ITALY CFS OBJECTIVE Criteria and allocation mechanism of the performance reserve: the Italian proposal Paola De Cesare Ministry of the Treasury, the Budget and Economic Planning Rome

MAIN FEATURES OF THE PERFORMANCE RESERVE 10% OF COMMITMENT APPROPRIATION 4% E.U. RESERVE 6% NATIONAL RESERVE 4% reserve6% reserve Criteria - effectiveness - management - financial implementation Criteria - istitutional enhancement - integration - concentration

4% RESERVE : THE ITALIAN VERSUS THE COMMISSION PROPOSAL PERFORMANCE ASSESSED ON A UNIQUE STANDARD DEFINED ON THE BASIS OF GUIDELINES PERFORMANCE ASSESSED ON A UNIQUE STANDARD DEFINED ON THE BASIS OF GUIDELINES INDICATORS DEFINED TO BE MORE COHERENT WITH ITALIAN CSF PROGRAMME SUCCESSFUL IF 7 OUT OF 8 INDICATORS ARE SATISFIED ALLOCATION IN PROPORTION TO INITIAL BUDGETARY APPROPRIATION SECOND-DEGREE COMPETITION RULE

PERFORMANCE ASSESSMENT: FOR ISTITUTIONAL ENHANCEMENT ON A UNIQUE STANDARD FOR INTEGRATION AND CONCENTRATION ON INTERNAL AVERAGE OF COMPETING PROGRAMS PERFORMANCE ASSESSMENT: FOR ISTITUTIONAL ENHANCEMENT ON A UNIQUE STANDARD FOR INTEGRATION AND CONCENTRATION ON INTERNAL AVERAGE OF COMPETING PROGRAMS INDICATORS PROXIES FOR: PUBLIC ADMINISTRATION REFORMS AND PROCEDURES SEMPLIFICATION STRUCTURAL REFORMS IN SELECTED SECTORS QUALITY OF PLANNING INDICATORS PROXIES FOR: PUBLIC ADMINISTRATION REFORMS AND PROCEDURES SEMPLIFICATION STRUCTURAL REFORMS IN SELECTED SECTORS QUALITY OF PLANNING SUCCESS MEASURED AGAINST EACH INDICATOR ANY TARGET ATTAINED GIVES ACCESS TO A PORTION OF RESERVE ALLOCATION IN PROPORTION TO INITIAL BUDGETARY APPROPRIATION SECOND-DEGREE COMPETITION RULE 6% RESERVE: A FLEXIBLE INSTRUMENT TO ENHANCE QUALITY OF ADMINISTRATION AND MANAGEMENT

6% RESERVE: INDICATORS A FEW EXAMPLES PUBLIC ADMINISTRATION REFORM Implementation of internal audit unit for management One - stop shop for enterprises ADMINISTRACTIVE AND ORGANIZATION INNOVATIONS Implementation of evaluation units Implementation of I.S. strategy for P.A. STUCTURAL REFORM IN SELECTED SECTORS Implementation of integrated water resorce systems Implementation of Regional Environmental Agencies

6% RESERVE: INDICATORS A FEW EXAMPLES INTEGRATION Implementation of integrated territorial projects for regional OP Implementation of negotiated agreements between central and regional administration for national OP

WHERE ARE WE NOW ? WE HAVE: Agreed upon the performance reserve system Identified and quantifien performance indicators WE ARE: Testing and verrifying the system (indicators, monitoring and evaluation process)

WE WILL: discuss final results with institutional partners submit final proposal to first meeting of CSF Monitoring Committee set - up monitorig system and tecnical group