Case study on public budgeting

Subjects Description A resource for administrators seeking innovative ideas and supporting precedents in formulating policy, this book also provides a useful textbook for public administration and policy students.

Case study on public budgeting

Procedure[ edit ] Most broadly, all participatory budgeting schemes allow citizens to deliberate with the goal of creating either a concrete financial plan a budgetor a recommendation to elected representatives.

In the Porto Alegre model, the structure of the scheme gives subjurisdictions neighborhoods authority over the larger political jurisdiction the city of which they are part. Neighborhood budget committees, for example, have authority to determine the citywide budget, not just the allocation of resources for their particular neighborhood.

There is, therefore, a need for mediating institutions to facilitate the aggregation of budget preferences expressed by subjurisdictions. The adoption of PB has been required by the federal government in nations such as Peru, while there are cases where local governments initiated PB independent Case study on public budgeting the national agenda such as Porto Alegre.

With the bottom-up approach, NGO's and local organizations have played crucial roles in mobilizing and informing the community members. Representatives of the divided districts are either elected or volunteered to work with government officials in a PB committee.

The committees are established with regularly scheduled meetings under a specific timeline to deliberate. Proposals, initiated by the citizens, are dealt under different branches of public budget such as recreation, infrastructure, transportation, etc.

Participants publicly deliberate with the committee to finalize the projects to be voted on. The drafted budget is shared to the public and put for a vote. The municipal government implements the top proposals.

The cycle is repeated on an annual basis. History[ edit ] Participatory budgeting has been practiced in Porto Alegre since Participatory Budgeting was first developed in the s by the Brazilian Workers' Partydrawing on the party's stated belief that electoral success is not an end in itself but a spring board for developing radical, participatory forms of democracy.

While there were several early experiments including the public budgeting practices of the Brazilian Democratic Movement in municipalities such as Pelotas [8]the first full participatory budgeting process was implemented inin the city of Porto Alegre, Brazila capital city of the state of Rio Grande do Sul, and a busy industrial, financial, and service center, at that time with a population of 1.

Bymore than cities in Brazil had implemented PB, while inthousands of variations have been implemented in the Americas, Africa, Asia and Europe.

This institutional arrangement has created a separation between the state and civil societywhich has opened the doors for clientelism. Because the law-making process occurs behind closed doors, elected officials and bureaucrats can access state resources in ways that benefit certain 'clients', typically those of extraordinary social or economic relevance.

The influential clients receive policy favors, and repay elected officials with votes from the groups they influence. For example, a neighborhood leader represents the views of shop owners to the local party boss, asking for laws to increase foot traffic on commercial streets.

In exchange, the neighborhood leader mobilizes shop owners to vote for the political party responsible for the policy. Because this patronage operates on the basis of individual ties between patron and clients, true decision-making power is limited to a small network of party bosses and influential citizens rather than the broader public.

In an attempt to encourage popular participation in government and redirect government resources towards the poor, Dutra institutionalized the PT's organizational structure on a citywide level.

Case study on public budgeting

The result is one example of what we now know as Participatory Budgeting. Outcomes[ edit ] A World Bank paper suggests that participatory budgeting has led to direct improvements in facilities in Porto Alegre.

The number of schools quadrupled since Health and sanitation benefits accumulated the longer participatory budgeting was used in a municipality.

Case study on public budgeting

Participatory budgeting does not merely allow citizens to shift funding priorities in the short-term — it can yield sustained institutional and political change in the long term. Although it cannot overcome wider problems such as unemploymentit leads to "noticeable improvement in the accessibility and quality of various public welfare amenities".

Since its emergence in Porto Alegre, participatory budgeting has spread to hundreds of Latin American cities, and dozens of cities in EuropeAsiaAfricaand North America. In some cities, participatory budgeting has been applied for school, university, and public housing budgets.

In France, the Region Poitou-Charentes is notable for launching participatory budgeting in its secondary schools. Annual spending on fixed expenses, such as debt service and pensions, is not subject to public participation. Around fifty thousand residents of Porto Alegre now take part in the participatory budgeting process compared to 1.

Participants are from diverse economic and political backgrounds. Each February there is instruction from city specialists in technical and system aspects of city budgeting. In March there are plenary assemblies in each of the city's 16 districts as well as assemblies dealing with such areas as transportation, health, education, sports, and economic development.

These large meetings—with participation that can reach over 1,—elect delegates to represent specific neighborhoods.Innovative Budgeting and Finance for the Public Sector. J/J – Spring Meeting time: Tuesdays 2pm - 5pm in Room A.

Case Studies in Public Budgeting and Financial Management, Second Edition - Revised and Explained Edited by Aman Khan and W. Bartley Hildreth. Public budgeting systems are systems for making choices of ends and means.

The purpose of budgeting is to allocate scarce resources among competing public demands so as to attain societal goals and objectives (Lee, 49).

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Case Studies in Public Budgeting and Financial Management, Revised and Expanded - Google Books