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New Euna Solutions survey of public finance leaders shows budget shortfalls, revenue uncertainty, personnel costs, accessibility requirements, and limited scenario planning are exposing gaps in legacy budgeting processes

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ATLANTA & TORONTO — Euna Solutions®, a leading provider of purpose-built, cloud-based software for the public sector, today released 2026 State of Public Budgeting Report, which shows public finance teams are facing modern fiscal complexity with outdated budgeting infrastructure. According to the report, 63% of public finance leaders rank operational efficiency as a top priority, yet most lack the infrastructure to act on it – operating in an environment where 57% expect further reductions in state or federal funding and 43% are already managing budget shortfalls.

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The report, based on survey responses from 46 public sector finance and budget leaders across North America, comes as state and local governments face declining federal support, inflationary cost pressures, personnel cost challenges, and heightened transparency and compliance expectations. At the same time, many finance teams continue to rely on spreadsheets, static PDFs, and manual workflows to manage budget development, personnel forecasting, scenario planning, and public reporting. The findings reveal a consistent pattern: the demands placed on finance teams are growing faster than the tools and capacity available to meet them.

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“Public finance teams are not struggling because they lack expertise. They are struggling because they are being asked to manage modern fiscal complexity with tools built for a different era,” said Tom Amburgey, CEO of Euna Solutions. “Our survey’s findings underscore a widening gap between what finance leaders need to do (forecast more accurately, plan faster, communicate more transparently, and prepare for uncertainty) and the infrastructure many teams have available today.”

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Key findings from the report include:

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Budget shortfalls and revenue uncertainty are the top concerns

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Managing budget shortfalls or cuts ranked as the single most cited challenge among respondents, with 43% naming it a top challenge today, followed closely by accurately forecasting revenue and managing personnel costs and staffing levels. Looking ahead, 57% of respondents cite reductions in state or federal funding as the most concerning source of revenue uncertainty over the next one to three years.

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Manual processes and disconnected tools are limiting performance

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Despite operational efficiency ranking as the top priority for 63% of finance leaders, the infrastructure to act on that priority is lagging. Another 30% use an ERP system without purpose-built budgeting software, leaving many teams dependent on manual reconciliation, version control, and disconnected workflows. Many teams continue to rely on spreadsheets and manual processes to manage budget development, personnel forecasting, scenario planning, and public reporting. The data makes clear that inefficiency in public sector budgeting is systemic, not a function of team size.

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Transparency and accessibility expectations are outpacing current publishing methods

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While expectations for accessible, understandable financial information continue to grow, 74% of respondents still publish budget books and financial reports exclusively as PDFs or printed documents. Only 24% use an online financial publishing tool, and fewer maintain a public-facing transparency website. With 2026 ADA Title II updates requiring state and local governments to ensure digital content meets Web Content Accessibility Guidelines, many finance teams may face a readiness gap as accessibility expectations continue to rise.

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Scenario planning remains underused

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Although fiscal cliffs, revenue declines, and economic volatility are growing concerns, 30% of respondents conduct no formal scenario planning. Among organizations that do scenario planning, 67% still rely on spreadsheets. The report finds that the lack of structured scenario planning is not limited to smaller teams, suggesting the barrier is often infrastructure and process rather than team size alone.

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AI adoption is still early because operational readiness remains a challenge

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Half of respondents report no current use of AI in the budgeting process. Among those using AI, most rely on general-purpose generative AI tools rather than on capabilities built specifically for public sector financial planning. The findings suggest that finance teams are not yet operationally ready to adopt AI at scale because their data, workflows, and systems are still fragmented.

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The report also highlights the City of Lakeway, Texas, where Euna Budget helped move the city from reactive budgeting to more confident, data-driven planning. According to the report, a major mid-year budget update that would previously have taken a week in Excel was completed in about an hour. At the same time, department directors gained the ability to access their own budget data through OpenBook, a module connected to Euna Budget, rather than relying on finance staff.

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“The future of public budgeting is not simply about replacing spreadsheets,” said Amburgey. “It is about using technology, including AI, to help finance teams make faster, better-informed decisions, communicate more clearly with residents, prepare for uncertainty, and connect budgets to the priorities that matter most in their communities.”

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To download the full 2026 State of Public Budgeting Report, visit https://eunasolutions.com/resources/the-state-of-budgeting-report-2026/About Euna Solutions Euna Solutions® is the leading provider of purpose-built, cloud-based software designed to streamline procurement, budgeting, payments and grants management for public sector and government organizations. Euna’s AI-powered features and intelligent automation help organizations make better-informed decisions, ensure compliance, empower collaboration and reduce administrative burden. Euna’s full-cycle financial suite supports more than 3,600 organizations across North America in building trust, enabling transparency and driving positive community impact. Recognized on Government Technology’s GovTech 100 list, Euna Solutions is committed to advancing public sector innovation. To learn more, visit https://eunasolutions.com.

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