Department of Budget and Management

Ellen V. Avanzado

• to promote sound, efficient and effective management and utilization of government resources as instrument in the achievement of national socioeconomic and political development goals.

Executive Order No. 21 April 25, 1936

MANDATE:

History

RA 992, Revised

Budget Act June 4, 1954

CA No. 246 “balanced budget”

Dec. 17, 1937PD no. 1

Integrated Reorganization Plan of 1972

History

Pres. Ramos

Pres. Estrada

Pres. Arroyo

Joseph Estrada

Expansionary fiscal policy

eliciting increased participation from the private sector in the

overall budget process

budget became an economic stimulus and a means to disperse the

gains of economic development.

Pres. Aquino Zero-based budgeting

General Functions

1. Formulates overall resource application strategy

2. Prepares medium-term expenditure plan,

3. formulation of the annual national budget

4. Develops and administers a national accounting system

5. Conducts continuing study of the bureaucracy

6. Establishes the rules and procedures for the management of government organization resources

General Functions

7. Conceptualizes and administers the government’s compensation and position classification plan;

8. Monitors and assesses the physical & financial operations of LGUs and/or GOCCs.

General Functions

BUDGET AND MANAGEMENT BUREAU-A

• • DTI• ERC

• • DOE • DOT• DOTC• DPWH

BUDGET AND MANAGEMENT BUREAU-B

NHI NLGAB RMAO MTRCBPhilracom FDCP OMBPSC DOLE NYCCHED DOH NCRFWSUCs PCUP NAPCCFL HUDCC HLURBNCCA

BUDGET AND MANAGEMENT BUREAU-D

• DND NICA• NSC DILG• DDB ARMM• OMA DOJ• Supreme Court PET• Sandiganbayan  CA• CTA Congress • OMBUDSMAN PDEA

•

• 1. operational and sectoral policy reviews in collaboration/consultation with client agencies

• 2. Recommend budget and management policy improvements• 3. Provide inputs to budget operations guidelines• 4. recommendations/position papers on legislative proposals/bills and

planned executive issuances with funding implications and specific agency issues on organization, compensation and position classification

BUDGET AND MANAGEMENT BUREAU-D

• 5. Evaluate/validate the appraisal of new projects/policies proposed by agencies

• 6. Update/maintain a DBM-managed agency FEs/MTEFs as a budget planning and management decision tool

• 7. Ensure the mainstreaming of medium-term and results-based budgeting and performance management reforms  

• 8. Provide technical assistance and advice on all aspects of public resource and expenditure management

BUDGET AND MANAGEMENT BUREAU-D

• 9. Plan and undertake agency budget preparation activities• 10. Evaluate agency requests for minor changes in organization, staffing,

compensation and position classification and administer the GMIS of agencies  

• 11. Evaluate funding requirements of agencies and prepare/issue corresponding release documents

• 12  Administer lump sum funds/special purpose funds

BUDGET AND MANAGEMENT BUREAU-D

• 13. Monitor and evaluate  financial and physical performance of agencies in the context of the OPIF

• 14. Evaluate agency program  and  project performance and overall organizational efficiency and effectiveness vis-à-vis development goals/targets/priorities in the context of the MTEF and OPIF

BUDGET AND MANAGEMENT BUREAU-D

BUDGET AND MANAGEMENT BUREAU-F

• GOCCs• GFIs

Art. VI, Sec. 29.

• “No money shall be paid by the Treasury except in pursuance of an appropriation made by law."

• The need for all government entities to undergo the budgeting process to secure funds for use in carrying out their mandated functions, programs and activities. 

HOW ARE GOVERNMENT FUNDS APPROPRIATED?

What is a government budget?

• financial plan of a government for a given period (FY)

• shows what its resources are, and how they will be generated and used

• the government's key instrument for promoting its socio-economic objectives.

• also refers to the income, expenditures and sources of borrowings of the NG used to achieve national objectives, strategies and programs.

• "The President shall submit to the Congress within 30 days from the opening of every regular session, as the basis of the GAB, a budget of expenditures and sources of financing including receipts from existing and proposed revenue measures." Section 22, (Article VII of the Constitution)

What is a government budget?

Budget Preparation:

– National Budget Call– Corporate Budget Call

• budget call

• CY 2010-2012 Summary of appropriations •

Budget Legislation

• Congress

Budget Execution

• Where people’s money is actually spent. • As soon as the GAA is enacted, the

government can implement its priority programs and projects.

• Release Guidelines and Program• Budget Execution Documents (BEDs)

• Internal Revenue Allotment

Budget Accountability

• DBM monitors the efficiency of government’s fund utilization, assesses agency performance and provides vital basis for budget preparation and policy-and reforms-making

• Assessment of FY 2011

Budget Accountability