ZERO-BASED BUDGETING EXAMINES ALTERNATIVE FUNDING LEVELS WITH AN ASSUMED BASE LEVEL OF OPERATION OF ZERO. EACH SYSTEM FUNCTION IS ANALYZED AT A NUMBER OF FUNDING LEVELS, STARTING FROM RECEIVING NO FUNDING TO RECEIVING UNLIMITED FUNDS. FOR EACH FUNDING LEVEL, THE OBJECTIVES, LEVELS OF SERVICE, COSTS, AND EXPECTED ACHIEVEMENTS ARE DETERMINED FOR EACH FUNCTION. IN THIS WAY, SYSTEM DECISION-MAKERS CAN DETERMINE EXACTLY HOW MONEY FOR ALL ASPECTS OF THE SYSTEM FUNCTIONS WILL BE ALLOCATED. THIS METHOD WAS APPLIED, WITH SOME MODIFICATIONS, TO THE MILPITAS POLICE PATROL DIVISION. THE AUTHORS CONCLUDE THAT THIS PROCESS FORCED CONSIDERATION OF DIFFERENT LEVELS OF SERVICE AND DID SHOW THAT THE LEVEL OF PERSONNEL COULD GO DOWN TO A LOWER LEVEL AND STILL MAINTAIN BASIC SERVICES. IN THE CASE OF MILPITAS, HOWEVER, THIS PROCESS JUSTIFIED THE HIRING OF THREE ADDITIONAL POLICE OFFICERS....DMC