BUDGET CYCLE

1. Budget Preparation
-This covers estimation of government
revenues, the determination of budgetary
priorities and activities within the constraints
imposed by available revenues and by
borrowings limits, and the translation of
approved priorities and activities into
expenditure levels.
President's Budget Message (PBM)
-This is where the President explains the policy
framework and priorities in the budget.
Budget of Expenditures and Sources of
Financing (BESF)
-Mandated by the Constitution, this contains
the macroeconomic assumptions,public sector
context (including overviews of LGU and GOCC
financial position), breakdown of the
expenditures and funding sources for the fiscal
year and the two previous years.
 National Expenditure Program (NEP)
-This contains the details of spending for each department
and agency by program,activity or project, and is submitted in
the form of a proposed General Appropriations Act.

Details of Selected Programs and Projects

-This contains a mire detailed disaggregation of key
programs,projects and activitiew in the NEP, especially those in
line with the National government's development plan.

Staffing Summary
- This containsb a summary of the staffing complement of
each department and agency, iincluding number of positions and
amounts allocated for the same.
2. Legislative Authorization (Budget Legislation)
- It is the second phase of the budget process
relative to the enactment of the General
Appropriation Bill based on tje budget of
receipts and expenditures,generally, submitted
by the President of the Philippines within 30
days from the opening of its regular session,as
the basis of the General Appropriation Bill.
3. Budget Execution and Operation
-The third phase of the budget process
covers the various operational aspects of
budgeting, thus making budgeting as one of the
principal tools of management control to ensure
that public funds are spent only for the specific
purposes for which they are intended.
4. Budget Accountability
-The budget process, of course does not
end when government agencies spend public
funds: each and every peso must be accounted
for to ensure that is used properly, contributing
to the achievement of socio-economic goals.
This phasr happens alongside the Budhey
Execution phase. Through Budget
Accountability, the DBM monitors the efficiency
of fund utilization, assesses agency performancr
and provides a vital basis for reforms and new
policies.
 BUDGETARY ACCOUNTS
1.Appropriation
2.Allotment
3.Obligation
 Budgetary Accounts System
-According to National budget Circular
(NBC) No. 556 dated January 5, 2015, the
Allotment Release Program (ARP) shall serve as
the ceiling for the aggregate allotment releases
during the year from all sources.
 Budget Execution
Documents(BEDs)
1. BED No.1: Financial Plan (FP)
- This document shall include the
comparative obligation levels for the budget
year and current year, such as: the targeted
commitments/obligations per NEP for the
budget year
2.BED No.2: Physical Plan (PP)
- This document shall consist the
performance indicators and targets of
department/agency.
3. BED No.3:Monthly Dusbursement Program
(MDP)
-This shall be used by DBM as basis for
determining the monthly level of NCAs/ other
disbursement authorities to be used to national
government agencies, such as:
NCA
CDC
4.BED No.4: Annual Procurement Plan for
Common-Use Supplies and Equipment (APP-
CSE)
- this shall reflect the monthly quantity
and cash equivalents by items categorized into:
Available at Procurement Service Stores, and
other items not available at Procurement
Service but regularly purchased from other
sources.
 Budget and Financial Accountability Reports (BFARs)

The following reports/documents are required for submission to

the DBM and COA:
1. Quarterly Physical Report of Operations(QPRQ) - BAR No.1
2.Statement of Appropriations, Allotments, Obligations,
Disbursements and Balances (SAAODB)- FAR No.1
Fund Authorization
Major Financial Output (MFO)
Program/Activity/Project (PAP)
Major Programs/Projects
3.Summary of Appropriations, Allotments,
Obligations, Disbursements and Balances by
Object of Expenditures (SAAODBOE)-FAR NO.1-A
4.List of Allotments and Sub-Allotments (LASA)-
FAR No. 1-B
5. Statement of Approved
Budget,Utilizations,Disbursements and Balances
(SABUDB) - FAR No.2 (for Off-Budget Fund)
6.Summary of Approved Budget,Utilizations,
Disbursements and balances by Object of
Expenditures (SABUDBOE) - FAR No. 2-A ( for
Off-Budget Fund)
7.Aging of Due and Demandable Obligations
8.Monthly Report of Disbursements (MRD) - FAR
NO.4
9.Quarterly Report of Revenue and Other
Receipts
(QRROR) - FAR No.5