Professional Documents
Culture Documents
Budget
process
National Budget
✗ The national budget (government budget) is the
government’s estimate of the sources and uses of
government funds within a fiscal year.
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Relevant terms
Balanced Budget Annual Budget Special Budget
Prepared in such a Covers a period of Provides for items not
way that estimated one year and forms adequately covered or
revenue exceed the basis for the not included in the
estimated annual appropriation general appropriations
expenditures act
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Relevant terms
Line item Budget Performance Budget Obligations Budget
Focuses on specific A plan of activities to be Focuses on expenditures
expenditures undertaken, including incurred in the current
their related costs, with year which are to be paid
the emphasis on either in the same year or
meeting targets and in the following year
desired results
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Budget cycle
Budget
Budget preparation Budget legislation Budget execution
accountability
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1 Budget
preparatio
n
Budget preparation
Budgeting approach:
✗ Incremental Budgeting
✗ Zero-based Budgeting
✗ Performance-Informed Budgeting
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Budget preparation
Steps:
✗ Budget Call
✗ Budget Hearings
✗ Presentation to the Office of the President
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Budget preparation
The “President’s Budget contains the following
documents:
✗ President’s Budget Message
✗ National Expenditure Program (NEP)
✗ Budget of Expenditures and Sources of Financing (BESF)
✗ Other documents
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BUDGET
Legislation
Budget LEGISLATION
Steps:
✗ House Deliberations
✗ Senate Deliberations
✗ Bicameral Deliberations
✗ President’s Enactment
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Budget legislation
The approved budget consist of the following:
1. New General Appropriations
2. Continuing Appropriations
3. Supplemental Appropriations
4. Automatic Appropriations
5. Unprogrammed Funds
6. Retained Income/Funds
7. Revolving Funds
8. Trust Receipts
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BUDGET
execution
Budget execution
Steps:
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Budget execution
Release guidelines and
BEDs
Budget Execution Documentation (BEDs) includes the following:
1. Physical and financial plan
2. Monthly cash program
3. Estimate of monthly income
4. List of Obligations that are not yet due and demandable
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Budget execution
allotment
- An authorization issued by the DBM to government agencies to
incur obligations for specified amounts contained in a legislative
appropriation in the form of budget released documents
- Referred to as Obligational Authority
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Budget execution
allotment
Documents used in releasing allotments to government agencies:
• General Appropriations Act Release Document (GAARD)
• Special Allotment Release Order (SARO)
• General Allotment Release Order (GARO)
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Budget execution
incurrence of
obligations
Government agencies incur obligations which will be paid
by the government
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Budget execution
Disbursement
authority
The point where government agencies obtain access to the
government funds
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Budget execution
Disbursement
authority
Documents used in releasing allotments to government agencies:
• Notice of Cash Allocation (NCA)
• Notice of Transfer of Allocation
• Non-Cash Availment Authority
• Cash Disbursement Ceiling
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BUDGET
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Accounta
bility
Budget accountability
Steps:
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Budget legislation
The reports are as follows:
1. Monthly Report of Disbursements
2. Quarterly Physical Report of Operation
3. Statement of Appropriations, Allotments, Obligations,
Disbursements and Balances
4. Summary of Appropriations, Allotments, Obligations,
Disbursements and Balances by Object of Expenditures
5. List of Allotments and Sub-Allotments
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Budget legislation
The reports are as follows:
6. Statement of Approved Budget, Utilizations,
Disbursements and Balances
7. Summary of Approved Budget, Utilizations,
Disbursements and Balances by Object of Expenditures
8. Quarterly Report of Revenue and Other Receipts
9. Aging of Due and Demandable Obligations
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Date of Submission
30 days after the end of
each month
• Monthly Report of Disbursements
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Date of Submission
30 days after the end of
each quarter
• Quarterly Physical Report of Operation
• Statement of Appropriations, Allotments, Obligations,
Disbursements and Balances
• Summary of Appropriations, Allotments, Obligations,
Disbursements and Balances by Object of Expenditures
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Date of Submission
30 days after the end of
each quarter
• List of Allotments and Sub-Allotments
• Statement of Approved Budget, Utilizations, Disbursements
and Balances
• Summary of Approved Budget, Utilizations, Disbursements
and Balances by Object of Expenditures
• Quarterly Report of Revenue and Other Receipts
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Date of Submission
30 days after the end of
the year
• Aging of Due and Demandable Obligations
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Date of Submission
On or before February 14 of the
following year
• Consolidated Statement of Allotments, Obligations,
and Balances per Summary of Appropriateness
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Budget execution
Steps:
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The
bud
get
cycl
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bility
accountin
g
A system of providing cost
and revenue information over
which a manager has direct
control of.
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