The objective of this research is to reveal the public participation in the process of local budgeting based on the
local wisdom of Osing Community. Public participation is the participation in the planning, implementation or accountability process of the development. An interpretive paradigm with an ethnomethodology approach was employed to reveal the existence of local values of Osing Community when participating in the local budgeting. The results of this study
showed that the values of local wisdom of the Osing community are meaning peaceful and welfare. Moreover, there are also some values of local wisdom among guyup (harmonious), bersilaturahmi (visiting one another), friendly, consistent, Gotong Royong (mutual cooperation), honest and open, are identified. These values of local wisdom are internalised in the
planning, implementation and transparent responsibility aspects of public participation in local government budgeting. The value of the local wisdom consistent is internalised in the planning budgeting, the value of the local wisdom gotong royong is internalised in the implementation of the development, and honesty and openness are internalised in the accountability of the development