, and control.

5.      Efficiency of Communication: Measured by the number of communication flowing in a given network.

6.      Formal Communication: Written communication that follows the formal chain of command in an organization; influenced by the size of an organization and its public nature.

7.      Horizontal Communication: Movement of information among peers at the same organizational level.

8.      Informal Communication: Oral or written communication that does not follow formal channels.

9.      Operational Feedback: Systematic information acquisition and analysis closely tied to the organization’s ongoing functions and sometimes an integral part of those functions.

10.     Upward Communication: Information that ascends the hierarchical levels of an organization and provides task coordination and emotional and social support to the individual; flows from subordinate to superior.

Chapter Ten.

Key Terms:

1.)   Accountability: Degree to which a person must answer to some higher authority for actions in the larger society or within an agency or organization.

2.)   Active- Negative: Type of presidential personality wherein the president has a driving need to achieve and maintain power; Woodrow Wilson, Herbert Hoover, Lyndon Johnson, and Richard Nixon are good examples.

3.)   Active- Positive: Type of presidential personality in which the president desires to achieve results above all else; Franklin Roosevelt, Harry Truman, John Kennedy, and Jimmy Carter are examples.

4.)   Authority: Legal basis by which one has rights to use an organization’s power and resources.

5.)   Caretaker: Style of leadership in which the executive is a political conservative seeing him- or herself as a custodian of the status quo.

6.)   Casework: Services performed by legislators and their staffs on request from and on behalf of constituents.

7.)   Charisma: Leadership based on the personality of the leader rather than on a formal position.

8.)   Congressional Oversight: Monitoring by U.S. Congress of executive branch agencies’ activities and actions to assess if laws are being properly implemented.

9.)   Credibility: Recognition by an organization that a leader is competent to use the organization’s powers and command its resources.

10.) Demagogue: Style of leadership that rallies support among followers by appeals to emotions and prejudice.

11.) Executive Accountability: constitutionally specified role of the president as chief executive and responsible for enforcing laws, court decisions, and treaties.

12.) Frustrated Warrior: Style of leadership in which an unsuccessful policy entrepreneur ends up simply frustrated in his or her attempts to lead, usually because of legislative branch opposition.

13.) Functions of Leadership: To define an organization’s missions and role, the institutional embodiment of purpose, defending and institution’s integrity, and ordering internal conflict.

14.) Leadership: Exercise of authority in directing the work of others; may be formal or informal.

15.) Legislative Accountability: Legislative branch’s responsibility to answer for how government is run.

16.) Passive- Negative: Type of presidential personality in which the president emphasizes civic virtue; George Washington, Calvin Coolidge, and Dwight Eisenhower are good examples.

17.) Passive- Positive: Type of presidential personality in which the president seeks to be loved and revered; William Taft, Warren Harding, and Ronald Reagan are examples.

18.) Policy Entrepreneur: Style of leadership involving a progressive and highly activist executive who proposes and funds new programs.

19.) Trait Theory: Belief or assumption that leadership is based on traits that leaders possess that impart unique characteristics and qualities that enable them to assume responsibility. A belief in “born” leadership.

20.) Transformational Leadership: Leadership that strives to change an organization’s culture and goals, reflecting the leader’s ability to develop a values- based vision for the organization and to convert the vision into reality and sustain it over time.