1. Performance Budgeting Survey 2016
Ronnie Downes
Deputy Head, Budgeting and Public Expenditures OECD
CESEE SBO meeting / PEMPAL workshop
Ljubljana, June 2016

2. Performance Budgeting – Simple in Theory…
€ ₩ $
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Traditional focus: financial inputs – “how much is spent”
Now balanced with a performance, output focus – “how much is bought”

3. …Difficult in Practice
What happens when performance objectives are not met?
Lack of clarity about how exactly to respond to poor performance. More resources, or fewer? Is a management response required? There is – and perhaps should be – no “automaticity” about how to respond to performance budgeting challenges – a nuanced, case-specific judgement is required.

4. OECD Performance Budgeting Survey 2016 Objectives
Explores the ‘state of the art’ in three categories:
Performance budgeting
Evaluation
Spending Review
Build upon past surveys (2007, 2011)
Construct time series data to examine trends
Drill deeper on key issues raised in past surveys
Identify key issues for principles in performance budgeting

5. OECD Performance Budgeting Survey 2016 Summary
High response rate
Strong governance procedures in place
Spending reviews are the emerging trend
Budget impacts remain elusive

6. Part II Initial findings among OECD countries

7. The management of Performance Budgeting is well-developed
Centralised performance frameworks are widespread

8. The management of Performance Budgeting is well-developed
More countries have specialised performance units

9. Line ministries are involved
Line ministries are involved in key aspects of performance budgeting in nearly all OECD countries

10. More countries than ever conduct spending reviews
Periodic, comprehensive reviews are the model of choice

11. Yet, impacts on budget outcomes lag
Few countries can claim measurable achievement of fiscal and performance objectives following spending reviews

12. Part III 2016 survey guidance to PEMPAL

13. Reflections on the administration of the 2016 survey
Survey strengths
Process & governance (Q7-14; 40-41, 44, 50-52)
What are the key elements of your country’s performance framework? (Q9)

14. Reflections on the administration of the 2016 survey
Survey strengths
Process & governance (Q7-14; 40-41, 44, 50-52)
Roles (Q20, 42-43, 54)
Which institutions play important roles in generating and using performance information in each aspect of the budgeting process? (Q20)

15. Reflections on the administration of the 2016 survey
Survey strengths
Process & governance (Q7-14; 40-41, 44, 50-52)
Roles (Q20, 42-43, 54)
Spending review details (Q50-56)
Please indicate which government actors are primarily responsible for the following spending review procedures
(Q54)

16. Reflections on the administration of the 2016 survey
Problematic questions
Sector-by-sector distinctions (21, 33)
Insights on practical use (22-23, 37-38, 47)
Quantitative measures of effort (61-65)

17. Reflections on the administration of the 2016 survey
Opportunities for high-quality, useful survey results
Information types (18-19, 30-31)
What percentage of the total performance information provided by Line Ministries/Agencies to the CBA as part of budget submissions falls into the following categories… (Q18)

18. Reflections on the administration of the 2016 survey
Opportunities for high-quality, useful survey results
Information types (18-19, 30-31)
Performance targets: target setting (24-25) & revision (27)
Does your government set performance targets? (Q24)

19. Reflections on the administration of the 2016 survey
Opportunities for high-quality, useful survey results
Information types (18-19, 30-31)
Performance targets: target setting (24-25) & revision (27)
Impacts (37-38, 47, 57)
For roughly what percentage spending reviewed in the period have objectives been met? (Q57)

20. Part IV What’s next?

21. Project schedule OECD Performance & Results Network
Phase 1
OECD survey design
Phase 2
Survey administration
Phase 3
Data verification
January March Spring 2016
Complete Complete Near completion
Phase 4
Analysis
Phase 5
Draft report to network
Phase 6
Publish report
Summer Fall
Ongoing

22. Will the survey results help us move towards “Guiding Principles of Performance Budgeting”?
use ready-made performance data from policy cycle
clear programme logic linking inputs, outputs, outcomes
seamless link to government-wide strategy and goals
avoid information overload – the “vital few” indicators
Include national and international benchmarks
organisational, managerial accountability for results
Establish routines of behaviour within organisations
audited and auditable performance targets
citizen- and CSO-accessible data