---
title: What is a municipal budget?
description: Montana municipalities must adopt a balanced annual budget by law, following BARS guidelines. Learn key deadlines, fund structures, and policy impacts.
---

[Skip to content](https://www.lgc.montana.edu/knowledge-base/what-is-a-municipal-budget#main-content)

English

Show submenu for translations

[More support](https://www.lgc.montana.edu/knowledge-base/kb-tickets/new?hsLang=en) [Ticket System Portal](https://lgc.montana.edu/tickets-view?hsLang=en)

[![LGC Color-1](https://www.lgc.montana.edu/hs-fs/hubfs/LGC%20Color-1.png?width=100&height=100&name=LGC%20Color-1.png)](https://www.montana.edu/extension/localgov/index.html)

- [Submit a Ticket](https://www.lgc.montana.edu/knowledge-base/kb-tickets/new)
- [View Tickets](https://lgc.montana.edu/tickets-view)
- [Subscribers Portal](https://lgc.montana.edu/_hcms/mem/login?redirect_url=https%3A%2F%2Flgc.montana.edu%2Ftickets-view%3FhsLang%3Den)

Open main navigation

Close main navigation

- [Submit a Ticket](https://www.lgc.montana.edu/knowledge-base/kb-tickets/new)
- [View Tickets](https://lgc.montana.edu/tickets-view)
- [Subscribers Portal](https://lgc.montana.edu/_hcms/mem/login?redirect_url=https%3A%2F%2Flgc.montana.edu%2Ftickets-view%3FhsLang%3Den)
- English
  
  Show submenu for translations
- [More support](https://www.lgc.montana.edu/knowledge-base/kb-tickets/new)
- [Ticket System Portal](https://lgc.montana.edu/tickets-view)
- [Request a Training](https://40zxa7.share-na2.hsforms.com/2mMH41wA3QYGtjwc4OPWO3w)

[Request a Training](https://40zxa7.share-na2.hsforms.com/2mMH41wA3QYGtjwc4OPWO3w)

 How can we help you?

- There are no suggestions because the search field is empty.

1. [MSU Extension Local Government Center](https://www.lgc.montana.edu/knowledge-base?hsLang=en)
2. [Glossary of terms](https://www.lgc.montana.edu/knowledge-base/glossary-of-terms?hsLang=en)

December 3, 2025

# What is a municipal budget?

## Municipal Budgeting in Montana: Legal Requirements, Fiscal Planning, and Policy Implications

A municipal budget is a legally required plan of expenditures 7-6‐4001, MCA, that is balanced by anticipated revenues during the government’s fiscal year which, in Montana, runs from July 1 through June 30. The budget format and fund structure must conform to the requirements of the Montana Department of Administration’s Budgeting, Accounting and Reporting System (BARS). The BARS Chart of Accounts is administered by the Local Government Services section of the Statewide Accounting Bureau. By law, the required annual municipal budget  
resolution must:  
1\. Be approved by the city/town council by the later of the first Thursday after the first Tuesday in September, or within 30 calendar days of receipt of the municipality’s taxable value from the  
Department of Revenue;  
2\. Include a specific appropriation of public funds (the government’s annual spending authority);  
3\. Set the annual property tax mill levy that will be borne by the owners of all taxable property within the municipal jurisdiction.  
Beyond its legal, financial management and accounting functions, a municipal budget also serves as historic documentation of the civic problems that confront a community and the city or town government’s plan to address those problems. Moreover, the budget probably reveals the governing body’s political compromises and agreed upon-goals for the future. Hence, the final adoption of the annual budget marks the culmination of the council’s policy‐making process and the beginning of the executive branch’s resource management process.

- [FAQs](https://www.lgc.montana.edu/knowledge-base/faqs?hsLang=en)
- [Process guides](https://www.lgc.montana.edu/knowledge-base/process-guides?hsLang=en)
- [White papers](https://www.lgc.montana.edu/knowledge-base/white-papers?hsLang=en#main-content)

    - [Voter Review](https://www.lgc.montana.edu/knowledge-base/white-papers?hsLang=en#voter-review)
- [Glossary of terms](https://www.lgc.montana.edu/knowledge-base/glossary-of-terms?hsLang=en)
- [Product or service descriptions](https://www.lgc.montana.edu/knowledge-base/product-or-service-descriptions?hsLang=en)
- [Online Courses](https://www.lgc.montana.edu/knowledge-base/online-courses?hsLang=en)

- [LGC Services and Pricing](https://www.lgc.montana.edu/knowledge-base/service-and-pricing)
- [Request a Training](https://40zxa7.share-na2.hsforms.com/2mMH41wA3QYGtjwc4OPWO3w)
- [Ask the LGC Team a Question](https://40zxa7.share-na2.hsforms.com/2_ory1YLOQQe3qA3hzpNAkg)

[![LGC Color-2](https://www.lgc.montana.edu/hs-fs/hubfs/LGC%20Color-2.png?width=100&height=100&name=LGC%20Color-2.png "LGC Color-2")](https://www.montana.edu/extension/localgov/index.html)

Resources prepared by the MSU Extension Local Government Center are intended for educational purposes only and do not constitute legal advice. For interpretation or application of the law, please consult qualified legal counsel. The Montana State University Extension Service is an ADA/EO/AA/Veteran’s Preference Employer and Provider of Educational Outreach.

Copyright © 2026