What type of operational budget does Community Health Services use to justify and prioritize services annually?

Zero-based budgeting is a method of budgeting in which all expenses must be justified for each new period, starting from a "zero base." This approach requires that all programs and services be evaluated for their need and budgeted accordingly rather than basing the new budget on the previous year’s figures.

By using zero-based budgeting, Community Health Services can prioritize necessary services and allocate resources effectively. This ensures that funding is directed toward the most critical services and initiatives for the upcoming year, as each department or service must provide a rationale for its funding request each time the budget is created. This methodology allows for a more flexible response to changing community health needs and helps in justifying expenditures based on current requirements rather than historical spending patterns.

In contrast, the other types of budgets, such as activity-based, fixed, and flexible, do not emphasize the need for justifying expenses from scratch each year, making zero-based budgeting particularly suitable for organizations focused on justifying and prioritizing their services annually.