Local Government Units Public Financial Management Implementation Strategy

7/26/2019 Local Government Units Public Financial Management Implementation Strategy

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IMPLEMENTATIONSTRATEGY

LOCAL GOVERNMENT UNITSPUBLIC FINANCIAL MANAGEMENT

THE


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Systems

Align PDPFP/CDP-LDIP-AIP with theBudget

Revisit and harmonize planning,budgeting, project priortizationprocesses and tools used by OAs

Harmonize BOM with the updatedPDPFP/CDP and LDIP process

Driver of change

Crucial to this cluster is the strengthening and institutionalization of convergence and coordination

for harmonizing the technical support being provided by OAs to LGUs.

Linking budget planning to policy priorities will be actualized by aligning the development plans

(PDPFP/CDP, LDIP and AIP) with the annual budget. This entails the development and roll-out of

an enhanced CDP/LDIP manual, which adopts a new planning paradigm, and recognizes the unique

characteristics of each LGU.

To sustain the gains of policy-based budgeting, the use of the PFMAT and PFMIPs shall be institutionalized

in the LGUs by continuing to make the conduct of PFM assessments using the PFMAT, and preparation

and implementation of PFMIPs as requisites for entitlement to funds under the Grassroots Participatory

Budgeting Process (GPBP).

Moreover, to gain more support for PFM reforms, appropriate policies on the adoption of PFM Leadership

Awards as well as performance-based incentives shall be developed and issued.

Finally, to ensure that the establishment and operation of LEEs and PUs become an integral part of the

LGUs development and investment programming, a detailed guide on the setting-up, operation anddivestment of LEEs and PUs shall be developed and rolled-out to LGUs.

Knowledge Management

Establish analytical linkage amongPFMAT, LGFPMS and LGPMS

Convergence

Strengthen convergence mechanismsthrough the CCD

Develop and institutionalizemechanisms at the OA-RO to reinforceharmonization of the planning-budgeting-project prioritiization

process

Policies

Enhance JMC No. 1

Enhance CDP/LDIP Manual

Mandate DILG and NEDA tomonitor and review CDP/PDPFPand LDIP preparation

Institutionalize the PDPFP/CDP as requirements in thepreparation of the local budget

Structure

Create inter-agency teams atnational and regional levels

Create and strengthen the LGUPolicy Unit in DBM

Clarify and clearly delineate the rolesof RIATs and LGU Policy Units at thenational level in the validation andmonitoring of PFMIPs

Competencies

Roll-out enhanced PDPFP/CDP/LDIPmanuals and provide inetr-agency TAsupport to LGUs

Capacitate Regional OAs on how to coachLGUs in improving and tracking their PFMIPs

Provide technical training on LEE/feasibilitystudies based on the enhanced LEE Guide

To sustain the gains o policy-based budgeting, the use of the PFMAT and PFMIPs shall be institutionalized

in the LGUs by continuing to make the conduct of PFM assessments using the PFMAT, and preparation

and implementation of PFMIPs as requisites for entitlement to funds under the Bottom-up Budgeting

(BuB) Process.


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Developed by LGUs in cooperation with

Documents

Local Government Units Public Financial Management Implementation Strategy